If you’re looking to import goods from overseas suppliers but are unsure whether it’s worthwhile taking the plunge, then it’s important that you know the pros and cons. In this blog post, we look to find out the pros and cons of importing. So read on to find out whether you think its right for you.
What are the pros of importing?
There are a lot of pros for importing for SMEs, a number of which are detailed well in this TNT blog post. Chiefly for most businesses, importing is good because it lowers the cost of production and allows for business leaders to negotiate discounts on bulk orders, thus saving the business money.
Unlike a few decades ago, the quality of the goods that you can import has also increase hugely, meaning that you can sell high quality products to your customers; with the products often coming from countries that specialise in the materials you wish to use.
As an aside, by operating on a global level, you’re also networking and showcasing your business internationally.
What are the negatives?
Although the positives to importing are great, it’s important that you understand a number of negatives, too.
For starters, if you don’t know all of the correct legislation, then importing could cost you both time and money. For example, a number of items are banned from entering the UK, and if your business attempts to import these, then you may be in for a hefty fine.
Likewise, not selecting the right supplier can cause you slightly more than a headache; especially if you’ve not met or used them. Before you select a supplier, you should travel out to meet them and visit their factory, as this could prevent a number of issues further down the line such as incorrect products, poor quality products and wrong sizes.
Finally, the language barrier can be problematic, so make sure there is someone in your business who speaks the language of the importing company. This way, you’ll be able to communicate effectively, stopping any problems at source before they escalate and there will be no problems in communication.
Conclusions: reaching a balanced decision
To conclude, there are both positives and negatives to importing with your business. No matter how you approach the decision to import, you need to consider it carefully as it’s undoubtedly a huge financial commitment. If you do opt to import after reaching a balanced decision, then be sure to consider the negatives carefully in an effort to negate them. In doing so, you could make the move more successful than you’d ever imagined.
This article was syndicated from Business 2 Community: Why Should You Import Goods for Your SME?
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