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Excellent case study of what Midler calls quality fade that is, the steady reduction in quality of a product by continual cost saving measures such as low quality ingredients, reducing sanitary standards, cheap packaging, etc Foreign direct investors wondered how production could be so quick, cheap, and efficient, and if it was too good to be true for manufacturing And so it was.Cheap prices are driven by low capital investment and squeezing hard on labor, who still flock to these jobs anyway because of the promise of higher wages than the countryside.How would an outside investor seek to stop such a practice Ainvestigative press or the threat of exposure might work Such a loss of face could be catastrophic to outside business Then again, the press is still strongly curtailed, and few companies would be willing to risk their own products be so thoroughly debased. While I enjoyed the book, I thought it gave a limited glance on the reality of Chinese companies, especially manufacturers First of all, the book is written from the point of view of low skill product importers in the USA That s a valid point of view but doesn t represent everyone who manufacture in China Besides, the book is written in 2010 and most of the experiences recounted are from the early 2000s Between now and then, China improved substantially For example, a reader of the book would have a hard time reconciling the fact that one of the highest quality and best selling smartphones in the world today, the Apple iPhone, is being manufactured in China The manufacturing companies mentioned in the book are usually opportunistic and try to manipulate the quality of products and cut corners in order to maximize their profits There is in fact a tendency to chalk up manufacturing in China as irredeemably prone to the phenomena of cutting corners, knows as Chabuduo in Chinese However, these perspectives ignore the gains in productivity the Chinese economy have seen, the improved infrastructure of the country in recent years and the increased skills of the Chinese labor, among other things The book is also vulnerable to selection bias Namely, if you have many experiences in China and set out to write a book about poor manufacturing, you are bound to select from your experiences examples that confirm what you set out to write about in the first place The book doesn t systematically analyze what percentage of whatever made in China is poorly made This for me highlights the importance of case by case analysis when it comes to working with China, especially in light of the fact that many high quality products are being manufactured in China today All being said, the book is an enjoyable read and sometimes very funny While I don t recommend it as a guide to do business in China, I do recommend it as a lighthearted read of someone s intriguing experiences with the cunning of Chinese manufacturers This book is just superb It is so much betterinformative anduseful than any dozen succeed in business books one could buy.Midler has worked in China for years, knows Mandarin, and sees how companies rush to produce goods in China due to its lower costs China welcomes US and other importers with red carpet treatment and business friendly protocols, but once production in China is established, factory owners start engaging in quality fade For example, a factory owner may use thinner plastic, or unilaterally change a formulation or, as we have seen, opt to use lead paint It becomes clear that Chinese quality issues about which we have read are not the exception but the rule.I applaud Midler s willingness to write this book and Wiley Sons to publish it As important a subject as Chinese manufacturing is, there is virtually no other source that is so honest and detailed.Recommended for all who like business books or who are contemplating doing business in China. I was expecting something drier, withstatistics In fact, this is a narrative of the author s experience as a business consultant working with importers from the US and manufacturers in China It was a pleasant surprise, fast paced and worth reading.The ethics or lack of ethics, to be truthful and self serving and or delusional behavior of both parties in these relationships are on display here although there are some detours into Chinese culture as well The author believes he is making a point about trade that we should have thoughtwhen we began working with China so blindly, but we ve got to continue now, there s no going back, and if you re not manufacturing in China you ought to be but often contradicts that point with incredible stories about manufacturers having importers over a barrel, quality problems that are ignored by all parties and governments, and the overwhelming sense that there isto the moving factories overseas debate than just protecting American jobs Having rarely worked for private companies, I found myself astonished at the complete denial of any moral or political responsibility on the part of all the businesspeople involved, the author included, although he may be assuaging his conscience by writing this book At times, it took my breath away that the author was able to explain away his scruples by remarking that he wasn t in the business of irking his customers by telling them what they refused to hear This is not to be too critical of Midler but it is fascinating to read what he thinks the lesson of his story is when your lesson from it is so different. This is an interesting read, many tactics employed by Chinese manufacturers in this book, shampoo, healthcare products are similar in daily life in Viet Nam This is some real good but painfully learnt experiences of the author as a intermediaries between American companies and Chinese manufacturers 1 First they welcome you with open arms, sometimes with fake showrooms, previously made