May 31, 2018
Chinese Industrial potential, and how Sourcing Agents are vital to accessing these emerging markets
China probably has the largest-scale manufacturing industry in the world, comprising of more than 3 million businesses and over 1.4 billion people producing an excess of 8 million types of products in all kinds of scales and categories.
With such a huge industry and market for manufacturing, businesses wishing to take advantage of all the good things that Chinese suppliers and manufacturers can offer (i.e. low-cost production), need all the help they can get to effectively navigate the increasingly complex and ever-growing market.
Below are some interesting and useful facts you should know about sourcing agents in China:
- Sourcing agents come in all scales and forms. They are commonly referred to as purchasing agents, brokers, sourcing agencies, procurement solutions companies, and/or buying companies. Working with sourcing agents and procurement organizations can be beneficial to any company or business looking to source products and services from low-cost countries like Vietnam, Brazil, India, South Africa, but mostly, from China. A company specializing in connecting companies with Chinese manufacturers is the best place to turn to if you need help dealing with Chinese manufacturing businesses.
- Sourcing agents can be classified according to the region and the function they serve. Sourcing agents may operate in specific regions and cities. Yiwu sourcing agents, for instance, specialize in wholesale markets, and small commodities, for which the region is famous. Those who serve Shenzen and Guangzhou are the best people to turn to for sourcing electronic products and supplies. For more strategic sourcing solutions, Shanghai sourcing agents are your best points of contact, as they can connect you with the highest quality options for your requirements.
- Sourcing agents can likewise be classified based on their function. There are manufacturing sourcing agents whose focus are on customized product sourcing and manufacture supplier development, along with product sourcing agents, whose specializations are in finding off-the-shelf commodities and products. As such, product sourcing agents typically don’t have R&D departments, which are critical to product development. If you are interested in the actual development of a brand-new product, a manufacturing sourcing agent is the better choice for your business.
- Online resources for sourcing Chinese manufacturers and products abound in this day and age of high-speed internet and developing technologies, many companies still choose to work with China sourcing agents because of the expertise they offer in liaising between worldwide businesses. Sourcing agents are ideal for small business owners, trading companies, wholesalers, and retailers, as well as start-up companies wishing to set-up a sound import/export business.