More and more people are deciding to start doing business with the Asian giant, although many people are not aware that the Chinese style of negotiation is far from that of the West. Before you start shopping in China, you should be sure you have located the right supplier for you.
Asian distributors are specialists in detecting customers with no previous import experience. For this reason, and if this is your particular case, you should take into account the following factors during the negotiation process.
Production lead times
There are some reasons why production could be delayed:
- Some products are seasonal, so suppliers of these items will have busy and quiet periods. You should be aware of your supplier’s peak season and adjust your orders according to their calendar to avoid extended lead times.
- If you have already verified the sample sent by your distributor, please request a confirmation of the production lead time of your order.
- If it is the first time that you contact a Chinese supplier, the most usual thing is that the deadlines are extended due to the distrust of both parties. For that reason, many people choose to simplify the process by turning to companies like MingTa Group. The lack of knowledge of the culture, language, negotiation methods or jet lag can become a major obstacle, causing the operation to fail if it is not delegated to specialized companies.
- If for any of these reasons the production of your order will be delayed, you should remind the distributor that the quality of the product ordered is not conditioned by the date of shipment. Suppliers often speed up production in order to meet agreed deadlines, causing defects in the ordered items. The quality of the product is the most important thing.
Payments
It is not easy to find the right Chinese supplier for you. Locating a reliable distributor is the key to success when doing business with the Asian country, for that reason it is essential to find out about the professionalism, the way of working and the payment methods offered by the person or company that is going to supply us. Internet scams are becoming more and more frequent and, although web platforms try to take the utmost precautions to put an end to this problem, many fraudulent providers end up getting away with it. If you want to know more about these scams or you think you might have been scammed online through a Chinese website, this article will give you more information.
International commercial terms
Better known as ‘Incoterms’, they are terms that reflect the rules of voluntary acceptance between a buyer and a seller regarding the terms of delivery of the goods ordered. They are used in order to make clear the costs of this type of transaction. The prices offered by a Chinese supplier are based on an Incoterm, the most used are CIF(Cost, Insurance and Freight).
and FOB(Free on Board).
- Incoterm CIF
The seller is responsible for delivering the goods to the port of destination agreed with you on board the means of transport chosen by the supplier, for the payment of the international freight and insurance costs.
- FOB Incoterm
The seller will make the goods available to you on board the agreed means of transport. Under this term, the supplier shall bear the cost and risk until the goods are taken on board the ship.
Product quality
A common mistake when looking for the ideal supplier for you, is to look exclusively at their prices, you would be assuming that you are less demanding with the quality. Inspecting the quality of the goods before shipping them to your destination in China is not only important, but essential to avoid surprises. Companies such as MingTa Group, 2017 best procurement company in China, offers a quality management service that ensures compliance with all parameters agreed with the supplier.
