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I wonder if this occurs less often if you are providing a good deal to the Chinese side. Like I mentioned, the main character in the book: Bernie really seemed

• matheusmoreira 3y ago
  Hard squeezing is the only reason those chinese manufacturers got western business to begin with. The whole point of it was to replace expensive western operations with cheap chinese ones. He talks at length about their "zero profit" strategy: they'd sell at negligible margins to westerners to get them to hand over their intellectual property on a silver platter. Then they'd make up for it in several ways such as by selling counterfeits in markets westerners couldn't care less about like most of Asia and South America. There's numerous "cheap chinese products" stores within 10 minutes of my home, I have no doubt they're the byproducts of that strategy. He also talks about the general chinese culture. You get what you pay for, if you pay too little you'll get scrap. Happens even though the manufacturer technically agreed to your contract and specifications: instead of refusing the contract outright, they accept it and manipulate quality without telling the customer about it. They accepted being squeezed and then squeezed right back in ways their customers could not have imagined. The ruthlessness is actually pretty impressive.