No, that&#x27;s actually a pretty racist and outdated assumption of China.<p>It&#x27;s because of risk.<p>The full chain of manufacturing, exporting, warehousing, distributing, marketing, selling is a lot of work. Marketing being the last more risky and unprofitable part of the process.<p>Private labeling products to sell on Amazon and have Amazon handle fulfillment is one of those handful of get rich schemes peddled around often.<p>It&#x27;s a good thing if you can get it going but finding the right niche, outcompeting other people doing the same thing, handling the support, and still getting a cut out of it is hard work.<p>Instead owning a factory, maximizing output, buying more land, building more factories, and letting others worry about making risky profits is a better business proposition.