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> In the real world, a supplier can contract to supply more units than they can actually produce. Did this actually happen though? Is there any evidence or you
by daishi55 2mo ago
> In the real world, a supplier can contract to supply more units than they can actually produce.
Did this actually happen though? Is there any evidence or you are just imagining a scenario which if it did happen could lead to the scenario you outlined?
- vannevar 2mo agoYes, it happens all the time. Sometimes it's actual fraud, sometimes it happens due to unforeseen supply chain issues. Sometimes it's a gray area in between, where production is possible but the supplier hides relevant risks in order to secure the deal. Several examples can be found in lists of supply chain disasters, eg the 1995 Apple production shortfall: https://supplychaindigital.com/supply-chain-risk-management/top-10-worst-supply-chain-disasters-history https://supplychaindigital.com/supply-chain-risk-management/...