Presenter: Myongjin Kim
Paper: "Supply Network and Resilience: Electric Vehicle Markets," joint work with Georgia Kosmopoulou, Kyu-Min Lee, Euncheol Shin, and Lei he
Abstract:
In this paper, we develop a two-stage supply-demand network model to analyze supplier production network formation and survivability using unique Electric Vehicle
supply chain data. We examine the impacts of upstream supplier network structure on downstream firms’ production resilience under various shocks, including the 2016-2017 trade war between the U.S. and China. We recover key parameters for network formation and cost parameters for predicting quantity supplied and exit probabilities. Through counterfactual simulations, we assess production resilience strategies and quantify the impact of vertical integration and competition among upstream suppliers on the vulnerability of network resilience. Additionally, we explore the effects of the trade war on the supply chain. This research sheds light on supply chain risk management, particularly regarding the interplay between upstream supplier dynamics and downstream production resilience.