The Supply Chain of Misinformation: How Fake News Impacts Global Supply Decisions

Abstract

In today’s volatile information ecosystem, the proliferation of fake news and misinformation presents a new and underexplored risk to global supply chain operations. With supply chain decisions increasingly dependent on digital signals, market trends, and geopolitical narratives, inaccurate or deliberately misleading information can lead to poor procurement choices, supplier disengagement, inventory misalignments, and panic-driven disruptions. This paper conceptualizes the phenomenon of misinformation as a form of "informational contamination" within supply chain networks. Drawing on sensemaking theory and contingency theory, the paper develops a framework that traces how misinformation originates, propagates, and ultimately influences global supply chain decision-making. The proposed framework introduces constructs such as the misinformation source, transmission channels, organizational interpretation mechanisms, and the resulting strategic or operational responses. This study contributes to the literature on supply chain risk management by extending current frameworks to include informational asymmetry and digital signal reliability, while also offering guidance for mitigating misinformation risks through verification protocols, digital media monitoring, and cross-functional communication resilience