China the creative

When we present the China on French television, there is often the same stereotypes about China, we merely show China as a producer who push to offshoring thanks to production costs lower.


But China is a formidable competitor for other reasons and also begins to illustrate that the production capacity at low cost. An area illustrates the progress of China: that of mobile phones.
1st stage: For years China has been a country of production merely producing phones designed and sold in the West or in Japan under the name Western / Japanese.


Image representing HTC as depicted in CrunchBase

Image via CrunchBase


2nd stage: China has become a country of design, where the phones are both products but also thoughtful. These thinkers producers then sell the finished product to one or more brands from the West who sell it under their name.


3rd stage: China is now a country brand. Producers realized they owned and tool production and knowledge of design but the $ are mainly around the monetization of the brand.


This transformation could be observed for example with a Chinese company (Taiwan) named HTC / Qtek. It quickly grew in step 2, producing phones for telephony giant worldwide (including operators such as Orange and T-Mobile). Then she wanted to test the market by selling directly under a brand it (Qtek) the same products sold under the names of its clients.


A phone like the HTC Wizard and was marketed under the name Orange SPV M3000, i-mate K-JAM, O2 XDA Mini S, T-Mobile MDA Vario, Dopod 838 and QTek 9100 (HTC brand).


Česky: HTC Smart

Česky: HTC Smart (Photo credit: Wikipedia)


The tests are conclusive, the Taiwanese company has decided for its next-generation phones to unveil completely selling directly under the name HTC (and not Qtek) and limiting the number of players can sell their phones on their behalf 1 or 2 players.


The Taiwanese company HTC has turned a corner again, closer to the final consumer and intends to make HTC a well-known general public and not only buyers of large groups of telephony. Things are progressing well since HTC was plébicitée by many geeks & other fans phone in 2005-2006 for its smartphone.


And that is the scourge that threatens our country today: not only China is a producer with whom it is difficult to compete but our competitive advantages which were mainly placed in the knowledge / technology design and brand are now also seriously attack.


This is especially true as locations in China Western companies are often made through technology transfer and the Chinese company does not go from 0 to compete with us. However, these sites in China are essential for the development of our business.


The solution (and there is nothing original here) lies in investment. It is time that we stop trying to save industries or sectors (such as agriculture) on which is more competitive and we invest more money in the search for tomorrow’s technologies which alone will enable us to make a difference and create jobs self-financed.


Could change this perspective by saying that the transformation of China is not so different from that experienced by Japan or Korea that knows that for the past few years at a less advanced stage. Except that the size and population of China give more weight to these significant changes.




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