Business Idea: Make Money Buying Wholesale from China

In order to make a large profit when selling an item, you need to buy at a low cost so that you can offer a lower price than your competitors. When looking for items to sell, many people turn to drop shipping companies as a way to buy products for cheap. While drop shipping companies do sell items for cheaper than retail value, it is not an effective sales strategy. To receive good deals on products, one must learn how to import from China because buying true wholesale items directly from the manufacturer in China is the best option. Buying Chinese products wholesale means you can eliminate the middleman, earn a higher profit for yourself and still manage to stay competitive.


The Problem With Drop Shipping

Drop shipping used to be an easy way for people to buy and sell products for a profit. The idea behind drop shipping is that drop shipping companies do not have a storefront, but will instead order products directly from the manufacturer and ship them to you. However, with the Internet making it easy to buy directly from wholesalers yourself, drop shipping is an out-of-date practice. With drop shipping companies, you are usually charged a fee and the product is also marked up so that the drop shipping company will make money from the transaction. When you go to sell these products, you will need to raise the price to make a profit, which makes your item less competitive.

The other problem with drop shipping companies is that anyone is able to utilize them. Therefore, even if you have an item that is a popular seller, there is nothing stopping a competitor from going to the same drop shipping company and buying the product for the same price. This can lead to a flooded market.

The Solution: Buying Wholesale from China

The best way to buy products at a low price to sell for profit is to purchase them wholesale directly from the manufacturer in China. The products made in China are the same name brands sold in retail stores, only the price is much more affordable. By using a Chinese wholesaler instead of a drop shipping company, you will eliminate some of the cost, allowing you to have much more competitive prices. Chinese wholesalers can be easily found online and the best ones are listed as trusted sources at the Federal International Trade Association’s website. You will not need to understand Chinese to buy directly from China either. These wholesalers will often have English speaking representatives to help you.

Many of the items you would buy from a drop shipping company are being bought wholesale from China. When you use a drop shipping company it’s like you are paying someone else to do the work for you and allowing them to profit off of your purchases. Eliminate the middle man and go to the source directly by buying true wholesale products from China.

What do you think about this business plan? Do you think the way Chinese products are growing, it will be great way to make money ?

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Article By
Harsh Agrawal is a blog scientist and a passionate blogger. He is blogging since 2008 & writes about Blogging, SEO, Make money online & tech. His blog, ShoutMeLoud receives 1 million Pageviews/month and have over 700K subscribers.


COMMENTs ( 14 )

  1. ankit says

    Thanks harsh for this idea but know this is very common in India there are many big players in India who imports from China and sell the products in India but can you help something unique which is not introduce in India and we can import from China to make large no. of profit.

  2. Cynthia Praveen Sequeira says

    Hi Harsh …
    Kindly let me know some wholesale industries in China for business….
    I am looking out for made in china products…

  3. Arun Sabharwal says

    It is easier said than done. For Getting a product from Chinese Manufacturer , one need to visit china and do the proper verification. You can not do the sourcing online at competitive price.If one is interested to sell in retail or online it is always better to source it from Drop ship company of repute. At least you are sure that you will get a product against your money. Only in case one is looking to buy and sell in wholesale market one should visit chine, spend good time there and source a product. But before sourcing any product one should do homework in domestic market and find the demand.
    Rather I would advise to start a franchise business with a reputed international brand who has still not entered in Local market but have a brand name.

  4. rohit agrawal says

    Thanks harsh for this idea but know this is very common in India there are many big players in India who imports from China and sell the products in India but can you help something unique which is not introduce in India and we can import from China to make large no. of profit.

  5. Shrinivas says

    But any idea how to sell the products again in Indian market apart from selling it online. I want to know how i can sell the products in retail market.

  6. Nino says

    Hello to everyone,
    Thanks for your help. This is my first time in this forum. I am thinking of a project about chinese product retail , but is there any one knows any cheap chinese wholesale product website ?. if so, do I have to pay for shipment tru that website? please any help will be good from you guys.
    I appreciate that.

  7. Phenandys says

    Nice post!!!
    Kindly give list of websites where we can get RELIABLE Wholesale Companies in China.

  8. Ron | Travel Bangladesh says

    Good advice. Like India, in Bangladesh also many people are doing such business (importing from China and selling retails).

  9. Anshul Dixit says

    But what about customer satisfaction ? Once a brand gets associated with a product, it becomes the responsibility of the brand to provide quality. Take the example of Nokia phones and their cheap Chinese counterparts. Even though Chinese phones do ok, they are eyed suspiciously. In the end it boils down to customer. Chinese products which are not associated with a brand name, are not considered good by a layman. Be it a Chinese CFL which comes for Rs. 20 (5-10 times cheaper than its branded counterpart) or a Chinese mobile.

  10. Nabeel | Create Your First Website says

    Good Advice and I agree.

    But, are there any advantages of buying from drop shipping companies rather than a manufacturer/wholesaler?

    How do we know whether the company is a drop shipping company or a wholesaler?

    Do you know of any other websites besides Alibaba to contact Chinese Manufacturers directly?


    • Amit Kamal says

      Yes, the site is made-in-china. Its a B2B site (business to business) helping buyers and sellers all over the world to do business in China.

  11. Manikandan says

    I agreed with you. Is there any chance to most of the peoples like us in India without spending money to do this business..