Since the reform and opening up in China, the rapid development of economy makes China becomes a major exporter in the world. Why China is a big manufacturing country in the world? There are some reasons.
China is home to approximately 1.35 billion people, which makes it the most populous country in the world. The tells us that since the supply of workers is greater than the demand for low-wage workers, wages stay low. Moreover, the majority of Chinese were rural and lower-middle-class or poor and until the late 20th century when internal migration turned the country’s rural-urban distribution upside-down. Immigrants to industrial cities are willing to work many shifts for low wages.
China doesn’t follow laws related to child labor or which are more widely observed in the West. However, this situation may change. According to the from 2009 to 2014 minimum wages have almost doubled in mainland China. Shanghai’s minimum hourly rate is now up to 17 ($2.78) per hour or 1,820 yuan ($297.15) a month. In Shenzhen the rate is 1,808 yuan per month ($295.19) and 16.50 yuan ($2.69) per hour based on an of 1 yuan = $0.16. The huge labor pool in China helps to produce in bulk, accommodate any requirement, and even cater to sudden rises in th
Industrial production does not take place in isolation, but rather relies on networks of suppliers, component manufacturers, distributors, government agencies and customers who are all involved in the process of production through competition and cooperation. The business ecosystem in China has evolved quite a lot in the last thirty years. a city bordering Hong Kong in the south-east, has evolved as a hub for the electronics industry. It has a cultivated an ecosystem to support the manufacturing supply chain, including component manufacturers, low cost workers, a technical workforce, assembly suppliers and customers.
These two reasons indicate that why China becomes a big manufacturer Country in the world. Do you really know about China？