What can go wrong if you don’t do your due diligence in China

What people are saying about Mulberry Fields
“Your blog posts are excellent.”    a company in California with a presence in China.

I was thinking more today about vendor referrals and I came across this article from Money Magazine back in 2007. The article is not exactly current but the issue it addresses is, namely what can go wrong when you enter into a partnership with the wrong vendor, especially a vendor that someone else has referred you to.  I have heard so many stories like this over the years and the common denominator is always that the buying party did not check out their vendor thoroughly before giving them the order and/or did not inspect the order before it left China.

There are two lessons in this article: the first is not to take a vendor referral or hire a sourcing company without doing your due diligence. As someone who has been going to China for 25 years, I was astounded to read that there are apparently China sourcing companies, where the principals have never even been to China.  The second lesson is to manage your production in China aggressively.

Here is the link to the article.

http://money.cnn.com/2007/07/26/magazines/fsb/china_sourcing.fsb/index.htm

www.theeastasiaco.com

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