Both posts are very thoughtful and insgihtful.  The problems, well documented by Shooey above, are not the only ones associated with trying to manufacture in China.  I won't bore you with war stories, but suffice it to say that, as in all things, bromide is the enemy of the thoughtful.  Management theories become pablum and replace thinking--they are implemented by those that cannot actually think.  This does not mean that there can be no good brought from seeking low cost manufacturing, the problem is that these theories were put into place by many without the understanding of the consequences.  For instance, can you find Duckhead khakis?  People do not seem to understand the interplay of brand identity, manufacturing cost and profitability, they are generally found in an uneasy coalition which is easily set out of balance by an incessant focus on a single aspect of the riddle.

You miss the true problem.

An American 'earns' twenty times what a Chinese is paid. Yet the Chinese does the saving and the American does not. This will not go on forever.

Interesting points and yet, despite all the problems and inherent flaws in Chinese manufacturing the West continues its transfer of the means of production and wealth like the dirty filthy crony capitalists we truly are.

The idea that 300 million Americans, or 65 million UK citizens can live off "intellectual capital" is increasingly becoming a difficult sell as the huge borrowing that disguised the hollowed productive capacity of the west comes to its inevitable halt. Hit the wall and then hit the ground.

The critical problem with Made-in-China, will become all too apparent as those economies in the West wake up to the effect that they are now technogically backward and bankrupt.  Social breakdown and poverty never dreamed about by the hippy baby boomers.

In five years time the adherents of Globalisation will be seen as the traitors they really are.

This century belongs to China, we're just the fag ends of the dreams of our children, a future the baby boomers have made every move to deny their grandchildren.

Last edited by The_Shooman (2010-08-10 03:00:11)

I have a different take on it. China will advance because of its ruthless single mindedness. Conditions will improve for the workforce and buy off protest. India will always be riven with divisions.

A black guy that I work and play golf with made an observation that wherever in the world you see the Chinese and the Indian living side by side the Chinese is always top dog.

let's be clear: the chinese are not a group of supermen, right wingers and commie-hunters might find it politically and idealogically useful to inflate their chosen enemies into ruthless foes in an existential war for nothing less than the survival of our way of life, etc etc, remember the soviets were supermen at one time but that reputation vanished quickly once the truth about them was known

China operates more effectively on the international scene. Internal tensions are inevitable in all nations.

Many of the Indians that I have dealt with on outsourcing are no great shakes either - incapable of using their own initiative most of the time.