Q. Which one of the following correctly explains “China+1″ strategy?

[A] A diplomatic initiative by China to collaborate with one additional country for trade agreements.

[B] A Chinese government policy aimed at increasing trade with one specific neighbouring country.

[C] A business strategy where companies diversify their supply chains by adding operations in other countries alongside China.

[D] A global initiative to replace Chinese manufacturing with industries in a single alternative country.

Answer: C
Notes:

Explanation – The “China+1” strategy refers to a business approach adopted by companies to reduce their over-reliance on China for manufacturing and supply chain activities. This involves diversifying operations by establishing production or sourcing facilities in other countries while maintaining some presence in China. The strategy aims to mitigate risks such as geopolitical tensions, rising labour costs, and supply chain disruptions.

Source: DD News

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