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China Manufacturing – Understanding the Mind set of Chinese Manufacturers

By Jesus David Cano Romano
June 3, 2016
made in china to shows Chinese manufacturing

There’s no country better than China when it comes to reaching the expectations of manufacturing. With its low cost of labour and elite technology it’s become the best destination for any size business to outsource to. However, all businesses who are considering China need to be aware of various things specifically related to the manufacturing process in China. This will ensure the successful creation of a desired product fit for purpose.

Show Your Passion Towards the Product

Show the manufacturer you want to partner with that you are passionate about the product. This will allow you both to plan a good strategy that benefits both parties and develop a good relationship with the Chinese manufacturers. Due to the guanxi culture in China, building relationships is seen as a requirement. If you want the manufacture to prioritize you over their other contracts then it’s imperative that you establish a relationship with them as early as possible.

Monitor and Control

It is more than likely that the manufacturer you are considering will have other contracts and despite the fact that they will assure you that you will be a priority, it is vital that you have someone on the ground in China to follow the manufacturing process. Due to the bulk orders being received make sure the manufacture can regularly report to you about the progress and quality checks.

Establish a Quality Control Regime

Be skeptical about the quality of your manufacturer; don’t just believe what they tell you when it comes to quality. The only way to ensure that your product will be approved in your target market is by establishing a comprehensive Quality Control throughout the entire manufacturing process. Hiring an experienced 3rd party to conduct and monitor all the QA and QC activities is a great way to reduce the risks when it comes to quality. Not only can the product be faulty but your brand image may suffer too.

Watch out for hidden fees

The country hosts the manufacturing centers of nearly all the largest companies in the world. This means that the people are trained across various industries and niche areas. They have the necessary technical expertise to understand the most complex engineering drawings and electronic circuits. In other words they are very good at what they do and for this reason they may charge higher prices than what was agreed so enter the contract with caution.

The Government is very influential

Despite the fact the government has been privatizing over the last few years, they’re obviously still interested in the success of Chinese businesses. This means that they want to maintain influence and control businesses. Even smaller businesses are affected by local governments. It’s important to find out their stance, to be able to successfully do business in China. The information isn’t hard to find which shows that manufacturers actually want their customers to know about the government’s involvement in their contracts.