Would you buy a $22 American made shovel when an $8 China made one is available?

[Liberal_in_LA]

Can 'The All American Store' Reverse Our Nation's Walmartization?

Made in the USA - Deep in the heart of Ohio, a new store is challenging the "Walmartization" of America.

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More generally, though, Walmart's (WMT) conquest of of America embodies a decades-long drive toward the lowest common denominator. It's a trend by companies to cut costs and maximize profits, and they often end up reducing quality in the process. But is it a trend we can reverse?

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"But what about the cost?" you ask. "Isn't the whole reason American manufacturing fled to China, because it's cheaper to make stuff there?"

Again, there's an acorn of truth here, but don't go mistaking it for a full-grown forest. While "Made in the U.S.A." goods can cost more than "Made in China," the price differential is often smaller than you'd think.

On average, Petro says a U.S.-made product might cost 50% to 100% more than a Chinese analog. Some products cost less -- a U.S.-made wrench set, for example, might cost as little as 15% more than a Chinese knockoff.

Petro pulls out a shovel as an example. It costs $22 at AAS. You can buy a similar spade at Lowe's (LOW) or Home Depot (HD) for $8 or $9. Is the American shovel worth the premium? Perhaps. With wages on the rise in China, manufacturers are hard-pressed to keep prices low enough to satisfy their U.S. distributors. Often, this requires cutting corners on quality. They'll frequently use lower-quality steel, for example. Or they'll skimp on quality assembly.

http://www.dailyfinance.com/2012/01/06/can-the-all-american-store-reverse-our-nations-walmartization/