Welcome to the JitVerify Blog!

Our mission is to help overseas companies to save cost. You can use JitVerify as your Chinese representative or partner to perform your Chinese business operation. You can use our manpower, facilities and expertise to save your cost; especially when your business is small or just starting in China. Because we have a talented team that can support you in China, you do not need set up your own office in China.JitVerify is a China-based company that specializes in verification and product inspection services in China. We have inspectors in most major cities in China. We can assist your business and help you get background information on companies in China at a fair price. We protect the interests of Western companies by providing a full range of high quality verifications of claims by Chinese companies.As a China-based business, with operational reach across all of China, and as a result of our knowledge of local culture and laws, we are able to obtain the information you need for any registered company in China. If you are interested in visiting the Chinese company, we are able to set up meetings for you or provide advice as to how this company compares to others in its peer group or simply provide you with a site visit report.Send us email to info@jitverify.com or fill in our online contact form.We will reply within 24 hours.

Sunday

Merry Christmas and Happy New Year!

Dear JitVerify customers and friends:

White Christmas has come in great volume during the last 24 hours on the US East Coast. It is predicted to keep snowing for another 18 hours, so it will be enough snow to last for quite a while. If you do not have snow, let me know and I will send you some pictures from my place.

The last few months have been very busy for me, so I have not been able to keep in touch with you as much as I like. A major change was my move from California (on the US West Coast) to Annapolis in Maryland (on the US East Coast near Washington DC). I moved in August and September with my family. I drove across the country so I could bring a car. Once I arrived in Annapolis, I had to buy a house for my family, move our furniture, plus all the activities associated with a long-distance move. I am now settled and fully back in business.

2009 has been a very good year for JitVerify in terms of growth. After the Chinese New Year is over in mid-February, we plan to add staff in our office in China. This will enable us to do more projects, provide faster response and give more attention to each customer. Our goal is to be the leader in Just-in-Time inspection and customer support. To earn this reputation, we need to add resources in a timely manner.

We have recently upgraded our website. In particular, we have added additional services that will enable us to move higher up on the “food chain.” We have added “full inspection” which includes social responsibility audit. We have also added expert QC inspection and training. This expert service will be delivered by a US person who will soon work with us in China.

Our website now also shows a Satisfaction Guarantee statement. We want to show you that we are confident in the quality of our inspections; however, when/if it is clear that we were deficient, we will pay back what you paid us. The exact details are on our legal page where we have the Terms and Conditions for our services. As we grow, we find that we need to be more formal to protect both JitVerify and our customers.

I believe the Christmas Season is one reason why our business has increased significantly recently. It also seems like there is a general increase in imports from China as the global economy is on the rebound.

Effective December 7, we formalized what we already have been doing for several weeks: We now bundle, by default, local travel costs and bank fees into the price we quote you. Previously, we typically added the travel costs as a separate item. Local travel cost is about $30 and bank fees are $15. So, our new price for a standard one-day inspection is now $223 for the man-power plus $30 for travel +$15 for bank fees for a total of $268 which is the default price we quote for a standard inspection. If your situation is different, for example if you send us a check, bank fees are not applicable.

I also like you to know that we offer 10% discount off the man-power costs to customers who use our services after three projects.

We like to update the testimonials from our customers on our website. If you can send me a short statement that we can put on our website, preferably including your email address and/or affiliation for everybody to see, we will give you $25 (~10%) discount on your next inspection project.

As always, feel free to contact me with your questions, pressing needs, or concerns.

Thank you. Merry Christmas and Happy New Years.

Bjorn Frogner
Managing Director
JitVerify Services
Annapolis, Maryland, USA
US-650-296-9744

Saturday

JitVerify has entered into a two-way partnership with QMEC

To serve an increasing number of customers, JitVerify is in discussions with several highly reputable partners in other countries. The first company we have signed a partnership agreement with is Quality Management & Env. Certification (QMEC) which is a third party management system auditing firm operating in Pakistan on behalf of a European accredited firm. They have clients in all industrial and trade sectors. JitVerify has entered into a two-way partnership with QMEC to support their Pakistani customers in China as well as guiding JitVerify customers to use QMEC when there is a need to perform supplier audits and pre-shipment inspections in Pakistan.

Contact Details:

Quality Management & Env. Certification
FL4/20, Suite 203, 2nd Floor Main Rashid Minhas Road,
Block 5 Gulshan-e-Iqbal, Karachi 75300 Pakistan.
Ph: 0092-213-4818122
Fax: 0092-213-4811297
E mail: info@qmec.org
URL: www.qmec.org

Wednesday

Avoid scam on the Internet

There are many cases of scam on the Internet. The typical scam is that they take your money and then disappear. You do not receive your products and you do not hear from the anymore. Here are some tips for your reference.

1. The scammers usually advertise brand products such as I Phone, Nike shoes, etc. However, it is very difficult to buy original brand products in China because brand products have their special authorized distributors worldwide. Even if you find the OEM factories, they are only allowed to sell to their authorized agents.

2. They use very low price to attract you. Also, they ask you to pay 50% in advance. They will try many ways to make you pay some money in advance so they can take it and disappear.

3. Their common payment solution is Western Union and bank T/T, because you cannot get your money back once you paid them. And, it is impossible to trace them this way. However, the advertised payment method is not a way to judge a scam because many good companies use Western Union.

4. Scammers prefer to show MSN, Skype, etc., messenger ids on their website. I do not mean this information implies it must be scam, I just remind you to be careful about them. Of course, some good companies use MSN; but, it is warning sign if you find MSN on their website.

5. The contact phone on the website cannot be reached. This is obviously a bad sign.

6. Use Google to search for the company name and website. Then check if you can find some comments about them on the internet.

