CONTRACT MANUFACTURING
Advantages
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Requires only a comparatively small commitment of financial & managerial resources,
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Allows for quick entry into the target country,
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Avoids local ownership problems,
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Permits the international company to exercise control over marketing & after sales services,
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Especially attractive when target market is too small to justify investment entry and export is blocked be restrictions or simply too costly.
Disadvantages
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May be difficult or impossible to find a suitable local manufacturer,
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Substantial technical assistance may be required to bring local manufacturer to the desired quality and volume levels and to keep him in those levels,
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International company runs the risk of creating a future competitor.
Simple, we will contract the manufacturer on your behalf.
We will:
- compile your specifications,
- find the right market,
- source the ideal manufacture,
- negotiate prices etc,
- legal contract,
- payment terms,
- required documents,
- insurance,
- shipping,
- subsequently will market that product in the target country or else where.