The current financial tsunami has further weakened the US economy. Recently I was asked by friends and colleagues in the trade show industry for whether or not there would be decrease of the US buyers traveling in Hong Kong and China for visiting trade shows. I think the answer is quite obvious. As far as I know, the number of the US buyers who travel long-haul to visit sourcing trade shows has started declining since last year.

Read the rest of “Finding Buyers in Bad Economy” or post a comment >>

My first job out of university was based in San Francisco, and one of the largest things I managed was the APAC accounts receivable. It was in the beginning a frustrating process as I was essentially making collection calls to get people to send their checks, and I felt a little bit like a repo man.

Read the rest of “Managing your Receivables in China” or post a comment >>

By Josh Gartner

For years economists have wondered whether the inevitable rising power of China was similar to Japan in the 1980s. If you remember (and that requires you to be over 22), people used to think that Japan was an unstoppable beast destined to take over the world. Movies and popular media frequently made reference to this, of in now-comical ways.

Among some of the most notable examples of this frenzy were Gung Ho (Ron Howard’s film), the scene in Back to the Future II when old Marty is talking to his Japanese bosses, and the hilariously out of date Rising Sun, which was a Michael Crichton book, turned into a movie only after Japan’s downfall had already become clear. The popular theory was that Japanese people were more dedicated to their work, and willing to put in longer hours than people in the West. This gap in work ethic meant that Japan was an unstoppable force in the global economy, and that we would all soon be working as mannies in Tokyo. Read the rest of “Is China the Next Japan?” or post a comment

By Andrew Hupert

Clients come to you because they have problems they need to solve. But for many China sales teams, the only problem is how to transact on this deal right now. That leaves a lot of money on the table, because the client has a whole range of problems, and he is looking for answers - not transactions. How can a salesman be a problem solver? It’s time for China sales professionals to start acting like consultants who get paid to improve the overall business of their clients and not just suppliers of parts and services.

Consultative sales takes place when we work with a client to raise his sales or lower his costs. There are basically 2 ways to do this.

1) Become an expert in how our product or service can help his business.
2) Become an expert in the client’s industry. Read the rest of “Add Value by Consulting - Not Pushing” or post a comment

By Terri Morgan

Cost factors and other variables: The lowest price may not be from China.

I was recently contacted by a company in the US (let’s call them the Acme Tool Company - not the real name) to source some fine-tolerance tooling in China. This article briefly outlines that engagement and points out some common questions that should be asked. Each company and each situation is different. By asking these and other questions, you can determine the best course of action for your company or your client.

What do you want to buy?

The lead engineer at Acme first contacted me via email to inquire about my services. He was very clear about their needs. He sent me concise specifications and the engineering drawing for the tooling. Acme required a particular type of metal. They also had very fine tolerances for the tooling. It was immediately apparent that they were dealing with very fine grade technologies that would require specialized, high-tech machining. Read the rest of “Sourcing in China for the US Market” or post a comment