Author: ceciliazhang

China vs US: who is copying whom?   [Copy link] 中文

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Post time 2017-9-21 10:24:11 |Display all floors
sfphoto Post time: 2017-9-20 17:15
Hmmm... that's an interesting summary of the state of the art in mobile internet and e-commerce. But ...
effect of the rise of the mobile internet and e-commerce is to foster domestic consumption


But that is only one side of the coin. In west, traditional stores are struggling because everyone buys their proucts online, and Chinese cities do not have short supply of shopping centers.

Will KTVs, movie theaters and restaurants be enough to fill the empty floors in future?

Domestic consumption is only a means to create empoyment, tax revenue, and GDP. If domestic consumption comes from robotics and low cost delivery people, how does that play out?

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Post time 2017-9-22 03:39:54 |Display all floors
This post was edited by sfphoto at 2017-9-22 04:18
Jaaja Post time: 2017-9-21 10:25
But that is only one side of the coin. In west, traditional stores are struggling because everyo ...

Chinese consumerism differs from the "West" in that manufacturing is still done in-country rather than outsourced to lower-cost countries. That means the entire value-chain -- manufacturing, distribution, consumption -- is situated and captured in China. In Western consumerism, the economic model is based on the outsourcing of manufacturing to low-cost countries and the distribution of high-priced goods in order to maximize the tax-free profits of Capitalists. This is the main reason why Western countries today don't have much manufacturing industries producing consumer goods, aside from the production of high-end luxury goods. What's left are services industries which serve the domestic markets in Western countries.

But this Western model based on the Capitalist division of labor in the globalized supply-chain for the consumer goods industries has several problems, namely:

1). Western Capitalists who own the Western MNCs reap all the profits from this globalized system of outsourced manufacturing, leaving very little to Western SMEs from Western consumerism. In other words, it's the big guys who make all the money not the small folks who used to serve their communities in the Western World. In the USA, it's the retail chains like Walmart who have destroyed the family-owned stores who used to serve Main Street USA back in the old days of small towns in rural America.

2). Once the manufacturing is outsourced, the Western MNCs then book all the profits to tax-free havens because Western governments have no control over the manufacturing industries located in foreign countries. If a Western MNC like Nike decides to outsource the production of shoes, then it is Nike who decides how those shoes are distributed back to the USA. So Nike buys shoes made in low-cost countries and then sells them back at a high-price to Western consumers. The price differential is then booked to an offshore tax-haven reaping tax-free profits.

3). Western Capitalists who own the Western MNCs benefit the most from this business model which is based on tax-evasion. So the white working classes lose their factory jobs, lose their family stores, end up working in service jobs for the Western Capitalist-owned MNCs AND pay the taxes which the Western Capitalists don't want to pay. Now the white working classes have to compete against immigrants from non-Western countries even for those service jobs in their own Western countries.

This economic model is called neoliberal Capitalism.




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Post time 2017-9-22 11:15:39 |Display all floors
sfphoto Post time: 2017-9-22 03:39
Chinese consumerism differs from the "West" in that manufacturing is still done in-country rather t ...



WHo gave you the template for your post? Someone who does not know reality and who lives in a cloistered space, apparently!

Do you think the revelers at the Munich Oktoberfest - which just started a couple of days ago - drink Tsingtao or Snow beer???

I saw a picture of Boris Becker holding a big "Mass", i.e. a one-liter mug of fresh draught beer. I assure you that was not imported from a low-price third-world economy but rather made locally.

And CHina is also outsourcing low-end manufacturing to countries as diverse as Cambodia and Ethiopia. Shoes for example are now made in Ethiopia thanks to Chinese investment. I laud the Comrades for this developing aid! Also the trains that will run on the Moscow-Kazan route will be made in Russia with the help of Chinese blueprints.

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Post time 2017-9-22 11:19:51 |Display all floors
sfphoto Post time: 2017-9-22 03:39
Chinese consumerism differs from the "West" in that manufacturing is still done in-country rather t ...

How uninformed a poster can be if his prejudices and ideological phantoms rule supreme in his thinking:

"1). Western Capitalists who own the Western MNCs reap all the profits from this globalized system of outsourced manufacturing, leaving very little to Western SMEs from Western consumerism"...

A weird argument. In European countries, between 80 to 90% of businesses are owned by FAMILIES, i.e. they generally are small or medium enterprises. Even big companies sometimes are owned by families, so the ownership rights on companies are distributed rather wide across the nations. Maybe that is why socialist ideas of redistributing the means of production don't have much appeal to Europeans.



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Post time 2017-9-22 12:59:34 |Display all floors
seneca Post time: 2017-9-22 11:15
WHo gave you the template for your post? Someone who does not know reality and who lives in a cl ...

Where are Adidas shoes made? Germany?

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Post time 2017-9-22 14:30:08 |Display all floors
sfphoto Post time: 2017-9-22 12:59
Where are Adidas shoes made? Germany?

Where are M.T.U. engines made for China's diesel locos? In Germany, of course.

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Post time 2017-9-22 14:33:16 |Display all floors
seneca Post time: 2017-9-22 11:19
How uninformed a poster can be if his prejudices and ideological phantoms rule supreme in his thin ...

Toys 'R' Us, a childhood staple for people across the country, filed for bankruptcy late on Monday after a long struggle against competitors like Walmart and Amazon and a huge amount of debt.

At the time of its Chapter 11 filing, Toys R Us estimated its debt at more than five billion dollars. It was paying four hundred million dollars a year to service that debt—far more than it was spending on its stores and computer systems.

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