Good Morning Vietnam

June 8, 2010 -

Is China declining as an affordable manufacturing solution for companies like Apple, Nokia, Microsoft, Sony, Nintendo and more? Not quite yet, but as the Chinese government, and corporations like Foxconn are forced to raise wages, the bottom line for foreign companies may get smaller and smaller. The bottom line rules the universe. Consumers could feel it at the checkout line or corporations will take serious steps to keep manufacturing costs down. 

The New York Times and Wall Street Journal predict a future where the Apple's of the world exit China for newer, cheaper labor markets like Vietnam, India and Indonesia. Some say that discussions about such moves are already underway. Foxconn, faced with a string of suicides and controversies surrounding the general well-being of its massive workforce, has raised the pay of its employees twice this year and cities like Beijing plan to raise those wages even more. Even more alarming for foreign companies doing business in China is a movement by the government to give workers more rights.

Naturally, this scares corporations who see the evaporation of a market that served them well, and saved them a lot of costs. Add to that Inflation within China and a projected increase in its currency value, and it is the perfect storm for companies to get the hell out. Naturally higher costs for a company like Apple may lead to higher prices for that iPhone or iPad at retail if the labor situation in China is seriously reformed.

Source: Engadget

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Comments

Re: Good Morning Vietnam

They will just continually move to new poor countries.  As those countries become rich from all the work and labor prices go up, they will again move to the next poor country.  There's certainly a bunch of them available.

 
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Sleakersimply oust people that do harass others.09/20/2014 - 11:34am
Sleaker@Conster - I can say the same thing if you think there's been more than a handful. Until there's an actual study on rates no one can claim to know how widespread the incidence of harassment is. Thus the best we can do is 'there might be an issue' and...09/20/2014 - 11:33am
ConsterSleaker: if you think there's only been "a handful of" incidents, you have your head stuck *somewhere* - I'm assuming it's sand.09/20/2014 - 5:38am
prh99Most of it's agitprop clickbait anyway.09/20/2014 - 5:27am
prh99A good reason to stop reading reguardless of view pointhttp://www.theguardian.com/media/2013/apr/12/news-is-bad-rolf-dobelli.09/20/2014 - 5:22am
Andrew EisenWell this is unique! A musical critique of the Factual Feminist's "Are Video Games Sexist?" video. https://www.youtube.com/watch?v=-K4s7cV4Us409/20/2014 - 2:41am
Andrew EisenSome locked threads. Some let them be. So, no, I'm not seeing a problem here. No corruption. No collusion. No ethical problem with privately discussing ethics.09/20/2014 - 12:48am
Andrew EisenAnd still, in the end, Tito made up his own mind on how to handle his site. All 150 or so members went off to handle their own sites in their own ways. Some talked about it. Some didn't. Some changed disclosure policies. Some didn't.09/20/2014 - 12:40am
Andrew EisenThere were two comments other than Kochera and Tito's. One pointed out the Escapist Code of Conduct, another comment was in support of Tito.09/20/2014 - 12:40am
Andrew EisenKochera privately expressed his disagreement on how Tito decided to do something. No, I don't consider that crossing a line nor do I consider the exchange an example of the group pressuring him.09/20/2014 - 12:36am
Kronotechnical reasons. Anyways, I need to get to sleep as well.09/20/2014 - 12:29am
KronoAnd he wasn't the only one pushing Tito to censor the thread. If Tito had bowed to peer pressure, we likely wouldn't have gotten this http://goo.gl/vKiYtR which grew out of that thread. Said thread also lasted until a new one needed to be made for09/20/2014 - 12:28am
Krono@Andrew So it's an example of Kuchera crossing the line from reporter to advocate. And an example of the group pressuring for censorship.09/20/2014 - 12:21am
E. Zachary KnightAnyway, I am off to bed. I will probably wake up to all of this being knocked off the shout box.09/20/2014 - 12:20am
E. Zachary KnightKrono, that is the type of reading too much into things that bugs me. Ben did no such thing. Greg had the last word in that part of the exchange. The rest was about how to approach the story and Quinn.09/20/2014 - 12:19am
Andrew EisenSo?09/20/2014 - 12:13am
KronoExcept that the forum thread wasn't harassment, and Kuchera continued to push for the thread's removal after Tito made it clear he didn't consider it harassment.09/20/2014 - 12:12am
Andrew EisenPersonally, I see nothing wrong with someone offering their opinion or the other person making up their own mind on how to run their site.09/20/2014 - 12:06am
E. Zachary KnightKrono, I read nothing of the sort in that email chain. I read Ben giving advice on what to do when a forum thread is used to harass someone and spread falshoods about them and others.09/20/2014 - 12:05am
KronoThat's exactly what Ben Kuchera was doing to Greg Tito.09/19/2014 - 11:58pm
 

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