04: How to Manufacture your Products in China with Sam Miller of the East Asia Co.

Sam Miller first moved to Shanghai in the early 90’s to teach at the university there. He then went on to manage the office of a major American home textiles company. He has since worked in the ceramics, gifts and furniture industries offering his experience in sourcing, product development, management and logistics. He currently works with a variety of small business to teach them how to manufacture products in China and help them secure and manage their manufacturing relationships. He blogs frequently about the topic of how to manufacture products in China on his website www.theeastasiaco.com

Why should you manufacture products in China?

I love the idea of purchasing products that are made here in North America, and if your products and business model allow you to do that, there are some big advantages from both a branding and logistics perspective. But the reality is, most of us will not purchase products unless they also meet our price expectations - and price expectations today are largely determined by global markets.

I'm not going to get it into the political and moral implications of outsourcing your products to a country like China. But I will say that depending on your product category, and your competitive set, it may be your only choice to have your products manufactured in a cost-competitive manner.  I asked Sam about this and he describes how many products can no longer be manufactured cost-effectively in North America because most of the infrastructure and expertise has moved overseas, where labor is much cheaper.