If we place ourselves in the current context of the world, many companies are looking to buy the products at low prices. China is the focus of foreign companies, she was the workshop of the world still a few years and remains for these companies paradise to buy the products. But how to know if our products purchased are of good quality and if purchased at the right price ?
There are three ways to buy from a Chinese supplier:
Request a local company for sourcing your product
Its advantage is to be based in China and master the Chinese market and culture of the country, those are very important points when we want to enjoy the benefits of the country. The company will have Chinese employees and trained to work with foreigners which will thus facilitate communication between all companies. Having a Chinese team and a foreign team in his society is a must for a full understanding and adaptations to all demands, importers and exporters.
Through a sourcing company, you are in hands of experts: they are specialized in finding wholesale products. With much experience in its field, the sourcing company can help the company in the selection of goods to buy (the choice of material, choose a more resistant paint).
Being installed in China, sourcing company has great knowledge of Chinese culture and can therefore negotiate better prices.
The sourcing company will play the role of intermediary between the company and the Chinese supplier: for example to facilitate the payment method, the company that goes by a Chinese supplier must pay the full amount of the merchandise while sourcing company can make the payment easier by playing on its liquidity.
The last important point is the logistics: the sourcing company knows the best possible logistics methods to adopt.
The sourcing company controls product quality itself which will ensure security for the foreign company.
However, the safety and benefits of the company sourcing come at a cost: the commission taken by the sourcing company varies between 7-30% depending on the product and the company.
Send a representative to China.
Detach an employee of the company to go to meet Chinese wholesaler will have the advantage to know everything about his business and can therefore choose the best products based on business criteria. Being on site, the employee will be able to check the quality and smooth the running of production. Thus, the product will be perfectly adapted to the request of the importer. The representative may also react in case of emergency or unexpected change to the product.
The negative side is that the representative has no knowledge in Chinese culture but it is essential to master for negotiation. Also, send an employee comes all at cost: pay her travel, accommodation, meals, travel.
Find a Chinese manufacturer via the internet.
With the internet growing development, it is now possible to easily find a Chinese supplier via internet. Each provider is a specialist in one area so we can find the right product for our needs efficiently.
This approach is the least expensive and it requires no intermediary. Find a provider on the internet allows for very attractive prices.
However, this advantageous price does not come without risks. Indeed, located at the other side of the world foreign company can not really control the quality of product or see its progress. Further, it may be exposed to risks of fraud or counterfeit. Also, if the Chinese supplier and the foreign company are not able to communicate in the negotiations, then it may be a misunderstanding and therefore not a commodity suitable for the business.
Many Chinese suppliers have their websites but only in very rare Chinese sites are transcribed in English.
Another solution is to work with merchants on Alibaba present which is a big group so we can protect against potential disadvantages.
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wings are made to fly
I think I got lost, I was reading your blog’s articles related to luxury goods but every article is very interesting ahahah
Still very good content. I am trying to reach you for some questions about entering a Chinese e-commerce platform.