Importing from China can Boost your Profits

Importing from China can Boost your Profits

If you are looking for cheaper ways to get products manufactured so that you can boost your profits you might want to take a longer look at the option to import from China. While there are some real benefits to going this route there are also some pitfalls so here is a look at how to go about it and what you might want to consider as you do your research.

  1. Look at high ranking sites with a good reputation – Check out their websites, look at their domain name, look for a physical address and phone number, see what response you get if you call it. Sometimes a site that is ranked well when you search, might just be there because it is good at branding themselves. While this is a good first look it should not be the only bit of homework you do when you want to import from China.
  2. Be clear about requirements and arrange quotes – When you have a few names you can get in touch with what it is you want and ask for quotes. It is important to be very detailed and specific and to see high standards in delivery and manufacturing quality. Make sure all those possible parties know those requirements. Look for reputable businesses with a history of importing quality products. Set out what you expect with packing and consider adding graphics so that it is clear.
  3. Be clear about branding requirements – Another thing to be very detailed and clear about are any branding requirements you have. Be prepared to spend some money on getting that just right as customers do value that.
  4. Make sure minimum safety and standard requirements are clear – Look into any minimum requirements there are where you intend to sell for materials used and safety requirements. Make sure you meet at least the minimum if not exceeding it. There is a perception that when you import from China the quality of the product is going to be low. That is not true as long you set requirements and find a reliable manufacturer that sticks to them.
  5. What is their minimum order requirement? – All suppliers will have a requirement that you order a minimum amount. Make sure you meet that. Buying bulk saves you money.
  6. Can they meet your delivery date requirement? – There can be some Chinese suppliers who are not great at sticking to deadlines so make sure your date is clear and that they can meet it. You could invest in a consultancy service to help mediate when it comes to quality control and meeting deadlines.
  7. Check the payments accepted – There was a time when it was harder to do business with China because of the lack of payment options. Now things are a lot better but double-check and have an alternative payment in mind in case your first choice is not possible.

Summary

When you import from China a lot of the learning curve is about using common sense and doing a little research. Once you have some experience this will get easier and you will certainly appreciate the savings you see.

Importing from China – Common Concerns

Importing from China

It is common to see products from all kinds of industries that are made in China then exported around the world. There are some exciting things for businesses that are considering whether to import from China. Lower costs are especially a big draw because of the lower wages paid to workers. But there are also some common concerns or negative views about the whole thing of doing business with China so some people hesitate to take the plunge. Here is a look at some of those concerns and whether they are accurate and what you can do.

Payment options are less secure and limited

At one time this was true. There was a time when businesses in China would only accept bank transfers, wire transfers or Western-Union transfers. These were not always secure and it was certainly not convenient. But in the last decade or so things have changed quite a bit. China has made sure it is easier to do business with them and more international means of payments are now available.

There are also places like Paypal, where should a supplier ask for a credit card payment you can use Paypal, or another third-party processor, to channel that payment through. This means that as well as your data being protected, should there be problems with a transaction, you can order the payment to be held. There are also additional international payment options now.

There is more risk of being cheated

Some have concerns that when you import from China you are going to be cheated somehow. Not all Chinese business people are untrustworthy at all. Learn about how they do business in China and that can help. You can also take the time to find reliable suppliers or manufacturers and find an export-import agent who has the experience and can help with negotiations and such.

It is hard to communicate with Chinese businesses

Of course, there is a language barrier. But more Chinese companies are adding staff in key areas who can communicate well in English too. There are also other options including doing some of the communication using tools like Skype or Messenger. An agent for imports and exports could also help with ensuring communication is clear both ways.

Products are poorly made and unsafe

A lot of people think anything made in China is done poorly using substandard manufacturing skills and poor quality materials. While some products might fit that view, the vast majority of products a business might import from China are made well. Just think of some of those big industry names!

The problem in fact might not lie with China and its manufacturers but with their customers and the specifications and standards they set, or fail to set. It is your job to make sure what you order complies with the standards where you are. Get a sample first before you buy a huge order. You could also hire a company that can handle everything like that for you from quality control to product sourcing.

Doing Business with China

Doing Business with China

When you are looking to import from China and start a business relationship with companies there it is important to properly prepare. Your standard business knowledge is not going to be enough to have real success that lasts long term. The Chinese do business in a certain manner and for anyone wanting to be a part of that, learning and understanding certain things are essential. Here are some tips.

