China Clarifications
Wednesday, October 8, 2008 at 10:30PM OK, I just read your comments on Monday’s blog, and I want to clarify a couple of things.
First, we are not thinking about opening up a market in China for selling at this point in time. The regulations in place for direct selling are so different there than most other countries, it’s just not possible for us right now. Maybe someday, but not anytime soon.
Second, I will always choose US-made products whenever feasible. Just last year I opened our new rubber stamp manufacturing facility to produce our core product--not overseas--but in Kanab, Utah. For years, I bucked the notion of going into China for product, but there came a point a few years ago when it became very evident that if we wanted to stay in business, we would have to make that move. That is the reality of doing business in today’s world.
Even today, when we choose manufacturers, we look at more than price. We look at quality, shipping time, order quantities, and other issues. We don’t always go with the lowest bid prices. In addition, there are some products that we can’t even get anywhere but China. And other products made in the United States whose quality is so inferior that we couldn’t in good conscious offer them to our demonstrators and customers.
Our decision to hire staff members in China was based on two main desires. First and foremost, we wanted to ensure that the products we are getting from China met our standards of quality and safety. Steve and Fayer will do onsite inspections—inspecting both the facilities and the products that are manufactured in those facilities. We have not had that ability before. We’ve always inspected products once we’ve received them here, but we have had no control over the environment where the products are being produced before.
Second, currently we are working through third-party vendors who are brokering the manufacture of these products, and we are paying premium prices (which are still much lower than the prices we can find anywhere in the United States, by the way). If we can work directly with the manufacturers, we can negotiate lower prices when possible and better control the quality.
We have hired people we know and trust, and people who have years of experience. We brought them over here so they could understand more completely our culture and our commitment to quality and safety. Steve and Fayer are not consultants; they will not be working for any other companies. They are working exclusively for Stampin’ Up!, and they are completely dedicated to us—and our demonstrators and customers.
I hope that clarifies some issues. I understand the concerns you’re expressing and thank you for your honest feedback and concerns. I am proud and honored to be associated with people who genuinely care about the world around them.
Reader Comments (31)
First of all, thank you for addressing the concerns of some.
There are many industries that have little choice to move some of their interests to China to stay competitive. My Father had a difficult choice to make many years ago -- adapt to the changing markets and continue to offer a competitively priced product or retire early. He chose to adapt and has been flying to and from China on a monthly basis ever since.
His frequent absence has taken its toll on my family -- especially my Mother who now lives alone on a regular basis. Travelling has also taken its toll on my dad's health -- he quickly realized he's not the spring chicken he used to be -- but he perseveres.
I just applaud you and the corporate team's decision to hire employees to be an extension of the Stampin' Up! family in China to monitor things. My father quickly realized that there are just different standards and ways of working in China. Eyes, ears, hands -- and of course, the Stampin' Up! heart in China will, I'm certain, serve the company very well.
Thank you for keeping the best interest of everyone in mind -- despite difficult decisions.
Thanks again.
Cindy
My background in is manufacturing which is one of the reasons I was so impressed with SU! from my early days as a demonstrator. My uncle lives in China 9 months out of the year for the same reasons you've hired staff from there. Thank you for explaining your (SU!'s) reasons, but from my perspective, it isn't a requirement. I wish people would just trust what is going on because we've seen over and OVER that you are an amazing company that thinks about people first.
Never Explain.
Your Friends don't need it.
And your enemies won't believe it anyway.
I feel this can be applied to any subject and any situation in life. Either people trust you and your actions (and are true friends) or they constantly question your decisions and behavior. Those of the latter are not worthy of your time for explanation.
Maybe some people will read this and think about how it can apply to themselves AND how it applies to how they react towards others, too.
Every single time I have shared this quote with someone who has been 'explaining' their reasoning to others on 'why they did what they did or said', I tell them to stop.
TRUE friends don't need it! When I read your 'China' post, it didn't even occur to me to question you. You always have SUP! and your demonstrators in mind FIRST and I trust that whatever decision you make is for the better! NO EXPLANATION needed here. I hope others grow to feel that confidence and trust in you, that I feel, so that they don't jump the gun next time and start inappropriate accusations and assumptions as they did this time.
Blessings to you (and your dad, too),
Nicole