JitVerify is a China-based company specializing in company verification and product inspection throughout China. We offer services tailored to each client and specific to their needs. We offer the basic investigation services to oversea buyers. If you want to do business with Chinese suppliers, we can help you contact them. Our process flow is as follows:

Basic Checking:

If you have a few suppliers you never met, it is necessary to make a simple investigation before you send them payments. We can call your suppliers to discuss more details on your behalf. With our knowledge of local culture, customs and laws, we can obtain the information you need for any registered company in China. It is easy for us to determine if it is a scam or not. We can avoid the scam because they only cheat foreigners who don’t know the local culture and laws.

On-site visit report:

Even if your supplier is a legitimate company, you still don’t know if they are a good supplier for you. Will they deliver good quality products? Will they delay your orders? Do they use child labor? These are some of the questions you need to ask before you place an order with them.

The best way is that you visit the supplier yourself so you can get to know them well. But it costs you money and time to visit the suppliers. Sometimes it is a waste of your efforts, because after you leave the supplier they may not do what they told you. Furthermore, they might not honor the commitments they made because you cannot oversee the production.

JitVerify offers a cost effective way to solve these problems. We can send an inspector to visit the suppliers. We take a detailed look at their facility and assess any products that you plan to purchase. Upon completion, we produce a report for your review. This report contains our observations and recommendations. You can know a real factory by our on-site report. Also our inspectors can oversee the quality and other issues during the production. The factories are still under your control this way.

Tuesday

How to find a Chinese factory

Analyzing the types of suppliers has strategic importance. It will help you to understand where you are, what kind of results to expect, and what are the things you need to take care of in the mutual cooperation. You may want to have an experienced person help you to analyze the information. In your strategy, you will also need to include the consideration of the future contracting and operation. You may seek advice from Chinese professionals who understand the Chinese mentality, culture and business practices. You may get the incorrect interpretation if you visit the supplier's English website, or you could omit data that contains key information.

An independent third party can be an excellent idea for a quick cost effective review of potential suppliers before you choose one to visit. There are many companies in China run by westerners who do this and can provide a good bridge between you and your supplier at the start.

A visit to your supplier production site in China is the only reliable way to truly know its capabilities, to check that the data you have collected on the company is 100% correct, and that ISO & Quality principles are applied: Check the factory organization, its process flows, the quality of goods produced, the packaging, the workers' training level, the overall working conditions, equipment maintenance, etc. This will give you an indication of how the company is managed. A face-to-face meeting with the supplier's management team will also give you an idea of their experience and willingness to embark on your project. You will also be able to create a friendly relationship, which is crucial for your project!

Monday

Chinese factory audit and inspection services

If nothing else we advise you use a quality control inspection service. It is one thing receiving a perfect sample, it is another thing receiving a container full of substandard or faulty products. For a minimal cost a QC could be the best investment you make when importing.

Product inspection can be one of the most important jobs when placing orders with Chinese manufacturers. At the Import Department, we can perform a quality goods inspection where we will check and test your goods against your specific requirements and standards. This will be carried out by one of our professional quality inspectors in China.

Sunday

Total Cost of buying from China

When buying from China you always have to consider the Total Cost, which includes:

-FOB price
-the cost of returns (material/immaterial)
-the cost of delayed delivery (material/immaterial)
-the cost of management (flights/hotels, jetlag, agony)

Paying for good quality inspection is an insurance premium that no experienced China buyer goes without.

China Quality Assurance Services

Inspection Criteria definition
Quality is often defined as “conformance to specification” so in order for us to measure it we first have to sit down with our client and agree on what key measurements define a quality product. In addition to that we realize that not all quality concerns can be reduced to a number, especially for aesthetic quality of products, and that’s where our Western staff with background in Industrial Design comes in very useful.

Supplier selection

Our management team has been working in Greater China for a many years, and collectively we know of a good number of suppliers that are good to work with, and which ones to avoid. The Guanxi concept plays an important role, when we work with a factory we have known for a long time, or to whom we have been introduce helps a lot, because then there is much more at stake than just the current business deal. In case of problem (yes, they do occur sometimes..) am unknown” factory will just abandon a tooling halfway when they think fixing the problems will cost more then the final payment is worth. A “Guanxi“ factory will take the hit and keep going until the client is atisfied, so he avoids losing face.


Factory Inspection/Supplier Quality Audit

While Guanxi go a long way, the mere fact that we’re good buddies with a factory owner is of course in itself not enough, and we provide solid audit reports of the factory we’re selecting for you.

Incoming inspection

A factory Quality processes can be top notch, but Garbage In is still Garbage Out. That’s why we place quite a lot of emphasis on incoming inspection. Even more important is to verify that the incoming parts can only come from the approved source, a great majority of quality problems are caused by China manufacturers trying to save a penny by substituting inferior materials.



Pre-Production Inspection

The Pre-Production samples, which in case of electronics we define as final working sample PCBA in tooled housing, is of course an important milestone. No manufacturer is happy with 50,000 rejected units, so they often will try to sneak reworked units back in the shipments. Our goal is of course to identify potential problems early so we can eliminate the causes.

Production Inspection: 100%

Quality Inspection in most mass production factories in the US and Europe means Statistical Process Control. Don’t be surprised when a China manufacturer says he doesn’t know SPC, they typically go with 100% inspection. For a manufacturer of disk-drives armatures in Dong Guan this means that 500,000 armatures are inspected per day, by a hall full with girls with microscopes. JitVerify makes sure that the inspectors are measuring the right attributes in the right way, and perform random sample tests of the final packaged product.

Saturday

Though it is difficult to secure high quality goods from China

Though it is difficult to secure high quality goods from China, countless companies are (quietly) succeeding in doing just that, so it is clearly possible. Possible, but not easy, and what this means is that the cost difference in sourcing from China must be great enough to make up for the time and money that will need to be incurred to maintain quality. Very briefly, companies getting product from China should, at minimum, be looking at the following:

1. Chinese Suppliers. Since Chinese suppliers run the gambit from superb to criminal, you must check out any potential supplier in advance. A basic credit check will reveal whether the Chinese company with whom you have contracted is in fact the factory owner, not just some broker posing as such. A thriving company is less likely to risk its reputation by cutting safety corners than a company on the verge of going under.

