Manufacturers Shifting Focus to Quality to Boost Efficiency
Chinese manufacturers are shifting their focus to quality in equipment exports and are also expanding joint production overseas in hopes tp boost their efficiency in the slow economy. Chinese companies in sectors ranging from consumer goods to nuclear energy to railway construction are increasingly searching to tap overseas market as the growth in home slows down. Tapping overseas market will also allow them to gain valuable technical knowledge through tie ups with known international firms.
Rising labor cost and an increase in constraints of resources the in and out volume is no longer sustainable. Companies should then focus in quality in and quality out in importing top notch technology and key equipment that are short in China and exporting high value added products that will include expertise and services.
These companies must not only compete in the domestic market but to compete in a head on battle with multinational players that will force these companies to enhance quality and services. Chinese manufacturers will also be placing emphasis on exporting investment products which is different from an earlier focus on consumer goods.
China is also planning to cut red tape and reduce costs for those Chinese firms planning to expand their reach overseas to boost growth and control a wide economic slowdown.