4 ms·

Q: How did the US companies lose their Chinese markets? A: Slowly at first, then all at once. It's always easier to pay a little for an established service, t

Q: How did the US companies lose their Chinese markets? A: Slowly at first, then all at once. It's always easier to pay a little for an established service, than to go to the angst and costs of setting it up for yourself. On the other hand, once you find you do need to set it up for yourself, then you never ever need to buy that service again.

rasz 7y ago
They had no Chinese markets to begin with. Joint ventures majority owned by Chinese entity was another story, those worked great, until they didnt because Chinese partner learned all he needed and decided to branch out/strike on his own.
- simonblack 7y ago
  For some items, yes. On the other hand, most Asian companies (includes Chinese, Japanese, Korean, etc) are quite happy to use American software such as Google's Android OS and Apps because that costs them very little, and they don't have to go to the hassle and costs of producing it themselves. Google gains because any income from Android and its Apps is very welcome. America gains because that income is also received. Apart from any American sales to Asia resulting from Google's ads, such as various luxury brands, Hollywood movies, iPhones, etc. Now when any Asian country is not permitted to use Google's Android, sure it costs them because they now have to expend effort and money to produce the equivalent to Android. But to offset that, they now get all the income from the Apps and sales of goods that America used to sell. Not only that, but the Chinese/Japanese/whatever markets are taken over by Asian companies rather than American companies and American companies get squeezed out of Asia. America too often has short-term or zero-sum thinking. Asia usually has long-term or win-win thinking. It beggars belief that Trump,etc complain that China isn't buying enough stuff while they refuse to sell them the stuff that China wants to buy. SMH.

rasz 7y ago

They had no Chinese markets to begin with. Joint ventures majority owned by Chinese entity was another story, those worked great, until they didnt because Chinese partner learned all he needed and decided to branch out/strike on his own.

simonblack 7y ago
For some items, yes. On the other hand, most Asian companies (includes Chinese, Japanese, Korean, etc) are quite happy to use American software such as Google's Android OS and Apps because that costs them very little, and they don't have to go to the hassle and costs of producing it themselves. Google gains because any income from Android and its Apps is very welcome. America gains because that income is also received. Apart from any American sales to Asia resulting from Google's ads, such as various luxury brands, Hollywood movies, iPhones, etc. Now when any Asian country is not permitted to use Google's Android, sure it costs them because they now have to expend effort and money to produce the equivalent to Android. But to offset that, they now get all the income from the Apps and sales of goods that America used to sell. Not only that, but the Chinese/Japanese/whatever markets are taken over by Asian companies rather than American companies and American companies get squeezed out of Asia. America too often has short-term or zero-sum thinking. Asia usually has long-term or win-win thinking. It beggars belief that Trump,etc complain that China isn't buying enough stuff while they refuse to sell them the stuff that China wants to buy. SMH.