Hacker News new | ask | show | jobs
by smoldesu 1223 days ago
China's government effectively owns all of those factories. When something goes wrong, they put their hands directly into the machine to fix it.

Hopefully India's government doesn't follow in their footsteps, Apple's Chinese manufacturers have a spotty track record vis-a-vis exploiting executive power.

3 comments

It's actually the opposite that's true. It was when the Chinese government let go of economy that China got good at manufacturing. I do wonder if India's legacy of heavy state intervention might be the cause of the current issue (from the little that I know about India) and if they would follow a similar trajectory as more companies start to compete. I don't know enough about India to comment on the latter part but my family is ethnic Chinese and we own factories in China. State intervention is definitely not why manufacturing improved in China. There is fierce competition among the companies. Talented managers and leaders are lured away with big salary increases or start their own companies, etc. Ironically, in the beginning a lot of managers who worked for state companies were lured away by enterprising business people to get their factories started. Those same managers would quickly ram up and become more productive once they were motivated with bonuses and freedom to manage, etc.

I would not be too negative on India. I don't see a reason why things won't improve with enough time and motivation.

Having dealt with multiple electronics component and assembly factories in china... um, no. The government does not "effectively own" all those factories. And no, they do not step in to fix problems.
So they're fixing gazillion of individual shops that do the business? I think you give way too much credit.