Local manufacturing of consumer electronics

[keithpeter]

Hello All


"The reason [the industry] still produces in China is because that is where the equipment and skills to use that equipment still reside. The labour cost [delta] is negligible when you factor in freight, reverse logistics and import duty," he said.

http://www.channelregister.co.uk/2012/02/17/elonex_coventry/

Wonder if they need an OS for their devices?

This is just up the road from me so I'll be watching how it goes. Lots of subsidy at present...

[winh8r]

Refreshing change to see someone actually moving INTO the UK for manufacturing!

Let's hope a few more follow their lead.

[mips]

Manufacturing moved to the far east because it was cheaper, I find it hard to believe that the reverse is now true.

[lz1dsb]

Manufacturing moved to the far east because it was cheaper, I find it hard to believe that the reverse is now true.
I think that's correct. But with the oil prices going so high and with all that logistical hassle it could be that in time some companies like the one quited in the link could find a niche.
I certainly hope so. Right now we're living in a money based economy so the companies produce where it's cheaper.
But if we move to a resource based economy, than the situation may change... Because in a resource based economy one will have to account not only for how cheaper is to produce it, but also where you distribute it, whether it's more efficient to produce it close to the population you're selling that product to, etc...

[kurt18947]

Manufacturing moved to the far east because it was cheaper, I find it hard to believe that the reverse is now true.

In addition to higher wages, There are also environmental hoops to jump through (some well justified, some questionable IMO) various flavors of labor hoops to jump through excluding $ (affirmative action & other 'workers rights' issues), manufacturing not being a "sexy" sector etc. etc. It was easier/cheaper to go where they're wanted.

[grahammechanical]

I remember my old dad saying: If they could get your newspaper printed in China and delivered to your door the next day, then they will.

Here is a key comment:


He said that intellectual property would also be safeguarded preventing patents from "creeping out of the back door".

Remember that authentic Apple store in one town in china where the employees thought that they were working for Apple, but the whole store/business was a fake?

When you have a factory making products for another company it does not take much to keep the production line going to run off a few extra thousands of units for yourself. Genuine fakes.

One more thing. My confidence in this venture sank when I read that the managers are already spending what little money that have on (what did they call it?) sponsorship deals.


needs to build brand awareness

Good-bye tax payer's money.

Regards.