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October 24, 2017

Different consumers have various considerations when it comes to buying items. For the Americans, they are particularly meticulous when it comes to the manufacturing place of the products. However, it does not quite match with how these consumers decide to spend their money on. American shoppers still prefer a good deal where price is still a priority among other factors. The recent campaign of President Trump which is Made in America may impose different problems.

Consumers are not really driven to buy products based on where it was manufactured; quality and availability are much more important. The Made in America Campaign aims to produce more jobs for the US nationals whilst having more manufacturing opportunities in its own land. However, President Trump and the family does not seem to act to their words having reported that their own products are manufactured overseas by foreign workers. The countries included are China, Indonesia, and Bangladesh among others. It is common among Americans to say that local products will be supported until another option is given where consumers will actually reconsider.

This campaign additionally wants to strengthen the manufacturing industry in the US by producing all ranges of products. China is a big supplier and distributor of certain items in the US and having all the processes in the America hopefully brings a price closer to what China offers including shipping costs. The prices remain a huge factor is shifting to all-American brands.

Furthermore, some companies have intended to promote products by giving reiteration to the quality of materials and construction rather than having cheap finds that easily break. It has been a good strategy and has attracted consumers to actually spend around 5-10% more to avail of premium products. It suggests a trend in the market where consumers are drawn to custom-made products and those that are produced locally.

Image result for Made in America Campaign

Also, there are consumers who make effort to take other factors to consider aside from the price; particularly, the impact on society and the environment. These are personal choices by American consumers which support the campaign of the President. It would take a while to grow into this campaign since other companies import finished products from China. It is relatively cheaper in this setup because of how labor costs in the Southeast Asian country are low.

China is quite known with a considerable development in the manufacturing industry. It has been a part of their economic reforms that helped them rise from the aftermath of the Sino-Japanese War which is also when the Rape of Nanking occurred. It resulted in great economic depression for the country and with the help of the US; the country was able to stand on its own and has been considered a developing country since then. China has performed trade and business activities with the US which includes manufacturing retail products, crops, and gadgets among others.

Having this campaign would mean; well for the economy of the US since the country can solely produce goods with materials that are already available. This would make the US competitive in terms of manufacturing capabilities and it creates job opportunities that prioritize locals. While it is about time that the US is able to cater to this campaign, it may affect their trade relations with China on other products.

Some brands may be able to expand with this decision and others may actually pursue creating locally made products. The result of this with the economy of China and the US has still yet to be seen but at the moment, although the effects may be positive, the campaign is still a risk.

 

James Rinehart

James Rinehart

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