W A R N I N G !

W A R N I N G !

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Monday, June 22, 2009

Reverse-reverse psychology?

Chinese-brand (or brandless/OEM) products have always been thought of as value-for-money because they do not go through the money-leechers at the top of a multinational company. And at least they work for the money you pay for. As an analogy, take a ball for example. The Chinese ball may be harder and last shorter, but it's round and is still a ball.

So, for the same amount of money you spend on a Chinese and a designer brand name product, the Chinese is bound to perform better.

Right? Not always.

To understand why we have to look at the issue of branding. Branding makes a person think that the product under the brand is better regardless of actual performance.

Now we're thinking that the Chinese products perform better for the same price. That is some effect of branding at work.

You may argue that this is at least an educated guess because you can find evidence supporting that.

But what if someone decides to take advantage of this Chinese branding?

We may end up with products that are both suck and overpriced AND do not look good.

I might have seen signs of that happening.

And this may end up being worse in China than in other major countries. As we already know China is famous for the sub-par QC and design. And we can be sure that the huge amount of money we pay isn't going into research.

But the worse thing to happen is still a Western company rebranding a China designed product. That takes price and QC right to the extremes. I HAVE seen that happen. The Beresford DAC, the 698RMB mini tube amp selling for USD$220, products brought in by J****.


Anonymous said...

I believe the beresford isn't a chinese design

wwenze said...

Hence proving that they have succeeded. In their rebranding.