Monthly Archives: August 2018

International Freight Forwarders – Know Everything About Them

International Freight Forwarders - Know Everything About Them

Global freight shipping is a perplexing technique that requires the services of a universal freight forwarder. A freight forwarder is basically an organization whose obligations are to arrange shipments of partnerships or people, and to get extensive requests from makers to the business sector or to the last purpose of dispersion.

Freight forwarders today encourage the shipment of products. The forwarder himself is not a transporter in essence, but rather is talented in production network administration. Fundamentally, these international freight forwarders can be considered as a travel office for the transport business or as an outsider logistics supplier.

Freight can be reserved for an entire host of bearer sorts, which incorporate boats, trucks, planes and railways. A few shipments can utilize different transporter sorts on course before it achieves its assigned destination.

Freight shipping calls for particular documentation as it needs to experience numerous custom checks before being permitted to go through. The China freight forwarder would sort out the carriage of your global shipment, alongside helping the taking care of and handling of all the essential printed material. Worldwide forwarders additionally ensure that your shipment is touching base at the right place at the predetermined time.

International Freight Forwarders - Know Everything About Them

A worldwide freight forwarder needs to customarily manage you through the muddled procedure of universal shipping, as they are the specialists on the global freight shipping process. Along these lines you can comprehend and help your shipment and your freight sending organization can profit by this data.

The essential errand of international freight forwarders at work would be discussions and arrangements with customers and distribution centers that they manage around the world. This is on account of they have to assemble data with the end goal of passing it on to the concerned gatherings that they are working with or need to answer to as powers. These would incorporate different levels of transportation.

Different tasks incorporate guaranteeing that the freight being sent out by the customer dependably picks up passage into the nation it is being sent to. The forwarder should dependably mastermind the freight being referred to be gotten and conveyed to the representative’s last place of business.

This would mean being in consistent contact with trucking organizations and rail lines to guarantee that everything is operational and will achieve the relegated assignment in time. With the approach of advanced correspondence innovation these errands are moderately less demanding for the cutting edge freight forwarder, which implies that today, a normal forwarder might want most experts, spend his day before a PC, where they control and track the freights preparing and transportation.

Ignorance Will Lead to an Economic China Syndrome – Outsourcing to China

Ignorance Will Lead to an Economic China Syndrome - Outsourcing to China

A popular topic to talk about is the globalization of business. The terms international companies, multinational companies and exportation seem to be in every edition of the Wall Street Journal.

A popular complaint among many Americans is that outsourcing to China has a negative affect on the United States. Unfortunately most of us living in what used to be the most “powerful and respected country on the planet” are often easily convinced by politicians looking for a vote that China is bad for American economics.

This is easy to say, but hard to justify when you consider the facts.

The economic expansion of China and their increasing trade and investments in the United States have resulted in a Chinese and US economy that are largely interdependent.

Cost Savings resulting from Outsourcing of Manufacturing and Services

The phenomenon of outsourcing manufacturing and services sector activities to markets such as China used to be a consideration for American companies that were faced with the challenge of reducing costs. Now outsourcing is a necessity. And I can promise you, companies who are not outsourcing are jeopardizing American jobs.

Ignorance Will Lead to an Economic China Syndrome - Outsourcing to China

China’s vast pool of low cost labor ensures that almost any industry can achieve greater rates of return even after transportation and export fees are considered. China’s cost advantage translates into as much as a 70% savings over US salaries.

While China’s low-cost infrastructure leads to foreign direct investment (FDI) in China, the mass products and services produced are primarily intended to be exported back into other markets. China’s artificial exchange rate controls ensure that while its vast labor pool offers cost-efficiencies, its exchange rate creates cost-advantages to ship these product and services back into the US at prices that US-based manufacturers simply cannot meet.

American consumers benefit greatly from the inexpensive goods coming from China. The many US firms that are outsourcing manufacturing to China have remained competitive and profitable and thus are able to repatriate earnings back into the US as well as pay corporate taxes on those earnings.

It is economics 101 – A company that makes more profits-largely due to lower expenses as a result of outsourcing some operations to China-pays more taxes due to a larger amount of taxable income. This certainly helps the US economy, right?

Questions You Should Ask a Contract Manufacturer Before Partnering

Questions You Should Ask a Contract Manufacturer Before Partnering

To successfully bring any valuable product on the market you should ensure that you and the manufacturer are working together to find the most cost-effective and working solutions. There are many questions you should ask and should expect a solid answer.

