Are you looking to establish trading relationships with companies in China but concerned about cultural, quality, and distance related issues? Or are you looking to see the sights and attractions of Southern China? Do you want to experience shopping in perhaps the most extensive shopping mecca in the world? If so, you might want to consider a trip to Shenzhen and/or Hong Kong.
I can host and introduce you to the region, factories, how products are designed and manufactured (the one product times 300+ factory issue), and how to deal with it all. We have existing relations with many local factories and also work with local English speaking people to provide a complete introduction to working with China business.
Unlike most 'tour' providers, we do not have any pre-packaged tours. Together with my American husband, we have been in the area for the past 15+ years, and have learned a lot of the tricks of living here and how to get around. The past 3+ years have been focused on Shenzhen, and to a lesser extent, Guangzhou. There is nothing mysterious about getting around and getting things done, however the learning curve does take time, especially in the case of mainland China. We can help you accomplish what you need quickly. And our focus is on making sure your goals are met, not in meeting the timetable of an arbitrary pre-packaged tour. We am not associated with any local vendors, so have no incentive to sell you any servcies or products other than what you tell me to help you look for.
Tour Staff
I can work exclusively with you during your stay in Hong Kong / China, or I can involve others with skills in additional areas. I maintain relationships with local English speaking residents in Hong Kong, Shenzhen and Guangzhou. Just let me know what your needs are (general shopping, cultural tours, factory relations, etc), and we can put together the right combination of resources for your visit.
Being able to work with someone who not only speaks your language, but also understands the context of what you are looking for can be very helpful. Little things like sorting out local transportation and communication can ease the experience of the frist time visitor. At the same time, having people who can deal with the local vendors or factories (in Chinese) is essential if you need to do much bartering.
After understanding your requirements, I can put together the appropriate combination of people to meet your needs.
Sample Tours
Local shopping and wholesale market and factory tours are but a few of the areas we can help. These are detailed below. If you are looking for something else, just let me know and we can put together the right local resources for you.
Note for China Visas: it is strongly advised to obtain your visa for China BEFORE your arrival in Hong Kong. While it is true that China visas for some nationalities can be obtained for first time visa applicants in Hong Kong, it is not true for all nationalities. The China visa office has changed its policies several times over the past few years in this regard, making travel impossible for some. For more information, please consult with the China Visa Office - Hong Kong, or the China National Tourist Office. If you are arranging visas before your departure, a call to the nearest China Embassy or Consular office is highly recommended.
Shenzhen / Guangzhou Consumer Electronics Tour
China manufacturing, and in particular, manufacturing in Southern China is unlike anywhere else in the world. This region specializes in mass producing merchandise at the lowest costs possible. The volume and quantity of goods manufactured in this region is unsurpassed anywhere else in the world. Guangdong province (of which Shenzhen, Guangzhou, and Zhuhai are the major cities) is among the top producers in all of China (or the world for that matter).
The way local factories can compete on a price basis with the rest of the world is reasonably simple. They follow the following guidelines most of the time:
- Reduce to an absolute minimum any upfront R&D and ongoing product development expenses
- Reduce component costs as much as possible while maintaining minimal impact on product quality
- Keep all operational expenses (overhead, staff, etc) to an absolute minimum
- Never invest in anything your competitors can easily steal (product documentation for instance)
This is of course an over-simplistic representation, however it helps illustrate a few important points. Upfront R&D and ongoing product development costs are kept low by purchasing a design from an outside design house. In fact, these designs are usually sold by the design house to many different factories at the same time. This is what drives the price competition - with 300 or so factories producing essentially the same thing, the only way to compete is by dropping costs. Costs are often further driven down if common components such as casing, pcb's, etc can be mass produced by yet another outside company. In the MP3 industry for instance, a single PCB manufacturer may supply hundreds of factories with the same part, while another company will provide the plastic casings to the same companies. In these cases, the China 'factory' usually ends up being the final assembly group. With only final assembly responsibilities, much of the expensive overhead can be avoided.
Now the good side of all this is that products end up being manufactured for the least cost possible. But price competition is so fierce that several undesired side effects are also produced. On the China side, margins for the factories are squeezed to the point where many of them are barely profitable. In many cases factories will take on large orders from huge suppliers (Wal*Mart and Nike come to mind here) not so that can make any profit, but as a hedge to make sure that they can continue to keep their production lines moving. The other bad side effect of course is that component quality is often driven to the point where it does very negatively impact product quality. When a buyer drives the factory to pricing so low that it has to resort to inferior quality parts, then everyone looses. This is how we have come to the "Made in China" label having such a bad name for the past several years.
As long as you understand how the system works, and how to avoid the pitfalls, China can still be a very good place to source products from. More detailed information can be found in the Jade Connections Private Sourcing page. If you are interested in sourcing products from this region, just let me know what you need and we can put together a program to fit your needs. From simple introductions to the factories to providing pre-shipping quality checking to packaging design or other - through our company Jade Connections, we can meet your needs.
Hong Kong / Shenzhen / Guangzhou Shopping
If you are looking for standard tourist tours, you would probably be better served by going to the normal tour operators. For Hong Kong, the Hong Kong Tourism Board runs an excellent site describing what is going on in Hong Kong and links to packaged tours.
Just a word of warning - places like the Stanley Market on Hong Kong Island, and Luohu Commercial City in Shenzhen (border with Hong Kong) are places local people generally speaking would not be found in. The reason is simple - they have been built and put together to cater to only the transient tourists. Merchandise is often specifically made just for the tourist trade, quality low, and prices inflated. If you like these kind of environments go for it! But these will not be on our list of recommended destinations.
Accomodation
If you are traveling to Shenzhen, I have single room accomodation available at my residence. Currently this is good for a single traveler - planning to expand to a second room good for a couple later. This kind of accomodation is extremely informal, and can give us more time to talk and plan what you want to do while in Shenzhen. Additional information and pictures can be found on tne Shenzhen Room page.
For other arrangements, we can assist in obtaining local hotel or business hotel accomodations to meet your needs. Business hotels tend to be very cost effective in Shenzhen and Guangzhou. Unfortunately hotels in Hong Kong can be a bit pricy much of the year. One good resource I have found to be very good for the entire region (also used in the Philippines, Thailand, and Macau) is Asia Travel. Am happy to recommend other establishments should you need.
Additional Resources
China Photo Gallery - connie.kehres.com
Shenzhen Room Rental - connie.kehres.com
Sail Away to Scenic Shenzhen - NYC In A Blink