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Features - Editor, 2 June 2008

The Skill Secret of China Business Success



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The ‘cheap labor’ formula is history in China. Cut your losses and exit if you are in. Look elsewhere if you the sweatshop type. Every human exploitation attempt is bound to fail in China. Sourcing success stories need a fresh plot here.

Electronics, biotechnology, and luxury goods made by hand are typical examples. Products with major human contributions are suitable for China. Investments in training yield durable returns here. It is true that wages are relatively low in China. However, will the differential be enough for your business? Personnel costs are not major components of most conventional products.

Education and the social milieu are true strengths of China. These factors set the work force apart. Liberal infrastructure blends well with people skills. Invest with confidence in China manufacturing. Alignment with long term national aims insures your business.

Skill development is a two-way process. You have to learn the ways of China first. Your manufacturing process will follow. It is not a matter of language alone. You have to win the trust of domestic employees. Strange ways will become crystal clear. You will realize that China sourcing is your competitive strength. It is not a cost cutting gig.

Do you have experience with sourcing from China? How did your local operation respond to business challenges? Write for us and share your experiences with our community. Everyone gains through consensus. China can take an enterprise to new heights. Let us work together to make it happen.

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