The hottest international competitive advantage is

2022-10-23
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Why is made in China facing such a dilemma with the gradual decline of international competitive advantage

Abstract: the competitive advantage of China's manufacturing industry in the world is obviously declining. The high-end manufacturing industry is gradually returning to developed countries, and the low-end manufacturing industry is relocating to Southeast Asia. What can cause capital outflows is the decline of local advantages and the rise of competitors. This has caused customers to lose more than they gain. It's not just 2017, but the feeling of this 3 and cupping experimental year is stronger. When talking about this problem, many people misunderstand it. In fact, this situation is determined by many reasons

it can save nearly 10% of the manual painting cost. The first is the disappearance of the demographic dividend. In addition to what people usually think is related to family planning, another key reason is the expansion of college enrollment. China is still in the stage of economic development led by labor-intensive manufacturing. In 1999, China began an impatient enrollment expansion plan. In the same year, the number of students enrolled reached 1.6 million, an increase of 48% over 1998. In 2012, the enrollment was 6.85 million, 5.4 times that of 1998. In other words, with the declining number of new population, China's university enrollment has soared, resulting in two contradictory phenomena: the difficulty of recruiting workers in labor-intensive industries and the difficulty of finding jobs for college graduates

the second is the rise in labor costs. Previously, some media said that the garment workers in Guangzhou asked for a daily salary of 400 yuan, but they didn't say that the actual salary in a month was still fourorfive yuan. Why? Because there is nothing to do in a lot of time, and the commencement date is only a few days. Due to the instability of orders, the flow of workers is increasing, and the lack of confidence in factory orders increasingly affects the enthusiasm of workers for employment. Labor costs have indeed risen sharply compared with 10 years ago, but this does not just exist in manufacturing

the competitive advantage of China's manufacturing industry in the world is obviously declining. The high-end manufacturing industry is gradually returning to developed countries, and the low-end manufacturing industry is relocating to Southeast Asia. What can cause capital outflows is the decline of local advantages, the rise of competitors, or both

in terms of high-end manufacturing, China's slackness in quality requirements, the difficulty of offshore quality control, developed countries' own concerns about unemployment and the various pressures faced by rivals when the RMB rose have all formed concerns about the settlement of high-end manufacturing in China; For the low-end manufacturing industry, the rise in costs and exchange rate fluctuations have greatly reduced the traditional advantages of made in China. Large multinational companies are increasingly inclined to cooperate with multiple production bases to spread risks

compared with China's rapidly growing export trade volume, the quality of China's manufacturing industry seems to remain at the initial stage of development. China has been able to leap from a poor country at the beginning of reform and opening up to the second largest economic power in the world, which is inseparable from the great vitality brought by active private capital to Chinese manufacturing. However, compared with the increasingly mature technical level of the manufacturing industry, the development of key equipment such as machinery and beds that determine the manufacturing quality is very lagging behind, and the production equipment of high-quality goods is completely dependent on imports

the fluctuation of exchange rate increases the risks of both import and export sides. Internationally, due to the rapid development of China's economy, the international status of RMB is becoming more and more important, which is bound to cause the old monetary overlord to crack down madly. The US dollar frequently challenges the RMB, resulting in large exchange rate fluctuations. In international trade, due to the relatively long settlement cycle, it often takes about three months from order to payment, which greatly increases the risks of both imports and exports. However, a stable exchange rate is the key to maintaining normal import and export trade

in addition to currency attacks, the old economic powers have done everything they can to maintain their economic status. Due to the high energy consumption and pollution of the manufacturing industry, climate and environment have become the key for them to affect China. In addition, private lending is crazy, causing DuPont to use high-performance materials in the field of 3D printing, and manufacturing enterprises are heavily in debt. Crazy capital markets have spawned crazy private lending, and enterprises can easily obtain a huge loan without strict examination, which greatly encourages people's speculative psychology

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