Doing business with China exporters can be profitable or a total fail depending on how you approach partnerships. China is known for its large production lines thus buying goods from the country is way cheaper compared to anywhere else. If you are to deal with the Chinese companies or manufacturers effectively, you will need to understand the dynamics of the trade; how payments are issued, how to search for suppliers, how to communicate and so on.
#1.Looking for the Right Supplier
The first step to handling exports from China is to look for a credible supplier who will keep your business running. Getting a good China supply company goes beyond your normal search engine. Most businesses having connections to China also rely on business and trade-show directories as well when looking for new or potential clients. Another thing to know is that not all great suppliers will have a fully website in English (in some cases there will be no English at all) thus it is good to get someone who understands Chinese and will help translate the websites for you. If your business involves Intellectual Property, then make sure you have the idea registered in China before approaching any client.
#2.Communicating with Exporters
Approaching Chinese suppliers is best done on the internet. The initial email you send to a potential client should explain clearly who you are and the nature of your business. Next you will need to give full information about the goods you wish to buy and make sure you are understood clearly. Emails are a good way of shortlisting the serious suppliers; if you do not get a reply within the first three or four business days, cancel out that supplier from your list of prospects. At some point, you will need to meet with the selected supplier face to face to close the deal. Technology is good, however you also have to verify that your supplier is legitimate. A one-on-one meeting will also help establish who is the boss in both present and future transactions.
#3.How Payment is handled
Payments can be made face to face if your company can afford the frequent trips. The alternative is using wire transfer which is readily available and preferred by most Chinese suppliers. Accessing a credit card in China may come with hurdles given the levels of bureaucracy and restrictions. Wire transfer is the only fast payment option you can work with; just make sure you are using a secure channel and not end up losing money. If you don’t trust the money transfer option the first time you deal with a supplier, order small and avoid doing bulk until you are fully sure.
#4.Inspect the Goods Physically
When buying for the first time, it is better to fly over to Asia and inspect the factory goods yourself. Never agree to a middle man. Hire a Chinese inspection company if the inspection trip is too costly for your business. This ensures you get the quality of goods you signed up for and not counterfeits.
These four tips will go a long way in ensuring you deal with China exporters smoothly.