Key How To

Re: [spiers] Key How To

Just so... if you define as "value" as the overall offer... and know some
categories they can, and
some they cannot...

John
On Wed, 18 Oct 2006 16:04:10 -0500, "Jason Carrion"
wrote :

>
> So are we talking more about created value vs price? A unique design vs a
> commodity? So even with price increasing.... as long as value also
> increases... then price isn't an issue?
>
> As long as China can create value better than the rest of the world,
> regardless of the wage increase or managment cost, they will be competitive.
> Does that sound right?
>
> Jason
>
> On 18 Oct 2006 19:25:42 -0000, John Spiers wrote:
> >
> > Pete,
> >
> > I guess you are assuming with wage rates increasing, and products getting
> > more expensive,
> > that less will sell, bad for China, contrary to my argument. If so, there
> > is the error... when
> > wage rates increase, and products get more expensive, they sell more. See
> > Japan, Inc, and
> > the history of mankind.
> >
> > Indeed. . since the above is working, since free market management is
> > proven superior to
> > communist management, they want to improve more. Beating USA management is
> > not hard,
> > and since that is true, proven with real life results, then, they wish to
> > do more.
> >
> > My objection is USA wage rates are not increasing, USA exports are not
> > getting more
> > expensive (what exports we have are heavily subsidized) , USA is not doing
> > better. I agree we
> > have to improve USA management level, but nothing is being done...(except
> > of course on this
> > website...)
> >
> > We can beat anyone, I am all for U S A #1, it's just that neither of the
> > parties with monopoly
> > on USA elections has anyone they can field who can lead USA to prosperity.
> > Better they cut
> > back and let USA business take on the task. No more subsidies, no more
> > regulations. We'll
> > take it from there.
> >
> > John
> >
> > On Wed, 18 Oct 2006 13:40:16 -0400, "Pete Holt" peteholt@cox.net peteholt%
40cox.net>>
> > wrote :
> >
> > >
> > > Well, first you repeatedly claim that wages and wage rates have no
> > effect on pricing or
> > competitiveness. But they say they "face rising wages at the same time the
> > country's currency
> > is gradually appreciating, making Chinese exports more expensive abroad".
> > Second, they are
> > saying that "We have to improve our ... management level" while you claim
> > that the one
> > major deficiency in US business is our management and that Chinese
> > management is one of
> > their major competitive advantages.
> > >
> > > It looks to me like they are saying two things that would seem to
> > contradict your positions
> > on international trade.
> > >
> > >
> > > ----- Original Message -----
> > > From: John Spiers
> > > To: spiers@yahoogroups.com
> > > Sent: Wednesday, October 18, 2006 12:06 PM
> > > Subject: Re: [spiers] Key How To
> > >
> > >
> > > Pete,
> > >
> > > I am not sure why this woould appall me, it is exactly how it works, and
> > is exhibit A as to
> > why
> > > US govt policy is so backwards. China wants to get rich like Japan, so
> > they are doing it the
> > > exact same way. That NYT headline could be straight out of 1975, and
> > read : "Japan's
> > > automakers also face rising wages at the same time the country's
> > currency is gradually
> > > appreciating, making Japanese exports more expensive abroad. " The
> > Japanese goods cost
> > > us, the more we bought. I am delighted both aspects are true... a
> > wealthy China is all the
> > > better trading partner for a USA. I just regret the communists are
> > fielding a better team
> > than
> > > USA in the competition for free trade world wide.
> > >
> > > JOhn
> > > On Wed, 18 Oct 2006 10:11:43 -0400, "Pete Holt"
peteholt@cox.net40cox.net>>
> > wrote :
> > >
> > > >
> > > > Hi John,
> > > > I thought the following quote from an article in the NY Times
> > concerning Chinese auto
> > > manufacturers( http://www.nytimes.com/2006/10/18/automobiles/
> > > 18chinacars.html?pagewanted=1&_r=1&th&emc=th ) would appall you
> > suitably:
> > > > China's automakers also face rising wages at the same time the
> > country's currency is
> > > gradually appreciating, making Chinese exports more expensive abroad.
> > > >
> > > > "It is a message for us," said Jiang Lei, the executive vice chairman
> > of the China
> > Association
> > > of Automobile Manufacturers, a government agency that guides the
> > industry. "We cannot
> > rely
> > > on cost alone. We have to improve our technology and management level."
> > > >
> > > > Pete Holt

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