Congratulations! Your business is growing at a lightning speed; you have started realizing superior-than-expected growth, you are now ready to take the next move and reach globally. But wait! Do you have the experience? Do you know the ins and outs of purchasing products overseas? Maybe you were introduced to the business by your business colleagues; however, their experience could be different. Before you decide to source globally or even before you decide sourcing services like Leelinesourcing read with me the factors that you should put in mind when sourcing globally.
- Calculate all the expenses of sourcing
There are many mistakes that business owners do when it comes to sourcing overseas and one of them is calculating per unit cost. While calculating the total costs, you must ensure to consider the transportation charges, taxes, customs duties, banking charges among many other costs. In short, you must ensure to calculate the whole cost that you will incur until when the products get into your hands. Don’t forget to account for any unexpected factors.
- Product quality is essential
The business world today is about the quality of the products. If you want to stay ahead of your competitors, ensure to pay attention to the quality of the products you stock. When your products are of high-quality, you are more likely to achieve your dream of expanding globally. It is good to come to terms on the quality of the products beforehand so that you are in agreement with your supplier. Remember in case of any problem with the quality of the products, it becomes too difficult todeal with the supplier bearing in mind of the difference in culture and time zones. Poor quality products will kill customers’ trust in your business which will lead to lower sales.Ensure if you are working with sourcing agents, they should inspect the quality of the products from beginning to end. If your products are of good quality your customers are satisfied hence more sales are achieved.
- Shipment capabilities
Now that the products are great and the quality is good, but will you sell them when you are unable to bring the goods to the customers?What modes of shipment are accessible both in your region and overseas? Remember after purchasing the products, you must move them to the airport or seaport for transport. What type of reliable logistics is available in the country? All these factors need to be addressed beforehand as failure to address them will lead to a delay in transportation of your goods. Additionally, you must consider seasonal fluctuations as well as weather factors. Just the other day the Hurricanes hit the Gulf Coast and this affected the logistics industry which also affected business globally. It is advisable to be flexible with your suppliers so that when one logistics option fails the other one comes to rescue the situation.
- Know about trade regulations
Different regions have different government trade regulations and these regulations can either improve or detract the ease of doing business. you must ensure you understand the trade regulations of the countries that you are thinking of purchasing products from.