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Overseas manufacures and Protecting your intrests

 
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Acme101

posts: 7

Oct 26, 2008 1:03 AM ET    Quote  Report Abuse
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Ok, I know that there is a lot of manufacturing going on overseas.  A company such as the one that I am trying to get off the ground will most likely have to outsource the manufacturing of my product to a company outside the U.S.  (I would gladly have someone in the U.S. that could produce the plastic pieces that I need if they could do it and make it cost effective for me.)
 
What is stopping the company that I choose from selling the pieces to a competitor?  A lot of the pieces are not original ideas and are unlicensed. 
 
If the company makes them for me, can I secure the pieces that they make to only be sold to me?
Acme101

posts: 7

Oct 26, 2008 1:05 AM ET    Quote  Report Abuse
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One more thing... Should I look to Mexico or China for plastic pieces to be made?
CraigL

posts: 9051

Oct 26, 2008 9:10 PM ET    Quote  Report Abuse
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We looked into overseas manufacturing, attracted at first by the extreme low prices coming from China. After some research, we abandonned that idea. If we do go out of the country, we`d like choose Mexico.

First, the Chinese labor market is close to slave labor.

Secondly, there are almost no intellectual property rights guarantees, so there`s no real protection against stealing ideas and products.

Third, the quality totally blows in these kinds of low-end products and even in higher-end product manufacturing.

Fourth, the quantities required for a minimum container shipment.

Fifth, the logistics problems in the event of a ship sinking, dock-worker strike, political upheaval, or other international interference with trade.

In a worst-case situation, manufacturing in Mexico, the order could be delivered by ground transport. Not so with China, where only ocean or air transport would work.
CraigL2008-10-26 22:11:32
Acme101

posts: 7

Oct 27, 2008 1:58 AM ET    Quote  Report Abuse
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Wow... there are quite a few angles there.  I can understand how that would be a disadvantage.  I will set my sites on Mexico for now.  I speak more spanish that chinese anyways.
 
So, do you think  the manufacturing company will sell the same thing  I have them make for me to other venders?
 
Thank you for your hard earned knowledge.
Jeff
Acme10110/27/2008 7:33 AM
CraigL

posts: 9051

Oct 27, 2008 4:23 PM ET    Quote  Report Abuse
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If it applies, you can get a non-disclosure note. Hopefully, that`ll prevent the company from cross-pollinating your idea. But I`m pretty sure you`d have to have a patented idea in the first place. Talk with an attorney. I`m NOT an attorney. :-)
SlowCookerMate

posts: 48

Oct 30, 2008 10:49 AM ET    Quote  Report Abuse
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If you are concerned about working with a company overseas, find a good sourcing agent.  They can check on the reputation of the company and also review the working conditions in the factory.  The sourcing agent also reviews for quality.  They can be there for pre-production, production and post-production inspections where it would be very expensive for you to go.
 
I am importing from China and have a wonderful sourcing agent that I trust immensely.  If you want his contact info, PM me.  I will be happy to share with you.
 
If you are buying "off the shelf" things and assembling them to make a larger piece, don`t use the mfg for packaging.  Break up the pieces so no company knows everything.  Apply the "What they don`t know philosphy..."
 
Best of luck.


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sanction

posts: 2

Nov 15, 2008 2:59 PM ET    Quote  Report Abuse
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Hi
I have been looking for a over seas manufacturer to produce a product I invented. I would be interested in your source agents contact info.
 
Thank you
 
Andrew
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