> The only way to beat low-labor-cost manufacturers is to maximize
> automation and minimize labor costs so that shipping costs and delays
> from overseas negate the labor cost competitiveness of imports.  

Ahem, so how does any one afford to buy anything when they are either a)
out of work b) paid peanuts.  Henry Ford recognised this point when he
paid his workforce what was a high wage for the day.  When asked why, he
replied how else were his workers going to afford his cars.  I don't
know the economics, but I expect Henery went for high volume, low profit
margin to make his money.  Bean-counters these days won't allow this as
the lower return per item is not an 'efficient' use of capital.  The
relative affluence of the american worker means that companies look to 
low labor cost countries to maintain their margins and in many cases fat
cat managerial salaries.

I am surprised a little bit that no Roundhouse clone has sprung up in
the US, you have a far greater potential market.  In the UK we suspect
that high product liability insurance in your highly litigious country
may have put folk off.

Sam E
 

Reply via email to