The purpose of this paper is to provide understandings of the global sourcing vs.local sourcing and identify the impact of Global sourcing vs.local sourcing on the manufacturing industry.A questionnaire method has been used for the data collection purposes from the target industry.After the in-depth analysis,the key findings of the research shows thats in the global sourcing challenges and benefits are involved significantly including,huge inventory in-transit,high risk in the global sourcing and it is difficult to measure sometime.There are also many benefits are associated with global sourcing including discover new markets,economic incentives such as low tariffs,competitive edge,higher quality.On the other hand local sourcing provide flexibility in the supply chain,the local sourcing are ideal for the JIT(just in time)production and lean implementation systems,low inventory & transportation cost,low level risk,easy to communication and supplier visits,easy to supplier development,and disadvantages are usually low quality material,learning curve is not very good,difficult for the firms to explore international markets,limit to the creativity.This research will contribute in the existing knowledge and provide the holistic understanding of the Global sourcing vs.local sourcing and also will identify the advantages and challenges and how company can handle and overcome those challenges effectively.