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Legal considerations for doing business in China

Top Ten Prerequisites for the Model Chinese Sourcing Project

  1. Stable design with little revisions needed

  2. Obtainable technology

  3. Detailed technical specifications available, such as engineering drawings, prototypes, production samples, etc.

  4. Labor-intensive product(s)

  5. Realistic, well-researched target price

  6. Minimum sample order of $50,000; annual orders greater than $500,000

  7. Initial order is at least one container load (20' or 40' container) of items which freight cost is an insignificant part of total cost

  8. Estimate of annual volume based on solid market research and client demand

  9. Minimum 90-days lead time for initial order

  10. Potential to be an on-going or expanding program

Note:

A feasibility study will quickly show if Chinese sourcing is a cost-effective solution balancing risk and cost savings. If you are interested in having us conduct a feasibility study for you, please contact us.

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