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Essential knowledge and skills for foreign trade procurement

07 May 2021 -

        1.Foreign trade procurement must have market research and analysis capabilities


        After accepting the procurement task, the procurement staff must first obtain various industry information from the resource market, understand the supply and demand status of the market, and adjust the procurement strategy in time according to the current market conditions to provide information support for customized production plans and procurement plans.

        Suppliers are an important part of the company to maintain production. Purchasing personnel should analyze the suppliers in the market, investigate the suppliers carefully from all aspects, understand the basic situation of the suppliers, understand the advantages and disadvantages of each supplier, and choose the best quality supplier based on the specific situation of the company's products, Such as: how to select high-quality suppliers, how to conduct a cost analysis of suppliers, how to conduct a cost analysis of the company, and so on.


        2.Foreign trade procurement must have the ability to integrate information


        Foreign trade work is not simply placing an order for shopping but requires comprehensive procurement capabilities with professional functions. Once you do not understand all aspects of information in time, you will easily fall into the misunderstanding of procurement, such as the inability to determine the quality of procurement, logistics, delivery time, and other factors. Therefore, after the purchaser conducts market research, it is necessary to further analyze the information. This requires foreign trade salespersons to have strong information integration capabilities: First, they must use certain field survey methods and skills to have a certain understanding of product prices, information, and specifications. Secondly, we must have an in-depth understanding of supplier information, understand the corresponding product production technology and processes, thereby increasing the understanding of product quality and performance, and have knowledge of logistics, packaging, quality inspection, currency transactions, etc., so as to enhance the comprehensive ability of procurement.


The procurement


       3. Foreign trade procurement must be cost-conscious


        Procurement work affects the company's production and operating costs, and the key to reducing production costs is the cost control of the procurement staff. With the lowest total cost as the work orientation, the purchaser's most concerning thing in the procurement work is the supplier's price. Therefore, before the procurement work, the procurement staff should investigate the market of the purchased product resources, understand the market price, quality, and market development of the product, select the supplier that best meets the company’s production requirements, and understand the raw material resources. Price composition. After understanding and clarifying the raw material resources, it is necessary to conduct cost analysis and product analysis.

        

        Procurement work affects the company's production and operating costs, and the key to reducing production costs is the cost control of the procurement staff. With the lowest total cost as the work orientation, the purchaser's most concerning thing in the procurement work is the supplier's price. Therefore, before the procurement work, the procurement staff should investigate the market of the purchased product resources, understand the market price, quality, and market development of the product, select the supplier that best meets the company’s production requirements, and understand the raw material resources. Price composition. After understanding and clarifying the raw material resources, it is necessary to conduct cost analysis and product analysis.



        (1) Raw material price composition: material cost, processing cost, transportation cost, loss cost, etc.; 


        (2) Price composition of professional products: material cost, processing cost, development cost, technology update cost, patent cost, marketing cost, 


        (3) Price composition of processed products: material cost, processing cost, management cost, loss cost, transportation cost, etc.;


        (4) The price composition of product parts: material cost, processing cost, management cost, marketing cost, transportation cost, etc.







contact us

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    +86 20 83280588/83280998

  • Email: [email protected]
  • Address:

    Room 3204-07,Onelink Plaza,NO.39 Jie Fang Nan Road,Yuexiu District Guangzhou,China

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