Do You Have a Solid Quality Program?

Enforce that your manufacturing partner has taken quality standards. Moreover, check to see how long they have been certified. Make yourself sure that the company has adopted quality standards such as ISO 9001:2008 which provide the guidelines to make ensure that their services are consistently meeting the customer requirements. Ask them to show the records of their before program.

I Need The Lowest Price. Can You Do That?

If the price is your only worry, then you only need to ask the question. There are thousand of manufacturing consulting companies that will happily take your business in exchange for some cash. It is not a relationship, it’s business deal until the next cheaper manufacturer comes. Of course, no problem if it is your business model. But for maximum organization, customer value, and risk are supreme to price. So. Choose wisely.

Questions You Should Ask a Contract Manufacturer Before Partnering

What Will Your Top 3 Customers Tell Me About You?

A confident business partner is always proud to have hoped customers reach out to its top list for a reference. Sometimes very strict confidential agreements resist such type of conversation, but when an organization really enjoying with its manufacturer partner, they often find a secret way to provide a reference.

Can You Help My Product Stay Compliant?

Suppose you are going to produce new food products then you need a perfectly managed environment. Some manufacturers only worry about their own regularity and work, bit the finest will work with you protectively to manage regulatory updates. Even provide labeling help and help to navigate the industry environment and regulation. They also can be a resource for helping you manage the longer term stability of your products and equipment.

Are You Financially Stable?

You want to make a relationship with a contract manufacturer for many years. This is the reason you should know about the company’s financial stability. Don’t be shy to ask tough questions. You should know that your contract manufacturing company do invest in employee training or not. Will they give banking references? And many more finance related questions you should ask before make them confirm as your contract manufacturer.

Product Sourcing For Amazon – How to Find the Right Partners For Your Success

Product Sourcing For Amazon - How to Find the Right Partners For Your Success

Do you know who are the most successful sellers on Amazon? They are the people who can get their orders fulfilled in time, accurately. This level of performance does not just happen overnight. You need time and effort to find the right partners for product sourcing for Amazon. You need to partner with companies who can supply you with products as well as handle the order fulfillment process like clockwork. Once you find the right wholesale partners, you have taken first step on the path to success. Here are some tips to help you find your best business partners.

To successfully run a small business, you need to have a relatively stable income. The only way to achieve this is to offer more than one product line for sale. You can rarely find a single wholesale partner who can supply you with more than one product line. This means you normally need to work with more than one partner, for example a music CDs dropshipper and a pet accessories dropshipper. To succeed in this business, you need to appeal to a wide segment of customers. Diversity is crucial. You cannot rest on your laurels just because you find one good vendor partner. You need to keep on looking for more and more partners. Otherwise, you will not be able to gain access to sell the best items to sell on Amazon.

What criteria should you use to evaluate your dropship partners? Remember, in this business relationship, your role in the supply chain is to produce sales. In other words, you need to bring in the customers. So your partners have to provide good quality products and an effective dropship service. To be effective in Amazon product sourcing, both parties must fulfill their obligations. The wholesalers for Amazon sellers with whom you partner must be able to ship the products to the customer within one or two working days after the payment is received.

Product Sourcing For Amazon - How to Find the Right Partners For Your Success

It is strongly advantageous if your wholesale dropship supply partners can offer to deliver the products by both regular mail as well as one or more couriers like FedEx. This is increasingly the minimum service that must be offered to your customer, otherwise you may lose out on sales. In your store or auction, do not forget to highlight that you have more than one way to deliver the products, otherwise your prospective customer will assume that you can only deliver by regular mail.

To really make money, you need to know what’s hot on Amazon. There are two ways to do this: either you can do your own market research, or you can ask your suppliers. If you can partner with a supplier who can offer this information, this saves you a lot of time – time you can put to making more sales. Not only must your partner have this data, they should also act on it themselves to offer newer products. If your wholesale partner can only offer the same product all the time, your business will suffer. Consumers today are a jaded lot. They demand variety. Get cracking and find your partners for success.

Why Should You Choose Global Sourcing Services for Your Business?

Why should You Choose Global Sourcing Services for Your Business?

Global sourcing is a business strategy, where companies select the right suppliers or sources to perform their operations. It is a vast subject in business management and is involves providing work to experienced sources. Global sourcing services are a boon to today’s companies as it is cheaper than the actual work. It is going to be the next hot spot in sourcing, and is attracting hundreds of international buyers and sellers. With the increasing number of companies operating globally, your interest in China sourcing can be really beneficial for your business. Below are some reasons why should you choose global sourcing services for your business.