Have some patience

You will need a lot of patience. You may like to make quick decisions and take swift action in business but when dealing with Chinese businesses, you may need to accept that some parts may be slow. It depends on how they view the transaction, their international experience and how strong the relationship is.

Develop a strong business relationship

That leads us to the importance of developing a strong business relationship. The Chinese place a lot of importance on trust and respect, their drive is not just about the money. To import from China you need to show you are trustworthy, dependable and transactions with you will be secure and low risk.

Understand the Chinese concept of guanxi

The literal meaning of Guanxi is relationships but in this context, it refers to developing a strong network of contacts and business relationships. Having strong guanxi with the government and with the right businesses can have a huge impact on how well your business transactions do and how well you prosper. It is about having honour, being courteous, communicating regularly and correctly, having respect, following through on promises and showing loyalty. It needs nurturing for it to stay strong.

Build some good local contacts

It really helps to have local contacts who are good at what they do. When negotiating with the Chinese to import from China they have more respect for those who use excellent representatives or themselves speak Chinese and follow the Chinese way of doing business. A local who works in imports and exports and has worked successfully with the business can really help with any issues and help when decisions need to be made.

Learn about the differences in business etiquette there

While you employ local experts to help with transactions it is still important that you also learn about their different systems and the etiquette expected of you. For example, when you do business in the US or Europe the contract is the seal of the deal between you, it binds both businesses to the agreed-upon transaction or deal. For the Chinese, you do not present a contract at the start of negotiations and a contract does not indicate full commitment. That is about the relationship not a piece of paper.

Use experts who have experience and can guide you

As well as using local experts when you import from China, there is also the option of using a quality control company experienced in inspecting products who know how to product source and can ensure your standards are maintained. Having an in-depth knowledge of this process could be a crucial part of making sure you get exactly what you want to be delivered when you need it.

Being Successful When You Import from China

Being Successful When You Import from China

When you look at the considerable rate of growth China is experiencing economically it makes sense to consider whether to be a part of that success. It has become second only to the US in fact as a world power. With multiple industries and operations, no wonder businesses choose to import from China. They can be great manufacturers and it is more cost-effective. So this means importing products from China costs less than from elsewhere and makes a great place to buy wholesale from to import and sell in different markets. There are ways to do this so that you can see more success so here are a few tips to help.

Narrow down the product

There is a broad range of product categories you can find in China but going too broad is not a good idea. It will work out better to narrow down what it is you want to import, this makes it easier for tracking distributors and in getting quotes. It is also then easier to sell in bulk what you import. When you have chosen the products you need to find their International Trade Codes and make a note of them. These are codes that are recognized around the world and so it makes it easier to find suppliers and buyers.

Make sure there are no restrictions on your choice

The next part of being more successful when you import from China is to make sure there are no restrictions on what you want to bring in. The authority that you need to talk to about your list of products is the International Trade Administration. To learn about the wholesale Chinese companies you could be working with look at the Federation of International Trade Association’s website. You can get various important information including any trade fairs that are coming up, links to trade sites, and trade lead data.

Get several quotes

Another good decision is to get quotes from at least three different countries before you make a deal with just one. Those quotes should include things like taxes and customs fees. See what exemptions you might be entitled to and make sure all quotes are very clear on what the products are and how many you would be ordering. That way there are no complications or the potential for misunderstandings. Check to see what the expiration date is of the quotations so you know how much time you have before you have to make a decision.

Work with a great distributor

Working with an experienced and professional distributor can make all the difference when you import from China so spend some time before you make a decision. Make sure you are comfortable working with them, that they take your preferred means of payment and that the conditions and terms are very clearly stated and agreed on. Choose the safest method for you so that there is less of a chance of fraud. It is also a great idea to hire a broker or customs agent with the experience to finalize things for you and oversee the delivery.

When you look at the considerable rate of growth China is experiencing economically it makes sense to consider whether to be a part of that success. It has become second only to the US in fact as a world power. With multiple industries and operations, no wonder businesses choose to import from China. They can be great manufacturers and it is more cost-effective. So this means importing products from China costs less than from elsewhere and makes a great place to buy wholesale from to import and sell in different markets. There are ways to do this so that you can see more success so here are a few tips to help.

Narrow down the product

There is a broad range of product categories you can find in China but going too broad is not a good idea. It will work out better to narrow down what it is you want to import, this makes it easier for tracking distributors and in getting quotes. It is also then easier to sell in bulk what you import. When you have chosen the products you need to find their International Trade Codes and make a note of them. These are codes that are recognized around the world and so it makes it easier to find suppliers and buyers.

