Today you’re going to see 4 types of company that improve your business.
So if you want to buy products from them, you’ll love today’s guide.
Let’s dive right in.
How to choose companies on 1688.com
More and more companies are entering the 1688 platform in the future in China
In fact, 90% of companies’ business model is production and processing. 8% of companies’ ’ business model is wholesale. 1% of companies’ business model is business service. 1% of companies’ business model is investment agent .
But, There is a little fake information showed on their company file, such as date of establishment, registering address, number of employees, certificate.
With that, it’s time for me to show you the 4 types of companies on 1688.com.
1.Production and processing
What It Is:
Production and processing means that the registered company is a manufacturer that has its own factory, and has the ability to produce and process.
Processing Methods:
OEM processing, ODM processing, OBM processing, Processing Trade, Manual Processing, Sample Processing, Processing with Supplied Drawings, and so on.
Why this?
I believe that many importer want to buy goods from factory so that save more money.
Advantages
Factory usually has certain specific products, which are competitive in terms of quality, price and design.
Disadvantages
Many small factories don’t have employees who can speak English fluently.
Many small factories don’t have export licenses.
How to identify them
You can check business licenses
You can identify it based on the following four details:
#1 registering address is in industrial area.
#2 production and processing in management scope.
#3 The shop have joined in taogangchang on 1688.com
#4 There are less categories and less product in their shop
If four details mentioned are verified, you can be sure that the companies are factories.
2.Wholesale
What It Is:
Wholesale Distributor is a company who get products from a lot of factories to sell directly to the retailer.
Why this?
Wholesalers have a lot of factory resource to meet your needs and help you save a lot of time.
Advantages
Generally, a factory is often difficult to meet the needs of customers. But wholesalers can get products from many suppliers in China to meet you needs.
Disadvantages
Price is high and you can’t know cost of product
How to identify them
You can check business licenses
You can identify it based on the following two details:
#1 registering address is in office buildings or residential area .
#2 retailer and wholesale is in management scope.
If two details mentioned are verified, you can be sure that the companies are wholesalers or trading company.
3.Business service
What It Is:
Business services are services that are primarily sold to enterprises in China. Its maybe be
E-commerce, building shop on 1688.com and virtual service.
Why this?
They have professional skills to help you solve some problem.
Advantages
They have offer business service with professional knowledge
Disadvantages
They charge according to some conditions.
How to identify them
You can check business licenses
You can identify it based on the following two details:
#1 registering address is in office buildings or residential area .
#2 technology development is in management scope.
If two details mentioned are verified, you can be sure that the companies offer business service
4.Investment agent
What It Is:
It is a company who looking for distributors for their enterprises to promote their product in China.
Why this?
If you don’t have technology and money, they can help you.
Advantages
Professional knowledge
Trusted brand
Disadvantages
There are certain risks to sell their product and you get low commissions
How to identify them
You can check business licenses
It is difficult to determine whether it is an investment agent through a business licenses. You can call them and know some information from them. It’s best to visit their companies to know what it is.
So those are 4 of business model of companies on 1688.com.
Generally speaking, large buyers will choose traders, small and medium buyers will choose factories.
Now I’d like to hear from you…
Which of business model of companies have you tried before?
Or maybe you have a question about something I talked about.
Either way, let me know by leaving a quick comment below right now.
