Even if you have set up a small company global sourcing can be added to your purchasing strategy.
Sourcing and outsourcing is not only a possibility for large companies, small business owners can have the same benefits of outsourcing some of their processes to low cost countries.
Everybody know that India is an outsourcing centre for business processes such as call-centered turn 2d ca din to 3d drawings and internet services such as creating low cost websites. India’s advantage is India’s enormous pool of good English speaking computer engineers and administrative workforce combined with lower salaries than in the west. Same story for China, but than on the manufacturing end. An other advantage of China is her excellent road-train and harbor’s network, or the logistics and transportation system is well organized in China.
So both purchasing of goods and business process can be outsourced by small business owners as we live in a global marketplace that opens the entry for small businesses to make use of resources in countries like India or China. Nobody could imagine, 20 years ago, that the world would be so “flat”. (please read the book of Thomas Freidman if you want to learn more about globalization)
Finding a suitable business process supplier or Sourcing is now possible due to easy access of the internet and the present on the Net of numerous business 2 business websites. For the small business owner it can have several advantages to add this strategy:
1> Focus
If you start your own business in the beginning it is good to do all, so you know how to handle it and you can understand these processes roughly. This is the starting or birth phase of your company; you will see a quick growth after a year or so.
However once your company is running well and growing you need to focus on your expertise. Probably you will be an expert or selling goods in a certain area. To keep updated with all the trends, to handle your main customers will consume a lot of time. So it is good to focus on your expertise (and this is the fun part, right!) , thus other “jobs” can be outsourced such as creating your new website, do translating work , design work or purchasing products.
2> Cost reduction
Small businesses can also access the numerous cost saving benefits of outsourcing easily and quickly. As mentioned earlier as a small entrepreneur in the second phase, the growth phase, you will spend a lot of time on your own expertise. So you will have a lack of time to do other work. So your primary and secondary business process can be outsourced to low cost sourcing countries. Of course every business will have different benefits and needs however; it is rare that an industry cannot come across some way to minimize expenses by using this tool. China suppliers can affordably and easily supply whichever goods you wish to market. These suppliers can usually supply these goods for just a nickel and a dime. The majority business requirements, including labor or suppliers can be satisfied through china sourcing company.
3> Enlarging your network;
By using Chinese china sourcing companies or other BPO (business Process outsourcing) companies your network will be enlarged; you will need new people and new businessmen. So if they do something for you, maybe you can also do something for them! Think about those opportunities.

So as a small business entrepreneur it is good to focus on your own expertise, once you are in the growth phase of your company. Less important business processes can be outsourced to low cost countries such as India, Vietnam and China.
Besides saving on these process-costs, your network will be enlarged and you will focus more on your own strengths and core comptences..

china sourcing service:

we start our first article with the topic how to source?

There are several options to source for quality products in china:



1. By Internet

2. By trade fairs

3. By using a sourcing agent or office

4. By physical audits

Internet sourcing has have seen an enormous growth the last 10 years: Companies like Alibaba and Global souring have seen an enormous growth in page hits and so in new clients and visitors.
The main advantage of internet sourcing is the low initial costs for the purchaser, He or she can find thousands of parts and products from his lazy chair in his or her office. He can compare easily prices of different suppliers within a short period. He can see and compare the different supplier’s profiles and their product portfolio. He doesn’t need to go to China. So he can make a quick advantage/disadvantage list at a very low cost, he can judge already the communication skills of the sales persons or management of the factory. What we also recommend dis asking for sending real samples from China to your office. Also this can be done at low costs.
It sounds easy to source from these business to business sites, These websites have usually an excellent search function and you can find your products also in categorized directories but be careful as there are several drawbacks.

One of these drawbacks is that you cannot have control over the actual supplier:
Is it really a supplier or a middle man or trader, so actually not the owner of the factory you deal with? (sometimes traders can have advantages, but later more on that). Sometimes even conmen are presented on these websites , who will ask for small sample fees and never have the intention to send these samples.

Furthermore seen is believing. One can claim he has several manufacturing capablities and machinery available in his Factory. But sometimes they will outsource this to smaller neighbours as-well.

What is low cost country sourcing? (LCCS)
Is a strategy in which a firm sources material parts, products and services

from countries with lower labour and production costs in order to cut operating expenses.
Is China still suitable for LCCS?

Yes, China is very suitable for LLCS As

1> there is a surplus of labor force: in China there are 1,3 billion people and china's labor force is 800,7 million people (in 2007)! Due to the fact the Party prevents formation of labour unions, the power of the labour force is low and they labor cost can still compete with new comers like Vietnam and India. Furthermore the so called migrant workers, coming from the Chinese inner land where there is a lot of unemployment, keep the wages low.

2> China logistics and transportation system is grown up and very reliable. China has now efficient shipping capabilities and a dozen of large harbours.

3> China has low costs of raw material.

4> China's factories are very flexible. (People are the most adaptable machines)

china sourcing service:

we start our first article with the topic how to source?

There are several options to source for quality products in china:

1. By Internet


2. By trade fairs


3. By using a sourcing agent or office


4. By physical audits

Internet sourcing has have seen an enormous growth the last 10 years: Companies like Alibaba and Global souring have seen an enormous growth in pagehits and soin new clients and visitors.

The main advantage of internet sourcing is the low initial costs for the purchaser, He or she can find products from his lazy chair in his or her office. He can compare easily prices of different suppliers within a short period. He can see and compare the different suppliers profiles and their product portfolio. He doesnot need to go to China. So he can mak a advantage/disadvantage lsit at a very low cost, he can judge already the communication skills of the factory

It sounds easy and very easy sourcing from these business to business sites, These sites have usually an excellent search function and you can find your products also in their catogarised but there are many drawbacks

One of these drawback is that you cannot have control over the actual supplier:
Is it really a supplier or a middle man or trader, so actually not the owner of the factory you deal with? (sometimes traders can have advantages, but later more on that)