http://www.msnbc.msn.com/id/28037960/
3600 toy factories have closed in China in 2008.
Ralph
It’s hard for me to believe there are, or were, 3600 toy factories in china. That’s a lot of toy factories, and most toys are made of a large scale that takes large capital investment and large centralized prodction
Mike, like you I find much of anything MS(NBC) reports hard to believe…
a point that I think was lost in the story is how the workers heaved against the makers and the ChiCom govt…but it the gvt were to spin the propaganda the right way, I bet America and the West could become the target instead…
I know-Way off point, but it stuck me as odd…or maybe it’s just me
Guys,
Who is the largest toy seller in the USA??
I would hope it would be Toys R Us, or a chain like Kay Bee. We all know Kay Bee is on the way out and I’m pretty sure Toys R Us will see hard times soon too. To answer your question Bob, I don’t have any data, but I’d put money on Wall Mart.
The only ones who will survive this state of affairs at this time in the world the way it is now, are the one’s who sell the best quality, or products which are most in demand at the least, and second least best prices maybe 3rd best pricing, survival will depend on customer loyalty and price as the bottom line!!! If you were not already shopping around for best prices then you must be a Gazzillionaire, and really don’t care about prices! One of my old bosses said when I was a bartender for him in the 70’s that the worst client’s are the rich, and country club set, and are the cheapest, and worst type of customers to deal with. He said give me the common, and down trodden guy off the street any day, and I have had my suspicions validated over the years that he was right on target too!! The Regal That’s my opinion and I’m sticking to it…
I thin Amozon is the largest toy seller.
Chinese are finding out that capitalism can be one mean bee-hitch.
What, did they honestly think they could just keep building city sized factories one after the other forever???
Yes.
I found the following paragraph from the story very interesting, especially considering China’s favored nation trade status and President Bush’s warnings about “protectionism” concerning foreign trade.
"But with pressure mounting to protect jobs in its export sector, Beijing also has instituted policy that is contrary to the spirit of the G20 meeting by increasing tax rebates on thousands of export products — from toys to toasters. The rebates, and an artificially low valuation of China’s currency, essentially give its exports a competitive edge in the world marketplace, threatening to increase trade imbalances that have long caused tension.
Even Chinese officials have expressed concern that the rebate policy, which experts say covers at least 50 percent of China’s exports, could spark retaliation from trade partners, including the United States. Some trade experts warn that could spark a trade war, similar to what happened when the United States put in place high protectionist tariffs in 1930, thereby fueling the Great Depression.
“At the moment, China is the gold standard on the stimulus,” said Lardy, of the Peterson Institute of International Economics. “But I would give them very low marks for this (tax policy.) They are … basically promoting exports at the expense of the rest of the world.”
Note that the story says they are “increasing tax rebates”. Their exports have been subsidized by the Chinese government.
50% of their exports are eligible for rebates from the Chinese government.
It seems “free” trade is a one way street.
Ralph
I heard a while ago that Mc Donald’s sold the most toys…the Happy Meal stuff…I don’t know if that is truth or not…
Walmart has been the number one toy seller in the US since 1998…
It sell 25% of this countries toys. And after this year - they will steal more market share by their aggressive toy price slasing…
At least that is what the Wall Street journal says:
Ralph,
it is called protectionism. It is common for governments to subsidise farmers, manufacturers to give them an economic advantage to export goods/produce. American farmers have been isolated from real world global prices for many years due heavy subsidies on production. This enables those farmers to export on favourable terms to foreign countries. This is a world phenomenon, not restricted to America alone. Japan’s internal policies to protect their farmers is legendary, as are those of European countries. It gives the indigenous exporter an unfair advantage when competing in global markets. China is also disadvantaged by a rising value currency, making exports more expensive when compared to foreign currencies. Artificially devaluing their currency is one method to encourage exports as is the application of export subsidies.
Some years ago, Japanese rice farmers' concerns were overruled and the Japanese government made a sham of allowing foreign rice imports into Japan. The imported rice is not used for domestic consumption, but stockpiled for years and then either exported or donated to famine relief organisations.If the Chinese government gives rebates to their own toy manufacturers I don’t consider that protectionism. However, if the Chinese government puts an import tax on goods sent to China to stop or reduce the amount of those goods being sold in China, than that is what I consider protectionism. Giving rebates to their toy manufacturers only results in lower prices for the toys they export to other countries. It doesn’t stop other countries from exporting thier products to China. I don’t think that is an unfair trade practice. In fact China is actually spending their governments money to help us enjoy the benefit of lower prices for our trains.
Big John
Stephen Podwojski said:
Walmart has been the number one toy seller in the US since 1998....It sell 25% of this countries toys. And after this year - they will steal more market share by their aggressive toy price slasing…
At least that is what the Wall Street journal says:
Just like the Wall Street Journal to use words like, STEAL, AGGRESSIVE, SLASHING to describe Walmart. Why couldn’ they say “Walmart is reducing their toy prices to gain more market share at the cost of reducing their profits on these items”. But since the journal hates Walmart they always phrase their articles to make Walmart out to be the DEVIL.
And I don’t even have any Walmart stock.
Big John
John Spehar said:
Giving rebates to their toy manufacturers only results in lower prices for the toys they export to other countries.Big John
What it does is make it harder for other manufacturers around the world to compete. Export rebates are a back door to the age old practice of “dumping”…selling your products abroad for less than at home.
How much of the lower cost makes it to the consumer probably depends on the product.
I still can’t buy $10 Nikes.
Ralph
Ralph Berg said:John Spehar said:
Giving rebates to their toy manufacturers only results in lower prices for the toys they export to other countries.Big John
What it does is make it harder for other manufacturers around the world to compete. Export rebates are a back door to the age old practice of “dumping”…selling your products abroad for less than at home.
How much of the lower cost makes it to the consumer probably depends on the product.
I still can’t buy $10 Nikes.
Ralph
That is because Nike, an American company, still keeps their same retail price and adds any additional cost savings given on the item from China to their own bottom line. I personally never felt the practice called “Dumping” was unfair. Just the opposite, it makes it more competitive for countries and the companies in them to compete in the world market. The US is terriable on this score. Our government hampers most US companies with regulations that make it more expensive for them to compete in the world market. It makes sense for us to protect some industries for our national security. We should have manufacturing capability to produce products such as micro processers, computer chips, steel, etc. or we sould start to erode our ability to protect ourselves from potential future invasions. Of course our main defense is our nuclear threat to aniliate any country crazy enough to try to invade us. But it would not be the end of our country if we did not manufacture toy trains within our own shores.
Big John
Guys,
I use to have faith in WSJ, but they have become like the MSM… I heard that MacDonalds was the # 1 seller of toys in there Happy Meals… So I will stick with that!!
I’m still waiting (anxiously) for all of that Chinese Newquida LGB-clone stuff to be “dumped” on the market over here…dump away! 
I buy as little as possible at Walmart, knowing they really pressure the companies for low prices you know they are cutting out everything they can. So, cheaper/thinner materials, lower quality plastic/metal, etc…Compare a name brand item at Walmart to the ‘same’ item at an Ace or True Value, you will find quite a difference in the quality of the item.