2. Quality Control. Since most Chinese product arrives already packaged for retail sale, a statistically valid inspection system within China is critical. The Chinese government has its own inspection system for food and drugs, but to reduce costs, many Chinese suppliers intentionally avoid this system. It is your job to make sure your Chinese supplier is licensed to manufacture the product you are buying, licensed to export it, and follows Chinese government inspection procedures. It is your job to have the right people testing that product, be it your own people or a reliable third party tester.

3. Contracts. Your contract with your supplier should detail your safety and quality control requirements and your inspection rights. If the contract states you are responsible for inspection, you must actually inspect. Your contract with your Chinese manufacturer can either shift liability towards you or away from you.

4. History. You know who your problem suppliers are and you need to replace them now before they cause even bigger problems. Ask a product liability defense lawyer whether having to deal with a bunch of e-mails from you to your supplier complaining of "continual quality shortfalls" is going to be good for your product injury lawsuit. Actually, don't bother, you know the answer.

If you are currently working with a Chinese based factory

If you are currently working with a Chinese based factory, please contact us, and we will make sure that we provide you with competitive terms and service, to convince you to use our services instead.

Because we draw on a broad network of professional inspectors, we have few limitations on areas we can deal with. We regularly deal with textiles,apparels, electronic consumer products, cell phones, wood products,trucks, furniture, toys,etc. We have a network of many inspectors around the China, we can cover most major cities in China without air travel.

We provide discounts for repeat business and projects that span several days; 10% discounts is our starting point. If you engage us in long projects; we will negotiate prices that are good for both of us. Our goal is to provide high quality service at a fair price.

The following steps shows how we typically perform our inspections:

1.We call the company to ask some questions to make sure they at least
satisfy the minimum expectations. We then invite ourselves to visit them.

2.During the visit, we meet with your contact plus other management and
sales staff that are available. We will ask our standard questions plus
questions you want us to ask. We take many pictures.

3.After the inspector comes back to the office, he prepares a report that
will be emailed to you.

4.After you read our report, you will be able to make a well-informed
decision regarding the supplier.

Do you have to fly to China frequently?

There is no question that almost any company that sales a product whether it be a retail store, or a wholesale distributor can benefit from having their product produced in China. Therefore the question is how to take advantage of the low costs that China has to offer and how to ensure the product quality. How to solve the problems and how to avoid the misunderstanding with these Chinese factories. How to maintain a good relations with them.

Every company has the option to get on an airplane, fly to China and visit the factory directly. However, this is both a costly and a risky business decision. An average 10 day business trip to China is going to cost over $3,000. There is also the additional hidden costs that your business will incur of either yourself or your management being absent from your business during this period of time. Lastly, there is the risk that your trip will be a total waste of time, if you don’t locate the appropriate factories for your project.

If you do find a factory that can produce your item, are you sure that you are getting the best price? Your product will be produced and shipped from China, but how will you be able to guarantee the quality of your product, and how will you ensure that the factory has followed your instructions?

Many companies believe that they will save money by buying direct from China, but in reality many companies lose money by buying from China, because they do not have the resources to properly oversee the factories that produce their goods.

With JitVerify you will have a dedicated office in China to oversee your project. Your project will be handled by an experienced Chinese team. Instead of spending your money and time on a trip to China, which may or may not produce results. We will work as your China office, which will produce guaranteed results.

Wednesday

Job Openings

We are constantly looking for qualified applicants for the following positions. If any of these interest you, please email your resume to info@jitverify.com

QC Inspectors

Job Description:
We are looking for experienced QC inspectors to join our fast-growing team.

Job Responsibilities:
Visit Chinese factories and offices on behalf of our clients.

Job Requirements:
• A positive attitude and desire to succeed.
• Graduation from 2 year university or college is required.
• English speaking and writing is necessary.
• At least 3 years of experience in QC field is preferred. At least one area of specialty is needed.
• Experienced with computers and internet access is necessary.
• Part time commitment.

Sales Representatives

Job Description: We are looking for motivated and results-orientated individuals to join our fast-growing global sales network to drive the sales of our inspection services to local clients in foreign countries.

Job Responsibilities:
Sales of our inspection services to clients.

Job Requirements:

• A positive attitude and desire to succeed.
• Graduation from 2 year university or college is required.
• English speaking and writing is necessary.
• 1 to 2 years sales experience; a background in online direct marketing is preferred.
• Experienced with computers and internet access is necessary.
• Part time or full time commitment.

Friday

Chinese Manners

China is known as a state of etiquette and ceremonies. Many proverbs have been passed down from generation to generation such as 'civility costs nothing' or 'courtesy demands reciprocity' and so on. For instance, there is an interesting short story. Once upon a time, a man went on a long tour to visit his friend with a swan as a gift. But it escaped from the cage on the way and in his effort to catch it, he got hold of nothing but a feather. Instead of returning home, he continued his journey with the swan feather. When his friend received this unexpected gift, he was deeply moved by the story as well as the sincerity. And the saying 'the gift is nothing much, but it's the thought that counts.' was spread far and wide.

Chinese used to cup one hand in the other before the chest as a salute. This tradition has a history of more than 2000 years and nowadays it is seldom used except in the Spring Festival. And shaking hands is more popular and appropriate on some formal occasions. Bowing, as to convey respect to the higher level, is often used by the lower like subordinates, students, and attendants. But at present Chinese youngsters tend to simply nod as a greeting. To some extent this evolution reflects the ever-increasing paces of modern life.

