Posted by larry phelan 1 on 27/04/2023 17:55:47:
DMB, I have no idea about that, my friend just mentioned that the gear he saw being used in their factories was light years ahead of anything he had seen elsewhere, and he has been around.
When you consider the advancements they have made in such a short time, there may be something in it.
I suspect that they may price themselves out of the market, as Japan did, and then there will be a new kid on the block, any idea who ???
Since no-one else seems to be making anything we can afford, let us make the best of it. All the "top known brands" seem to be made here, there and everywhere anyway, so what the hell ?
As the man said, "What,s in a name ?" What indeed ?
What your friend said is correct in many ways. The issues are a combination of many factors. In the 1980s I used to go to cities, towns, villages to source fabric and dyes for printing, and large bearings for steel mills. The cotton fabric I used to buy was made from a mixture of American cotton blended with Chinese cotton, technically proven to be better than any Japanese, Korean or India product which purported to be better, based on ‘marketing’. Similarly, the dyes were far better than Bayer or Ciba. The large bearings for steel rolling mills would compete against Russian or Torrington or FAG offering. The biggest issue was branding – or rather – lack of it, but at the same time, the great thing was that most of these factories were were/are in hard to find locations, with poor marketing, or poor political backing for various reasons.
Back then, I used to travel by Russian/China collaboration trains, old Dakota planes from very small airports – it was cheaper and faster to travel this way than the train back then, because there were more plane crashes so the locals were nervous. I also travelled by army equivalent of jeeps driven by very rough drivers going through small villages in the forest at speed running over the odd chicken, duck or something along the way. Some of the locations were in restricted areas located statically for MOD requirements.
Nowadays, most of them have collaboration JVs with the very same American/Western/Japanese companies with whom they competed.
The first city I visited was Guilin – famous for its game food. They had a Holiday Inn (Hong Kong franchisee) but I couldn’t afford to stay there back then, plus, I am a vegetarian, so interesting times were had. KFC was only in Beijing and the only thing they served vegetarians back then was smash potato. Milk, sugar, salt were difficult to find. Visiting the first Pizza Hut in Beijing in the first week of its opening in 1990 was a fascinating experience. The Chinese didn’t know what hit them. They found everything expensive and didn’t really like the cheese.
Nowadays, one travels around China on bullet trains, with McDonalds and Pizza Hut in every major city, with queues forming outside to get in at peak time, and Chinese restaurant offering for vegetarians has come a very long way.
As far as this business is concerned, I have visited factories which make components as well as finished products for well known brands. Due to certain agreements, it would be wrong to disclose such brands. These factories have state of the art tooling combined with old machinery, and they all supply to customer demand.
DMB thought that the high quality products were restricted to supply within China. This is true – but only to a small extent. High end tooling is mainly made for CNC / High End blue chip factory requirements. In turn, this is already very expensive. Rest of the world demand for such tooling is far smaller than within China. The tooling factories will supply anyone with the right credentials – local or export at a price, with or without branding. The right political connections or the right friends are required for the purpose of purchasing, along with the right attitude, rather than money.
For example, I kept knocking on the doors of certain factories who wouldn’t give me an appointment, let alone supply. However, they all opened their doors to certain buying agents which we use, without hesitation due to their old friendship when they all started at the bottom of the ladder back in the day. Now most of them are factory owners or holding high positions. A case of who you know, and the right introduction.
Continued…