LKE towards TOP-5, page-360

largely companies are not leaving China

its a strategic push out often approved and supported by Chinese industry and govt

the reason is labour costs in China are exploding

profit margins are shrinking

so companies are relocating to cheaper countries for some labour intensive industries Eg vietnam bangladesh etc

china economy is kinda transition from a low IP manufacturing hub to high tech / services / finance Etc economy - these sectors require higher skilled and higher paid workers

so Chinese economy is maturing … moving to the next phase

all western economies went through the same phase … 20 30 years ago .. hence why China became such a hub .. low cost labour with the ability to scale