China Smart Sourcing
Chicargo - USA
 
(630)922-2800 Your One Stop Shop for China Outsourcing
Frequently Asked Questions
 
Why outsource to China?
What products/industries are the best candidates?
Why should I work with China Smart Sourcing?
How can I be sure of my product quality?
How does the shipping work?
Low Volume and Minimum Order Quantities?
Do I have to maintain a Letter of Credit or use an International Wire Transfer?
How do I get started?
 

Q: Why outsource to China?

A: If the part price for an auto part component cost $20 in the United States, it may lower to $8 or less (FOB a port) if it is made by a Chinese factory. Shipping cost (by boat) and other fees normally account for 6% of the cost. If your annual volume is 100,000. You would save about $1,100,000 a year for this part.

The growing trend, for labor-intensive products, is to source them from China. If you don't do outsourcing in China, your competitors will do it and offer prices to your customers at 30 to 50% less than they are currently paying you, you may quickly lose customers. Even Wal-Mart is making big-time success out of made-in-China products. If your company wants to be a leader in the 21 st century, it is hard to imagine that it wouldn't involve having a sourcing strategy in China.

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Q: What products/industries are the best candidates?

A: China has been preferred location for manufacture of numerous products for the last 20 years and with its entry to the World Trade Organization, the demand from global customers will continue to grow rapidly.

Almost everything can be manufactured in China. The best candidates are those that are high in labor content. Here are some product categories we can assist you in obtaining:

Air Conditioner · Apparel · Automotive Parts · Electronics/Machinery · Furniture · Home & Office · Hardware Products · Lighting Parts & Accessories · Metal Products · Plastic & Rubber Products · Shopping Car · Sporting Goods · Tooling & Dies · Toys · Tractor

The chances are good if you have specifications, engineering drawings, and product samples, we can source your product in a short time at very low cost while maintaining high quality.

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Q: Why should I work with China Smart Sourcing?

A: An inexperienced U.S. company might think that going direct to a Chinese manufacturer would result in a lower price than that which they could get working with China Smart Sourcing. However, many of our best customers have tried going direct in the past and failed their China Strategy. After spending considerable time, money and energy traveling back and forth to China, they find themselves months or years later still lacking a strategy, plans and most important - results.

To many such firms, to conduct business halfway around the world is not easy. Some of the stumbling blocks to successful business with China include, among others, the risk of entering a new region where you have no experience and no physical presence, cultural/language barriers, lack of market knowledge and contacts with governmental/ business authorities, absence of on-site personnel to carry out market research and oversight, and the difficulty in understanding government policies, and legal, tax, customs, and regulatory issues.

By partnering with China Smart Sourcing, you can be rest assured you get our unparalleled attention and expertise. We provide a worry-free way to outsource manufacturing to China and achieve rapid, cost effective results.

At China Smart Sourcing, our greatest strength is our core team of dedicated professionals. Each of us is U.S. educated Chinese-American having proven success doing business in China. We speak the languages, understand the bureaucracies, are familiar with local laws, tax, and customs, and most important know the high rank government officials. We have contacts, network and team necessary to unlock doors for you.

When you work with China Smart Sourcing you're working with a company bound by U.S. patent laws and corporate regulations. We guarantee your proprietary products and information will only be used as your company directs, according to the law. When working direct with China, you'll encounter a confusing Chinese laws and customs that will intimidate all but the most knowledgeable China experts.

We facilitate you doing business directly with Chinese suppliers, via either short-term or long-term contractual relationships. We exist to guide you, not to take over the whole process. You have a right to negotiate your own deals directly with suppliers and be involved in every aspect of a trade. We charge a simple flat fee for service offered, That way, you'll have transparency so you'll know exactly where money is going.

We work only with the finest manufacturers in China to guarantee you the highest quality of materials, craftsmanship and products. Using our extensive sourcing network, we select three or more qualified Chinese suppliers to provide quotes, pricing review and analysis. Our goal is not just to find a supplier in China; our job is to find the best supplier in China.

