Businesses buying in China need to stay on top of the game if they want to face off competition. Many entrepreneurs source products, vet suppliers and handle importing from China themselves. For some of them it pays off. But for the majority, they usually are faced with challenges and unforeseen complications that can go as far as sinking their ship. Sourcing agents are here to help businesses navigate the complexities of global supply chains. Whether they need to find cheap products, or find better shipping rates from China. Their scope of knowledge and network usually span the whole supply chain. In a nutshell, importers and wholesalers who buy from China but are only getting mixed results should seek a China sourcing company to improve their margins and focus on developing their market. From supplier identification and negotiation to quality control and logistics management, buying offices (aka sourcing companies) offer a range of services designed to optimize every aspect of the procurement process. By familiarizing themselves with the ways in which buyers organize their orders, they can enhance supply chain performance. Importers can make informed decisions that align with their strategic objectives and maximize their competitive advantage in the marketplace. This infographic...

One of the most important concerns of any buyer is the cost of products sourced from China. The sourcing agent will make negotiations easier across various suppliers. So, if you are looking to get the best possible price on your procurement process, it is better that you understand the thinking behind the manufacturer’s pricing decisions. This will make it easier to negotiate a fair price without being overly forceful and rude. Here is a detailed guide about how supplier pricing is done and what methods are used for it. The Pricing Goals of Manufacturers  When determining the price of a product run, the manufacturer will consider the basic law of economics in terms of supply and demand. But remember that this is only an external force over a long-term period. The two main internal forces that work with supplier pricing when buying building materials supply wholesale are the internal cost structure and the pricing goals. So, the pricing goals of the manufacturer can be summarized as follows: Obtaining sufficient expected returns, which is divided into long-term and short-term returns For a longer period, by creating the largest total profit with control over revenue and total cost. The pricing goals are reasonable...

Direct sourcing involves purchasing directly from the manufacturer without any middlemen or sourcing agents in its supply chain. Though it is a popular method to buy products, it has several pitfalls. Hence, most builders go through sourcing agents. In this post, we will examine the various limitations of direct factory purchase and how sourcing agents can help improve the profit margins. One of the main disadvantages of direct sourcing building materials to supply wholesale is that it is a time-consuming process, which is difficult to scale up if your business starts to grow. Many buyers who use this model have trouble with suppliers not being able to meet their demands and product quality issues. Let us see each of these limitations in detail. Limited Product Offerings When sourcing directly from the manufacturer, you often have access to products offered only by that one supplier. This is problematic because sometimes the product offering may not meet your needs. If you find a similar item elsewhere, it may not be as high quality as the original product. Issues with Product Authenticity When purchasing directly from a manufacturer, there is no way one can guarantee that the products are authentic unless the manufacturer has...

Sourcing products from the Chinese market can significantly lower costs and maintain the required quality, making it an attractive option for businesses. Many companies use sourcing companies to handle the complexities of purchasing from abroad. When sourcing companies are involved, the process becomes seamless. These firms are crucial because they understand the local market, have relationships with manufacturers, and manage logistics and quality checks. When you are not in China, these sourcing companies can ensure the manufacturing process is going flawlessly. Sourcing products from China becomes much easier when they are in the picture. They are like a bridge between the manufacturer and the business owner. China sourcing companies play a key role in overcoming cultural and language barriers, ensuring adherence to international trade laws, and securing competitive prices and agreements. Despite the advantages of working with a sourcing company, businesses can still make mistakes. Here are ten common errors to avoid when sourcing products from China: Not Doing Enough Homework: Failing to properly research potential suppliers or the sourcing company can lead to poor partnerships with unreliable vendors. It’s vital to thoroughly check that suppliers can meet your quality standards and handle your production demands. Overlooking Quality Control: Quality...

In today’s globalized economy, sourcing companies connect businesses with manufacturers worldwide. Among these sourcing hubs, China is the largest manufacturer globally, offering various products at competitive prices. Wholesalers and brands seeking business growth and sustainability can leverage the services of a manufacturing company in China to streamline their supply chains and enhance efficiency. By collaborating with sourcing companies, wholesalers and brands can pay more attention to their core business functions, such as marketing, sales, and brand development.

3 reasons why China still relevant to outsource manufacturing and participating to world growth in 2023

The international export industry has expanded significantly in the last decades. In order to grow their businesses, many furniture sales companies started to import high-quality furniture from China. Local manufacturers started offshoring. In the end, it benefited the development of China furniture export industry. Nowadays, finding reliable Shanghai furniture vendors is a challenging task. An alternative to sourcing oneself in this scenario is to use a direct furniture source in Shanghai. Furniture sourcing agencies have experience managing transactions for international furniture purchasers.