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Problem faced by small Businesses
Post 1 of 22
bigbrother2
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I am sure most of us have seen a lot oftrade leadsby small businesses looking for small quantity of products to be manufactured.

I know many of them are not making any headway as most manufacturers do not want to entertain them. They deemall these buyers as troublesome and the margin of profit is too low for them. So why waste time with them.

Fair enough these manufacturers have got the points but is there a way out for these small businesses. I know there are a few people doing the sourcing for these small buyers, but does anyone of these sourcing agents find these buyers too demanding?

I have seen trade leads from these buyers asking for the sky and only willing to pay peanuts.

I once had a buyer whom I wasdealing withand he refused to say how much he was ordering. I askeda few times and he said his order will be substantial.

Not wanting to offend him I kept the negotiation going and finally he send me all the details and pictures of his brand/logos and names for the counter samples.

All these was done within 10 days and the samples were sent to him (6 samples)

I had a shock of my life when this guy came back to me to place the order.

Size 36 -45 (6 styles)

Color and quantity for each size

*Light Blue 2 pairs* *White 2pairs* *Black 2 pairs* *Brown 2 pairs* *Navy 2 pairs*

That may be substantial to him but to us the the factory it is one **** of a bloody mess. I emailed him asking if he had made a mistake on the qty and he said no.

Bloody ****, me old heart almost stop beating.

[em5][em5][em5][em5]

But we have to look at those non fussy small quantity buyers. They simply want to buy things in small quantity for their store or business. How do we really help these people?

03 Jul 2008 06:06
Post 2 of 22
autopartsworld
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yes,quite ture for that kind of trouble and you have no ways to avoid if the buyer even don't tell the truth at the very begining.

I have same experiences but you have now way but to serve because small fish might one day grow big.But you will never know how long it takes!

That's really too bad for some products,the cost for producing1000pcs is same as 1pcs and only produce 20pcs for a small buyer```nightmare```we have to find more buyers to share the qty!!!

How could that geting more and more difficult.

03 Jul 2008 21:42
Post 3 of 22
bigbrother2
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Quoting from [AdeelRauf]:

It is pretty accurate to say working on samples or small order is like nightmare for factories but I shall like to inform here that our company ELEGANCE GROUP www.elegance.com.pk from Pakistan has developed such a set up to handle small orders too equally well as large orders. Although it takes almost the same time as reasonalbe order, yet we can control price.

We are working on this assumption that small business grows to be big businesses. If we help small business now, they will place larger orders in future. We belive our success lies in success of our customers. So, we didn't learn denial but to seek customer satisfaction and cooperation our level best.

For new buyers, our company has a special strategy to offer them good quality at low prices and provide them maximum ease and comfort and help them our level best in their business success.

Thank you



It's good to know that your company is providing this type of service to small volume buyers. I have been trying to do the same asking some factories in China to look into it and provide this type of service. Most of them told me to bugger off. It is a very sad thing here in China. They have all the facilities but all they look as is volumes. To the the more the merrier.

I do feel for the small volume buyers but I am sure there will be a breakthrough somewhere.

At the moment ready made products is an option. To get someone to manufacture 2 or even 500 pieces it's a bloody pain in the neck.

 

03 Jul 2008 22:00
Post 4 of 22
newcathy
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more small businesses but also more samll factory, they want to most favriable price, good quality product, so they buy from big factory, but for the factory so small quantity will influence their produce, it is unconvenient for produce and influence the cost at the same time.


03 Jul 2008 23:43
Post 5 of 22
Kellychou
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I am dealing with the similar one as yours ,I am really don't know how to settle it now.
04 Jul 2008 00:19
Post 6 of 22
Quoting from [Kellychou ]:


I am dealing with the similar one as yours ,I am really don't know how to settle it now.


sitiaution face by every one in every industri, net make every body involve as buyer every where

05 Jul 2008 06:04
Post 7 of 22
reachjigar
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Quoting from [bigbrother2]:



listen business is business the definition of business is not big quantity or small quantity but its trade .it could be big or small ,i think every order is vital for a small business to grow if there are 10000 big companies & there are more than a million small cmpanies.every big company must have a small setup to manufacture small quantity with low pricing ,this will help the small businesses to flourish and one day there will be more big companies than small.
05 Jul 2008 22:48
Post 8 of 22
bigbrother2
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Quoting from [reachjigar]:

Quoting from [bigbrother2]:




listen business is business the definition of business is not big quantity or small quantity but its trade .it could be big or small ,i think every order is vital for a small business to grow if there are 10000 big companies & there are more than a million small cmpanies.every big company must have a small setup to manufacture small quantity with low pricing ,this will help the small businesses to flourish and one day there will be more big companies than small.



You and I are on the same wave length. But the problem with factories in China is that they are on a different frequency. What they want is volumes.

LIke I have mentioned, they have their seasons. I am in the shoes and garment business and I know the amount and degree of difficulties these factories have when dealing with small orders.

Put 100 small orders of 20 pairs each together and you have 2000 pairs. That is a big amount. But if you have that amount of buyers wanting to have their own designs and logos then we have to look at the amount of difficulties the factories will have.

They will have difficulties looking for the sole, materials, colors, printing or making the logos; not forgetting the packing and boxes desings and printing. The biggest problem for the factories is making the cutting blades They are not cheap, and if the small buyers want 20 pairs of 5 differents sizes that means they need different designs cutting blades. 

