Business Driven Technology 6th Edition by Paige Baltzan

Exercise 36

Political Supply Chains
The U.S. government has crafted a deal with the United Arab Emirates (UAE) that would let a UAE-based firm, Dubai Ports World (DPW), run six major U.S. ports. If the approval is unchallenged, Dubai Ports World would run the ports of New York, New Jersey, Baltimore, New Orleans, Miami, and Philadelphia. Currently, London-based Peninsular and Oriental Steam Navigation Co. (P O), the fourth largest port operator in the world, runs the six ports. But the $6.8 billion sale of P O to DPW would effectively turn over North American operations to the government-owned company in Dubai.
Project Focus
Some citizens are worried that the federal government may be outsourcing U.S. port operations to a company prone to terrorist infiltration by allowing a firm from the United Arab Emirates to run port operations within the United States. You have been called in on an investigation to determine the potential effects on U.S. businesses' supply chains if these ports were shut down due to terrorist activities. The United Arab Emirates has had people involved in terrorism. In fact, some of its financial institutions laundered the money for the 9/11 terrorists. Create an argument for or against outsourcing these ports to the UAE. Be sure to detail the effect on U.S. businesses' supply chains if these ports are subjected to terrorist acts.