Comments by "" (@badluck5647) on "Can Mexico Become the New China?" video.

@scratchy996 Eastern Europe still has cheaper labor than Western Europe, and many countries have highly educated workers. There are many issues using them for near shoring, but I wouldn't just dismiss the idea completely.
21
@deebil8099 It is not just about the cheap labor as China isn't that cheap anymore. It is about the country being the largest source of middle-class consumers in the world. Joint-foreign ventures sell more in China than overseas, so the economy of scales makes it easiest just to make everything in China. Of course, this is highly overly simplified.
8
@josewpmarytr China's hold on the world market is due to their large population size. Vietnam will never have 20% of the world's population. An India that keeps straying away from democratic values is more concerning.
1
@Deebil The instability of China as an economic partner is a recent phenomenon caused by President Pooh. To pretend like it was a consideration over the last few decades is disingenuous. Smart companies have gotten around IP issues by keeping the complex parts of the supply chain outside of China. The choice isn't whether to invest in China as many businesses are already established there. It is more of a choice of spending more to start over somewhere else or recognize the sunk cost and stick with China.
1
@dancerinmaya6813 To be fair, most investors enter the Chinese market in good faith, but the Chinese just steal from their investors.
1