Quote from LeeD:
KINGOFSHORTS, I understand you are talking of retail prices. The price you pay in a shop has nothing to do with the cost of making an item.
In fact, a lot of brand-name "luxury" clothes is luxury only due to the brand name sticked to it. Apparently, a large number of people are prepared to pay extra just to be able to show by wearing an item how much they paid.
Quote from KINGOFSHORTS:
New Balance sneaker new, made in USA bought for 34 bucks. VS Made in China Nike 60 dollar sneaker.
So the whole story about making a sneaker or making things in the US = x10 times the cost is totally BS.
The difference is Nike probably pockets the spread.
So proof that made in the USA is unaffordable is a big lie propagated by the mass media and the politicians.
Quote from EMRGLOBAL:
I call bullshit on your claim. Why. Because I deal with Private Venture Capital being pour'd into the World Manufacturing Arena and Global Trade Arena. I live it on a global level son! I just don't spout out bullshit.
Quote from Hydroblunt:
Seriously, STFU clown. You do not know WTF you're talking about and your "Private Venture Capital" & "Global Trade Arena" experience consists of tips from your local VC office when you deliver the Chinese food.
Wage costs in China & India have been rising dramatically and the offshoring trend is nearing its mark. It's China who has been looking at Vietnam to sub-offshore the contracts because they can't keep the costs down. Just like India looking at Bangladesh.
Quote from Hydroblunt:
Seriously, STFU clown. You do not know WTF you're talking about and your "Private Venture Capital" & "Global Trade Arena" experience consists of tips from your local VC office when you deliver the Chinese food.
Wage costs in China & India have been rising dramatically and the offshoring trend is nearing its mark. It's China who has been looking at Vietnam to sub-offshore the contracts because they can't keep the costs down. Just like India looking at Bangladesh.
+1Quote from newguy05:
but it is still SIGNIFICANTLY cheaper than usa, wage is just part of it, all the regulations, insurance etc..is multiples higher in the us. Outsource will not grow at the rate it has in the past, but there is no major shift out of china in term of manufacturing right now. Also need to realize cost is just 1 factor, social stability, safety and infrastructure/transportation etc.. also plays major roles in the decision factor. And there is no country that's even remotely close to what china has. The 2nd closest "safe" country india still has mud/donkey infrastructure with badly managed trains. Brazil you need to walk around with bodyguards, and the cost isnt that much cheaper.
China is just like the usa during the industrial revolution, little regulation = lower cost. As the country grow and become more economically sound, its citizen and government will demand greater protection, higher wages, more regulations etc... and eventually china, just like the usa, will no longer be a cheap outsource destination, and it will shift again to another country, the cycle will continue. But that's still a decade or two away at least. What i do know is there is little chance the outsourcing will stop and come back to the us, unless the government pass hardcap laws, which is not likely.