SourceThe world has been captivated with the production of Made in China products. The Chinese are known to produce some of the best electronics, cars, shoes, and clothes. In fact, the whole world has been captivated with the way Chinese manufacturers have crafted their items. Nowadays, most people are beginning to appreciate the fact that Made in China products do not contain any harmful chemicals in them, unlike those that are made in other countries.
For those who are looking forward to investing, the best place to look for a good business is China. This country offers a lot of opportunities to foreign investors. The main reason behind the emergence of Chinese manufacturing is the massive resources and cheap labor available in the country. The recent rise of China as a global manufacturing hub has resulted in huge investments by multinational corporations in the country. To tap these opportunities, it is important to know more about Chinese made in China.
Chinese manufacturers often use the bare minimums in the production process. Their focus is on quality control, which eventually helps in reducing the production cost. At present, it is evident that China is one of the major sources of raw materials, which are inexpensive. Therefore, the low-cost of the manufactured goods made in China helps in increasing the volume of the business. The rapid increase in the number of the China-based companies can be attributed to its affordable labor and low cost of production.
The Chinese government had eased restrictions on the foreign companies' access to the Chinese market in order to facilitate and improve the existing trade environment between both sides. With this development, the foreign companies have gained access to Chinese markets through the liberalization of the trade regime. Now, the government has allowed the foreign manufacturers to access the domestic market via tariff reduction, which was earlier banned due to anti-commerce measures. Following the measures, the volume of the imports and exports of the Chinese goods has significantly increased, which results in the rise of the country's GDP.
In light of these facts, it can be safely stated that China is a major force and play in the global economy, which act as an engine for strengthening the global economy. Not only does the government facilitate the growth of the domestic market by allowing the free flow of capital and improving the condition of the business ecosystem, but also allows the exporters to enjoy attractive rates and better labor costs. Although there may be some uncertainties related to the future of the Chinese economy due to the global economic recession, it is safe to assume that the trade scenario will remain positive over the coming years.
The current decline in the unemployment rate and high inflation rate is another evidence of the positive impact of the Chinese exporters. The drop in the unemployment rate can be attributed to the efforts of the Chinese authorities to restructure the economy to lessen the chronic unemployment and strengthen the internal sectors. Besides, the currency depreciation enabled by the reduction in the trade surplus has also contributed to the recovery of the economy. The current scenario of high inflation is mainly caused by the over-valuation of the Chinese products. To curb this phenomenon, the government has been introducing new policies including the establishment of national level safeguard measures and dumping schemes to control the imports and exports of Chinese products to the USA.
On the other hand, the protectionist attitude adopted by the US authorities against Chinese products could weaken the Chinese economy and have a negative impact on the international trade scenario. It is, therefore, imperative for the global businesses to invest in the development of their production process and infrastructure in order to protect their interests. However, the emergence of a competitive business environment in the China market opens up new opportunities to both parties. While the exporters can boost the competitiveness of their products by adopting more technologically advanced strategies in manufacturing, the Chinese manufacturers can improve their productivity and establish better labor costs, thereby become a key player in the global economy.
Overall, the present scenario of the global economy is not favorable for the exporters of Made in China products. However, the emergence of a strong business eco-system in China provides a new opportunity for the manufacturers to improve their competitiveness by adopting advanced strategies in their production processes and strategies. This will help them reduce their cost base while boosting their share in the global export market. Thus, we can say that the Made in China Product or the CHP is a welcome addition to the world of business, as it offers a great opportunity to the Chinese manufacturers to emerge as a prominent player in the global economy.
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