Sunday, March 1, 2009

An article from Economist about Business in China

http://www.economist.com/business/displaystory.cfm?story_id=13145129

Time to change act

This article is very well written, it reflects the true situation of China, It means that China is still a developing country.

"Much of the remarkable success of Chinese business has been based on low-margin, low-technology activities. Broadly speaking, China is a net exporter of goods with a low technology content and a net importer of more sophisticated wares."

"Granted, China has plenty of important companies which do not need to worry about their business disappearing to other emerging economies. Almost all of these are owned at least in part by the government and benefit from protective barriers in their home market."

"A more durable model for less privileged companies would involve more higher-margin activities, based on innovation and higher quality, with their home-grown brands to the fore. So far, however, Chinese companies have been plagued by an actual or perceived lack of quality. Only a few have built respected brands. "

"With rare exceptions, notably Lenovo, which purchased IBM’s laptop business, and Haier, the maker of cheap, small refrigerators that furnish the rooms of numberless students, Chinese names have failed to make much of a dent. Where they have thrived is either in cost-conscious emerging markets or in cost-sensitive areas of developed markets defined by clear specifications and minimal innovation. The greatest examples of this have been ZTE and Huawei, makers of telecoms equipment."

中国过去几十年的出口导向型经济,生产附加值低,质量不够好的产品维持了30年的成长。外资企业(包括台湾,香港资本)出口占据出口的至少60%以上。中国很大程度上是个加工厂,这样的结构就是环境恶化,人民生活有提高,但是依然不富裕。而且产业很有可能转移。

这样的情况下,唯一的亮点就是华为中兴,这个才是国家发展的希望所在。联想和海尔,前者要好一点。技术创新,提高产品质量才是发展的关键,其实人用不用心,生产的东西相差很大。管理这时候对控制产品质量非常重要,法律规则要坚决实行。

这篇文章基本上反映了中国目前发展中国家的整体形势,自然由于国家大,整体实力还是不错,也有非常大的发展潜力和空间。