ABSTRACT
This thesis study is talking about the comparison of quality consumer electronic products imported from China to Nigeria and Finland. The purpose of this thesis is to investigate and analyse the quality of products that are been manufactured, assembled and imported into Nigeria and Finland from China. Invariably this thesis will compare between Nigeria and Finland, which country import better quality of Chinese electronic product.
Over the years, China has been known for their super skills of production and cheap labour, which has drawn the attentions of business owners around the world to doing business and importing made in China products to their various countries. China makes virtually anything, be it good or bad quality products ranging from clothing, food production, accessories of all sought, and electronics.
This thesis used a qualitative research method to investigate between Nigeria and Finland, the country that imports better quality of consumer electronic product from China. To get a satisfactory result, this research used questionnaires, which were given to some firms in Finland and Nigeria that imports consumer electronics from China.
However, this Thesis will be useful to companies planning to start up import and export business in and out of China. It will also provide information to firms planning to do business with Nigeria and Finland, and give ideas of talking the issue against less quality products.
At the end of the research, this thesis found out that Nigerian organizations imports lower quality of consumer electronics into the country. This happened because the standard of living of the average Nigerian people is very poor and they cannot afford to buy compliant quality products. Organizations in Nigeria also import few goods quality which are being bought by the few Nigerians who can afford them, while Finnish organizations import better quality into Finland from China, and they get lesser complain from customers.
1. INTRODUCTION 1.1. Background
Over the years, China has taken over the market in the world (Akoya Pearls, 2012). Many countries produce and import goods from China which makes China the world production power house (Dellois). Companies around the world are hoping that one day they will also make a move into doing business in China as many companies are doing (Yingzi & Weihua, 2010). Looking back at China’s dramatic change, we find out that in the early 90s China only produced goods like footwear, clothes, and toys. But from 1992 onwards, China moved into producing microchips, electronics like computers, television sets, and phones (M.Amiti, 2007). Since this dramatic change, both big and small business firms from all around the world want to do business in china, because they have the work force, cheap labour, and skilled labour (Hennok, 2002). Companies, which do business in China, are able to get customized products to suit their requirements. Some big companies that produce in China make good use of the cheap labour and other advantages to produce lower quality products and make higher profits (C. Jia & W. Yan, 2011).
However, this thesis will concentrate on investigating companies in Finland and Nigeria that import products assembled in China. The cheap labour and the favourable price for producing in China have made China a target market to the world today. For example, a country like Nigeria with a large population can produce cheaply and in large quantities in China, which is profitable to the importers and to Nigerians. Since, most large companies are sourcing from China there are also some smaller companies who are wondering if they should participate in doing the same business, but they are discouraged by the complication of proceedings. The process of doing a successful business in China, especially when it comes to importation of consumer electronics involves a lot of steps which they all have their own complex comparison according to the countries that will be elaborated on this thesis.
1.2. Problems
The actual theme of this thesis is in Nigerian perspective; the majorities of Nigerians want to buy cheap goods and also want quality goods. When a product becomes cheap, it seems to be inferior or of lower quality, and when it is too expensive, it is difficult for consumers to buy and for sellers to sell at a speedy turnover.
Lots of products in Finland are made in China and yet the consumers are buying them without any doubt of seeing it too cheap to be fake or counterfeit. In Nigeria, many consumers enthusiastically patronize Chinese products even though they are seen as inferior goods.
Another significant problem is that, the manufacturers and importers of goods from China prefer bringing in mass production for a speedy turnover. This involves large quantity but lower quality for the masses at a cheaper rate.
For example, in Nigeria, there are some fake flashy phones made in China popularly known as ‘china phones’ or ‘chinco’, a derogatory cliché to describe some of the substandard products coming from China, have unique selling points – cheap price tag and dual SIM platform (Osuagwu, 2011). When the original products, which these counterfeits are adapted from, are selling at about $400 to $500, the fakes are selling for far less than a $100 and can contain two SIM cards (Osuagwu, 2011).
