Supplier Sourcing Assignment

1. Finding Suppliers for Our Product
Supplier
Sourcing
Meyan Ramos
March 2022

2. FIRST AND FOREMOST
Define the Product and Packaging
Define the Product and Packaging
Define the Product and Packaging
Specifications for
Specifications for
Specifications for
"wooden box with hinged lid"
"wooden box with hinged lid"
"wooden box with hinged lid"

3. Type of Wood: PINE
Style: Antique/Vintage
Metal Latch: Brass
With brand logo under the lid
Weight: 2.27 lbs.
Dimensions: 11.25" x 8" x 5"
Packaging: Box and Bubble Wrap
Product Specifications

4. PRODUCT DEFINITION
With a clear idea of the
product style, materials,
and specifications...
we were ready to scout for
potential suppliers in
Alibaba

5. SEARCH FOR SUPPLIERS THAT
offer a product with the same style and specifications -
already in their catalogue
produce/trade similar products and are willing to
source the product based on our specs

6. Engage only
with legit
suppliers
Verified Suppliers and those under Alibaba Trade
Assurance to avoid fraud and scams.

7. REQUEST
SUPPLIERS TO
GIVE THEIR
QUOTES FOR:
Build a product accessible on all devices
EXW
FOB
DDP
500 and 1000 units
And the corresponding Production Lead Time

8. Record the
Quotes and
Supplier
Profiles for
Comparison
Company Name
Address
Business Type
Factory Address
Main Products
Year Established
Transaction Count
Transaction
Amount
On-Time Delivery
Rate

9. Can supplier deliver a product in the specified style, size,
materials?
Add our logo inside the lid? How much?
Print our barcode on package? How much?
Individual packaging - Box and Bubble Wrap? How much?
Send a sample? Refund sample if order is finalized?
Additional questions we asked:

10. Supplier
Assessments
Build a product accessible on all devices
Also rate them on
Responsiveness
English Proficiency
Requests Accommodation

11. Supplier Quotes

12. Net Margin (Amazon Profitability Calc)
Target: Net Margin must be >30%

13. Recommendations

14. Qingdao Huayuan
Honest Industry
On-Time Delivery Rate
is only 50%
DDP price is high. Net
margin is 29.53% -
below 30%
Yantai Landy Import
& Export Co. Ltd
Cannot source required
brass metal for the
latch
Very slow to respond to
requests/queries
Shandong Dashang
Technology Co.
Very slow to respond to
queries
DDP price is very high
at $30.
Net Margin is only
1.17%
Rejected Suppliers
Rejected
Suppliers

15. Recommended
Suppliers

16. CAO COUNTY TOPCHINACRAFTS CO.
Product is not in their catalog but willing to supply
based on our requirements
Quick to respond, accommodating
Recomputed Profit Margin is 33.05% - DDP Quote
is $15.92
Company is only 3 years old - est. 2019
On time delivery rate is 92.30%
2nd Choice

17. CAO COUNTY TOPCHINACRAFTS CO.
Recomputed Net Margin = 33.08%
DDP Price is 15.92

18. CAOXIAN XINKE WOODEN CO LTD
Product is in their existing catalog - not much
addl effort required on their end
Established in 2015, specializes in wooden
crafts
Sales person is responsive, accommodated all
our requests and gave the best quote
On-time delivery rate is only 70% but this can be
managed by adjusting reorder schedule
Recomputed Profit Margin is 35.60% - DDP14.79
Top Choice

19. CAOXIAN XINKE WOODEN CO LTD
Recomputed Net Margin = 35.60%
DDP Price = $14.79

20. Thank you!