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| | :'''Question:''' if China's efforts to [[innovate]] are "Quixotic", why then did the [[US Navy]] ban usage of Deepseek? | | :'''Question:''' if China's efforts to [[innovate]] are "Quixotic", why then did the [[US Navy]] ban usage of Deepseek? |
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| | + | ::You wrote: "Most people agree a cheaper product has advantages." This is untrue and violates Management 101, Marketing 101 and Sales 101. "No, competing on price is rarely the best long-term course of action for a company. |
| | + | While it can drive short-term volume, it often triggers a "race to the bottom" that erodes profit margins and damages brand value." Sales managers typically say build value in a prospect and don't compete on price, compete on value. However, this is true: Most companies agree that a cheaper product has advantages in some cases. |
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| | + | ::Next, the Chinese are trying to innovate there way up the income ladder, but ignoring the fact that there economy/society has significant problems: lack of property rights and unsteady regularly regime (Jack Ma imprisoned, tutoring businesses shut down, etc.), demographic crisis, high youth unemployment, inability to substantial raise there productivity rate, private businesses will create a profitable busisness only to see state owned enterprises unfairly compete, etc. will doom their efforts over time. It is simple really. If you want to fill up your bathtub, you donn't ignore big holes in your bathtub and the not plug the drain. |
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| | + | ::"The "Four Ds" problems of China:''' These are referring to China's economic challenges and are: Debt, Demand (China's domestic demand is struggling, with factors like a slowing economy and consumer confidence issues impacting spending), Demographics, and other countries decoupling from China (or De-risking), which are seen as potential drags on the Chinese economy. |
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| | + | ::On top of this, countries are raising tarrifs to avoid a China shock 2.0. |
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| | + | ::"At no time in modern history has a large country gone all in on investment in high-end technology while also navigating a slowing economy and a local government debt crisis, notes Yuen Yuen Ang of Johns Hopkins University. Although the drag from the property crash will lessen over the next few years, and eventually disappear, it would not take much to choke the new growth engine. Itis already being stress-tested by weakening demand for Chinese evs, a prolonged trade war and an energy crisis. China’s paramount leader, Xi Jinping, is nevertheless betting that the new model of growth kicks in faster than the old one, driven by land sales and construction, collapses. It is a high-stakes gamble."[https://www.asiaglobalinstitute.hku.hk/news-post/china-innovative-its-economy-mess-which-will-win-out] |
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| | + | ::In summary, high risk gambles do sometimes win. I personally met a man who won a million dollar plus lottery. But at the same time, having an overall healthy economy is a much better gamble. So that is why China's strategy is most probably quitoxic. If you want to know the full extent of China's problems, the world's only large-scale independent data on the Chinese economy is [https://www.chinabeigebook.com/ China Beige Book]. [[User:Conservative|Conservative]] ([[User talk:Conservative|talk]]) 19:43, October 21, 2026 (EDT) |
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| | ==Blanked pages and Karajou's bird content== | | ==Blanked pages and Karajou's bird content== |