A very interesting article in Times Magazine. Though I honestly don't like comparison with China. China's manufacturing capability is mostly based on cheap labor and poor working conditions. I am assuming that this is not the case with German workers who are much better paid off and work not just for making money but also for passion of making something really great. Also, Chinese goods are for lower segment. Where as Germans target for high end premium quality products.
Even though, everywhere in US we see made in China or other countries, but the fact is that US is still world's biggest manufacturer in terms of dollar value. Still, 75% of all goods consumed in US are manufactured in US. Though most of the time, these goods are of extremely high value and are produced in highly automated manufacturing plants very much unlike China.
Despite all of the above it is very interesting article and must read. Though, later part of this article deals more on rest of the Europe's frustration with German manufacturing machinery. Which is more of simple envy as of now. However, rest of the Europe also knows it very well that it is their own actions and inactions which have led them to this state. Five years back when Germany was making very anemic growth rate of 2-3 percent and rest of the Europe was riding on Financial and Mortgage based boom, they were making fun of Germans for being old fashioned and traditional who don't understand new economy (or then new economy, of circulating money like ponzi schemes and feeling great about it).
Now, bottom line is, can US learn something out of it and fix state of economy by fixing passion and art of manufacturing with human touch. Definitely, there is lot to learn. I very strongly feel that Americans by their blood are very creative and can create wonders if they work on this field back. I think government needs to understand that and accept that it was gross mistake to encourage outsourcing in manufacturing base. They need to work hard to bootstrap manufacturing economy again. Provide right kind of tools and encourage manufacturing. They can think of creating some Special zones to encourage manufacturing back in US. I think there are enough experts to advise US on how and what to do, once they decide that they want to do it.
I think this is more than enough long.. Here is the link to original article.
http://www.time.com/time/magazine/article/0,9171,2053595,00.html
Even though, everywhere in US we see made in China or other countries, but the fact is that US is still world's biggest manufacturer in terms of dollar value. Still, 75% of all goods consumed in US are manufactured in US. Though most of the time, these goods are of extremely high value and are produced in highly automated manufacturing plants very much unlike China.
Despite all of the above it is very interesting article and must read. Though, later part of this article deals more on rest of the Europe's frustration with German manufacturing machinery. Which is more of simple envy as of now. However, rest of the Europe also knows it very well that it is their own actions and inactions which have led them to this state. Five years back when Germany was making very anemic growth rate of 2-3 percent and rest of the Europe was riding on Financial and Mortgage based boom, they were making fun of Germans for being old fashioned and traditional who don't understand new economy (or then new economy, of circulating money like ponzi schemes and feeling great about it).
Now, bottom line is, can US learn something out of it and fix state of economy by fixing passion and art of manufacturing with human touch. Definitely, there is lot to learn. I very strongly feel that Americans by their blood are very creative and can create wonders if they work on this field back. I think government needs to understand that and accept that it was gross mistake to encourage outsourcing in manufacturing base. They need to work hard to bootstrap manufacturing economy again. Provide right kind of tools and encourage manufacturing. They can think of creating some Special zones to encourage manufacturing back in US. I think there are enough experts to advise US on how and what to do, once they decide that they want to do it.
I think this is more than enough long.. Here is the link to original article.
http://www.time.com/time/magazine/article/0,9171,2053595,00.html
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