Flexibility of local governments and generally a 'growth before everythign else' mindset. Add to it an ENORMOUS workforce that is generally decently/well educat

Flexibility of local governments and generally a 'growth before everythign else' mindset. Add to it an ENORMOUS workforce that is generally decently/well educated and socialized to accept a work culture that wouldn't work other places. Add to that snowball effects...everything else is there. Everyone else is building there....it is physically closer to things, but land is still (relatively) cheap. Compare the permitting process/cost + available land + available workforce + general cost of doing business + general government mindset + a well established supply chain to distribute products outward + a poorly tapped market for cars locally (local versions are truly terrible) + lack of political uncertainty in China as compared to Japan. Japan, Indonesia, the US, Ghana, etc. might better on a few of those metrics but the overall model makes China a minimum in terms of risk. You add to that that as companies increasingly globalize they are developing significant competencies to build factories and do business in places further afield. First this was partnered outsourcing, because it bought a partnership that knows the local affordances and externalities. Now that they have the competency, they can do it anywhere because they have learned to do it anywhere[0] and look to run the minimization routine. Toyota is actually shrinking the size of plants so they can be more agile not just in models and output but in plant location...right now the math says china, later it might say Africa. [0]https://dailykanban.com/2015/03/toyotas-tnga-tps-2-0/ https://dailykanban.com/2015/03/toyotas-tnga-tps-2-0/