There’s a saying that says ‘God made heaven and earth, everything else was made in China.’ It is definitely an exaggeration but in a way it also illustrates the pervasiveness of China-made products that are being sold all over the world. Products made in China are so widespread that there’s a big chance that one of the products within your vicinity right now is made in China. So many manufacturers have been established in China that if you have any plans of sourcing products to sell, you will most probably find cheap suppliers in China.
But with so many manufacturing companies in China, choosing one becomes a difficult task. But if you are serious about getting China goods then you can follow these simple tips on how to choose a supplier in China.
Think about your business and the best type of China supplier for you.
What kind of business do you intend to set up? Determine the kind of business you want to establish, including how large the enterprise is going to be in the beginning. This is an important step because identifying how large your business is going to be when you first open it will determine what level of supplier in China you should do business with.
There are different types of suppliers in China that will complement the size of your business. At present the following are the kinds of classifications: a large corporation, a third party supplier/third party buy-in, sell-out supplier, and an assembly based manufacturer.
Choose the supplier/manufacturer level that will be the best match for your business.
Organize your list of potential China suppliers
Once you have identified the kind of supplier or manufacturer you need, you can now look for the different companies that you can do business with. Organize the suppliers’ information in a table so you can easily reference the information and have an easier time comparing the data.
You can now assess the strengths and weaknesses of each company.
Do background research on each China supplier
A supplier or manufacturer should not be chosen based on the information they gave you. Do your own research on the companies. Use the internet and gather information on your own. This is good practice because you wouldn’t want to go into business with a company that has a dubious reputation or implements unfair business practices. This is also a great way of finding out about the company’s competitors, which will further widen your choices.
As an additional level of research, ask for a published list of registered companies that do business in your country. This is often provided by your country’s Trade office.
Contact your shortlisted China suppliers
Once you’ve shortlisted the number of companies that fit your business. It is time to contact them. Making a phone call and talking to their marketing or business development department is a great idea. Chinese companies that deal with clients in other countries usually have employees that can communicate with you in English. Ask for more information if possible and ask questions that will be relevant to you and how you will conduct business with them.
Based on the additional information you gather you can already make a final shortlist of three companies.
Visit the China suppliers’ offices
Once you’ve identified the three suppliers/manufacturers in China that you can possibly do business with it is time to actually go to China and do an inspection. This is a mandatory step. If you’re really serious with your business, you should visit the companies to see for yourself their operations. Go to their facilities and ask for a tour. You can even inspect their product samples and determine if their operation is at a level that will satisfactorily service your needs.
After following these steps you can now make the final decision of which supplier or manufacturer in China you will choose to do business with.
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