1. To increase the number of suppliers

Incorporating global outsourcing into your business will help you provide a continuous flow of goods. There are numerous suppliers globally who can produce quality products at affordable rates. These suppliers choose the strategies that balance the proximity to raw materials, so that they can reduce the shortage of supply as demand increases.

2. Quality goods with low-production cost

The cost of labor and manufacturing is the major drive of China sourcing, especially when it comes to the production of apparels, electronic devices, toys and other consumer products. A number of western companies are taking advantage of global sourcing services and getting benefited. Sourcing the work ensures that all the work is done by spending a small amount.

3. New technology

Global outsourcing is providing a variety of opportunities in high technology platforms and product designs. Most of the countries with low labor and manufacturing cost make use of the most advanced technology, which countries like US and UK don’t use. This makes global sourcing the best option, as the products are designed and manufactured using latest tools and equipments.

Why should You Choose Global Sourcing Services for Your Business?

4. Optimization of tax

In a latest survey, it was found that companies that are on global sourcing consider tax optimization as a part of their sourcing initiatives. As the global sourcing of the company develops, the company has significant opportunities for optimizing the tax and stay ahead of the game.

5. Customer satisfaction

Global outsourcing enhances customer satisfaction, as the products are manufactured with high quality and are available at affordable rates. Through global sourcing, you are hiring highly skilled and talented professionals who can assure that you are delivering products that satisfy the customers. As a result of which, your customers will be pleased to come back again and again. Customer satisfaction should be your ultimate goal, no matter where your company is or no matter how you manufacture the products.

Though global outsourcing is providing companies a comprehensive supply chain, the ultimate driving factor is the cost. Competition is increasing in various industries, and companies are being forced to think in an innovative way to meet the increasing demand of consumers. There is no doubt that China sourcing is the best option, when it comes to sourcing across the globe. You will surely find the best provider who offers the best rates with better service and quality.

Sourcing In China – An Overview Before Getting Started

Sourcing In China - An Overview Before Getting Started

Global sourcing has become less a strategic advantage and more a competitive necessity. Fierce competition is driving many companies to source in low cost countries. The expectations of more return on investment combined with increased competition drive executives to seek reductions in expenditures, making an immediate and direct impact on the bottom line. At the same time, they are challenged to maintain service levels and prevent any loss of control.

Many Western companies are eager to source Chinese parts and products in order to achieve these goals. Retailing giants are buying an expanding range of Chinese-made goods for up to 40% less than the cost of comparable goods made in developed countries. Driven by a continual margin squeeze, an increasing number of industrial players also found their way to source basic chemicals and commodities, small machining, molds, packaging and much more in China. Ford Motors, for example, has spent considerable effort to source more parts in China, but still those goods represent only a fraction of the components used in their vehicles.

Aware of the savings opportunity of sourcing half of their basic parts in China, they plan to vastly increase their purchases of China-made components. Although the opportunity is certainly enticing, the current stage of development creates skepticism about the ability to get right the many pieces of a sourcing operation in China. Some companies reportedly did not meet their target volume of sourcing products from China, largely because the job of evaluating suppliers and establishing and managing supply chain connections was more complex than the companies had understood.

Sourcing In China - An Overview Before Getting Started

The emergence of sourcing portals and specialized sourcing fairs has facilitated searching suppliers in China. Procurement managers will probably find numerous suppliers that comply with their requirements at first sight. With an attractive website or boot and a convincing sales proposition suppliers may convince companies of their professionalism. But finding high-quality suppliers and negotiating agreements with them are problems many companies face. Difficulties ranging from due diligence or intellectual property infringements and customs delays to poor communication make the sourcing opportunities less appealing. Moreover, the widespread use of trading companies does not offer the transparency companies need in order to monitor the process. Additionally, there are issues such as cultural and language differences that companies rarely face at home.

Many companies have fallen into traps because they only consider the cost factor instead of realizing that global sourcing is only effective when it involves the evaluation of all factors including the cost of materials, transportation, inventory carrying costs, taxes and tariffs, quality and operational risks.

Sourcing in China can certainly create a real competitive advantage, but this does not happen overnight. A company that wants to build value for the future should start to lay the foundations today. Of course, every structure is unique and needs more than foundations alone but these are the prerequisites for success. Considerable time and effort should be spent first to lay the foundation, but those who place their stones in a thoughtful way can create value and competitive advantage for the future.