When it comes to starting your own business, the decision is the most important to choose the right manufacturing and fulfillment partner. In a word, while a qualified fulfillment partner can help you develop a successful and fast-growing business, the wrong selection could leave you with dissatisfied customers and less-than-stellar profit margins.
When trying to make the decision as to who they should use for sourcing their products, many entrepreneurs start by analyzing whether they should use a domestic or overseas partner — or if they should try manufacturing their products on their own.
Here the sourcing company shall be the priority choice with following 7 characters. And it’s a closer look at some of the considerations that make sourcing overseas the best option for your startup.
1. Cost Saving
The most immediately apparent benefit of sourcing overseas is the potential cost savings. Sourcing in China allows you to save on both manufacturing and labor costs, as these overseas facilities tend to have much lower overhead. As you know, even improved access to raw materials and other manufacturing resources can help lower costs. Sourcing companies have dedicated facilities, and have determined the most cost-effective ways to manufacture products. Because of this, they have the capacity to produce quickly and at a lower a cost.
2. Service Availability
One of the biggest problems in trying to land a domestic supplier is that many local manufacturers are limited in what they are able to produce. You might be able to find a local company that manufactures a little part of your products, but not all.
Alternatively, a local supplier may not be as willing to work with you on custom branding and other essentials for differentiating your products from the competition.
With overseas manufacturers, finding a provider who specializes in your desired product category becomes much easier. At carenasourcing, our current manufacturing partners work in over 300 product categories in China with wide range.
3. Scaled Production
China is one of the biggest economies in the world, and this is largely fueled by their ever-increasing production capabilities. Chinese suppliers are well-equipped to handle the mass production needs of businesses around the world.
Whether you need to place a large product order or you’re simply planning ahead for the future, working with a Chinese manufacture guarantees you’ll have the production capacity needed as your company grows.
Changes happen all the time in the business world. An unexpected increase in demand could require that you produce more units each day to meet customer expectations. Alternatively, you might need to place a smaller order than original expected. In this condition, the Chinese suppliers are more flexible in their ability to adapt to your business’s changing needs. Then the sourcing company can talk with the manufacture instead you, discuss, negotiate with the suppliers face to face.
When working with a sourcing partner, you’ll have a much easier time adjusting production schedules and capacities to meet your ever-changing needs.
Larger factory spaces with more equipment, a greater number of employees and longer operating hours allow overseas manufacturers to complete orders more quickly than their domestic counterparts. When your business sets up automated orders or shares inventory forecasts with your supplier, you can further decrease lead times for quick delivery of your items.
5. Language and Cultural Barriers
Additionally, there can be language and cultural barriers when sourcing the products in China. If you are not familiar with the country you’ve outsourced to, you might have difficulty communicating your exact needs and expectations.
Sourcing companies already have relationships with manufacturers. This allows them to work as a liaison for you, and make sure your needs are met.
Also, sourcing companies often have employees who have experience with different cultures. This helps facilitate the relationship with overseas manufacturers.
6. Quality Assurance
When order different products in different manufactures, sourcing company usually have their experienced QC who could do the during production or final inspection accord to avoid any mistakes for your orders. For many products, they know the standards well and could choose the right supplier for you and be sure the products will be good when arriving in your hand.
7. Increased Time for Other Tasks
Manufacturing a product in-house requires a lot of time and energy. Rather than worrying about the ins and outs of creating your own products, outsourcing to an overseas partner allows you to put more focus on other vital tasks that will grow your business.
After all, there are only so many hours in the day. “You can achieve more success by fully leveraging your strengths instead of constantly trying to shore up your weaknesses.”
By outsourcing your manufacturing needs to an overseas partner, you’ll be able to place greater emphasis on customer outreach, improving your website and other essentials that will help you make more sales.
A Better Partnership
From helping you save money to increasing the overall efficiency of your business, it’s clear that working with a sourcing company can make a big difference for your startup.
While you still need to do your due diligence to ensure you select a reliable and trustworthy partner, overseas sourcing can ultimately allow your business to become far more profitable and sustainable than if you chose a domestic manufacturer.
If you’d like more information about how to use sourcing companies for your business, contact us email@example.com. We’ll work with you to discuss and identify the right Manufacturing Solutions for your company.