China has emerged as the biggest market in the world for quite some time and all the business tycoons of the world market want to enter the Chinese market for the further expansion of their business and to get more revenue than their competitors.
Why choose a Chinese Manufacturer
One searches for a Chinese manufacturer in order to cut down on cost because China has the largest labor force that plays a big role in cutting down the total cost of manufacturing. The biggest question that arises at the time of finding a Chinese manufacturer is that how to negotiate with Chinese manufacturers? One can converse via e-mails and text chats, connect on a conference call, share screens with voice chat, create videos, or use virtually any communication medium you wish. Most factories have English speaking representatives who can understand the language and there is no language barrier and one can easily convey his message.
Negotiation is a Key
If a Chinese manufacturer gets ready to manufacture your products then his motive will be to extract maximum revenue from this deal but you as a business entrepreneur will have to make him agree to your terms because loosening too much finances on the manufacturing activity will not serve your purpose of getting higher revenue with low manufacturing cost so negotiation becomes a vital cog of any business.
Pro’s of Chinese Manufacturing
- China-based factories produce goods for the global economy. They have scaled their manufacturing capabilities well beyond what was ever believed possible. When you choose manufacturers in China, you’re working with time-tested factories that have been producing quality products for a long time and with a massive scale supply.
- Outsourcing to China manufacturers allows you to expand your business rather quickly. You can expand and diversify your product offerings, as well as sell your products to international markets much easier.
- Domestic manufacturing can be extremely expensive. Between labor and training costs, complications in the manufacturing process, and equipment costs, the production efficiency takes a big dip. Production efficiency is extremely high and because labor costs are affordable in China, complications like defects rarely derail the operation.
A Boom in Textile Market
China is the largest producer and exporter of textiles and apparel in the world. In 2016, the country exported US$106 billion of textiles and US$161 billion of apparel. Its closest rival, the European Union economic bloc, exports only 75% of that, with regional competitors exporting far less. This proves that clothing manufacturing companies in China are booming like anything. China contributed approximately a 55% share of the total textile production of the world.
Causes of Concern
No doubt that finding Chinese manufacturers is having numerous pros for you as a businessman but it does have cons attached to it as well.
- One of the biggest concerns with manufacturing in China is the potential of being scammed. When you aren’t working face-to-face and there are language barriers, one can get restless and concerned about the security of his ideas and products.
- China is a master when it comes to product duplication and its capabilities are superior in this art. An effective and efficient replica of products can be made in no time. This is the exact process that made China the manufacturing king of the world.
Keeping these concerns in mind one is bound to think that how to manufacture your own product at a reasonable cost so that one can fulfill his dreams of market capturing and profit-making.
The Last Stroke
If you are also the one who wants to grow your business with time, then a competent sourcing partner like Noviland can help because it provides the best in class global sourcing experience, well equipped with a network of 3000 factories and other sourcing expertise.