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Competitive advantage in China 

When one think of China, her competitive advantage on providing low cost manufacturing usually comes into mind. Others will think of her Great Wall, culture and food. For past two decades, the Chinese Price is a formidable phenomenon that delights the buyers and consumers while probably cause detestable reaction from the workers in the western industrialized countries.

I can empathize the distraught feeling towards the impact on low cost manufacturing from China. I remember my aunt who is from China came to visit me in Singapore in 1986 and would like me to go to China to assist them to beef up their manufacturing capability. I politely turned down her offer as I was having a good job and life in Singapore then. Nine years later while I was working in a high tech computer peripheral company, a product was transferred to China for manufacturing because the total cost is US$0.50 cheaper than in Singapore. The product cost was US$46! Never have I thought that I would end up here in China since 1997 because Singapore is no longer a manufacturing base.  I am not sure how long I have to stay in China.

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Living in China

Last week I wrote a blog to reflect the perspective of many Chinese that things are cheaper in China compared with the western countries. I have been trying to tell them it is not the case if he uses the buying power to compare. I received numerous replies from expatriates and visiting foreigners that they found things in China are relatively expensive.

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