Jeez people. It's not like Sanda Kan always had Money issues and it's not like they were forthcoming with those issues....for fear that they'd lose business. Uncle Irv had one Manufacturing line in COMPTON Ca before Athearn moved to Sanda Kan. Why weren't people screaming for him to hedge his bets? Compton isn't exactly the safest place to do business either. Bunch of arm chair business executives in this threads. SHOULD these companies have known? Maybe, Maybe not. But to err is human either way. As for the mass exodus to China in the first place. Manufacturing is always in search of lowering costs. It's a byproduct of market based economics. China at the same time made a move to become manufacturer to the world. PCs are built in China, because the supply lines are so much shorter, because the entire subcomponent industry can be built just down the street. The US can't do this at scale. We're too mature. And now China is maturing and the standard of living goes up and so do costs. It is now becoming less cost effective to do all sorts of business in China as prices go up, the added shipping costs become more of an issue. I do agree with those that say technologies like modern CAD/CAM and 3d printing are obviating the cost advantages of china or any other 3rd world up and comers, but honestly, it's a point well taken that model manufacturers aren't big or rich enough to be leading edge here. At least not en-masse. Also, It's Sanda Kan, not Kanda San and I don't understand what research is needed. All of these topics were discussed on this and other Model Railroad forums at the time. It's not like it was a big secret. We were all talking about it as it happened.
"Uncle Irv" owned his factory and had direct control over it. Sure, an earthquake or fire could have stopped production, but that's not the issue here. If Micro-Trains and Micro-Engineering can manufacture domestically, what prevents other companies from doing the same?
well, there are really 2 Comptons, the industrial area around the 91 freeway and the neighborhoods that are a lot better now. When Athearn started to move straight out of Compton, the California pollution people were on a rampage. Many of the aftermarket hot rod parts companies that used to make their parts have been force to move due to this.
Many assorted companies have moved to Nevada. But now due to fast and unplanned for growth, that area has become a bit of a mess. Some Nevadans have moved away because of it all. Californians are paying ever higher and higher goods costs, as there are now many truckers who won't cross the border. Some cannot afford the demanded changes, and still stay in business. Others are simply tired of dealing with the bureaucrats. So, don't be surprised if more companies move out.
Nevada is largely a ghost town now. Because quality of life matters, not just cost to do business. Businesses struggle to hire the quality of people in low cost places, because those that already have the skills don't want to move. It's less a problem in manufacturing than it is in mire white collar fields, but it is still a problem.
Normally I'm not a doom and gloom kind of guy. Pretty optimistic most of the time. However! What is happening in CA., manufacturing, business headquarters, even warehousing starting during the 60's, due to over taxation and green minded demands have been leaving California in droves. Going to places like Kentucky, New Mexico, Arizona, Idaho, Oregon and Washington State. Some to Nevada with an eye on places like Reno or Las Vegas. If you want to keep your job you move because there isn't much in the way of work opportunities of any kind left in California. Even the retiree's are moving out of California to seek and find places to stretch their retirement dollar. If Californian's don't catch on pretty soon...well....it's obvious to me. What worries me most is the farmers, produce grown and water supplies to irrigate with. A year hasn't gone by but more and more farmers are leaving their ground fallow and or selling it. Eat dirt is commonly heard, in those ranks. Never mind, the railroad's are moving their headquarters and warehousing out of state. I should say they already have.... The next ghost state...will be... I'll leave you to your own conclusions.
Manufactures wont need to move production to Mexio and deal with all the drug lords and political corruption issues there. Just move to Arizona. We are an annex of Mexico anyways...but still within the US borders...for now !!!
Yep. We have a terrific climate, beautiful scenery and a low cost of living. Couple that with reasonable taxes and people who are willing to work hard for low wages. Of course, there are many who think that 110 degree heat just has to be awful compared to 90 degree heat with 90 degree humidity in the Eastern half of the country.
But...its a 'dry heat' here...lol :teeth: I live in the White Mtns...its almost 87 here....time to dig the winter clothes back outta storage
My wife's younger brother was a long time Las Vegas resident. Until about two and a half-three years ago. There'd been an influx of people from CA, government was raising $$$ and regulating ever more. Gangs and drugs. He'd had enough, they moved to Texas.
Based on my sisters experience there over the last 10 years. I'd say only three years is optimistic. The bottom fell out in 2008. People moved there, because there was land there. But when the economy dried up. They moved back to the more expensive places where they never really wanted to leave in the first place.
Not sure I am following what you are saying. They left Vegas 2&1/2-3 years ago. Were tired of the gangs, drugs and so on. She'd been assaulted a couple of times. He'd been there 15-16 years. And she was a native of Vegas, her daughter still there.
