by 
HONG KONG — Arrow Electronics, Inc. (NYSE:ARW) announced today that the company has signed a definitive agreement pursuant to which Arrow will acquire all of the assets and operations of the wireless and infrastructure business unit of Waching Company Ltd. (“Waching”).
Waching is a distributor in China with strong demand-creation capabilities and a leading position in the fast-growing wireless and infrastructure market. Waching has sales and engineering resources based in Shenzhen, Shanghai, and Beijing. Sales in 2012 are expected to total approximately $33 million.
“With this acquisition, we continue to execute on our strategic priority to pursue opportunities in the more rapidly growing areas of the market, and we are excited to welcome the Waching team to the Arrow family,” said Peter T. Kong, president Arrow global components.
Arrow Electronics (www.arrow.com) is a global provider of products, services and solutions to industrial and commercial users of electronic components and enterprise computing solutions. Arrow serves as a supply channel partner for more than 120,000 original equipment manufacturers, contract manufacturers and commercial customers through a global network of more than 390 locations in 53 countries.
It is also responsibility of workers in manufacturing sector to sustain these new jobs. They should not insists on unions and very high hourly rate. They must create culture of ultra high productivity and after that ask for bonus proportaional to profit. I wish more local manufacturing returns and provides high quality products.
There is an obvious backlash against offshoring as we all are in difficult financial straits at the moment. When the markets pick up again and people have more disposable income the large corps will continue to chase offshoring as a means of reducing costs and maximizing shareholder returms. Take the shareholders out of the equation and the outlook could be a lot different.
This opens the market for local industries and I see this as a plus point. It has both the sides like other businesses but can get the balance loaded in to the side which favors you by adding more value towards it. For that you do need government support and funding mostly.
Nicole, good article!
Two points:
1. On the subject of corparate responsibility to country, I will be taking the “in favor” side on that subject in a debate in The Economist. Please email suggestions and article llinks to harry.moser@reshorenow.org by Jan. 10.
2. Try our website http://www.reshorenow.org for the tools to use to convince companies to reshore.
Best!
_hm,
First, Happy New Year. Now let me say one thing regarding your comments. As the U.S. prepares for more high-tech manufacturing jobs, you said the workers “should not insist on unions and very high hourly [wage rates].” Always remember that unions brought us the eight-hour work day, fought to end child labor of the kind that has recently been reported at Foxconn. Unions have also consistently worked to establish higher wages, fought for paid benefits such as health care coverage, workers compensation and holiday pay, and helped to establish better working conditions overall for workers worldwide. With the number of manufacturing jobs expected to increase in the U.S. this year, I'm hoping that workers will be provided with the wages, benefits and working conditions that they deserve.
Thanks for your comments.
Nicole
Dear Harry,
Let's hope that this year the high-tech industry will further demonstrate that they see the U.S. as an even more attractive place to invest their money. Hopefully, the high-tech industry will establish manufacturing facilities in locations that they believe will benefit their overall business strategy.
Also, thanks for the link to the Reshoring Initiative website.
Happy New Year!
Nicole
I agree employees shouldn't insist on “high hourly wages,”etc. Executives should also decline any efforts to pay them millions in compensation. They'll also be applauded if they reject golden parachutes, sign-on bonus and the like.
Bolaji,
As high-tech companies expand their U.S. manufacturing facilities the focus should be on developing products that can compete in the marketplace. If companies are successful in generating more revenues then the workers are in a stronger position to request higher hourly wages. With regard to executives, we've seen many of them receive exorbitant pay and sign-on bonuses, stay for a period of time and leave with severance pay that makes them far wealthier than when they began the job. In the meantime, these executive leave the company in a much worse financial position. Leo Apotheker, former CEO at HP comes to mind. It's not fair, and it's not right.
Here's an article that looks at the Apotheker story.
http://money.cnn.com/2011/09/22/technology/hp_leo_apotheker_severance/index.htm
Thanks for your comments.
Nicole