Re: Re: Re: Re: Re: Re: Re: Worse than a St Pete????


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Posted by Jim Andrada on September 16, 2003 at 18:53:25:

In Reply to: Re: Re: Re: Re: Re: Re: Worse than a St Pete???? posted by C(G) on September 16, 2003 at 15:52:40:

I don't read Chinese, only Japanese, but some of the characters are close enough that I think your cute little cartoon character is celebrating being the largest musical instrument maker in China. Might be off base, but I think that's what the banner says.

Strangely enough, it isn't all about cost and "making it cheaper" anymore. We're in the process of moving a new product line to China and when we did the math we concluded that we could make it at slightly lower or equal cost in Japan, considering all the support costs invloved.

But we decided to move it to China anyhow because of some cross training "synergies" with the products we already make there, and because the quality is so exceptionally outstanding and we've already invested in the infrastructure to maintain the quality.

And little by little you get into a situation wherein certain classes of product really won't be able to be made anywhere else because the concentration of skills and support infrastructure becomes a major factor.

If it's hard drives, you'll almost certainly have to deal in Singapore because that's where you find all the companies that can make the components. Just like in the US if you want to be a jewelry manufacturer you'll probably set up shop in southern New England or LA because these are about the only places you can run out and hire an extra skilled goldsmith or two. At one time Asylum Trust Bank in Providence imported about half the commercial gold coming into the US to support the gold and silver trades centered around Providence RI.

Similar probably to Marienkirchen (sp?) where there is a base of skilled instrument (Tuba related!!!!) workers to draw on that you wouldn't find in say Boise Idaho.

There's a good supply of high quality sand for making lenses in upstate New York, so the glass and optical companies located there to exploit it, and they brought in workers, and soon it was the path of least resistance to locate another optical company in the area due to the pool of workers and specalized support that grew up.

And now it's small high volume electronics in China, and the beat goes on as the wheel of history spins slowly.



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