sourcing in China

It has been over 15 years since millions of companies around the world have taken the opportunities of sourcing in China and outsourcing partial of their production to China. In theory, the profits expected are huge but on the ground, it is not as easy. Many companies will have difficulties in dealing with Chinese suppliers. Sourcing is an English term that refers to practices aimed at finding, evaluating and contracting with suppliers of goods and services. The main tasks are: A. To increase competition in the panel of existing suppliers for lower prices. B. To identify new suppliers in the international market. C. To discover innovation offered by new suppliers. Here are a few things to notice for sourcing in China: 1. Use a local representative Quality control will be a key factor of success for your sourcing activities in China. Then having a local person who anticipates problems in China is…

China today is full of incredible business opportunities for American entrepreneurs and business owners, but like any country in the West, it is not a perfect paradise. You must accept the risks of sourcing goods in China while embracing the opportunities that come with it. The good news is that you can manage and reduce these risks with a methodical approach to sourcing in China. 1. Lack of a Well-Defined Strategy When sourcing goods in China, you must have a well-defined sourcing strategy or “road map,” including locating the best supplier for your particular needs. Too few small companies do the proper due diligence when shopping for goods in China. As a result, they may not get the best deal in terms of price, quality, functionality, or timely delivery. 2. No Well-Defined Standards for Suppliers Before searching for suppliers, it is important to have defined standards. Well-defined standards can determine whether…

China is now an industry leader with its expertise in various products, including electrical appliances, electronics, textile, metal, plastic and consumer goods. However, for new starters, it is difficult to start. In this article, I’ll introduce some basic steps to follow. 1. Know Your Product The first step is often the most difficult. You often don’t know where to start or who to talk to. Knowing exactly what type of product you are looking for is the first thing you need to figure out before anything else. Knowing the product will make it easier to narrow down potential suppliers and then later determine what qualifications the supplier should have. Having a clear photo ready to show suppliers is a necessity. And any additional specifications about the product would be ideal. Basically, the more information you have on your product, such as having a clear description of the material and function…