usa made in china

Price of U.S. goods China is facing it?

How much does a store have to pay for an item from China to face an Article made in the USA .. I'm care products in China, like many others we speak. If a toothbrush sells for $ 3.00 retail here, what is the cost of a supplier to China facing a U.S. supplier? What about baby formula that has made the baby sick? How does the price wholesale supplier to compare comparable products? Does the U.S. have no factories to produce our own items or the cost difference is really big?

Many industries operate in the margins of a few percent. Large retailers like Wal-Mart usually have operating margins well under 10% http://walmartspace.blogspot.com/2005/09/wal-mart-operating-margins.html (operating margins do not include expenses such as interest on loans, the maintenance cost of the management group of companies, etc. They are significantly higher profit margins) Only a portion of these costs are in actually the product cost to the retailer, but even a 10% difference in cost makes a big difference in the retail margin and earnings. Wal-Mart is famous for squeeze margins from their suppliers "Wal-Mart is http://www.bloggingstocks.com/2007/05/25/dell-looks-to-wal-mart-to-crush-margins-and-destroy-brand/ the classic example, but this is true in general. For example, here are some facts about Objective: http://seekingalpha.com/article/93383-wal-mart-vs-target-a-better-starting-point So net response is that if retailers see their customers do not see the difference even a slight difference in the cost of the factory is a big business for them. This is less true for factories that make cosmetics, toothpaste, etc from Chinese ingredients, but only a little for those who want to sell in the stores lower end, as Wal-Mart. As for the actual costs of the factory, which is very difficult to establish. People went to foreign suppliers because U.S. factories could not produce the cheapest, but because they did not. Many U.S. factories were old and less efficient (ie more expensive) for a new factory would be, but the company will build a new factory to replace an old one, why build in the U.S., where we could build cheaper in China? (Just after World War II, Germany and Japan had to rebuild all factories had been destroyed by Allied bombs. That's one reason why some 1955, Germany and the Japanese factories were more efficient than U.S. factories that had never been destroyed and therefore were much older.) So there is reason to believe that the new factories in the U.S. could produce goods of little more than the cost in China (through increased automation and less manual work Chinese factories), but if all clients will go for the cheapest brand, whether that "something" becomes important, so I have not been building Many factories in the U.S. Moreover, with the full attention of the media to the quality of food and medicines from China, perhaps the U.S. consumer public will be willing to spend a little more than a minor risk. But even then, although I see that for toothpaste and baby formula, I do not see toothbrush and other items.

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