For a very long time, China was one of the poorest countries in the world till they decided to make use of their population by delving into manufacturing. The huge workforce available and the poverty level implied that cheap labor could be made available in China. However, they also understood the fact that it will be difficult to compete with most other developed countries if they concentrate on making only quality goods. Exporting such goods to other developed countries where most of the population will be able to afford the goods, while possible, will not be able to absorb all the products they will be able to produce. This is also considering that many other countries produce quality goods as well that they will be competing with.
China was, however, able to identify the fact that there are many people in the world both in developed countries and in developing countries that prefer cheaper products, even if the quality is not top-notch. They decided to delve into developing cheaper low-quality products to appeal to this huge market. This has been a plus to them as they now cheap huge volumes of low-quality products to several countries across the world in addition to creating high-quality products as well. Their business policy was to tell us what you want and how much you are willing to pay for it and we will develop it for you. Hence, if you approach China that you want a phone with these 10 qualities and you are willing to pay 10,000 USD for it, they would build you a phone with those features, whose quality will be worth the 10,000 USD you are willing to pay. If, on the other hand, you want a phone with those exact 10 qualities and you are willing to pay 100 USD for it, they would create a phone with those 10 qualities for you that is what the 100 USD that you are willing to pay. You could learn from this when you are planning to start a business. You might either decide to make your products and services appeal to every group of people or look for the class of people that are in the majority in the area you are starting a business and tailor your products to their taste. You can read other finance companies’ reviews to know which finance companies you can use for your business as well as Moneyspire reviews to know how the app can contribute to the success of your business.
It has proven a wise decision in a period where most developed countries insist on developing only quality products and have standard organizations that ensure that all products meet with a certain standard. The standard implies that it is costlier to produce quality products, with costlier products meaning that some people might not be able to afford it or would prefer to buy cheaper products of low-quality as long as it works.
The main lesson to learn from the Chinese business philosophy is that, not only is there a market for every type of product that include high-quality and low-quality products, but that there is a higher market for low-quality products and high-quality products. This is especially when the low-quality products have the same or similar functionality with higher quality products, despite their being inferior. Being able to cater to every type of market gives the advantage of being attractive and patronized by every group and class of people.