Shopify Tutorial

Many businesses think of China as a place to buy cheap products. For them, sourcing cheap products means maximizing profits. While you may be able to find cheap products in China, finding products that meet the quality standards of your company may prove to be difficult, and in order to gain the loyalty of your customers, you have to provide them with quality products. Remember also that if the products you sell are recalled because of safety hazards, as the importer, you will be the one the authorities will go after, and not your supplier in China. For all these reasons, quality inspection in China should always be your priority. To ensure you are buying quality products in China, the first thing you should do is to conduct a factory audit. That way, you will want to find out if: You are dealing with a real supplier who has the…

While the Chinese are generally regarded as trustworthy and hardworking, there are still some people in the country who are not to be trusted when it comes to business. These people work in various fields particularly in the manufacturing sector. Foreign firms that are bent on sourcing products in China must exercise caution and prudence in entering partnerships with suppliers in the said country. A thorough supplier verification China is necessary towards ensuring that enterprises get the services of a good and trustworthy supplier. Business contact numbers Companies can verify if a supplier in China is legit by checking the business address of the supplier. Legitimate businesses and production firms in China use a landline phone instead of mobile phones. If a supplier uses a mobile phone for business purposes, there is a good chance that it is a fraud.  There is no restriction or limitation to the number of mobile phone…

China has shed its image as a producer of cheap but poorly manufactured products.  Through the efforts of its government, the Chinese has attracted countless of foreign companies for sourcing.  Firms abroad obtain products from China because of factors like low-cost labor. Businesses that are into quality sourcing China must be conscious of certain things when finding the right sourcing specialist in the country. Research Entrepreneurs or firms must have a clear idea on the products they would like to order from China. Product drawings and specifications can help a sourcing agent better understand the requirements of the client. The Internet is a good place to start in looking for a sourcing representative in China. Most foreign buyers visit websites specializing in Chinese products and suppliers to get a list of potential purchasers in China. Some buyers even go to the extent of visiting websites or social media accounts of purchasers in hopes…

Minimum Order Quantity (MOQ) requirement specifies the lowest quantity of a certain product that a supplier is willing to sell. If the importer cannot reach the MOQ requirement, then the supplier is not willing to enter production. Suppliers in China tend to have fairly high MOQ requirements. Why Chinese Suppliers Require MOQ? What can you do about it? Reason 1 – Low Profit Margins Require Large Volumes Chinese suppliers tend to have very low profit margins, as low as 2-3% is common. Price competition is fierce and Chinese businesses in general tend to be focused on keeping a low price rather than improving product quality and service level. Low profit margins require the supplier to produce a large quantity of products in order to break even.  Reason 2 – Material Suppliers also Require MOQ I’m sure most Chinese suppliers would be happy to do business with smaller buyers if they could. In fact, I know that…

The whole point with importing from China is the cost advantage. It’s cheaper than buying from West and certain products simply cannot be found outside of China. While China is slowly losing its position as a the world low cost factory, importers still have a price focus and negotiation is part of the process. The Chinese love to bargain, it’s part of their culture and even expected in many situations. However, there are plenty of misconceptions and mistakes made my importers – especially small ones. The supplier must also make a worthwhile profit Rather few importers are aware of the (very) low profit margins that most Chinese suppliers struggle with. It’s simply not possible for them to offer a 10 – 20% price reduction, unless the price was way off to begin with. Asking them to lower the price with anything more than 0.5% – 2.0% is the same thing as…

Business is about culture. It is extremely important to learn and understand the culture, logic and thinking of your business partners especially when you are talking about international business. THE QUESTIONAIRS Social life in China 1. Q: What are taboos in Chinese society: subjects that I should not talk about? A: We talk about everything except sex, we talk age, income, politics, religion, etc. 2. Q: Are there any expressions that I must avoid while speaking to a Chinese person? A: I can’t think of any specific expression you need to avoid, generally, be polite, be nice, don’t be rude. 3. Q: Is it acceptable to talk freely about your private life? A: Yes, it is acceptable to talk about private life, especially with families, friends and people we know. But we don’t talk private life with strangers. We feel more comfortable to talk about the privacy with someone you know and close to you.    By…

New importers sometimes may be puzzled by so many certifications, such as UL, CE, FCC etc. You may wonder: what are these product certification standards? Which countries and product categories they apply to? In this article, we will give you a complete guide of the major products certifications. CE The CE marking (also known as CE mark) is a mandatory conformity mark on many products placed on the single market in the European Economic Area (EEA). The CE marking certifies that a product has met EU consumer safety, health or environmental requirements. Countries that adopt UL certification: EU countries. Which product categories UL apply to: Examples of European Directives requiring CE marking include toy safety, machinery, low-voltage equipment, terminal equipment and electromagnetic compatibility. There are about 25 directives requiring CE marking, the link of the 25 directives is http://www.newapproach.org/Directives/DirectiveList.aspOfficial CE website: www.ce-marking.org UL Underwriters Laboratories Inc. (UL) is a U.S. privately owned and…

Managing the relationship with Chinese suppliers is not easy, the cultural difference, the language issue, the communication problem, China has another social system, different business culture and practice. Managing the relationship with Chinese suppliers is not that difficult at all, if you can answer one question: How do you define the relationship with Chinese supplier? Do you think your relationship with the supplier is equal? Do you think your order is a blessing or giving to the supplier? Do you often threat the supplier that if they don’t do this or don’t do that, you will change the supplier, as you said there were handful of qualified suppliers lining up for your order? The relationship should be equal We recently read a story on the leading international trade forum fobshanghai.com, a Chinese supplier complained how their big buyer (Target) behave arrogantly and how Target was indifferent to the benefit of their suppliers, Target…