Whoa, where did the month go. A few business trips, a few days off with the family, and "bang" you haven't blogged in 12 days. I'll be more consistent going forward.
The last section of my MITA presentation was on what companies can do in the face of rising manufacturing costs in China.
In the presentation I went from most extreme option to least. Radical partnering is partnering with a competitor. I used the example of several US airlines now considering sharing planes to reduce costs.
Going to other countries was the second option. If setting up a factory I suggested looking at Vietnam and other options, but for sourcing from established factories I presented several reasons and opinions from others that China is still the best option.
The third option is looking further west in China. I suggested this is difficult today, but will get much easier very quickly as the Chinese government implements its 5-year plan to bring prosperity to the rural west and as rebuilding after the earthquake improves infrastructure and brings new management talent west.
I'll cover the other options in another post soon.
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