Factory audits, like product inspections, need to be performed in an objective manner. A buyer that pays for audits of two factories should be able to compare the findings and use them to pick a supplier. It means auditors should work … [Read more...]
Why we shouldn’t check 10% of the order quantity
Some of my new clients, when they book their first inspection, tell me "please check 10% of the order quantity". Here is what I typically respond: Usually we follow the statistical tables that everybody in the industry works with. They … [Read more...]
How Chinese factories treat their customers
After my post about how Chinese factory owners treat their workers, here is a post about how they treat their customers. Much could be said on this subject, but I gave a shot at summarizing it. Some customers are more equal than … [Read more...]
Transferring the responsibility onto the exporter
When sourcing in China, importers often ignore that some tools are at their disposal for reducing their risks. The key lies in transferring the responsibility onto the exporter. There are mostly three types of risks regarding the … [Read more...]
What does CMT (Cut, Make & Trim) mean?
I work in a quality control firm and we work a lot for the textile industry, which has its own jargon. For example: "CMT" (Cut, Make & Trim). What does it mean? … [Read more...]
How Chinese factory owners treat their workers
I mostly go to factories in the Guangdong province. Over the last few months, I have heard complaints such as "we are trying to hire, but we can't find enough workers". I even heard "it's nearly Chinese New Year, the workers that stayed in … [Read more...]
When a relationship turns sour with a Chinese supplier
Foreign buyers working with Chinese suppliers take time to grasp the subtle but determining differences in the way business is done here. One of these "Chinese things" was exposed in a good post from Jack Perkowski, entitled America's China … [Read more...]
Buying from a large private Chinese factory
Small importers tend to have the feeling that buying from a large factory is more expensive but more reassuring. There is some truth regarding the higher prices, but risks are not necessarily lower. Buyers should be aware of the different … [Read more...]
Chinese consumers are getting more demanding
I found this advertisement in my lift this morning: Do they really need to advertise for milk consumption? I know the central government is pushing it, but it was already growing very fast in large cities. Or is it because of safety … [Read more...]
Letting a supplier ship the products after a failed inspection
I got an interesting question today, by email: I appointed an inspection company, the result was failed. But I needed the goods, so I let the Chinese supplier ship them to me. In this case, what can I do? Can I ask for compensation? And … [Read more...]
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