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What should we pay attention to when purchasing in China?(2)

Foreigners ponder point three: how to ensure the quality of Chinese products

When you decide to purchase goods from China, the most important thing is to ensure product quality. Do we need to set up our own quality control organization? Do you have to visit Chinese manufacturers in person? Why should you take a field trip to China's small and medium-sized enterprises? What is the relationship between payment terms and product cost performance?


You can set up your own quality control team, which indicates that your company has the strength to monitor the quality of the samples exchanged, and can solve all problems related to product quality. This is an effective way to ensure the quality of the goods you buy, so that your customers will no longer complain about the quality of the goods you import, avoid the additional cost of product quality problems. Therefore, to some extent, the establishment of the company's quality control agency is an investment for the future development of enterprises in China.


When you look at a Chinese supplier, you should take a field trip. Some experts may think that they do not have to go there in person, just buy a few samples. Indeed, some large Chinese manufacturers have satisfactory internal quality control systems to ensure that product quality is up to standard. You will not have too much trouble with these big suppliers. However, they can't give you the most competitive offer because internal quality control costs money. In addition, the company you are working with may have partners in your country.

 

Therefore, cooperation with SMEs in China will be better. These enterprises need your clear instructions to tell them your qualifications and expectations. You can't expect to bypass your face-to-face communication to explain your specific needs and expectations. When you visit these small and medium-sized enterprises formally, you will find that their factories are smaller than you expected and their production capacity is not as good as expected. Because they are unwilling to lose order opportunities, they will be subcontracted to other manufacturers. More importantly, they won't pay much attention to your order because you're not their direct customer. If a manufacturer subcontracts your order to another manufacturer without telling you, then do not cooperate with it to avoid problems.


For product quality problems, you should find a compromise. In order to avoid heavy losses due to substandard product quality, you should initially choose a manufacturer that accepts a slightly higher offer. When you negotiate with a Chinese manufacturer, you should pay attention to the human cost and administrative expenditure of the Chinese manufacturer. Generally speaking, the operating expenses will not change in the short term, so you have to pay attention to the profit of the manufacturer. Of course, manufacturers will not do business at a loss.


The Chinese are basically negotiators, and they know how to persuade you to accept their offer. After several rounds of negotiations, when you find out that if they insist that they will lose money if they accept your offer, You shouldn't be too hard on someone else, or else other forms of problems will arise, rather than changing suppliers.
 
Foreigners ponder point four: how to reduce procurement risk in China


China attracts buyers all over the world, but it is difficult to select good suppliers and monitor their production processes in China.

Factory auditing, quality control and production monitoring are the most important factors to be considered when producing products in China. Now everyone is talking about China, talking about its charm and attractiveness, So we all run to China's products: Chinese manufacturers know this. In fact, it's easy to find many Chinese suppliers online, such as Alibaba and Made in China. However, it is not easy to find the terms that are exactly in line with the requirements we require. Manufacturers should also pay attention to online display. In the online showrooms, the manufacturers we see are perfect, but it may not be. Therefore, it is necessary to conduct field visits, and the ultimate goal is to ensure the reliability of suppliers.


For a foreigner who does not know much about the Chinese market, it's basically impossible to get the best quality goods within the expected delivery date purchased in China. Many people fall into the trap. The more orders you have, the more attention you need to pay attention to risk control.


An audit of a Chinese manufacturer can give us an idea of its qualifications, production capacity, scale and rapid response capability.

We should focus on the following points:

-         Years of enterprise establishment;

-         Internal organizational structure of enterprises;

-         Export license and related certification;

-         Export experience and major export markets

-         R & D capability;

-         Salary;

-         Production tools and appliances / production line / technology level;

-         Corporate reputation / modernization level / working conditions;

-         Raw material quality / packaging quality;

-         Financial level / profitability / sales volume;

-         After sales service and communication skills...


Before delivery of goods, the direct quality control of manufacturers is the most important link. In China, even if you have someone in the factory to monitor its production, its products are always unable to meet the needs of Western enterprises. It is precisely because of this that we have repeatedly stressed the importance of quality control.

The Chinese have a mantra called "Cha Bu Duo" (almost). From here we can see the Chinese people's thinking mode and attitude towards product quality.


It is difficult to return the defective goods which are found only after they are delivered, It takes time and effort and costs money. Therefore, quality clauses should be added to the contract to reduce the risk of quantity and quality.

 

The following considerations should be taken into account when reviewing products. These audits can reduce the production defects that plague importers, delivery delay and product problems.

-         Product name / product number

-         Weight / quantity

-         Raw material for production

-         Color / icon / label / brand

-         Certification / standards

-         Intellectual property / packaging

-         Comparison with samples

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So how much will French smes save by buying from China? Generally speaking, good procurement can save costs by 15% to 50%. But there are three necessary conditions: a good partner, preliminary audit and quality control. Manufacturing and assembling products in China can give western companies a huge competitive advantage while opening the door to both the Chinese and Asian markets. If you want to succeed, you must come to China to purchase or seek professional help from purchasing companies.

 


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