sourcing

China has emerged as a hot sourcing destination in recent times. A large number of organizations resort to sourcing activities to reduce their production costs. This will give marketers an upper hand as they can sell their products and services at minimal prices when compared to their competitors. There are some key benefits of sourcing from China: 1.    Skilled work force: The workers of the China are aware of the latest trends in technologies and more importantly, how to implement it in their operations. The education system in the China is different from most other countries. It is robust, affordable, and emphasizes professional skills like engineering and science. The labor force of the China is more and more versed in the technology development. This is indeed a major advantage for marketers as they can get access to the skilled workforce at lower rates.  2.    Emerging labor market: This is another factor that is intriguing for marketers to…

Nowadays, a large number of organizations resort to sourcing operations to minimize their production costs. When it comes to profits, international sourcing especially sourcing in China is more beneficial to organizations. The benefits of international sourcing activities come in the form of increased reliability, low labor costs, excellent quality of materials, scalability of resources, etc. The benefits of sourcing in China are listed as follows: 1. Reliability: Every organization wants to attain stability in its sourcing operations. Now, the question is how can this stability be attained? If companies get access to the right suppliers, firms can attain stability in their operations. It also enhances the functionality of organizations. Most companies face difficulty in reaching out to the right suppliers. To combat this problem, organizations can seek the assistance of sourcing agencies. These agencies are aware of the economic and political scenario of the sourcing destination. They can make companies aware of…

The process of designing and developing a product idea into a finished product may seem daunting, but it can be achieved by partnering up with reliable suppliers. The followings are some tips about how to find reliable Chinese suppliers. 1). Connect with Manufacturers through Online Platforms There are various established online platforms dedicated to bring together renowned and reliable Chinese manufacturers under one roof, for your convenience. The platforms allow you to filter your search and locate manufacturers and suppliers specializing in producing the product of your choice. You will get contact information of the manufacturers on such platforms, where you can directly talk and discuss your exact product requirements. It will be good to try and connect to more than one supplier, so that you can compare the quality of the products and the price offered. Also, prioritize your search on the basis of the quantity you require and…

Despite increasing importance of sourcing internationally, there are many organizations which are not aware of such practices. Below are some good practices I have learned from sourcing products internationally. 1- Know the market trends: To source products internationally, at first, you should know what will be required and what are relevant. For instance, if you are sourcing a fashion product, it will have own demand and trends. Moreover, these trends can differ in the global and local market. Thus, before starting to source internationally, it is your task to research thoroughly. Before stocking inventory, ensure that what you are purchasing, will sell. Bringing products to your domestic market may be time-consuming sometime. That’s why; you should keep an eye on what is new related to your product. It will ensure that you are receiving the perfect type of inventory always. Keeping an eye on the production management system of your chosen supplier…

Are you interesting in finding a Chinese company to help with manufacturing your product? Doing so requires choosing a good Chinese sourcing partner to facilitate the expansion. As you begin to source internationally, here are some things you need to keep in mind. 1. Product Quality No matter what materials or goods you’re sourcing, the quality of the product must always be at the forefront of any decision you make. When you expand into the international market, you will face issues related to time zone difference, geographical differences, and cultural miscommunication. Each of these 3 factors has the potential to affect the quality of your product and sourcing. Poor product quality ultimately leads to dissatisfied customers. Therefore, when searching for a manufacturing sourcing partner it’s critical to choose a sourcing agent that consistently meets or exceeds your expectations in order to build a sustainable long-term relationship delivering quality goods. 2. Logistic Capabilities How…

1.   China is the second largest economy in the world and has a huge open marketplace that welcomes foreign investment. The economy of China has grown by over 300% in the past decade.  2.   Per capita income in China is still considerably low, when compared to those in many leading western countries. It also has the world’s largest population. Hence, there is a growing abundance of skilled and unskilled labors that can aid one’s sourcing ambitions.  3.   China is a haven for thousands of readymade goods, machineries, parts and components, which are available at attractive rates. As a result, western businesses and their sourcing agents stand to gain.  4.   Rather than raw materials, manufactured goods are the major exports of China. The country is one of the leading producers of manufactured goods in the world.  5.   Many leading global Fortune 500 companies have invested in Chinese marketplace. The dedicated workforce, vast infrastructural improvement and quality manufacturers make it…

Sourcing your products from China manufacturers may indeed be a smart decision, as it has the potential to help you cut costs and maximize profit. But you have to do everything right to truly benefit from this business solution. And an important part of doing things right is hiring the right agent to assist you in the sourcing process. It isn’t that easy to find the right suppliers and manage the logistics of sourcing. That’s why you need to call experts for help. The following are some tips to new importers: 1. Do not take sourcing processes for granted.If you do an online search about sourcing products from China, you are likely to find countless articles on finding the right suppliers and going through the sourcing process on your own. This has led many business owners to thinking it is easy enough to source products from overseas. But that’s not necessarily true. In…

With the existence of more and more serious competition in the market, many companies are looking to source in low-cost countries like China. However, many China trading companies fail to provide the clarity that firms need in order to monitor the process. The issues like cultural and language barriers are some that organizations rarely face in the homeland. The companies fall into the trap because they only think about pricing instead of realizing that sourcing can only be beneficial if it covers all the factors comprising cost, lead time, quality, and operational risks. What should you do for deriving benefits? In order to derive benefits from China procurement, the companies should learn to deal first with some of the crucial internal points that may affect the entire setup. To understand this broader picture, a prerequisite for success should be kept on the top priority list. As per the middle management, the…