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So the accuracy and value of this survey has already been questioned by many comments, and I concur with much of that so I won't rehash. However I think the bi
by richardjordan 14y ago
So the accuracy and value of this survey has already been questioned by many comments, and I concur with much of that so I won't rehash.
However I think the bigger question is that it has been a long term strategic mistake for Americans to believe it's the brand-name that matters most. Over time the name part of many brands has commanded less and less of the profit margin of a product. US branding has often become a thin veneer over foreign made product. Product quality has become the de facto brand of the underlying manufacturers. It's arrogant of us to assume that we have a monopoly on brand smarts and can therefore ignore the underlying production aspect of things. In the long run the production will command more and more of the pie, and the brand-name may remain American where there's some marginal value in giving up some profit margin for that, but often it won't as there'll be little value for the manufacturer there and they will go with their own branding - folks may not recognize Lenovo as Chinese in big numbers but that is no detriment to Lenovo.
I do worry when I hear statements that assume outsourcing cheap manufacturing jobs to China is fine because we keep the high value branding, design and innovation and top of the food chain stuff to ourselves, as though we have a long term monopoly on those skills absent manufacturing expertise. It's a dangerous and borderline racist assumption that increasingly puts US industry at risk.