Southern Perspective Shenzhen

For this situation, I don’t think there could of been a legally scripted solution to prevent this.

Like how most of these romance stories began, it was when the Buyer met the Supplier at the fair. A trade show fair that is …..

Something I should point out is, the product here is particularly specialized and the supplier is one of the biggest in China.

Unfortunately I have to keep it vague but it basically goes like this:

-Buyer meets supplier at fair

-Supplier sells a sample to buyer to approve

-Buyer approves sample and wants to start first order

-Supplier refuses to sell sample, as product is being sold to another customer in same country

-Buyer dumbfounded

-Supplier offers a “better and newer” product to buyer, yet still reluctant to sell this, but eventually does

-Buyer knowing holiday is coming up, flies to China to solidify the deal

-Buyer is hoping the new sample will be sent to home office to be approved before they arrive to China for meeting ….. but isn’t

-Buyer and supplier meeting again, supplier now will sell product and the originally approved sample

-Buyer still needs to approve the sample flying over the Pacific sea.

-Happily ever after?

Yes, an over simplified version, but it gets the point across.

Just looking at the story, it makes one cringe at the thought of doing business in China. It looks over complicated, unreliable, down right frustrating. Why did this all happen? Why so complicated? Why so much time and money wasted? Sometimes these questions can not be answered. Moreover, searching for these answers is not important. What is important is, getting what you need and finding out how.

Capitan Obvious’ observations:

Chinese mentality: Cautious, slow approach

Western mentality:  Time-line driven

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Chinese mentality: Indirect

Western mentality: Direct

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Chinese mentality: Willing to wait

Western mentality: Willing to compromise in lieu of waiting

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With all this being said, the beat of business is not done to the same drum. Also, the pace of commerce in the US is based on speed. For a lot of purchasers, they simply do not have the time to jump the hoops of relationship management and supplier development. It just does not exist the same way it does here. Therefore, they are locked into a system and working with China becomes confusing and frustrating.

For Chinese companies, working with foreign companies is frustrating. Relationship management is almost non-existent, business conduct is completely different. It is something that both sides have to deal with.

Again, what is the scripted answer?  I would venture to say there is none. The key to success here is, understanding your surroundings and situation. Preventative home work goes a long way in China and if you are doing business here it won’t solve all the headaches but it will make you more prepared for them.