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Foxconn International Removed From Hang Seng Index
Tasha26 writes "After the suicides and fatal explosion, the Taiwanese company Foxconn now faces losing its blue-chip status. Falling prices for smartphones, laptops, tablets and other gadgets and rising wages in China have undermined Foxconn's financial performance. The company lost $220m (£135m) in 2010. Foxconn International will be removed from Hong Kong's benchmark Hang Seng index and be replaced by insurer AIA and nappy maker Hengan. The two new entrants use China both as a source of cheap labour and as a market for their product, a switch which Foxconn is now considering."
Oddly enough, this is historically correct. I'd mod you up if I had points.
It doesn't make it right or good, but regions (not nations) have been shown to go through industrial and economic changes in roughly the same pattern:
1) Dominance/Slavery/Colonialism
2) Once dominance becomes too unsavory or colonialism becomes too dangerous, enter "Exploitative Industrialism" (China is here.)
3) Once wealth has been spread sufficiently to empower the majority, reliable Workers' Rights comes in.
4) After Workers' Rights prevents the exploitation of local labor, companies find international sources of labor to exploit. (The "1st World" is here.)
5) ??? We're all hoping this will be "Automation becomes main labor source and the profits are shared with those that would otherwise be working in the form of social welfare and education..." but it will likely be "Automation makes things ever more profitable, people laid off, economy slides because no one has income, company fails."