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Dealing with Dishonost suppliers
Post 1 of 20
Clef
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Overall Ranking MVP:207 Rank:1,249
Hello,
This is my first post here on Alibaba forums. I work for a repuatable company here in the USA with years of trading experience. However every now and then you run into the dishonost suppliers (example: Putian Hengwang Trade co.). They are not the first but certainly one of many who feel the urge to just openly lie about their products.

Scenario: Negotiations for a new product are carried on over about a week. The product is decided on, in the last case something as simple as it being "new". However once the products arrive not only are they used but in terrible shape. (un-usable)
Then after contacting the supplier they continuously lie regarding the condition.

Now my main question is how to deal with this scenario. When it came up in the past even after calling and speaking with (management?) they continue to lie and refuse to take responsibility for their actions.
Now for most of us who continuously trade with China this scenario has come up more than once. Has anyone found a decient course of action?

Clearly the most common result is there is nothing you can do. Now I'd like to at least help people and inform them which companies shouldn't be traded with but this in it self doesn't solve our problems.

So please I welcome all input into this matter!
Award 10 MVPs ( What's this? )for the best answer.
01 Dec 2007 20:52
Post 2 of 20
Replying to [Clef]: Clef, there is one thing that most traders know about buying anything from Putian. Especially those companies that advertise on Alibaba from Putian. What you should do is simply type "Putian" into the search forums and click the magnafying gl *. It will truely open your eyes. Also you state that you have been trading for some time. Have you been just lucky in your dealings with other companies or have you ever had a pre-shipment inspection done? In the scenario you mention inspection before payment would have been the best bet or used a helper in China that was accountable to you. [em15]

Ranger
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01 Dec 2007 22:26
Post 3 of 20
Clef
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Overall Ranking MVP:207 Rank:1,249
Replying to [Ranger]:
Hi,
Yes you are correct I had personally not used all the resources available to me such as these alibaba forums to find out how discreditable they are.

Regarding pre-ship inspection. Only on larger orders and from the guang dong area, especially shenzhen. This is a must! As any trader knows. However for smaller orders it's more than it's worth. So I guess I'm looking more for solving that kind of issue.
02 Dec 2007 15:03
Post 4 of 20
Replying to [Clef]:
Could you tell me why pre-shipment inspection is indeed necessary for shenzhen?
02 Dec 2007 23:14
Post 5 of 20
Clef
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Overall Ranking MVP:207 Rank:1,249
Replying to [Elecpack]:
ShenZhen has thousands of company the majority of which are very small companies and the large portion of those companies are constantly trying to portray themself as something they are not. I have personally been to shenzhen several times and I can say the people are lovely however the businesses are almost all small dishonost traders looking to make a quick buck instead of a long term business relashionship.
Even the chinese dislike trading in shenzhen. This doesn't mean that you should be looking into getting products from other cities. The majority of your electronics come from Shenzhen and you don't have that much choice in the matter. If possible look at the company yourself. If not it's a trial and error process no matter what people tell you.

Now about my problem it happens and I hope someone has some good tactical advise about this. As a constant trader time is limited to inspecting every company with a product would be a waste as most people know.
Hopefully someone has some ideas?
03 Dec 2007 01:13
Post 6 of 20
Replying to [Clef]:
I have been ripped of for 485 USd, sample price for a Laptop i want to by in bulk.
Putian City Chengxiang District Hongxing Trade Co., Ltd is the company.
How can i get them to pay me my money back?

You help would be appriciated. I am in UK

Dean
03 Dec 2007 07:05
Post 7 of 20
Replying to [Clef]:

Hey Clef,

Usually the way I do it is simple but quiet effective. Its pretty hard to be everywhere at the same time to inspect different companies.

So what I have made a habit of is to control the payment terms, since that is the one rope everyone is holding on too.

Before I order anything I always make sure that my suppliers have understood my condition. I only pay for the goods that have arrived and been inspected first. Its hard to find suppliers who do that since they don´t trust you either.

So here is the scenario that usually works out quiet well.

- Initially, there is 10% downpayment, for the order. and 40% against the shipping papers.
- After the goods have arrived the final inspection is done, whereas the forwarder is from the supplier and controls the ownership of the container. So after inspection the final payment takes place, incase something is not in order, the money is deducted.

Sofar its been working very well, the only draw back to it is that it takes longer to find willing suppliers, but once you do, it ensures a good long term business.

As for the current issue, the only thing you can really do is, make another order with that same company. And this time pay after the goods have arrived with you, or at least the final payment. And then deduct the money, that you think you might have lost previously. But from what you say, I don´t think they are going to do that.

So just look forward and ignore them, once you have found a better partner they will come automatically to you, and thats the time you strike back.

Peace out
03 Dec 2007 08:08
Post 8 of 20
Replying to Dean:

Hi Dean,

Well, I can understand how that feels, I have similar experiences though. But be happy that it wasn´t your bulk order, and its just 500usd.

I actually do small sample orders to see if the companies keep what they see, before the bulk order. So therefore I am already prepared for the minor loss.

Its very difficult to get the money back now. The only thing you can really do now is to make sure you put the company on the blacksheep list, and tell them that you will let everyone know what they did. If they don´t react on that, go ahead and tell everyone, and forget them.

Good luck
03 Dec 2007 08:12
Post 9 of 20
maria liu
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Overall Ranking MVP:110 Rank:5,996
Replying to [Clef]:
[em4] As a Chinese, Iam very discreditable and upset. I never knew that "putian" have some conpamy dishonost.but I believed almost Chinese films are great[em7]
04 Dec 2007 00:28
Post 10 of 20
Global Link Digital
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Overall Ranking MVP:200 Rank:1,320
Replying to [Clef]:Investigation before cooperation.[em19]
04 Dec 2007 07:07
Post 11 of 20
Replying to [Clef]:It is really hard to do busines with dishonest suppliers.They say one thing and do other.I have also bitter experience with some valued buyers.

what we can do is prior to make any deal -1. make and strong agreement with them
2. Place trial order then go for next
3. Visit them and collect information from other if possible.

Hope it may save the importer
04 Dec 2007 07:11
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