Don't be superficial

Don't be superficial.

Please keep in mind that the most important element in generating money is the technology, which is not in China hands. Another thing is the total GDP of a country, that simply indicates the scale of economic activities, which has no direct relationship with the ability to generate money.

When the production cost of China reaches the level of Thailand and Malaysia, the foreign capitals will move to a cheaper place, regardless there is middle class or not. Why? Because the goods can be sold to any place in the world, not necessary to the production base. I don’t get your point how the size of middle class of China will retain foreign investment. If your point is valid, then the foreign capital will always stay in the advance countries instead of the developing countries.

When the foreign capitals first came to China at the mid 90’s, was there a middle class in China? No. They came to China simply because they want cheap production cost.

所有跟帖： 

• 回复：Don't be superficial -borisg- ♀ (1036 bytes) () 08/25/2005 postreply 09:25:34

• 回复：Don't be superficial -aegis- ♀ (529 bytes) () 08/25/2005 postreply 09:45:44

• 回复：Don't be superficial -aegis- ♀ (514 bytes) () 08/25/2005 postreply 09:56:13

• you know nothing -upsidedown- ♀ (428 bytes) () 08/26/2005 postreply 05:40:50