The Western world has an obscene amount of wealth compared to other parts of the world, no disagreement there. But that is not the discussion.
That Chinese worker will have a better life then his father and grandfather today because of the influence of capitalism.
Your argument is "but it can be better", and I don't disagree with that. However, you don't give any means to reach that better situation. I'm saying capitalism is the best functional system we have at the moment to lift people out of poverty. Then you couple that with social programs and certain government regulations so you don't get into the extreme exploitation, and those parts are lacking in some countries.
There is nothing wrong with it. But the problem is, it doesn't work.