You have to ask yourself if price is the only thing which matters. I grew up knowing that many items made in China were cheap, inferior products. Perhaps it the mentality of the culture, it's fierce competition, or the never ending supply of desperate buyers who make it happen?
This is one of my favorite articles.
"How to Lose Your Shirt in China"
How to lose your shirt in China | Macleans.ca - Business - Companies
It certainly appears to be a different culture. I have never been to China however if I were doing business there, I would visit first. It's what I do with local business... why should it be any different for global business?