04
May
Here is a roundup of the top five most-read stories on just-style this week. Click on each headline for the full story. (source: Fibre 2 Fashion) - Share on Twitter - Share on Facebook - RSS feeds and Widgets on Feedzilla.com
03
May
The Importance of Due Diligence
Due Diligence is the first and most important step to take in the sourcing process of any product from China. And it plays a vital role in our Stage 1 Research and Tender Service that establishes a solid sourcing foundation by identifying legitimate and reputable suppliers. The definition itself tells us what every prospective importer needs to do in order to protect themselves and ensure that their supplier will deliver the products they order as specified. Let’s take a look at how the due diligence process applies to the sourcing and importing of products from China.
Firstly, we see that Due Diligence is a process of investigation; an investigation into the details of a potential investment. And the process of investigation encompasses an examination of the operations and management of the potential investment in addition to the verification of material facts. If we were to apply this simple definition to sourcing and importing of products from China it would look something like this:
Due Diligence for the Importing of Chinese Products
Process of Investigation – To examine the operations and management of the source of the products that we intend to purchase and verify that they are capable of supplying these products at acceptable levels of quality, consistency, and price. To examine the products (investment) we intend to purchase in terms of quality and specifications.
Details of Potential Investment – The products in terms of quality, specifications, price, and availability. The supplier of the products in terms of quality control, pricing, production capacity, delivery dependability, reputation and standing within the industry.
The big difference between importing products directly and buying locally is the necessity for a thorough due diligence process that must be done in order to be successful. Practically all of the enquiries we receive requesting dispute resolution assistance and/or troubleshooting with existing or prospective suppliers are based on the lack of due diligence from the start. We must remember that finding the product we want is not the problem. Finding the right supplier who can and will supply consistently over a long period of time is. This is why we highly recommend prospective importers utilize our Research and Tender Service so as to avoid disappointment and financial loss with an inappropriate supplier in the future. The benefits over time will outweigh the cost of this service many times over.
The purpose of the due diligence process used in our Research and Tender Service is to ensure that only bonafide suppliers are introduced to our clients. Below is a simplified illustration of the due diligent process that results in a short list of prospective suppliers that tender for your business. It is not uncommon for more than 25 prospective suppliers to be investigated and contacted in order to ensure a short list of 4 or 5 qualified suppliers.
These are just a few examples of why suppliers may not make the short list. The reasons are to numerous and varied to list here. The moral of the story is do your due diligence and get what you’re due.
I believe there is no other service offered in Australia as comprehensive and flexible as ours. If you would like to know more about due diligence and our Research and Tender Service, please don’t hesitate to contact us.
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01
May
China's global share of value-added manufacturing - in both textiles and apparel - has soared in the last decade at the expense of manufacturers based in both rich and emerging economies, a UN study shows. (source: Just-style.com) - Share on Twitter - Share on Facebook - RSS and RSS Feed on Feedzilla.com
30
Apr
Retailer Anchor Blue has promoted Debi Henningsen to take on the role of vice president of merchandising at the US company. (source: Fibre 2 Fashion) - Share on Twitter - Share on Facebook - RSS feeds and Widgets on Feedzilla.com
29
Apr
US lawmakers have introduced a bill to extend duty-free benefits for some knit and woven apparel products imported into the US from Haiti in an effort to aid reconstruction in the earthquake-torn country. (source: Just-style.com) - Share on Twitter - Share on Facebook - RSS and RSS Feed on Feedzilla.com
28
Apr
German fashion group Hugo Boss has decided not to close its last remaining manufacturing plant in the US, after considerable opposition to the proposal. (source: Fibre 2 Fashion) - Share on Twitter - Share on Facebook - RSS and RSS Feed on Feedzilla.com
27
Apr
The owners of UK fashion chain Republic have hired investment bank Rothschild to explore options that might eventually lead to a sale. (source: Fibre 2 Fashion) - Share on Twitter - Share on Facebook - RSS and RSS Feed on Feedzilla.com
26
Apr
German fashion group Hugo Boss has decided not to close its last remaining manufacturing plant in the US, after considerable opposition to the proposal. (source: Just-style.com) - Share on Twitter - Share on Facebook - RSS feeds and Widgets on Feedzilla.com
25
Apr
Sporting goods firm Adidas Group has announced preliminary growth in sales and profits in the first quarter. (source: Fibre 2 Fashion) - RSS feeds and Widgets on Feedzilla.com
24
Apr
Here is a roundup of the top five most-read stories on just-style this week. Click on each headline for the full story. (source: Just-style.com) - Share on Twitter - Share on Facebook - RSS and RSS Feed on Feedzilla.com