A Preface to China Sourcing
As to how to reduce the technical and quality issues with China sourcing and supplies, persons or organizations engaged in exporting and importing China supplies need to educate themselves on some aspects of supplier management and supplier culture of the concerned country. They need to acquaint themselves with the varied aspects of communications, management, professionals, workers and business styles, among others. If they are unable to take out time from their busy schedules for these, they can appoint a third-party company that is expert in liaising between the buyers and sellers or suppliers. With doing so, they can get the issues sorted out about manufacturing, supplier and buyer technical disputes, or quality problems.
When it comes to doing business with China, there comes a lot of ‘dos and don’ts’. To overcome the restrictions, professional expertise in giving sourcing solution need to be called for. They will help you show how to do business with China smoothly. They can prepare innovative means of cutting down costs to increase profitability with improving sales. In this regard, they first identify means as to how to reduce staffs, measures to cut overhead costs, review suppliers and lower manufacturing costs.
In general, products produced in developing countries are less costly than those produced in developed countries. The production costs in those developed countries remain higher due to higher labor costs, and also the higher living costs. When one deals in distribution, whole-selling or retailing, one must aim to find out means how to lower the one’s buying costs and maximize one’s profit margins. And, this becomes more feasible when one ensures that one can procure products at the most competitive costs. This is possible when one imports products from China, because production costs in China are much lower than anywhere else in the world!
Over the last two decades, increasing numbers of varied companies are sourcing products of all types from China, in particular. In fact, a large volume of US retailers have for years had their own China sourcing departments in Hong Kong, Mainland China, etc. However, the blemish tag of “Made in China” has however been removed by the endless efforts, especially by the laborers in China. They are now believed to be worth comparing with other top-class products. Yes, there is no denying of the fact that expensive, top-class products manufactured in other parts of the world have much higher qualities, durability and substances than the products made in China.
However, when you want to import products from China, you need to first know of the company. You have to look whether this company is state-owned, private, or joint ventures. You have to enquire whether the products are meant for domestic consumption. If you have communication problem with those Chinese factory managers, you have to appoint third-party Liaison Company that will manage all on behalf of you. In most cases, you will find that the officials of those third-party companies are basically from your country and engaged in giving sourcing solution in regard to the china sourcing of its products. They are efficient in speaking in Chinese and knowledgeable in the Chinese business world and its restrictions and freedoms. For this reason, importers need to appoint third-party business managers.
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