It is common social practice to introduce the junior to the senior, or the familiar to the unfamiliar. When you start a talk with a stranger, the topics such as weather, food, or hobbies may be good choices to break the ice. To a man, a chat about current affairs, sports, stock market or his job can usually go on smoothly. Similar to Western customs, you should be cautious to ask a woman private questions. However, relaxing talks about her job or family life will never put you into danger. She is usually glad to offer you some advice on how to cook Chinese food or get accustomed to local life. Things will be quite different when you've made acquaintance with them. Implicit as Chinese are said to be, they are actually humorous enough to appreciate the exaggerated jokes of Americans.

Thursday

Contact Jitverify NOW to Book Your Inspection

Based on our experience, a third party factory audit is highly cost effective when you find a new factory that you will work with and you cannot visit them by yourself. When you find Chinese factories on the internet, it is difficult to know if they are legit or not. When you send an inspector to visit them, some factories may turn down the visit which is not a good sign. If they agree to the inspection, you are very likely to get the real information about the factory.

We frequently inspect the products before shipping which ensures that things are on the right track. Some Chinese factories will make simple mistakes on packing, loading, etc. Our inspectors will direct the factories to do a good job and we will send you a report before your products ship.

How to Prevent QC Inspectors Being Bribed in China?

You have found a factory and negotiated a good price. You have received a product sample in advance and you also hired a third-party inspection company. Then, after the goods arrive and have been distributed, you find that the goods have serious quality problems. How can you prevent this from happening to you? How to prevent QC inspectors from being bribed in China? Who is liable when a QC inspector is bribed?

QC inspectors are bribed everyday in Asia. If you have been on a buying trip in China, you have probably experienced the overbearing hospitality. It is this aggressive relationship-building characteristic of Chinese culture that allows for the wide-spread bribery of QC inspectors.

What can you do to prevent this from damaging your shipments? Remember to question your third- party QC company about the measures they take. When you talk to them, here are some points to consider:

• Do they have evidence to prove their ethics standards?
• Do they have their own internal auditing system? And, do they perform spot-checks on senior staff inspection after a certain time?
• Do they rotate QC inspectors in different factories? This is used by professional QC companies to avoid letting any inspector feel “comfortable” with any one factory.
• Do they tell you how much training their junior staff receive before they go to a factory on their own?
Furthermore, communicate clearly with your factory, agent, and the trading company, by phone and by email. Tell them that bribery to your third-party inspector is prohibited. Have all parties come back to you in writing confirming their understanding.

If a QC inspector is bribed, who is liable for that?The answer is the factory.
Bribery is illegal in China the same way as in the western countries. You may consider making a claim against the factory. However, a claim of bribery is very difficult to pursue in a Chinese court of law. And, it does not solve the problem that you now have received bad products.

Knowing that it is difficult to get remedy after the fact, your best way is to avoid ever getting into a situation that requires legal remedy. Working with a strong QC company can substantially reduce the chances of these problems happening to you.

Saturday

Let JitVerify be your eyes and ears in China.

Let JitVerify be your eyes and ears in China. Our Chinese staff and
associates are university educated, bilingual, and each person has an
industry specialty. We bring the experience and qualifications necessary
to deal with your Chinese suppliers. We do it all for much less than you
going to China. We weed out “fly-by-night” companies, make an assessment
of your prospective suppliers, verify the quality of their manufacturing
processes, inspect products before shipping, and act as your
representative in China.

Because we know the Chinese culture, we know how to communicate with
Chinese factories and we know how to make the relationship between buyers
and sellers go smooth. We can help "control" the factories and solve hard
relationship problems.

Because we also know western management style, our customers can trust
that we do what we promise and they can be assured that no bribes from the
factories will be involved.

Tuesday

Get one free inspection now

Jitverify coming out promotion for the month of June:

One of 10 new customers get one free inspection. And one of every two new customers get 10% off on the first inspection. You will be selected based on the sequence by which you gave us an assignment.

Try us, you may like us!

Saturday

Factory Audit is necessary

Before placing an order with a Chinese factory, you may want to know more about your suppliers capabilities, systems, management, human resources, and or operating procedures. This ensures that your quality specifications and standards are met.

Working with the right supplier saves significant amounts of time, money, and ultimately your company’s reputation. Our Factory Audit reports will aid you in deciding if the potential supplier is suitable to manage and produce the desired products.

Jitverify will custom tailor our evaluation process to fit your companies particular needs. One thing that should be an important concern of yours is the factories abilities and their employee’s abilities. JitVerify can conduct an onsite inspection and evaluate the size of the factory, the amount of equipment the factory has, the amount of employees the factory has, and the technical ability of the factories employee’s. Through gathering this information we will be able to tell you if the factory can actually do what they are promising. As well we will be able to tell you if the factory is able to manufacture your products within the specs that you have outlined.

Thursday

How To Inspect Your Chinese Factories?

When you are working with Chinese factories, you know to check your product schedule, to ask the third party to do the quality control. What about other things you need to inspect? Is it necessary to verify raw materials or risk everything? How to inspect the factories better?

When you are buying product from china, it is difficult to tell if you are working with a factory, a trading company or something in between.

It is key problem to know exactly who you are working with when it comes to product and quality issues. If you are not directly working with the factory, the supplier can not provide you satisfactory answers about the product. If you’re having an urgent time putting your finger on who you’re working with, you should contact a company specializing in China Supplier Verification.

Maybe you worried about Chinese suppliers that they do not understand English. But about 50% of what you write in emails they understand. Remember that English is not this person’s first language; keep your emails simple and your directions clear.

You may think to communicate too much with emails. With an overseas supplier, you considered that do they get the information already? Sometimes, time difference can be a pain; you can arrange a phone conference with overseas suppliers. Online telephony such as Skype, which Chinese is familiar with, make it easy and free for you to communicate with contacts in china.

