They said that God created all creatures great and small; everything else was made in China. Funny as it is, a cursory look at the list of international corporations which have their manufacturing plants or have contract plants in China would prove the saying to contain a grain of truth.

Panda Bamboo store

Globally, China is second only to the United States of America when it comes to having the largest economy. By 2020, analysts surmise that China is poised to surpass the US if current trends continue. The number of Chinese investors acquiring western companies is rising. Even if China is not flexing its military muscles enough to threaten the United States, its economic might is being felt worldwide.

As a wholesaler, these facts might lead you to consider importing from China. However, before rushing head on, there are some advantages and disadvantages to consider.

Advantages

  • Affordable prices

Because of the economic boom happening in China coupled with cheap labor and materials, manufacturing costs tend to be lower compared to other countries. Non-perishable items can be acquired at a cheaper price. Since you bought these items at low prices, even if your markup is high, it would still be cheap by your own country’s standard. These would translate to a wide profit margin.

  • Wide Range of Offerings

Because there is a lot of manufacturing plants producing different things, your choices of products to sell are almost limitless. Bags, jewelries, electronics, musical instruments, cosmetics; name it, most probably they have it. Electronic products from China are in high demand because of their relatively cheap price tag but decent quality.

Disadvantages

  • Language

The language barrier is obviously the top hindrance when doing business with the Chinese. Try looking at a packet of Chinese foodstuff and you will get an idea of what you might be dealing with. As English is generally held to be the medium when doing business across continents, this might pose a little problem. Vital communications might get lost in translation. Orders might get mixed.

You can avoid these complications by avoiding complex words. Try to get your message across as clear and as simple as you can be.

  • Time

Due to the issue of distance, delivery time might give you sleepless nights, wondering when the goods will arrive. Hiring the service of a reputable carrier is one way to alleviate this fear.

If you know that the products you would be ordering are of the made-to-order kind, allow enough time for the delivery. Order well in advance especially if your products are in large quantities.

  • Quality

Horror stories abound regarding the quality of goods sourced from China. These stories are saying that products, especially the electronics, coming from China are just cheap knockoffs of branded originals. You should understand that the Chinese Government requires foreign companies doing business in China to share their technology with the state. Then the state improves and innovates on this technology. In essence, those are not “knock offs” as some claims.

If you are still in doubt about the quality of the goods from your supplier, do a little research. Check their reputations through online forums and from industry leaders. Whenever possible, always go for the non-branded items as branded ones have a high possibility of turning out as fakes.

All things considered, buying wholesale from China can turn out to be profitable. Sun Tzu, the great tactician, stressed the importance of foreknowledge before going to battle. Researching your potential suppliers first is a way of applying that dictum to this venture. Inquire around Internet forums and bulletin boards. Ask people who have had experience doing this what they can say. Don’t be afraid of doing these things because, taking that analogy further, this is a battle you can’t afford to lose.