My time in consumer electronics taught me one tough lesson about the outsourcing of goods. Once a great equalizer for the East its a risky venture now. You may be chugging along with sails full of wind one day but the next your factory could be bankrupt and without enough funds to produce your widgets.
Many of the factories in the East are a very unstable bunch, with a "used car salesman" approach, running around conventions promising more for a much less price. The reality of the situation is most of the time these factories cannot deliver on the services they promised and US companies are left empty handed.
Litigations are frequent. US Courts can rule one way but the truth is they can not promise you any return on the money you have invested in these factories. Its all a big risk and it makes me wonder, how much longer will people sacrifice quality and risk for lower budgets? Probably much longer than we can imagine.
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