Hallo Friends !

What is the solution for the following problem, please ?

Suppose the seller is in USA, the buyer is in India and the supplier is in China.Here,seller works as a commission agent.He gets an order for an item from his Indian buyer.He completes necessary formalities to send goods to his buyer from china.Supplier sends goods to India.Commission decided is paid and deal is over.Now, Indian buyer comes to know the manufacturer's details and he contacts him directly and places orders for his requirements and gets a better price, gets the goods directly and thus commission agent is removed from the process.

Now, my questions are (1) how a commission agent can make sure that he will not be removed from the process even though  buyer comes to know about the supplier's details ? and (2) is there any way that a seller(comm. agent) can keep supplier's information unavailable for buyer ?

your guidance and help is greatly appreciated.

thanks.

Quoting from [smileplease]:

Hallo Friends !

What is the solution for the following problem, please ?

Suppose the seller is in USA, the buyer is in India and the supplier is in China.Here,seller works as a commission agent.He gets an order for an item from his Indian buyer.He completes necessary formalities to send goods to his buyer from china.Supplier sends goods to India.Commission decided is paid and deal is over.Now, Indian buyer comes to know the manufacturer's details and he contacts him directly and places orders for his requirements and gets a better price, gets the goods directly and thus commission agent is removed from the process.

Now, my questions are (1) how a commission agent can make sure that he will not be removed from the process even though  buyer comes to know about the supplier's details ? and (2) is there any way that a seller(comm. agent) can keep supplier's information unavailable for buyer ?

your guidance and help is greatly appreciated.

thanks.

Well from what you just described your not an agent your a broker.  Since your a principal to the deal (The Seller) you can only be classified as a broker. 

An agent works for the either the buyer or the seller and is paid by the party that contacted them with the power to negotiate for the buyer or seller based on sets of criteria. 

Being an Agent and a Broker is more involved than just recieving payment.  You need to know some things about inspections(2nd party and 3rd party), shipping & logistics, alternate payment methods, product service insurance, and contracts.  If your an Agent you additionaly need to know every cost related to transfer the goods from the supplier to the buyer.  Also as an Agent its to your advantage if you know something about International Trade Law. 

Now your answer:

1. Irrevocable, Confirmed, Transferable Documentary Letter of Credit
2. Back to BackDocumentary Letter of Credit
3. Contracts between you the buyer and the supplier which include ICCMFPA and NCND agreements. 

I suggest if you don't know what these are, you need to learn them before you put yourself out there as a principal to any deal.  Everything I put in Bold letters and underlined above are keywords for the information you need to familiarize yourself with.

Ranger

Amen to that, Ranger.

Did you note that the author of this topic asked not so long back about the difference between FOB and CIF?

A case of too lazy and useless to even use a search engine to learn basics. 

Down on the farm we call your well considered response to this lazy critter "feeding strawberries to pigs". 

Quoting from [smileplease]:

Hallo Friends !

What is the solution for the following problem, please ?

Suppose the seller is in USA, the buyer is in India and the supplier is in China.Here,seller works as a commission agent.He gets an order for an item from his Indian buyer.He completes necessary formalities to send goods to his buyer from china.Supplier sends goods to India.Commission decided is paid and deal is over.Now, Indian buyer comes to know the manufacturer's details and he contacts him directly and places orders for his requirements and gets a better price, gets the goods directly and thus commission agent is removed from the process.

Now, my questions are (1) how a commission agent can make sure that he will not be removed from the process even though buyer comes to know about the supplier's details ? and (2) is there any way that a seller(comm. agent) can keep supplier's information unavailable for buyer ?

your guidance and help is greatly appreciated.

thanks.

I think you should enter into an agreement with your supplier, that he will deal through agent only. even if the buyer contact directly to manufacturer then too he should be advised to route through the agent.

Quoting from [smileplease]:

Hallo Friends !

What is the solution for the following problem, please ?

Suppose the seller is in USA, the buyer is in India and the supplier is in China.Here,seller works as a commission agent.He gets an order for an item from his Indian buyer.He completes necessary formalities to send goods to his buyer from china.Supplier sends goods to India.Commission decided is paid and deal is over.Now, Indian buyer comes to know the manufacturer's details and he contacts him directly and places orders for his requirements and gets a better price, gets the goods directly and thus commission agent is removed from the process.

Now, my questions are (1) how a commission agent can make sure that he will not be removed from the process even though  buyer comes to know about the supplier's details ? and (2) is there any way that a seller(comm. agent) can keep supplier's information unavailable for buyer ?

your guidance and help is greatly appreciated.

thanks.

Dear Ranger..thank you so much..you have always shared your business knowledge with other members and it makes you so much respected among all alibaba community.Always helpful ! thanks.

smileplease.

Quoting from [smileplease]:

Hallo Friends !

What is the solution for the following problem, please ?

Suppose the seller is in USA, the buyer is in India and the supplier is in China.Here,seller works as a commission agent.He gets an order for an item from his Indian buyer.He completes necessary formalities to send goods to his buyer from china.Supplier sends goods to India.Commission decided is paid and deal is over.Now, Indian buyer comes to know the manufacturer's details and he contacts him directly and places orders for his requirements and gets a better price, gets the goods directly and thus commission agent is removed from the process.

Now, my questions are (1) how a commission agent can make sure that he will not be removed from the process even though  buyer comes to know about the supplier's details ? and (2) is there any way that a seller(comm. agent) can keep supplier's information unavailable for buyer ?

your guidance and help is greatly appreciated.

thanks.

Dear Aussie...thank you for providing your valuable time to respond to my question !! Also, as far as the learning basics is concerned, there is no other place on internet like Alibaba and there are many generous friends like Ranger, Anshu etc., who even after being successful businessmen, provide guidance and help to those who need it..my question was related to an actual incident happned...and, also, a thousand mile journey starts with a single step..atleast, there is something positive and inspiring in your answer too..thanks and wish you have a nice time ahead.

smileplease.

Quoting from [smileplease]:

Hallo Friends !

What is the solution for the following problem, please ?

Suppose the seller is in USA, the buyer is in India and the supplier is in China.Here,seller works as a commission agent.He gets an order for an item from his Indian buyer.He completes necessary formalities to send goods to his buyer from china.Supplier sends goods to India.Commission decided is paid and deal is over.Now, Indian buyer comes to know the manufacturer's details and he contacts him directly and places orders for his requirements and gets a better price, gets the goods directly and thus commission agent is removed from the process.

Now, my questions are (1) how a commission agent can make sure that he will not be removed from the process even though  buyer comes to know about the supplier's details ? and (2) is there any way that a seller(comm. agent) can keep supplier's information unavailable for buyer ?

your guidance and help is greatly appreciated.

thanks.

The answer to your questions are 1)-- make a written contract with the seller describing the commission agent will get his commission even though the buyer comes direct to seller. There is no other way to protect a commission agent otherwise. And the good sellers will agree with that. The answer 2) is - - - No way to keep the seller behind you. Though you try to hide the seller's information,   oops,  no way .  And remember that..

 

Wane Lee