products for famous multinational corporations.2 They begin to make your products, copy the sample beautifully, the first dispatch usually looks perfect Overtime, quality starts to fade away since there are myriad of ways to cut cost, e.g substituted with cheap ingredients, thinner and thinner plastic bottles till they collapses under their weight, cheap labor with horrible working conditions3 If something bad happen an error with packaging for example , they make process of remediation to be hell for orderers shift the blames, unreasonable excuses, threaten to serve the contract This can happen if those manufacturers are big, backed by local government officials, have many connections to other manufacturers and that leads topower.But note that the author also understands his limited experiences in manufacturing sector, this can not be counted as comprehensive view for all Chinese manufacturers. I just finished Poorly Made in China and wanted to highlight some of my key takeaways in the book The book recently made The Economist s Book of the year list Book review The Economist Paul Midler has lived in China for over 15 years and worked as an outsourcing consultant for small to mid sized companies on a range of products He wrote the book because he was shocked at what he saw The book was written as a response to the string of 2007 Chinese quality scandals yes, it even it s own Wikipedia page and 2008, and then there s Chinese Drywall It took him a year and a half to finish, so it sort of had a quiet launch, until The Economist picked up on it The book is not an overview of the 2007 quality scandals He references them only briefly Some interesting notes the infamous Mattel lead paint toys case involved a Chinese factory owner who had worked for Fisher Price for 15 years and had an estimated net worth of 900 million USD It was a symptom of what Midler refers to as Quality Fade Here s an article he wrote in 2007 that also served as the seed for the book about quality fade Dealing With China s Quality Fade Forbes.com Some of the other takeaways The reason China does so well initially attracting business is 1 very, very low crime rate at least for Westerners , 2 low initial price point although subject to rises over time , 3 zero regulation want to discharge wastes from a galvanizing operation directly into the sewer No problem , 4 ease of access a business traveler can get a cheap ticket over there, then stay in very inexpensive hotels, and come back to the US for less than he budgeted comparable trips to Mexico or Dominican Republic are extremely costly due to security constraints Chinese factories deliver low prices because they ll sell at cost to US markets, then sell knockoffs of the same products to Latin America, Mid East, etc for double triple the price they re selling it to the US generally borrowing the intellectual property design etc in the process Chinese factories are described as almost mid evil level of technology The average factory is a series of long tables, with lines of stools generally without backs, made from scrap wood with massive amounts of human labor substituting for what machines would do in the West I ve been to a few US factories and it s amazing the level of technology you ll see so long as it lowers the marginal cost and there s enough volume, you ll see lines of the most expensive computer controlled CNC machines The only machinery in Chinese factories is generally worn out, obsolete equipment from the West China is not THE lowest cost producer Vietnam generally beats them out on labor costs There s a bias out there that Made in America is too expensive, while Made in China guarantees you re getting a good deal at least on price Say you want to buy bolts A Chinese factory quotes you 68 cents ea. You think you re getting a good deal If you go to a US factory and they quote you 68 cents and Made in America , people think they can get it cheaper elsewhere A US manufacturer, thanks to automation, mechanization, and superior methods, might actually be the less expensive manufacturer, while a Chinese manufacturer may only meet that price point while sacrificing something namely, quality A lot of the business people in China, especially among the lower to mid size companies are incredibly naive Those are the best stories in the book A Chinese factory was making private label beauty products for an un named CVS Walgreens etc and the CVS buyer kept complaining they were getting screwed out of pH The pH was on the lower end tolerance range 6 in a 6 7.5 range Meanwhile, the factory was doing all sorts of other substitutions behind their back that they weren t even checking Upon being challenged, the CVS buyer didn t even know what pH was, much less have the idea to test for bacterial contamination of the lots of body wash, shampoo, etc that were coming into their store by the shipload Because they didn t know how to make anything, they had no idea how a manufacturer could screw them over The Chinese product had a not tested on animals label, primarily because there was no testing done whatsoever One of the things I enjoyed about the book is it s a business book, but there s very little business in it it s mostly about relationships and Chinese culture That s also this reviewer s take Some of the cultural nuances were remarkably like America, in a way Also worth a look Paul Midler s Blog Especially the older entries Also of note Dumping China for America CNN Money On a personal note one of the reasons I ve become interested in this book is I ve gotten into valve procurement in a big way The valve business is very, very competitive and a valve you bought 10 15 years ago that used to made in the USA with a good reputation for quality is now either assembled in the USA with Chinese made parts or wholly made in China due to commercial pressure I was at a meeting when we went through valves