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This is not a zero-sum game.
First, wages are not the only consideration in choosing a manufacturing location. Regulations matter. Operational costs (energy, taxes, etc.) are considered. Market access counts. Electronics manufacturing creates regulated wastes and use hazardous materials. Getting approval to put an electronics factory in your backyard is not trivial. The cost of heating, lighting, and operating a factory vary from location to location. Even within the a country, taxes can vary or be waived. China and India are examples of countries that will only allow products to be sold in their country if some of the value is added domestically.
Second, the value of wages is relative. 'Pennies per day' represents a good living in some parts of the world. Minimum wage is scoffed at in Detroit. Putting a labor intense operation in a poor country raises the standard of living in that country while creating less expensive product in the country of consumption.
Finally, manufacturing in developed countries often leads to lost jobs. If the cost of labor is high enough, automation is implemented. In fact, that is happening in the US right now. Increasing cost of transportation, wages, and benefits is eroding the value of offshoring compared to local manufacturing with automation.
It's OK to Buy American or whatever, but it's important to understand that doing so doesn't necessarily make things better for anyone. Personally, I think that making inexpensive tablets in developing countries can be a win-win situation. On the one hand, it creates jobs and develops skills for poor people while reducing the cost of a tool that could be used to improve education and development in richer countries.
That doesn't mean businesses should not improve working conditions in developing countries. If some credible organization were to put a 'good housekeeping seal of approval' on products produced humanely, I would prefer these.
I'm not sure the representation of working conditions is accurate. I'm not convinced factory jobs are driving workers to suicide. I think I read that the rate of suicide among Foxconn employees was lower than the general population. Maybe political, social, economic, and environmental conditions are affecting people.
I don't have any answers, but I'm reluctant to buy crappy products at higher prices just because they are made in Detroit.
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