Make sure there are no restrictions on your choice

The next part of being more successful when you import from China is to make sure there are no restrictions on what you want to bring in. The authority that you need to talk to about your list of products is the International Trade Administration. To learn about the wholesale Chinese companies you could be working with look at the Federation of International Trade Association’s website. You can get various important information including any trade fairs that are coming up, links to trade sites, and trade lead data.

Get several quotes

Another good decision is to get quotes from at least three different countries before you make a deal with just one. Those quotes should include things like taxes and customs fees. See what exemptions you might be entitled to and make sure all quotes are very clear on what the products are and how many you would be ordering. That way there are no complications or the potential for misunderstandings. Check to see what the expiration date is of the quotations so you know how much time you have before you have to make a decision.

Work with a great distributor

Working with an experienced and professional distributor can make all the difference when you import from China so spend some time before you make a decision. Make sure you are comfortable working with them, that they take your preferred means of payment and that the conditions and terms are very clearly stated and agreed on. Choose the safest method for you so that there is less of a chance of fraud. It is also a great idea to hire a broker or customs agent with the experience to finalize things for you and oversee the delivery.

Basics to think about if you want to import from China

Basics on import from China

China is second only to the US for the size of its economy and it continues to grow rapidly, especially with its import and exports. It manufactures many different products and exports them all over the world including but not limited to mobile phones, electrical machinery, toys and sporting equipment, plastics, bedding and furniture. It has the largest automotive market with its more than 1.3 billion population. It has the potential to overtake the US to become the largest economy in the world. This has led to many businesses choosing to import from China. So here is a look at why they are so attractive and how to take advantage of it.

Competitive with other manufacturers

There is a misconception about products from China that they are cheaply and poorly made. But the majority of the time, this is not the case. Otherwise, China would not have the success it does in sending its products around the world! Buyers should set their own standards on what they find acceptable, and if they are setting those standards too low then consumers should have a problem with that. There are a lot of large names in various industries that have their products made in China and are extremely successful. Companies just need to set strict conditions on the quality of materials, the quality control and the manufacturing standards they have.

Less red tape nowadays

Once the process of choosing to import from China was difficult because there was a lot of red tape to cut through. In recent years a lot of those obstacles that discouraged foreign companies from working with Chinese suppliers have been relaxed. In 2001 China became a part of the World Trade Organization and this lead to a more liberal stance and opened up a lot of opportunities. It is a lot easier and also safer to now buy Chinese products.

Many workers available

A huge advantage China has is its high population when means there are a lot of workers. With lower costs of living, wages to Chinese workers are a lot less than those in Europe or the US and this means companies can save a lot of money using labor in China and manufacturing costs are reduced significantly. There are risks though, including the language differences. That is why it is a good idea to hire some staff in certain departments who also speak the language your business works in predominately.

Take into consideration Chinese business etiquette

You are also more likely to see better success if you understand Chinese business etiquette and respect that. It can make all the difference between how successful you are in your business transactions. Even with a more liberal approach to international business transactions, culture and traditions are still important. You will need the flexibility to import from China successfully. It also helps a great deal to use a private company that is experienced with working on inspecting and sourcing products from China and performing high-quality control.

The Complexities of Importing from China

Complexities of Importing from China

The fact is when dealing with manufacturing and sales, businesses that import from China will achieve better profits than those that buy and sell only in the UK, just because the profit margins are larger from the cheaper costs of production there. But the key is to find reliable and quality suppliers. Sometimes you can do that through your own research but it also helps to have the help of an agent that has experience with dealing with China.

Start cautiously and build once you have more experience

You might see the figures, be new to the decision to import from China and rush into buying the stock because you can see so much profit to be made. The businesses that start more cautiously and with a limited range of products tend to last longer and see more success though. It gives you time to find suppliers you can trust. Be prepared though that most Chinese companies do not ship in very small quantities. They do expect a bulk order but that might vary from one supplier to another so check it out.

Logistics can be a problem

Logistics and complexities of importing from China can be high so prepare yourself for that at first. It helps to be very clear on what you expect, the arrival date, how it is packed and so on. Do not expect things to be as fast and smooth as when you deal with a UK supplier, things are a lot different, it is not just the distance and the time it takes, the expectations and process are different too. There will be a period between the order and its production, then another between that and the delivery. Often when you import from China expect things to be made to order. Many do not carry finished goods. A lot also work on the idea of first come first served. This means if you are ordering for extremely busy times like Christmas, allow a lot of extra time!

