Domestic vs. overseas suppliers

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Both domestic and overseas sourcing have their advantages and disadvantages:

Domestic sourcing

Advantages
  • Higher manufacturing quality and labor standards.
  • Easier communication with no language barrier.
  • Marketing appeal of being made in North America.
  • Easier to verify reputable manufacturers.
  • Faster shipping time.
  • High intellectual property right protection.
  • Greater payment security and recourse.

Disadvantages
  • Higher manufacturing costs.
  • Less product choice (there are many items that just aren’t made in North America anymore).


Overseas sourcing

Advantages
  • Lower manufacturing costs.
  • High number of manufacturers to choose from.
  • One-stop services have made it easy to navigate suppliers.

Disadvantages
  • Lower perceived quality from customers.
  • (Usually) lower manufacturing and labor standards.
  • Little intellectual property protection.
  • Language, communication and time zone barriers can be difficult to navigate.
  • Difficult/costly to verify manufacturer and visit on-site.
  • Longer shipping time.
  • Cultural differences in business practices.
  • Product importation and customs clearance.
  • Less payment security and recourse.

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