If you are the first factory in an area, nobody knows what to do. So you make simple stuff with high tolerances as you build a base of skilled labor. and a customer base.

Then you ratchet up, and ratchet up, and get nicer customers and more cash and contacts and make products that require more and more sophisticated processes.

If you’re lucky, you make middle to high end stuff that few other people can before the exchange rate completely fucks you vs the next up and comer.