China Sourcing Guide

6 Pitfalls to Avoid When Sourcing from China

There are quite a lot of effort and things to consider when sourcing from China. This post will discuss some of the most common mistakes companies make when sourcing from China. If you are looking to source products from China, we can help you avoid these costly pitfalls.

1. Getting stuck with the wrong supplier

There are a lot of things you have to check when looking for a good supplier.

  • Focus only on price

In order to make as much profit as possible when sourcing from China, many sellers try to bargain with potential Chinese suppliers. This gets in the way of the supplier’s interest in producing a quality product for you. If a seller finds your offer barely profitable, they may not see you as a valuable customer. Unrealistic bargaining can scare off even the best suppliers, which narrows the list of suppliers you can work with. Don’t just get carried away by the low prices. There are many other things you must check in order to find a quality supplier for your needs.

  • Not paying attention to supplier qualifications

Once you have shortlisted suppliers, you need to verify their qualifications. While some obvious information is available online, you need to assess: do they have the technical expertise and production capacity to deliver what they say they can deliver.Good manufacturers, suppliers, and suppliers usually have certifications for quality control and production capabilities. Applying for certification is important to ensure your suppliers are committed to delivering the best quality and improving their processes to remain competitive.

  • The financial strength of the supplier

If your suppliers are suddenly forced to close their operations, you may be on your own. Cash flow problems can also mean problems purchasing raw materials, manufacturing and shipping finished products on time. You will want to look for established players who have been in business for a long time. These companies typically have strong financials and a large customer base, allowing them to operate smoothly for the foreseeable future.

  • Productivity of suppliers

You also need to know how long it will take for the supplier to supply the product. You don’t want to be disappointed by supply delays. Problems in production and supply disruptions can mean that goods cannot be received on time. Your supplier should have a good history of delivering on time.

2.More common pitfalls in the manufacturing process

It seems that most people who do sourcing from China are well aware that the manufacturing phase is the one most prone to problems. Because many setbacks in product production stem from poor pre-planning. So let’s take a look at some of the main pitfalls and problems businesses often encounter at this stage.

  • Lack of contractual agreement

If you’re buying in bulk or going into private label manufacturing, and you don’t have smart contracts to protect your interests and terms of business, that’s a huge problem. No matter how relaxed the Chinese suppliers make you, how assured the communication is, without smart contracts, it is a huge risk.

3.Difficulties that will arise after sourcing from China

There are many companies that successfully passed the first two stages, but then went through a nightmare before receiving the product in their country. This is mainly due to two factors. Long wait times: While we live in a more connected world than ever, receiving goods from China does not equate to speed. From the time a product leaves the factory to the time it arrives at the company, it can take anywhere from two weeks to two months in a worst-case scenario. In addition to being long, this kind of waiting sometimes gets worse

While a good agreement is a great way to start building a relationship with a supplier, regular quality control checks are necessary so you can ensure the quality of your product is up to your standards. This prevents costly mistakes in the future. Studies have shown that problems found later in the production process are always more costly than those found earlier.Product quality badge on a wooden table in bright environment

Due to differences in language, culture and management style, this is why it is so important for buyers to choose professional suppliers for cooperation when plan to sourcing from China .Ningbo Greentime Imp & Exp Co., Ltd is a reliable partner with manufacturing experience, adhering to the value of “Quality First” and maintaining a good brand reputation in the industry

Sherry Zhang

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