If you ask any importer if they'd like to reduce their operating costs they're almost certainly going to say yes! But what are the options? Renaud has 9 cost-cutting options for you here regardless of where you're manufacturing. Some, like using competition among suppliers to drive them to offer better pricing, are relatively low-hanging fruits, whereas others like moving production to a lower-cost country are much larger projects. Listen to the content here: 🎧 9 Ways … [Read more...]
China Power Cuts In Late 2021. Will Your Supply Chain Be Affected? [Podcast]
![China Power Cuts In Late 2021. Will Your Supply Chain Be Affected? [Podcast]](https://qualityinspection.org/wp-content/uploads/2021/10/ChinaPowerCutsInLate2021.WillYourSupplyChainBeAffectedPodcast-1140x445.jpg)
In this episode... Sofeast's CEO Renaud Anjoran dives into what's causing the power cuts around China that are affecting many manufacturers around the country in late 2021. Some manufacturers are having to close for days at a time or work night shifts, but normal people have also been affected, too. Many importers will be wondering: "Is my supplier affected?" and "Will my order be delayed?"Â Given that this is affecting most o the major manufacturing provinces the likelihood is that it … [Read more...]
Rising Raw Material Prices: What Strategy To Follow? (6 Approaches)
In March (2021), we noted that the raw material prices of some commodities (silicone, some papers & cartons, some batteries...) went up a lot. And some analysts predict a multi-year increase in raw material prices. Bloomberg came up with an interesting article on this topic --Â When Does a Commodities Boom Turn Into a Supercycle?: A surge in commodity prices has Wall Street banks gearing up for the arrival of what may be a new supercycle -- an extended period during which demand drives … [Read more...]
Rising prices in China: 5 solutions for importers
The RMB rate has been going up steadily against the USD (see below), and labor costs have been increasing even faster. When you add the raises in shipping rates and in certain raw materials prices, prices have often increased by more than 10% a year. What can importers do to avoid getting their margins squeezed? Here are my 5 tips. 1. Become less sensitive to cost increases Can you find a more profitable niche, where your products can be sold for a higher price? For example, if you import … [Read more...]