High productivity in technology industry a threat to multinationals

A McKinsey & Co survey reports that the high level of productivity among China's technology companies threatens multinational corporations, reports the Wall Street Journal. Whereas before the industry developed mainly mid-price products, it now produces high-end products long controlled by foreign investors.

The McKinsey survey also indicates that the productivity of China's privately-owned companies is high because worker productivity levels match or surpass those of foreign companies.