Sorry, I misunderstood what you were implying. There's been this long myth that California is shedding citizens to other states and will soon be a ghost town. Such logic often is painted across the entire west coast and then the north east coast as well, but it's simply not true. California suffers no such problem. Sure SOME manufacturing has left. But much is still here and more importantly, high tech industry stubbornly refuses to leave. Rick Perry came through a year or 2 ago to promote the workers paradise of Texas and was essentially laughed out of the state. Sure, housing is expensive and the regulations strong...and the 40 million+ who live here like it that way. If you want to tap into those people, some of the smartest and most technical on the planet, then that's the cost of doing business. I work for HP. When they bought Compaq, a large number of Jobs were shifted to Texas. The bulk of people simply quit instead of leave California. I also bristle, because you notice that those firms that move their manufacturing to "fly over country" well, the executives rarely leave the coast do they? Boeing (and BNSF) have become a media sensation outside of our little corner of the web, because of the 737s spilled into the river, from the plant in Kansas, but when the Boeing executives decided to leave Seattle. Did they move to Kansas to Watch the corn grow? Oh no they did not. They moved to Chicago and specifically stated it was for access to Cultural benefits and business partners (United) So, they moved to be closer to the Symphony and Opera. Despite those pricey executives having to pay super high sales taxes and property taxes on their homes etc etc etc. No, California will be fine thankyouverymuch. Now, specific parts of California...perhaps not so much. I'm thinking of Silicon Valley which has basically priced the manufacturing and service economy out of the peninsula. And the places most likely to pick up Californians? Oregon? Colorado? Even Salt Lake City (have yet to meet someone that moved there and stayed) well, they're pretty much just a slightly cheaper version of the same place.
Actually, the reason you cited for Boeing moving to Chicago was just their cover story. They left due to a HUGE dispute with the City of Seattle and King County, who were using them as a tax milk cow/golden goose. I was still living there, when it all was boiling.
California is in worse shape then it's been in years and no one knows how to fix it. The brown influence hasn't been positive. Many have their heads in the sand and don't want to see it. But heck, I left you to your own conclusions and that's fine with me. I might add I was one of those who left CA., a native to CA., to go to OH when work in CA became even more so difficult to come by. Only to discover the same thing happening there. Coming back only when I was offered a partnership in a business....that never materialized. Our taxes are and were exorbitant. Starting with the Fed's, the state, counties, cities and districts sucking up on everything that moved. Starting with the local scene...property taxes. This is why we CA residents and business people pushed so hard to get prop 13 through. Now they want to amend it. Well, this is turning political so I best let you conclude...whatever you think is righteous. No one talks about ways to save money or cut back...spend, spend, and in-case I didn't already say it spend some more. I have a Western Pacific video from the 60's showing business in Oakland, CA., that had shut their doors and moved elsewhere. These were business's and manufacturing that Western Pacific served, seriously effecting the W.P. and their profitability. We play teeter totter here in the land of California. One wrong move financially and it can all collapse like a house of cards.:wideeyes::angry: I need to duck for cover. I think YoHo has a strong enough arm to throw stones my way. Not to worry, we may not see eye to eye but I consider him a friend. And one of TB's finer model railroaders. Now what was the original subject. Something to do with Flex Track? I prefer to use it over sectional...anything...track. If you can find it at a reasonable price.
YoHo, and of course everyone tuned in here, You are living on the affluent, silicone side of things. Step out of that world and look around you and it might scare you. Our brothers and sisters from Mexico are leaving....no work to be found. Five families in my trailer park left...this year. True. My sister and her family up and moved to Utah, to expensive to live in Santa Maria, Ca. They are staying put in Utah. Other Californians, natives... My daughter and her family have settled in Iowa, they plan on staying. My son and his family are in South Carolina, they plan on staying. My former in-laws most moved out of state and they plan on staying. 1998, over 100,000 of us left California in one year seeking work elsewhere. Many relocating where the plants that left were relocating. A huge tax base gone, vanished. We've lost car assembly plants, cereal plants, fields that used to provide 30+% of America's vegetables and fruits, not to mention oil fields closed down and refineries no longer in business. Did I mention? Pansonic, RCA and even name brand computer manufacturers sent their assembly plants to China. All leaving not only California but other states as well. The state of California, once had a surplus now we are indebted. You can turn a blind eye to these things, that's ok by me. When we all wake up from this utopia dream we have, reality may stick her ugly head up and scare the...well...out of us all. Same California, different perspective. Oh, I almost forgot, did I mention the cost of flex track which used to be $.99 cents a stick at your LHS is now over $4.00 a stick. Do you want to know how that happened? And what used to come as a 36 inch stick is now a 30 inch stick. True.
Ask anyone Rick...the price of plastic has reached the same price per ounce as gold ! As far as .99 vs 4.00 and 36 now being 30...its like everything else...give em less and charge em more ;-)
I know a high tech company the left San jose for Arizona because of the high costs. They went from being a 70-80 million dollar company to nearly a billion in the 6 years since they left. And 97% of the employees moved to AZ and they are all still there. And they can not unload the empty building in San Jose even for 50% on the dollar. There is not a real big economy booming in CA as most people are thinking.
