alt Hacker NewsAmerican manufacturing is a rounding error, especially when it comes to consumer electronics.
Western manufacturing can't compete with a Shenzhen. Our supply lines suck, our labour is too expensive for any kind of manual work, and we didn't bother to invest in automation as decades of outsourcing made our manufacturers focus on low-volume high-margin products.
No need to steal when our own companies willingly export core competency for a few cents of shareholder value!
This sounds like a choose your path story…
You are a country. You have to decide on your country’s economic model before starting the game. Choose:
- a free market economy. Companies are unhindered by the state to make their own decisions to maximize shareholder value. Decisions therefore lean towards short term profit margins rather than long term success. Influence of the state via elected politicians on a short term is expensive but effective to ensure you are unhindered by regulation. Success here is not aligned with the long term success of the state.
- a quasi free market where there is partial state ownership and control, but also supports free market principles to encourage private investment. The state will heavily subsidize your economy and decisions can be made to prioritize long term global success rather than short term shareholder value.
- a state controlled and state owned economy. All decisions are made by committee. There are no shareholders apart from the state. Success benefits all within the state. Failure also tied directly to the state. Long term goals are preference over short term goals.
Choose carefully. Once your have made your decision the costs to change it are extremely high and will result in societal and economic collapse.