Abstract
The paper provides a compelling, highly realistic diagnosis of the structural mismatch between Chinese and Western, in particular European industrial ecosystems. Its central thesis, is that China’s dominance is no longer driven solely by cheap labor, but by hyper-dense local clustering, rapid iteration speed, vertical integration, and the strategic shift to Product-as-a-Service (PaaS). Product costs can be a factor 2 to 3 lower than the same product manufactured in Europe. Supported by a clear and logical cost breakdown, several suggestions are proposed to tackle reduce the competitive gap. However, the challenge is high and requires a rethinking of the European architecture.
Full text in English:
WP9 Product as a Service from China Challenge_EN
Short version: The Chinese Great Leap Challenge_EN_EXECSUMMARY
Nederlandse versie
Product as a Service uit China_NL
De Chinese Grote Sprong_NL_EXECSUMM
Note: there was an unfortunate typo in the costprice comparison table; This has been corrected.