What types of risks will Huawei's chip supply chain encounter?

Divided into two categories, endogenous risk and exogenous risk.

Inherent risks:

1) Moral hazard. Moral hazard refers to the fact that one party to a supply chain contract obtains excess income from the other party due to information asymmetry, thus violating the contract and leading to a supply chain crisis.

2) Information transmission risk. Because every enterprise is an independent economic entity, the supply chain is essentially a loose enterprise alliance. When the scale and structure of the supply chain become larger and larger, the probability of information error in the supply chain becomes larger and larger.

3) Production organization and procurement risk. Modern enterprise production organization emphasizes integration and efficiency, which may lead to rigidity and lack of flexibility in production process. If something goes wrong in a certain link of the production or procurement process, it will easily lead to the halt of the whole production process.

4) Risks brought by choosing distributors. Dealers face the market directly. In order to fully implement effective supply chain management, we must do a good job in selecting distributors.

5) Logistics operation risk. Logistics activities are the link of supply chain management.

6) Risks caused by corporate culture differences.

External risk

1) market demand uncertainty risk. The operation of supply chain is guided by market demand, and the production, transportation, supply and sales in supply chain are all based on accurate demand forecast.

2) Business cycle risk.

3) Policy risk. When the national economic policy changes, it will often have a great impact on the management activities of supply chain, such as fund raising and investment, and increase the operational risk of supply chain.

4) Legal risks. Changes in the legal environment facing the supply chain will also induce supply chain management risks. Every country's laws have a process of gradual improvement, and uncertain factors such as the adjustment and revision of laws and regulations may have a negative impact on the operation of the supply chain.

5) Sudden disaster risk.