| Drop shipping - haven't heard of, don't worry it's | | | | 70% of China's population lives in rural areas. So to |
| simple. Dropshipping is a special kind of business | | | | bridge this gap of demand & supply (i.e. demand from |
| wherein the seller doesn't keep any stock of goods | | | | rural people) it needs a good supply chain |
| but directly sells them to the buyer by sending the | | | | management and what better than dropshipping. |
| details of the buyer to the wholesale supplier. These | | | | -Building Customer Trust |
| retailers keep their commission while they make the | | | | There are few retailers involved in Drop shipping who |
| sales and make good profits. It is a good business as | | | | have their outlets just showcasing the product range |
| it requires only little amount of investment or at | | | | giving the customer a hint or knowledge of how the |
| times no investment at all. | | | | product would be. |
| In China, dropshipping is very wide spread business | | | | This helps to build trust and the customer is more |
| option which caters to the varied demands of | | | | willing to buy the product after checking a sample |
| Chinese people ranging from electronic items to toys | | | | product. |
| to automatic toys and even imported products. The | | | | Every business has some risks involved so does |
| products that are in demand and which have a | | | | dropshipping. At times the clients do not take the |
| market through dropshipping are as follows: | | | | products after they have been ordered. At times |
| Mp3 player, mobile phone, shoes, furniture, | | | | there are double charges charged for shipping and |
| motorcycle, satellite receiver, mp3, car, evening | | | | orders too may get cancelled. Delay in delivery is |
| dress, laptop, fabric, machines, textile, scooter, mp4, | | | | again a great issue which has to be taken care of. |
| plastic, fashion goods & accessories, glass, motors, | | | | For example, back ordering may occur when a seller |
| sugar, jewelry, food, mp4 player toys, cell phone, | | | | places a shipment request with a wholesaler, but the |
| digital camera bag, led, USB flash drive, ps2, cement, | | | | product is out of stock. Back ordering may be |
| lingerie, ipod, clothing, steel, watches, clocks, nokia, | | | | accompanied by a long wait for a shipment while the |
| kart, trailer, solar panel, photo album, handbag, paper, | | | | wholesaler waits for new products, this may create a |
| clothes, linen, search all suppliers, hair products, | | | | bad impression for the retailer. Also if there is a |
| beauty products, computer parts & peripherals, toys, | | | | sub-standard quality product or mis-handled product |
| etc. | | | | provided to the customer by the wholesaler, then it |
| The few companies offering dropshipping in China are: | | | | also creates a bad impression for the retailer, as |
| "asia-product.com"; "chinavasion.com"; | | | | retailer is unaware of the quality being provided to |
| "made-in-china.com"; etc. | | | | the customer. |
| -DropShipping - Advantageous For China | | | | -Trust Factor |
| Dropshipping is an advantageous way to fulfill the | | | | And not to forget that this business involves high |
| demands of Chinese people, because, firstly it is an | | | | degree of trust on part of customer towards retailer |
| industrial economy which means it produces a lot of | | | | and of retailer towards wholesaler & courier service |
| products which need to be consumed and secondly | | | | provider. |