opinion: the competitive advantage of local - home appliances manufacturers in china

In last February, a study in citizenship Economics showed that, from chain stores and restaurants to locally owned alternatives, there was a ten-percent change in British Columbian spending, which would create 31,000 jobs, and put $0. 94 billion into the workers' wallets.
Skeptics like Pierre desrosh, a geography professor at the University of Toronto, and Shimizu hiro argue in Locavore's dilemma: praising the 10,000-mile diet, and changing consumer behavior like this is wishful thinking, because local goods and services are always more expensive.
However, there is growing evidence that the opposite is true.
One indicator of small business competence is the contribution of the United States and the United States to gross domestic product (GDP)
Stability has been maintained since 1980.
According to the latest data from British Columbia, small businesses here account for the province's GDP.
Slightly higher than in 2001.
Despite the hype about the global economic miracle,
Local businesses in North America have not increased their relative influence.
Given that government officials and economic developers are basically trying to kill them, the performance of local businesses is very significant.
The vast majority of the economy-
Development spending in North America, for example, is meant to "attract and retain" global companies.
If not for the purpose, the impact of these subsidies is to make small businesses less competitive.
Even if stupid public policies still exist, there is a deeper trend in the global economy, which is actually improving the competitive power of local small businesses.
S. and Canada accounted for about third of consumer spending 50 years ago.
It is now 2 out of 3 and is still growing.
Once you have a third car, a fourth computer, and a fifth TV set, you start to see the benefits of spending the next dollar on more education or leisure.
This trend is good news for localization as most services are inherently local and depend on face-to-face servicesto-
Face the relationship with people we know and trust.
What about the third commodity expenditure left?
Only about one quarter of goods purchased by Americans and Canadians is "durable "--
That is to say, for several years or (if we’re lucky)decades.
These cars, appliances, gadgets, DVDs, computers, toys, household items
Everything made in China
About a tenth of total consumption.
Most of our merchandise expenditures are for "not available" food, construction materials, wood, textiles, clothing, office supplies and paper products ".
They tend to be used or consumed soon.
The difference in durability is crucial.
For example, non-durable products tend to weigh more and have less value per pound compared to durable products like microchips.
With the rise in energy prices and transportation costs, non-durable imported products will become the first casualty.
This means, for example, local food and clothing production, combined with local distribution, may become more and more competitive.
At the same time, local businesses in all industrial sectors are learning how to compete more effectively through collaboration.
Over the years, all locally owned Home Hardware Stores have successfully competed with Canadian chains through a producer cooperative.
Tucson original foods is a local food company in Arizona that collectively buys food, kitchen equipment and dishes to reduce costs.
Local businesses do not seem to be able to achieve economies of scale through the right cooperation.
Even from the perspective of profit-seeking investors, big companies are becoming less attractive.
In the United States, there are now three wholly-owned enterprises mainly inhabited by small businesses --
The profit is twice that of a big company, which is the category that can be found.
A recent study by Statistics Canada shows that companies with 5 to 20 employees enjoy the highest return.
Over the next few decades, oil supplies are likely to decline rapidly.
The only argument is not whether energy costs will rise, but how quickly they will rise.
After the features-
The oil age will almost certainly improve the competitive power of local enterprises.
Rising oil prices will affect society
Solar Services-
Equipment installation and home geothermal services.
As more and more people are reluctant to pay for their high commute, they will increasingly turn to their families --
Business-based.
And common practices in today's economy, such as Wal-Mart.
Contract with manufacturers to produce cheap consumer goods at low prices
Wage sites like China, which ship them to stores in North America for 5,000 miles, will no longer be established.
If local businesses generally offer low-value goods and services, then consumers --
Given the real facts of more expensive and inferior local alternatives --
Will flock to chain stores. In fact, buy-
Local activities always move consumers in the opposite direction.
For example, a recent survey of US independent companies found that if they were in a city with a "buy local priority" program, their sales growth in 2010 would more than double.
The more consumers know about local alternatives, the more they obviously buy local products.
By the end of 2013, loco bc will expand their successful efforts to promote local sourcing across BC.
If the province really wants to create thousands of new jobs, it will focus on the economy
Spending on laser development
Accuracy on a program like this. Michael H.
Schumann is the author of local dollars: how to move your money from Wall Street to the main street and achieve real prosperity.
He teaches local economic development at Simon Fraser University.
A public speech was held in Vancouver on 27 and 28.
In Victoria in October. 1.
Learn more here: sfu.