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Milwaukee = Ryobi? SparkyGuy 05-09-2007
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Posted by on May 16, 2007, 3:04 pm
clewis@nortelnetworks.com (Chris Lewis) wrote:

>Given that the US trade deficit in 2005 was $728B and is still
>increasing, you seem to be doing your best to move it over "there" :-(
>
>It'll stabilize, but it'll be bumpy getting there, and I have my
>doubts whether you're going to be happy with the stabilized level.

so what do you sees as the ending?

what's is the inevitable and how do we as Americans
"prepare" for it?

I see a lowering of the quality of life... but am
puzzled as to how to prepare for the tsunami of change
coming at us

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Posted by z on May 17, 2007, 3:11 pm
On May 16, 3:04 pm, m...@privacy.net wrote:
> cle...@nortelnetworks.com (Chris Lewis) wrote:
> >Given that the US trade deficit in 2005 was $728B and is still
> >increasing, you seem to be doing your best to move it over "there" :-(
>
> >It'll stabilize, but it'll be bumpy getting there, and I have my
> >doubts whether you're going to be happy with the stabilized level.
>
> so what do you sees as the ending?
>
> what's is the inevitable and how do we as Americans
> "prepare" for it?
>
> I see a lowering of the quality of life... but am
> puzzled as to how to prepare for the tsunami of change
> coming at us

I wouldn't bet too heavily on the middle class surviving. After all,
it's a recent feature of human society, which for most of history, and
over much of the globe today, has been more sharply divided into haves
and havenots. Now we have the ability to do so, globally. As Friedman
says with his "flat earth"; once upon a time, a poor person in the US
or Europe was better off than a pretty well to do person in the third
world. that's not true any longer.


Posted by on May 17, 2007, 3:41 pm

>I wouldn't bet too heavily on the middle class surviving. After all,
>it's a recent feature of human society, which for most of history, and
>over much of the globe today, has been more sharply divided into haves
>and havenots. Now we have the ability to do so, globally. As Friedman
>says with his "flat earth"; once upon a time, a poor person in the US
>or Europe was better off than a pretty well to do person in the third
>world. that's not true any longer.

wow.... very profound info!!

thanks!!!

I didn't realize that the middle class was a recent
phenomenon in the world..... but now that you say
so...it does make sense

and.... it also makes sense that we can now flatten the
world globally and a poor person in the US may NOT be
better off then some poor person in a third world
country anymore

VERY scary stuff

Posted by Chris Lewis on May 11, 2007, 9:34 am

> I didn't say the were _only_ made in US, and, if you'll note the quote
> you posted includes the key world "also". It's pretty clear the
> products for SE Asia/Australia/etc. markets are produced outside the
> US and the European are at least partially produced there.

You may be construing that I'm against tools made in China simply
because they're made in China. Not so. They may be, or they may not,
that really doesn't enter into my tool preferences.

It's by no means clear whether there is any regional affinity between
manufacturing location and market. It simply doesn't say.

The reality is that companies strive for the cheapest possible
manufacturing costs consistent with keeping/gaining market.
"Milwaulkee" is an important name, so for long term viability they
have to keep the quality that they're famous for. Which means
"higher end" design (eg: more rugged tools by design), and good QA.
They're going to pick the cheapest place to manufacture consistent
with the QA. If they can maintain the desired QA in China, they're
going to make it in China. Especially if they're Chinese. Anything
else makes no business sense.

Further, manufacturing devices like this draws on all sorts of parts.
Chances are that various parts are made by different companies
in different countries, and assembly might be somewhere else entirely.
Again, under the QA management they figure they want and can achieve.

I'd _prefer_ to buy locally manufactured stuff (which for me isn't
the US), but if it doesn't meet my price-quality requirements, I won't.

I have tools that were made in China. And tools made just down the
street by Lee Valley. I decide what I need/want vs price, and pick
the best match. Sometimes a cheap crappy tool fits my needs better
than a high priced high quality one.

> If you'll also look at the TTI web page you'll find a message that
> brand loyalty and identification is a key business strategy and that
> they have a very deliberate idea of marketing to the full range of
> customers and price ranges as an overall company and that all products
> are not designed for all markets.

I saw all of that, but, remember, manufacturing _location_ has
relatively little bearing on any of it. China produces some very
high quality stuff, as well as crap. Every country is like that.

> Search for a thread only a few weeks ago where I posted a significant
> more detailed analysis in response to another poster's questions about
> Milwaukee. There's quite an interesting story in there as I learned
> while doing quite a bit of research a year or so ago in order to
> evaluate the company as investment opportunity/merit...they're not the
> ordinary stereotypical "Chinese startup" kind of outfit by any means
> despite having some production in China and Ryobi being their initial
> product...

Obviously. Neither is Rexon. Purchasing a company like Milwaulkee
is an expensive proposition simply because of its brand. It would
be stupid to buy Milwaulkee and then let its quality and reputation
go down the toilet.

The fact that Milwaulkee is/is not made in China really doesn't
matter to me. What matters is whether one of their tools is
consistent with my needs/expectations. Unfortunately for Milwaulkee,
I don't need any of those tools at the moment (and the B&D store
where I bought my rebuilt Dewalts cheap is just around the corner ;-)
--
Chris Lewis,

Age and Treachery will Triumph over Youth and Skill
It's not just anyone who gets a Starship Cruiser class named after them.

Posted by dpb on May 11, 2007, 11:29 am
On May 11, 8:34 am, cle...@nortelnetworks.com (Chris Lewis) wrote:
>
> > I didn't say the were _only_ made in US, and, if you'll note the quote
> > you posted includes the key world "also". It's pretty clear the
> > products for SE Asia/Australia/etc. markets are produced outside the
> > US and the European are at least partially produced there.
>
> You may be construing that I'm against tools made in China simply
> because they're made in China. Not so. They may be, or they may not,
> that really doesn't enter into my tool preferences.
>
> It's by no means clear whether there is any regional affinity between
> manufacturing location and market. It simply doesn't say.

No, I was just responding to what seemed like a claim that what I had
posted was in error and an inferred attempt to indicate that there was
no US manufacturing...if that wasn't the intent/purpose, ok.

It seems fair to me to assume that since Milwaukee built a large
fraction of their tools for the US market in the US before the buyout
and those facilities are still in operation that they're still
producing for the US market in the US. While undoubtedly they're
bringing in parts from all over for assembly, doesn't seem at logical
to ship from overseas to the US and then back to, say, Australia when
could build for that market much closer...


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