5 reasons why you can't get exactly goods you want from china
Click here to load reader
Transcript of 5 reasons why you can't get exactly goods you want from china
5 reasons why you can't get exactly
goods you want from China
Many of you are doing business with China because China is now
biggest OEM country, and most of you will enjoy the benefit of doing
business with China, but at the same time, there are many problems
followed. Today i want to talk about one problem many of you met
before or will meet in the future (hopefully never will) and why it
happens.
YOU GOTWRONG GOODS or NOT THE ONE YOU
WANTED! Is this problem big enough to be a headache for your
business? I guess yes, even you never have this problem before, just
imagine that will also drive you crazy! Here are 5 reasons i listed for
you, according my experience and investigation.
www.igools.com
1. Are you sure your Chinese supplier 100% understand
your needs?
Communication is very important in every kind of business doing
with China. How many times when you came to your supplier and
explaining just your ideas? Or you just describe how that product you
need is used for rather than how that product should be?
Most of time, your supplier in China will say "yes" when you try to
describe your needs and ask them if they can make it out.
Competition is very strong here in China, getting orders are first issue
by then. Especially when you and your supplier have never
cooperated before, and your supplier is not a very big company, what
is worse, you are discussing with them on internet, not face to face
meeting!
So always find and cooperate with suppliers who will ask you
question about products and manufacturing, rather than those who
only say "yes" to you. be patient when your supplier asking questions
and confirm again and again with you, especially when you just gave
them "idea" of product.
2. Beware of LOW PRICE!!
We care about profit, that's basic rule every business man should
understand, so lower and lower price... and even lower....
www.igools.com
But every coin has two sides, mind that damn low price! Sometimes
the evil seeds is already plated when you choose the lowest price!
In the 1st reason, i mentioned that some companies are eager to get
orders from you, of course they can offer you a lower price than other
competitors, But instead of using original or qualified spare parts or
components they will using a lower grade standard ones to match the
lower price for you, but without inform you at all.
For example, standard component of a plastic toy should all using
Material A in higher standard. but when they offer you a lower price,
they may have to use like this: Material A outside and lower standard
Material B inside. So at the end of this business cycle, who is
beneficiary? i think no one is.
Please pay attention to this Low Price problem, it is very common
when doing business with China, especially when that price is lower
30% than normal price, you should ask them, where and why is such
a big price difference, not just accept it like you are so lucky, your
Chinese supplier may also laugh behind your back, his trick perfectly
work on you.
3. How many times your requests for products are
passed on in the whole business process?
You must know that the importance to communicate directly, and
many experienced businessman will advise you that "GO
DIRECTLY" when doing business in China, but sometimes it is very
difficult to achieve. to explain, here is an example:
You got requests of products from your client, and let's say it is kind
of new field for you, but anyway you can find supplier in China with
this requests. You finally find company A, who is able to manufacture
for you, you may think that you already minimized your supply chain
by "going directly" and the communication cycle is ended here. But
let me tell you that your supplier's supply chain has just begun.
Company A need to purchase raw material, spare parts, and so many
others components, they may have 2 purchasing stuff working on that
and they will choose their right suppliers as well. Actually these steps
are right here in your supply chain, but you may not consider it.
Sometimes you have to do business with trading companies in China,
and this chain is even longer.
4. Did you find a good supplier who is responsible for his
mistake?
Sometimes the problem just happened, like the products surface
finishing is wrong it should be nickel plated but your supplier
(probablely his electroplate factory) made a mistake and now the
surface finishing is chrome plated.
According to my experience and i have also discussed with some
exporter in China, most of them will try to send it to you anyway,
maybe you won't notice or when you receive it, everything is settled
now, you may get mad, but you have no idea just accept it and you
should go and persuade your client.
So if you ever met a supplier who will take his responsibility to
rework on e-plating work, cheers!! you are lucky enough to work with
them.
5. Never forget Sampling and QC
If you want save money, please don't put sampling and Quality
Control in first place, it is very important to check sample and
compare sample with massive production, and write in your
contracts.
Some products are not suitable for sampling, like machinery, please
ask 3rd part inspection or arrange someone who can inspect for you
locally. for instance, i will record a video for clients of diesel generator
testing and upload to Youtube for clients' review, after they checked
this video, the rest payment will be made to lease the generators.
In my opinion, every order you make with China, inspection is a must,
even you have ordered same products for many times.
I know that there still have some other reasons out there, what do you
think? you can leave your comments below!
Baking Packaging Leader
Weifang Igools Packaging Co.,Ltd
Contact:Henry Ji
Website:www.igools.com
Email:[email protected]
Tel:+860536-2907035
Phone:+8615864325989