BUSINESS 2.0: "Why China wants to scoop up your company" -- June 2005

The same Chinese firms that have been crippling American manufacturers with cut-rate goods could soon be viewed in an entirely different light: as sugar daddies.

"They went into a Home Depot and nearly fainted," Tang recalls. "The tools were priced 10 times higher than what they were paid for them."  Because prices tend to double every time goods change hands, the firm could flatten its margins dramatically by buying a middleman.

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