Use a reputable agent

As mentioned you need to do your research and it does help to use an experienced and reputable agent who knows how to import from China successfully. Choosing to import blindly online tends to end up with poor results and that is where more of the unsavoury elements work. Watch out for requests for cash advances and email accounts that are hijacked. The standard payment form is a letter of credit, but there can still be issues even with this method. You might discover that boxes are not full of your product after the bank honours the letter so it is too late. You can look for contacts that you can trust in better places like trade fairs or from personal recommendations.

Conclusion

When you import from China there are some things to take care of and experienced export-import agents can help with a variety of issues. It might be well worth investing in one with a good reputation to ensure your business in China is more successful.

Five Great Tips when you want to Import from China

Tips to Import from China

More than fifty thousand million pounds worth of goods is imported from China to Britain each year. It is becoming one of the most popular places to import from and more businesses choose to import from China every day. The fact is if you get it right it can boost your profits and see your business achieving huge success. But if you get it wrong, things can go pretty bad. Dealing with China is not the same as dealing with a supplier in the same country as you. Research is needed before you start bringing in goods and run into issues that threaten your business. Here are five tips that will certainly help.

Make sure you work with exporters who are credible

Always check to ensure you are working with credible and reputable exporters. Just looking online for some names and then working from the top is not the best way to find people with experience that you can trust. There are people from China willing to scam you as there are in the rest of the world. You order some samples, they send it back and it is all high quality and great, you order and pay for a bulk order and this time you receive substandard items or nothing at all. Ask for references and check into them and do some research on them.

Understand terminology used and be detailed about every single thing

It is really important that you learn and use the correct terminology and that you are precise about everything so expectations are clear and there is no misunderstandings. A great example of this is you might want something to be made from leather but when it arrives it is not. It turns out that you have state genuine leather in the order otherwise they will use imitation to save money when you import from China.

Be prepared for quality control problems

The kind of quality control process you might be used to in the Western world is not the same as over in China. You have to set your own quality control requirements and make sure the Chinese manufacturer meets those standards. Otherwise, you will have problems with things not meeting the standards back home.

Make sure shipping details are specific

Those specific and precise details are important in the shipping information as well. It happens that you can import from China and find boxes falling over themselves when you open the container.

Narrow down the products you import from China

It can be a great way to make a profit but you should narrow down the products rather than have too broad a genre. It might even be worth finding a manufacturer in China that specialises in one or two products only and work with them. Look for businesses that have a good track record for prompt delivery and quality products.

First Steps Towards Importing from China

importing from China

There was a time when those in business speaking about global powers would not have thought China would one day be a part of that. Even loss think that they have a rapidly growing market that puts them second in the world. But while it is now possible for companies to import from China and do more business with them than ever before, there are still some complexities to navigate to reap the benefits. But those benefits are high and that is why more and more companies from Britain and the rest of the world are taking these steps. But where are these opportunities? A lot of UK businesses, especially those that are small to medium in size might feel unsure about how to take advantage of what China has to offer.

Using suppliers in the UK versus China

When ordering from other businesses in the UK things to be fairly simple and you more often than not get what you ordered when it is needed. It makes things like stock control and cash flow easy to manage. But the disadvantage, of course, is apart from paying more for the product you are selling the same thing other people are selling. You do not stand out from your competitors and are not offering consumers anything new. To secure a more interesting product and to take advantage of cheaper options more are choosing to import from China. But the process is not the same and takes some navigating.

Use a reputable agent in China

To find a good supplier in China it can take a lot of homework and even then you might find yourself having to deal with several options before getting a partnership going that works. When you import from China it is a good idea then to use an agent with an outstanding reputation who has the experience and can help you navigate working with a Chinese manufacturer or supplier. They can ensure your goods are to the specifications and at the right quality levels, you have set. They can make sure the quantities are correct and help with the cultural differences in dealing with Chinese businesses.

There are a few ways you can find a good agent. The trade departments in the embassies often have agents on their books they recommend to businesses. In the UK you can look at the local trade association who can help provide you with agencies who would prove invaluable to you.

Check out international trade fairs

There are also trade exhibitions you can attend and learn more. International trade fairs can be a great source of information for people to do business with, who you might want to use to import from China, as well as products you might want to buy. You can find Chinese companies at many of the larger international trade fairs who want to work with businesses in the UK, Europe and elsewhere. Your local trade association will have details on where and when such shows are taking place.