Then again, we have to look at the price these buyers are looking at. Some are only willing to pay no more than 5USD per pair.  What surprises me is that they  priced the shoes on the retail market for more than a 100USD.[em6][em6][em6][em6]

I do not know what to do or say. But the biggest headache is helping finding a factory for buyers whom are not fussy and willing to pay more for their products.[em4][em4][em4]

 

 

06 Jul 2008 18:54
Post 9 of 22
Quoting from [bigbrother2]:

Quoting from [reachjigar]:

Quoting from [bigbrother2]:





listen business is business the definition of business is not big quantity or small quantity but its trade .it could be big or small ,i think every order is vital for a small business to grow if there are 10000 big companies & there are more than a million small cmpanies.every big company must have a small setup to manufacture small quantity with low pricing ,this will help the small businesses to flourish and one day there will be more big companies than small.




You and I are on the same wave length. But the problem with factories in China is that they are on a different frequency. What they want is volumes.

LIke I have mentioned, they have their seasons. I am in the shoes and garment business and I know the amount and degree of difficulties these factories have when dealing with small orders.

Put 100 small orders of 20 pairs each together and you have 2000 pairs. That is a big amount. But if you have that amount of buyers wanting to have their own designs and logos then we have to look at the amount of difficulties the factories will have.

They will have difficulties looking for the sole, materials, colors, printing or making the logos; not forgetting the packing and boxes desings and printing. The biggest problem for the factories is making the cutting blades They are not cheap, and if the small buyers want 20 pairs of 5 differents sizes that means they need different designs cutting blades. 

Then again, we have to look at the price these buyers are looking at. Some are only willing to pay no more than 5USD per pair.  What surprises me is that they  priced the shoes on the retail market for more than a 100USD.[em6][em6][em6][em6]

I do not know what to do or say. But the biggest headache is helping finding a factory for buyers whom are not fussy and willing to pay more for their products.[em4][em4][em4]

 

 



I do agree with all of you.

There are many small business houses, that started newly and want to have some new ways of doing business and there by grow. This small business often have very small apetite for taking risk. that is the one reason why they order small (although one stated above is too small and not possible from exporters size). But there are many small businesses who order right from 200pieces to 1000 pieces each time.

it is not duty of exporters eachtime to entertain. but as told by one of my friend above...small fish now will be a big fish tommorrow. It is moral duty from our side to quote prices (who told you not to entertain...just set the price where you are at profit ..adding up all the expences), if he agrees to the price,  you satisfy this small buyers requirement, and  most of this buyers are either new starters or who want to enter into other segments of business, if even one order is done, he has a faith in you, even if he has made a little profit. and there by next time the order will be big and another small business houses follow the trend soon.

but after all , its export who take the final decision, whether to entertain or not.

Be the one........[em19]

06 Jul 2008 23:51
Post 10 of 22
Mike W Liu
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Overall Ranking MVP:1,130 Rank:217
Quoting from [bigbrother2]:

I am sure most of us have seen a lot of trade leads by small businesses looking for small quantity of products to be manufactured.

 

I know many of them are not making any headway as most manufacturers do not want to entertain them.  They deem all these buyers as troublesome and the margin of profit is too low for them. So why waste time with them.

 

Fair enough these manufacturers have got the points but is there a way out for these small businesses. I know there are a few people doing the sourcing for these small buyers, but does anyone of these sourcing agents find these buyers too demanding?

 

I have seen trade leads from these buyers asking for the sky and only willing to pay peanuts.

 

 I once had a buyer whom I was dealing with and he refused to say how much he was ordering.  I asked a few times and he said his order will be substantial.

 

Not wanting to offend him I kept the negotiation going and finally  he send me all the details and pictures of his brand/logos and names for the counter samples.

 

All these was done within 10 days and the samples were sent to him (6 samples)

 

I had a shock of my life when this guy came back to me to place the order.

 

Size 36 -45 (6 styles)

 

Color and quantity for each size

 

*Light Blue 2 pairs*  *White 2pairs* *Black 2 pairs*   *Brown 2 pairs*  *Navy 2 pairs*

 

That may be substantial to him but to us the the factory it is one * of a bloody mess. I emailed him asking if he had made a mistake on the qty and he said no.

 

Bloody *, me old heart almost stop beating.

 

 

[em5][em5][em5][em5]

But we have to look at those  non fussy small quantity buyers. They simply want to buy things in  small quantity for their store or business. How do we really help these people?

 

 

 

 

 

 

 

 

 

Now this is a trend, especially in the alibaba. More and more foreign retailers want to buy goods from china directly. They want to cut off their local wholesalers to get more margin. But there are also a big demand. who have a wonderful solution to supply them? BTW, small orders are better than no orders.[em17]
07 Jul 2008 18:44
Post 11 of 22
Quoting from [Mike W Liu]:



Dear members,

- We can check buyer, status through his websites, check his fax numbers, brand product pictures,

- Because if a buyer have its own brand name he must import reason able quantity

- mention on your quotation price for different quantities.

- Strickly mention MOQ for one model

- When buyer check samples he need to pay courier charges, which is above than sample cost, so if he have small order than your moq he will inform you 1st that hhe want this quantity, because he will affraid that if he pay for samples courier charges and later you refuse the order , he will also lose his money for paying courier charges,

 

this is best way in my thinking to save your time and sample cost as well. and can get good buyers who are seriously interested,

 

 

Regards

 

Rana

07 Jul 2008 22:51
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