This post is a reaction to Dr.Manmohan Singh, the Indian PM's conversation with Michael Dell- about Dell's considering shifting their $25 B of business from China to India...
First Google, next Dell- another biggie which is considering getting out of China. Makes me wonder, if the China story is losing its sheen?
The China Story, has been the darling of the world's press for a while now, and for good reasons too- they have done more to get people out of poverty, keep the world economy propped up, perhaps more than any other country in the last 2 years.
But, people and the media do tend to slowly lose interest as time passes, however great the story is, and perhaps its time now for China to face more opprobium...
They need to be careful though, because even small stories can now be blown up, particularly in the aftermath of the negative tailwind coming out of bigger stories.
Consider- Rio Tinto's perceived one-sided court case in China, Google's high profile exit, Dell's considered exit, to add to the earlier stories, and the continued pain of the RMB being undervalued making Chinese goods artificially cheaper in the world market and changing budget deficits for the first world- as the rest of the first world struggles to come out of the recession...
Well, the Chinese have not historically shown themselves adept at the art of managing perceptions with the rest of the world- but perhaps this is a good time to get to do that.
Meanwhile, i don't think this is fabulous news for India too- even if we get to bask, as the alternative @ scale to China- I think a dream China would be better for India... because in Economics and Business, wealth generation is rarely a zero sum game, and win-win relationships are based on everyone prospering, and it works better for us if our Neighbours are prosperous.
"Is Dell next to exit China?"
- Is Dell next to exit China? | News | TechRadar UK (view on Google Sidewiki)