It is necessary to verify raw materials and risk everything. You should exactly know what materials are being used, and request documentation from the supplier that the materials are safe. You should assume that the factory in china will use the cheapest materials. Insist that your supplier provide you with written verification. If your supplier can not verify this then contact a 3rd party QC company for guidance.

About the quality issues, the best way to arrange the inspection is with a third party QC company, it also can be arranged by your own staff in Asia, or your agent. You should insist on seeing an inspection report in English (including photos) which documents the process.

Ensure that you have the document professionally translated into Chinese, and make the QC checklist for discussing production and quality with your supplier. You may find that you don’t have a lot of the details that the QC Checklist calls for. If you find there are something lack of, you need send to your supplier to fill in.

You need distinguish yourself by being able to consistently deliver excellent quality. Your customers will no doubt appreciate your diligence, and ability to speak intelligently about your focus on quality.

Friday

Count on JitVerify for your inspection needs in China today

We will go into the factory and verify that you'll be getting exactly what you expect. Our verification service starts at $238 per trip and includes:

1. Pre-production verification of requirements with manufacturer.
2. Comparison of factory production with your approved samples.
3. Detailed online reports documenting our inspection of products, packaging, and any other requirements that you've identified, complete with pictures. Documentation of any defects that are found.
4. Once you have received the inspection report, you can then make an informed decision on whether or not the products made meet your standards, before giving the factory your approval to ship.


Our inspection services are offered as follows:

Initial Inspection
We'll inspect raw materials and components before production begins in order to verify the factory has ordered the correct materials and inspect for defects.

Factory Inspection/ Audit
Our factory inspection/ audit involves a general informational and verification process on a Chinese manufacturer. We will investigate the legitimacy of the company and provide an investigative report that describes the company. This provides assurance that you are working with the actual manufacturer and not a "front" entity.

Production Inspection
Ideal for shipments of large quantities, continuous production, or strict on-time shipments. We'll examine goods that have been completed and in the production process for defects to ensure uniform product quality. This also helps to confirm on time shipment.

Final Inspection
A final random Inspection is performed after completion of production to ensure quality and packing before shipping. Inspectors can verify correct size, color, quantity, workmanship, packing and more. You supply the critical passing criteria.

Thursday

AsiaWorld-Expo, Hong Kong

China Sourcing Fair - Electronics & ComponentsApril 12-15, 2010
China Sourcing Fair - Security ProductsApril 12-15, 2010
China Sourcing Fair - Baby & Children's ProductsApril 20-23, 2010
China Sourcing Fair - Home ProductsApril 20-23, 2010
China Sourcing Fair - Gifts & PremiumsApril 28 - May 1, 2010
China Sourcing Fair - Fashion AccessoriesApril 28 - May 1, 2010
China Sourcing Fair - Underwear & SwimwearApril 28 - May 1, 2010

Tuesday

How to Find a Supplier in China

To successfully find a suitable China supplier, you need a strategy. This strategy will consist of awareness, knowledge and a good amount of homework. Below are some practical steps to find a suitable Chinese supplier for you.

1. Understand what you need. You need to first know what is available and have a way to categorize the information. Here are some categories to help you think about Chinese suppliers: manufacturer vs. 3rd-party supplier; Big corporation vs. small family-owned; 3rd-party supplier with in-house product development capability vs. 3rd-party supplier that just buys-in and sells-out; vertically integrated manufacturer vs. assembly-based manufacturer; etc. Properly categorizing the suppliers will help you understand what you need. For example, if you need to import products in a narrow range, you may choose a manufacturer other than a 3rd-party supplier. If you are a small business and need dedicated attention, you may want to develop a good relationship with a small family-owned business.


2. Do some preliminary Internet research to further develop your category system towards your specific needs. Create a data table to help you record the search result, so the job can be done more efficiently and effectively. The table should include columns like company name, contact information, business scale and scope, category check boxes (important), and notes.


3. Use search engines to search information related to your product name. The first 100 results would be the most relevant websites related to the product of your concern. You can also find your competitors' information and develop a better sense of market segment and marketing channels.

4. Use popular business directory websites to obtain very structured information for Chinese suppliers. The directory websites are also excellent resource to obtain industrial knowledge.
Narrow down the the list of suppliers you want to work with to a manageable amount. At this stage, you may already know what your real needs are and what is available. Initiate contact with the suppliers you want to work with, and further develop relationships with them. Eventually, you will find the one. The process can be fun and a friendly experience.


5. Narrow down the the list of suppliers you want to work with to a manageable amount. At this stage, you may already know what your real needs are and what is available. Initiate contact with the suppliers you want to work with, and further develop relationships with them. Eventually, you will find the one. The process can be fun and a friendly experience.

Sunday

How to Spot Fake RMB




There are 5 tips for you to identify fake notes:

1.Paper quality


Take the bill and ruffle it in your hands.The long way up, in your hands and kind of ruffle it in your hands. The sound should be clear and distinct. In the fake ones, the sound is muffled and the paper seems crisp.
  

2.Water Mark
  

There are two things to see in the light. If you hold the bill up you will see on the left side in the white space, there is a clear picture of Chairman Mao's face. On the fake bills, the outline of his face is blurred. Below the 100-number in the center of the note, there is a red and blue symbol inside a red circle with the red and blue sections on either side of the note. In the real bills, the red and blue boundaries in the symbol are very distinct. They are perfectly aligned, or else they overlap just very very slightly. In the fake bills the symbol is distorted. The red and blue sections are not aligned, one is usually a little higher than the other and often there is either a white space between their boundaries or they overlap unevenly. This is the easiest identifying mark of these bills.


3.Color Change
  

Below the white space, there is a green 100 (or 50 on the 50 bill, 20 on the 20 bill etc.) sign in the left corner. When looking flat at this sign, it is green. When the bill is tilted upwards, and you are looking at the sign from the bottom up the 100 turns brown. This is a real bill. But if when you tilt the bill upwards the symbol is only dark green, then this is a fake bill. This difference is slight and is easily seen if you have a real bill next to the fake bill.
  

