[JohnnyB]

Some of you guys may be living in the eighties with these references to cheap Chinese crap and widgets. China is by far the global leader in value added manufacturing, which is not really an indicator of low-end production.

Companies producing high-end products, like Apple, aren't doing it in China because of cheap labour. The world is full of much cheaper labour than what is used in China. They're doing it in China because of quality and reliability that comes through advanced manufacturing and advanced human capital that enables them to meet exacting standards along with advanced logistics infrastructure. Manufacturing centers aren't suddenly leaping from producing flip flops and washing machines to producing smart phones like it's no big deal.