Villengineer
Gold Member
China doesn't have to have an individual labor cost lower than the rest of the world, just lower than the countries that import their products. China has the somewhat unique position of very low labor cost AND a stable government and culture. Therefore companies, both internal and external, are willing to set up manufacturing operations. No matter how you want to skew the facts, the "individual" cost of labor is still very low compared to countries such as the US, most of Europe, and Japan. I also won't go into the details of the amount of corporate espionage and downright ignoring of international patents/copyrights that China and other countries practice. It makes it much easied to advance when it's on someone else's coat tails.
Material cost is only labor cost? So rarity, usefullness, and/or location play no part in value? I think that your stance would be very difficult to defend.
Material cost is only labor cost? So rarity, usefullness, and/or location play no part in value? I think that your stance would be very difficult to defend.