1. Facing China’s “dual control of energy consumption” policy, what should you do?
Recently, most of the product prices is rising due to the price hike cost of raw materials and our government’s power rationing policy. And it will be adjusted almost every 5-7 days. As this week, some factories have raised prices by 10%.
Manufacturers can only use electricity 1-4 days per week, that is to say, the uncertain and slow production time will lead to a longer lead time in the future. As for how long this situation will last, it’s hard to say, after all, it involves the national macro policies. But to avoid any serious impact on your business, we have the following suggestions.
1. Confirm whether your supplier belongs to the electricity limit area, whether it will affect the lead time and price rate, in order to create a better shipping plan, as well as adjust the market price and marketing strategy.
2. Keep close contact with your logistics agent, understand the price and timeliness of the shipping market, choose the most suitable mode of transportation, and reserve the space in advance so that the goods can catch up with the peak season.
3. Be sure to allow enough time for replenishment, especially for Amazon sellers, don’t fail to replenish the goods in time and affect the sales of your store.
4. Adjust your purchasing budget to avoid impacting your cash flow.
Post time: Nov-01-2021