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