If you are serious about achieving real savings and improving your competitiveness, then a partnership with China Smart Sourcing is the smartest and easiest way for you to do it. Take advantage of outsourcing with China Smart Sourcing. Substantial cost savings will allow you to look at totally new ways to grow your business.

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Q: How can I be sure of my product quality?

A: When working with China Smart Sourcing you can rest assured your product will always meet your specifications every time.

We co-ordinate with your suppliers sending teams of experienced qualified inspectors to travel to the factories and inspect your product.

We ensure the production samples from your supplier match the specifications.

We carry out an on line inspection during the production run ensuring product integrity and consistency.

On completion of the bulk production we check finished product quality, inspect the product packaging and ensure timely shipment.

Where quality of the product is found not to be acceptable to our high standards (i.e. Your requirement) we will negotiate on your behalf with your suppliers to re-work the goods and agree a revised schedule. If time permits, we will again inspect the re-worked goods to ensure an acceptable result.

Throughout all production stages we update you with weekly reports so that you can follow your order every step of the way.

The key to our success is communication and attention to detail, both with you and your suppler. The benefit to you is total peace of mind.

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Q: How does the shipping work?

A : We usually quote your product with FOB a major port in China. We'll take care of everything in China, like shipping in China, taxes and fees; export documentation, custom clearance, etc.

You will need to arrange having the shipment delivered from the Chinese port to your door and bear all other expenses like shipping to the US, customs, document fees and inland transportation.

Usually a transportation company and/or a customs broker will do the entire job for you. We will provide you a list of transportation companies/customs brokers we normally work with. China Smart Sourcing can also handle shipping to the US if required.

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Q: Are there minimum order quantities requirements?

A : There are no minimum order quantities requirements. However, We prefer order with purchase amount exceed US $5,000. The reason for this is, if you are looking for small quantities for a low priced item, you may find that clearing customs, duty, freight and wire transfer fees cost more than the item you are looking for.

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Q: Do I have to maintain a Letter of Credit or use an International Wire Transfer?

A : Maintaining Letter of Credit or using Wire Transfer is required in the early stages of working with us. Afterwards you have the convenience of paying by check. This service is offered as an option to customers with credit approval for an additional fee.

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Q: How do I get started?

A: Select one or two of your high-volume, labor-intensive parts for sourcing. Parts selected should be presently produced domestically, either by yourself or by a supplier that is doing a good job. Make sure you have a good handle on the complete cost of the item to be sourced, including labor, overhead and raw materials.

Forward two copies of specifications, blue prints etc., along with samples to China Smart Sourcing by mail, fax or e-mail. Metric measurements are preferred, but we also frequently work with English units. Extremely complex blueprints and/or poor quality originals should be mailed rather than faxed.

We will contact you to discuss what other information, such as engineering drawings, annual usage, quality concern, present product pricing, and target price that might be beneficiary to the evaluation. The more accurate your information, the better-armed China Smart Sourcing is to negotiate the lowest price possible. Remember we're working directly for you, and hope to do so for a long time to come. Our price quotations are designed to foster long-term relationships with each and every one of our customer-partners .

With its recent entry into the World Trade Organization (WTO), the opportunity for small-to-mid-size U.S companies to do business in China has never been greater . Take advantage of outsourcing with China Smart Sourcing and contact us or send an Information Request today.

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Tel (630) 737-0800 • Fax 630-737-1089 • info@chinasmartsourcing.com
© 2004 China Smart Sourcing LLC
China Smart Sourcing is a U.S. based company specializing in assisting companies to dramatically reduce their product costs by outsourcing work to China. Not many companies have the people and contact to source their products in a country as complex as China. China Smart Sourcing can help you to reach your goals successfully. All you need to do is make one phone call or send us an email with your specifications and requirements.
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