4.The Texture of the picture of Chairman Mao
  

Hold the bill in your hand and rub your thumb gently against the collar on the big picture of Chairman Mao. You will notice a difference in texture on his collar. You will only feel it if you rub gently. If the paper is completely smooth, without any texture, you are holding a counterfeit!
  

5.The difference of "100"
  

On the top right hand corner, there is a 100 sign, just overlapping a little below the 100, there is a oval design. If you turn this design up, so you are looking up from the bottom, then place it so that light shines on it, you will see a very faint "100" on the oval. It is just slightly raised, this is a real bill. In the fakes, the 100 is either not there, or is very difficult to see.

Tuesday

Some tips for your China trip



Visa to Enter China

If you are coming to China for just a few days, a tourist visa is sufficient. In this case, it is not necessary to apply for a business visa which requires invitation letters. If you want to get a one year multiple entry business visa, then you will need an invitation letter from a Chinese company. Also, you can apply for a 3 day temporary visa at the Zhuhai or Shenzhen borders.
We recommended that you get your China visa in your home country before arriving in China. You can contact your local Chinese embassy or a local travel agency for details.
Alternatively, you can fly to Hong Kong without a visa and apply for a China visa there. You can ask your hotel or a travel agency there for details. Also, you can go to the Chinese Consulate directly. In HK the Chinese Consulate is located in the China Resources Building, 26 Harbour Road, Wanchai. The entrance is located on the side of the building and you must get in the line as early as possible. They are limiting the number of visas issued each day so you may have to wait another 24 hours if you get there late.

Language

English is not an official language in China, but many young people in the big cities can speak some English. So, we recommend that you bring a Chinese friend to be your interpreter when you are in China.

Hotels

Chinese hotels are generally not expensive; the prices range from $30 to $100 per night for a decent hotel. But, you need to book your hotel in advance to get a discount. If you go to the hotel directly, especially for a good hotel, you cannot get a discount. For some small hotels, there is no need to book in advance. You can just walk around until you find an economic hotel.

Food
Chinese food is almost always delicious. A dinner usually costs from $3 to $10.

Transportation

Subways are primarily only available in big cities, such as Beijing, Shanghai, and Guangzhou. The city bus is cheap, but it is very slow due to much traffic. Furthermore, it may be difficult for you to know where to get off the bus because most street signs are in Chinese. Taxi is the best way for a traveler, because it is inexpensive. But most taxi drivers do not speak English, so you better show the driver a piece of paper with your destination written in Chinese.

Shopping

It is better for you to go to shopping with a Chinese friend, otherwise the seller will ask for a high price unless you buy from the supermarket. So, you need to learn to bargain with Chinese sellers. One effective way is to just walk away after offering a low price. If the seller calls you back, it is an indication that he is likely to make a deal with you.

Wednesday

Canton Fair to focus on home turf

By Diao Ying (China Daily)

The country's largest trading expo, China Import and Export Fair, is shifting its focus to the domestic market as demand in the overseas markets has shrunk and exports have declined for five months in a row.

Exhibitors, who normally target foreign buyers, have been invited to showcase their products for the domestic market, said Mu Xinhai, spokesman for China Import and Export Fair, also known as the Canton Fair.

The 105th session of the fair, which starts in Guangzhou today, has also managed to get domestic buyers, including businessmen from large shopping malls, chain stores, and wholesale markets to participate in the fair, said Mu.

He said the fair, which normally has three phases, would devote a day from both the second and the third phases specifically for dealers from the domestic market to do business.

The Canton Fair, established in 1952, was mainly organized to showcase Chinese products to overseas buyers. But it has reinvented itself as some exporters have shifted their focus to the domestic market as many of the erstwhile global trading partners have slipped into a recession.
"The financial crisis has shown that if an enterprise does not have a good foundation in the domestic market, it will be hard for them to be strong in exports," said Wen Zhongliang, an official with the Ministry of Commerce.

China's exports have declined five months in a row. Exports declined 17.1 percent in March, after a sharp drop of 25.7 percent in February.

According to Mu, the number of exhibitors at the event has decreased slightly, but the overall scale of the fair still remains the same. Sources, however, maintain that there would be a decline in the foreign participation at the fair.

The Guangzhou Hotels' Association had earlier said room rates in the city would be 20 percent lower this time than previous years due to a decline in reservations.

Monday

China Business Negotiation Tips

There is a lot that goes into China business negotiations. Here are some useful tips to increase the probability of succeeding when negotiating with the Chinese companies:

1. Be patient and spend time building relations. In the meantime one should not forget how fast things can shift in China. Be prepared to act quickly if opportunity knocks.

2. Take the Chinese bargaining culture into consideration. Make sure you always have something more to bring to the table.

3. Always remember the 'home' advantage. Invite your Chinese partners to your country or in-country corporate offices.

4. Focus on the informal negotiations that go on all the time. Do not use up all of your energy on what’s going on during for formal negotiations. Remember that most things can be negotiated and re-negotiated.

5. Double-check all the information you receive with your own Chinese connections. It is not always true when someone says that "this is impossible in China".

6. Look at the contract as an agreement of intention that needs continuous follow up.
Make sure you are communicating with the right person – the one who makes the decisions. If you fail to do so you might risk that while you think you are negotiating, you are actually just giving out information.

7. Keep in mind the Chinese notion of giving face. Do not embarrass your Chinese relations. Focus on giving face.

8. Keep in mind that your temper is an efficient tool when you feel the need to draw your line.
Before you do business in China you need to get at least one Chinese contact that you trust 100% and who is willing to help you.

Negotiations in China is a tough thing to master. But with enough practice and a little preparation, you'll do fine. I hope the above tips help you out on your next trip to China.

