[andsoitis]

Who decides to make it in China? Who demands that companies be highly highly profitable?

[BurningFrog]

Profitable companies outcompete less competitive ones.

No one decided that, it's just a fact.

[tsimionescu]

Actually, a company that accrues a lot of profit could always be outcompeted by one willing to make less profits. Profit is a cost to the company itself, it is only beneficial to shareholders.

On the other hand, it's true that companies with lower costs will tend to outcompete others, so moving to China is sort of dictated by the market.

[AstralStorm]

To a point. You cannot go lower than base cost, and can be made irrelevant by sheer volume.

[colechristensen]

What is decided are the rules of the game, the outcome is then somewhat obvious.