[cmdshiftf4]

Is there any economical incentive for China to produce higher quality goods?

[mytailorisrich]

Obviously. Higher end products attract higher margins and a reputation for quality is a good differentiator compared to competing on price.

For example, Huawei is (or was...) going after Apple in the high end smartphone market and they produce extremely good quality products.

[babesh]

Yes. Higher profit margins. Whereas before you were making bad copies of $50 goods, now you make a good copy of $1500 goods. Those more expensive goods carry higher margins.