Sunday

Some tips for China outsourcing

1. Find suppliers on internet

Now that most factories show their information on their website, it is not difficult to find factories of interests. It is easier than visiting tradeshows in China. But the problem is that you do not know the real situation at these factors. When you visit China, you might find that the factories are not what you were looking for, so you wasted your time and money. It’s better to ask the factory to provide you some photos or related information before you head to China.

2. Visit the factories personally

In the past, a lot of importers were going through brokers or trading companies because they did not know the factories in China, and they did not have the ability to manage quality. One of the big pushes these days is to go direct. One reason is that some brokers were charging a 10–15% fee, which substantially reduced the profit potential of sourcing in China. Another reason is that you will have a much better understanding of the company after a face-to-face visit.

3. Use supplier evaluation

The most critical step is to select the right suppliers You need to check references and verify that the suppliers have adequate capital, quality systems, and capacity. Then you need to find out what the priorities are for the suppliers’ factory. For example, some are focused more on quality, some on price, and some on fast production.

4. Manage your suppliers

If you think, after you place an order, that you can receive a good shipment, you are wrong. New problems are likely to arise. If you are not in the factory, you do not know the production conditions. It is better if you have an agent who can follow up on your orders and keep close communication with the factory. You may also need to help the suppliers solve their problems because many factories are not proactive due to poor management.

At any point in time, you ought to keep a few good suppliers as alternative providers of your products. One reason is that you should not be held hostage to only one factory. The other reason is that your suppliers need to compete with each other.

Once you select suppliers, you have to treat them as though they are next door to you, and you need to have your own people over there to make sure they are doing what you need.

5. Build relationships with the factories

It is known that building and maintaining a strong relationship with suppliers is more important in China than most anywhere else in the world. The reason being that in China, business is based more on relationships than in most countries.

For example, in the US you can call almost any supplier and ask for a quotation. This tends to be a straightforward business activity. In China, you first have to establish a relationship. Only when the factories know you are likely to become a serious customer, will they offer you their best quotes.

Wednesday

“Poka Yoke” in Quality Assurance

The term “Poka Yoke” was coined in Japan during the 1960s by Shigeo Shingo, an industrial engineer at Toyota. Dr Shingo is also credited with creating and formalising Zero Quality Control (poka-yoke techniques to correct possible defects + source inspection to prevent defects = zero quality control). He also contributed to the Toyota Production System and developed the SMED (Single Minute Exchange of Dyes) and the Just in Time (JIT) concepts.

Poka Yoke is based on the premise that everyone must work together to achieve zero defects. It assumes that the quality of products starts from product design and must be built into the manufacturing process.

Traditional engineering processes are designed to increase the efficiency of an operation by enabling people and machines to work faster. Poka Yoke doesn’t violate or negate good engineering practices. Instead, it expands on those practices to include ways to help people and machines do the job right as well as quickly. Error proofing must be implemented to prevent human errors. In a weld shop at Rojee Tasha Stampings, during the welding of a bracket, it was observed that the nut plate was welded in the reverse direction. This problem was highlighted by a customer complaint. A fixture was then designed with fixed locations, thus avoiding reverse/opposite side bracket welding. While this was a small improvement, it led to error proofing, saving time and reduction in customer complaints.

Poka Yoke relies on source inspection, detecting defects before they affect the production line and working to eliminate the cause. Statistical quality inspection will ultimately no longer be required, as there will be no defects to detect – “zero defects”. When a Poka Yoke is designed in a way that it helps the operator recognise the defects before it is about to occur, it is called prevention or prediction type of Poka Yoke.

Prevention-based mechanisms sense an abnormality that is about to happen, and then signal the occurrence or halt processing, depending on the severity, frequency or downstream consequences. In many situations, it is not possible or economically feasible to prevent defects, particularly where the capital cost of the Poka Yoke mechanism far exceeds the cost of prevention. For these situations, defects are detected early in the process, preventing them from flowing to downstream processes and multiplying the cost of non-conformance. Such Poka Yoke is called detection type Poka Yoke.

Following the Poka Yoke philosophy requires an organisation to build a strong foundation in total quality management. Organisations must learn to place the customer before everything else. They must promote quality ownership at the source, and need to ensure that their people are truly empowered. They must adopt pre-, self-, and post-inspection at source. Poka Yoke requires real-time feedback and corrective action. All these are the building blocks of an effective Poka Yoke effort. After installation, the functioning of the Poka Yoke must be verified according to the prescribed standard method and predefined frequency using a Daily Poka Yoke check sheet.

Mistakes happen in organisations for many reasons, but almost all of them can be prevented, if people make the effort to identify when problems happen, define root causes, and then take the proper corrective actions. The objective is to prevent, or at least, detect and weed out defects, as early as possible in the process. The use of simple Poka Yoke mechanisms and other safeguards can also prevent mistakes from becoming catastrophic events.

Tuesday

Trust, but verify

When you receive shipments from your suppliers, you may discover that it is totally different from the samples they sent you before production. This does not happen often, but when it happens it may be damaging to your business. Every importer wants a good partner and a trusting relationship; however, if you do not check on things, it is more likely to go bad.

A simple but complete quality monitoring program, either conducted by a third party or your own company's personnel, is essential to ensuring that your products meet all the specifications that were agreed to. One bad shipment can do serious damage to the procurement department's credibility and quickly wipe out projected savings. You not only loose one bad shipment, but your reputation in the industry may also be damaged.

Based on our experience, you need local presence so you can visit the factories on a regular basis. Relationships matter, but it's more than just that. It is an issue of control. You need to qualify the actual pieces of equipment and tools used to produce your products. If you discover the problems at the beginning of the process, you usually have a good chance of recovering. At that point, you have enough time to direct your suppliers to correct it; however, it is often too late when the factory reports the problems to you. If you don't have your own eyes on these potential problems, you really don't know what's happening. If you often send an inspector to visit the factories, they will reduce the probability that some information is hidden from you. Regular inspection will make sure your production is running smoothly. This is very normal in China.