and name after name was made in China partly or completely , I asked is there anyone who isn t , the older engineer looks over at me and says, yeah, Company Z Their valves are made in India Me Um Now, we try do as much as possible to test the valves and to screen out the worst offenders, but the whole process has left me with some uneasy feelings The valve salesman won t be around when the project starts up I will and the operators will work next to these valves for years to come.Note that Paul Midler ends his book with a GUARANTEE of further Chinese quality scandals.http noladishu.blogspot.com 2012 02 The book is a bit different than I was thinking, The book was telling diaries of the businessman and his experiences with importing and trading in China It was fun and informative regarding the work there but enough Nothing , nothing to be considered or said about the social, cultural and psychological perspectives of Chinese, as the writer wasn t concern about these matters entirely . Author Paul Midler, a non Chinese U.S native, learned Chinese as an undergrad and eventually got an MBA Not wanting a stereotypical U.S finance job, he became a middleman in southeast China s economic heartland a middleman between U.S importers and Chinese manufacturers.First, many American companies dealing with China are just that importers Their companies never made a thing in America They re start up or near start up entrepreneurs, aglow at the idea of selling cheap made in China stuff like health and beauty aids and how dumb is it to ship 90 percent water shampoo across the ocean as house or generic brands to sell at places like Dollar General.And, Chinese plants dealing with such importers seem to cheat in the manufacturing process every way they can, besides the obvious, exposed ones such as lead in paint and melamine in dog food They simply refuse to pay for internal quality inspectors, then try to obstruct U.S ones, people like the middleman author They deliberately underbid in an intensely competitive market, then cut corners in any way they can.Then, when they really get busted Like the lead on Barbies last year Did the Chinese manufacturer apologize to Mattel NO Remember what happened Eventually, Mattel apologized to the Chinese manufacturer for bringing its integrity, its Asian face, into doubt.And, that s another theme of the book Asian face gets mingled, and mangled, with a developing Chinese aggressiveness, and you getandshenanigans like this.Meanwhile, the importers, like the other person in a dysfunctional relationship, afraid that if they stand tough, a competitor will get a better deal, often quail, show inopportune emotion, or otherwise lose face If it happened to Mattel, contrary to a couple of reviewers here, it s happening a lot in China, don t doubt it.Meanwhile, it appears, from this book and many other things, the Chinese Potemkin economy is a 3 legged stool Beijing, local governors, and the manufacturers themselves The manufacturers are often playing off Beijing and local governors, probably through a mix of threats, kickbacks, etc.So, American importers have a mix of ongoing infatuation with China, fear of leaving if a competitor stays, fear of provoking a manufacturer if a competitor doesn t, andIt s hugely dysfunctional. {DOWNLOAD EPUB} Î Poorly Made in China: An Insider's Account of the Tactics Behind China's Production Game ì An Insider Reveals What Can And Does Go Wrong When Companies Shift Production To China In This Entertaining Behind The Scenes Account, Paul Midler Tells Us All That Is Wrong With Our Effort To Shift Manufacturing To China Now Updated And Expanded, Poorly Made In China Reveals Industry Secrets, Including The Dangerous Practice Of Quality Fade The Deliberate And Secret Habit Of Chinese Manufacturers To Widen Profit Margins Through The Reduction Of Quality Inputs US Importers Don T Stand A Chance, Midler Explains, Against Savvy Chinese Suppliers Who Feel They Have Little To Lose By Placing Consumer Safety At Risk For The Sake Of Greater Profit This Is A Lively And Impassioned Personal Account, A Collection Of True Stories, Told By An American Who Has Worked In The Country For Close To Two Decades Poorly Made In China Touches On A Number Of Issues That Affect Us All Tohle se te jak detektivka nebo sp dost drastick thriller pro Evropana naprosto nep edstaviteln Samoz ejm lov k v , e s v robou v n jsou probl my, sl ch m to opakovan i od na ich z kazn k , ale e je to a tak velk pr vih, mi opravdu nedo lo Pojet vztahu se z kazn kem je naprosto dechberouc , schopnost o idit v echno a v echny nem nikdy konce D ky t to knize jsem si uv domila, e pro spoustu firem za outsourcingem do ny nen snaha v c vyd lat, ale boj o hol p e it a do t hle pozice je dost v me my jako z kazn ci U l ta sice kouk m co a od koho nakupujeme, selektuji v robce atd kdy to jen trochu jde, tak preferuji esk nebo alespo evropsk v robce a v robky re ln vyroben na kontinentu, ale subdodavatele nem lov k anci obs hnout a u ady v c skute n m sto v roby ani dohledat nelze Ob as je to navn , kolikr t se na to do asn vyka lu, ale po p e ten t hle knihy m to tedy ur it n jakou dobu zase bude po dn dr et Naprost MUST READ pro ve ker spot ebitele tud pro v echny z vysp l ch st t Pro ty, kdo hodlaj obchodovat v n , pak je t v c V jime n kniha, kter se te jedn m dechem, nab z adu v c k p em len a ukazuje nu v dost odli n m hlu pohledu ne jak jsme zvykl Pln po et hv zdi ek a u v b eznu jeden z kandid t na leto n knihu roku.Kontext Asi po roce se mi poda ilo kn ku v knihovn sehnat po d byla rozp j ovan a jak to m m do knihovny 30 km bli knihovny jsou nepou iteln , tak rezervace ned l m, zvl kv li jedn kn ce se mi takovou d lku l tat nechce.Prvn v ta V n se vyr b v echno na sv t a spolu s t m v echny mo n pachy Posledn v ta V zemi, kde se nakladatel boj publikovat, kde se lid boj mluvit, nem e doj t ke skute n mu pokroku.