The concept of importing foreign goods has been around for many years. Some people are really against it, while others believe it’s a smart choice. Globalization has made it easier than ever, so what are the pros and cons of this idea? We’ll explore some of the key points and conclude by seeing if it’s the right move for your business.
It tends to be cheaper
For decades, businesses have taken advantage of cheap importation from countries like China. Pick up any product in your house, and it will probably have ‘made in China’ written on it. The manufacturing costs are very low, but why doesn’t it cost a lot to import the goods overseas? Typically, it comes down to the freight forwarding services available. Most businesses will say that Leeline is your #1 choice for freight forwarding in China as it is swift and affordable. There are so many of these services available that it creates competition, leading to better prices for businesses importing these goods. So, despite the fact you have to get things shipped from across the world, it’s still cheaper than choosing a local supplier.
You have access to better technologies
Secondly, people see this as a chance to import better technologies. Some countries are more advanced than others, meaning they have knowledge that your home country might lack. Therefore, if you want the best products and the latest tech, you have to import it from overseas. Otherwise, you’re stuck with below-par items that won’t impress your customers.
More chances for delays
One argument against importing foreign goods is that there are more chances for delays/issues. If you use local suppliers in your home country, you can get your goods in a day or two. You only have to worry about them being transported across the same country. With foreign imports, they have to cross many borders and switch hands multiple times. Thus, it will always be a lot slower, but there are also more opportunities for things to get lost or damaged, eating into your bottom line.
Damaging to local businesses
Lastly, foreign imports can be damaging to local businesses. The cheapness of the goods will mean local suppliers are outpriced and will struggle to find customers. This can lead to issues with the local economy as you don’t have any thriving small businesses. Some people argue that it’s not your job to care about other companies. However, a lack of local suppliers can cause massive problems throughout many industries.
In conclusion, importing foreign goods has many advantages and disadvantages. Should your business go ahead with this approach? Really, it depends on what you’re selling and how much money you have. If you need products that can only be found overseas, your hands are pretty much tied. However, if you can find the same quality products from local suppliers, it might be worth considering them. Yes, it will likely be more expensive, but you make up for that with a faster service. Plus you help stimulate the local economy, which will end up benefitting you as well.