Monday

Manage your suppliers in China

You need to keep in close communication with the Chinese suppliers so they will do a good job.

There are some cultural differences between western countries and China that may cause problems for your business. Normally, Chinese factory management is not as efficient as in western countries. When they promise you something, they are likely to break the promise, even without any apology. In china, Guanxi (relationship) is a very important factor in conducting business. You must set up a good relation with the factories so they will support you. Normally the big importers hire their own staff to stay in the factories. An alternative is to deal with Chinese trading companies because they will manage the Chinese suppliers to make full use of their location advantage. They can keep good communication with the factories. If the importers give incentives to the trading companies, they can make 100% sure the work will go well.

So most big importers hire their own staff in China to manage the suppliers. But if you do not purchase much, hire your own staff in China is not cost effective. JitVerify can meet most small and medium importers’ needs. We have staff in major Chinese cities, especially in the Guangdong and Shanghai areas. We can help you manage your suppliers in China and we can be your representative to solve the problems in China.

On your request, our inspectors can visit your suppliers and take photos of production facilities so you can know the real situation regarding your orders and your suppliers. Although you are far from China, our inspectors can report the real information based on independent perspective. Once the suppliers realize that you pay much attention to their production, they are much less likely to cheat you.

Especially when there are problems with your suppliers in China, our inspectors can quickly visit the suppliers to solve the problem on your behalf or just report the real information to you whereupon you can take the proper action.

Friday

Finding the best Chinese suppliers that works for you!

We have worked with Chinese suppliers over many years, we have learned lots of things, and some of the most important things are often the simplest. The quality of your supplies needs to be consistent - your customers associate poor quality with you, not your suppliers.Value for money.

You need your suppliers to deliver on time, or to be honest and give you plenty of warning if they can't. The best suppliers will want to talk with you regularly to find out what needs you have and how they can serve you better.

A strong relationship will benefit both sides. You want your suppliers to acknowledge how important your custom is to them, so they make every effort to provide the best service possible. And you're more likely to create this response by showing your supplier how important they are to your business.

Remember - if they let you down, you may let your customer down.

It's always worth making sure your supplier deliver what you want, when you need it. A site visit will help reassure you that they won't go out of business when you need them most.

Thursday

Beware of “fly by night” in China

Recently we had a client who wanted us to visit a supplier in China and check their products before shipping. We called the cell phone provided by our client, but there was no answer. We assume the supplier did not answer because they could see that the call was from China. Later, our US colleague called them and pretended to be a potential customer. He asked if his friends could meet them in their office. They made excuse by saying that they needed to discuss this and asked our colleague to call back later. When he called later, nobody took the phone.
This is a typical case where you have to be cautious. We call it “fly by night” operation. They are likely to disappear after they receive your prepayment.

Here are some points for you to consider to avoid losses.

1. Be aware if the only contact is a cell phone. In China, cell phones are not registered, so you cannot find people by their cell phone number.

2. Be aware if they sell brand name products with a very competitive price, such as cell phones, laptops, Nike shoes, LV bags, etc.

3. Be aware if they ask for prepayment and do not accept sending people to check the products.

4. Be aware if they use a personal bank account or Western Union.

If you find suppliers that meet the above situations, you should be very careful. We cannot be 100% sure they are fraud, because there are some good businessman who use cell phones and personal bank account. But just be extra cautious.

The best way is to have a trusted person to visit the supplier and to check the products. We can offer such a service to save you cost and make sure you purchase good products.

Friday

Give us your comments!

The intention with this blog is to have an open discussion of issues related to doing business in China and how you can avoid scam, fraud and other illegal business practices that drives up the cost of doing business. We will share our experiences with you and let you know how we can help you deal with the various situations you share with those who read this blog.

Thank you. Keep it coming!

Thursday

Don't get caught by surprise!

If you plan to import products from China from a company you have not dealt with before, beware that there are many fraudulent offers made via the Internet. Many of these services offer Silver or Gold "seals of approval." However, we know that many fraudulent sellers register a real company name and then use a trading address different from the registered address. They are very sophisticated in convincing you and they use all the tricks of web cloning to make a good presentation. You send them your money and you get nothing in return!

Don’t get caught by surprise!

There are two ways to help safeguard your valuable funds:

1. The best way is to personally visit the company. However, this can prove very expensive when you get there and you find that they cannot be found.

2. A cheaper alternative is to send a Chinese speaking local auditor to visit the company for you.

We offer you the second option for a low price. We have local auditors in most main Chinese cities. You get a written report in English by our local Chinese speaking on-the-spot agent who checks out the local government business license of your proposed supplier. He will also visit and report to you on the supplier's facilities and products together with digital photos. This is usually completed within a few days.

Sunday

Welcome to the JitVerify Blog!

Welcome to the JitVerify Blog!

Our mission is to help overseas companies to save cost. You can use JitVerify as your Chinese representative or partner to perform your Chinese business operation. You can use our manpower, facilities and expertise to save your cost; especially when your business is small or just starting in China. Because we have a talented team that can support you in China, you do not need set up your own office in China.

JitVerify is a China-based company that specializes in verification and product inspection services in China. We have inspectors in most major cities in China. We can assist your business and help you get background information on companies in China at a fair price. We protect the interests of Western companies by providing a full range of high quality verifications of claims by Chinese companies.

As a China-based business, with operational reach across all of China, and as a result of our knowledge of local culture and laws, we are able to obtain the information you need for any registered company in China. If you are interested in visiting the Chinese company, we are able to set up meetings for you or provide advice as to how this company compares to others in its peer group or simply provide you with a site visit report.

Send us email to info@jitverify.com or fill in our online contact form.We will reply within 24 hours.