What is going on with things made in China?

What is going on with things made in China?

Made in China is no longer cheap anymore, for just one reason you check the daily routine of the common workers in China, the single cost of a day would need 100 RMB, that equals to USD 16. That USD 50 per month as the basic salary would never come back, as a globalist business person we have to move forward with the following basic arguments:

The younger people no longer willing to participate their jobs at the manufacturing based factories. Because they have many options, they do not need to face the reality to be at the animal level to fight for the survivals. See the basic need is not essentially a need from their mind. They can rely on their parents for a living at least not so urgent or so motivated for that basic salary. If you have a chance to ask 100 younger people from China personally, 90 out of 100 would rather choose to stay at home rather than going to the factories. But to be positive, what if we together create a better value for the jobs inside those factories? It is a question for every one of us.

The capital side of view, the most business person would invest their money into the real estate instead of providing a factory. As we all can see managing a factory is far more complicated than managing an apartment or a condo or a vila, especially in the time when real estate prices go soaring. All you need to do is collect the rent from your customers, and what is even funny, you do not even need to drive to collect that rent.

So here we come to a dilemma: the older people who get used to working at the factories, they are facing a problem to balance their income with the outcome. For one thing, we have to be honest that the real estate price increase would definitely increase the cost of house rent. As a student, I myself have spotted that in Hangzhou you have to get at least 5000 RMB per month then you can survive. And we can see a few factories could supply that kind of bonus. So the older workers are willing to go back to their hometowns no matter what, in that condition of which they have no worries about the house renting.

At the consuming side, we must admit that material things are lost the way of driving people. We can say no matter how cheap you sell your products imported from China, you just find it harder and harder to convince your customers to open their wallets. I would not say that Made in China is the thing that results in this circumstances, I would say that if Made in China can cause this problem, then Made in Japan did it, Made in Vietnam is doing it. As the commercial ads moving fast by the internet channel, competition is also aggressive.

The business environment, that no need to explain more, all we can see is that China is making things harder. Few things we can do where even the quantity of  Child born is controlled.

So we are facing a big challenge here, that means a bigger opportunity also.

How do we translate challenge to opportunity?

For one thing, I am pretty sure, education! Who teaches who? If you want to invest in China, you will have to understand the benefits of persuading, motivation is a harder question, we all have to motivate them to work, you have to teach them. Imagine if you could organize 100 people of the common good, and set them to work for that common good, that would make your success, of course, it is not about the money. This material mindset work, in the long run, it is going to vanish, admit it or not. It is happening.

So technically we all have to move forward to think about how to Drive people to work apart from that CCP driving.

— Juan Che Lee

2018-11-26