Tips and tricks for effective communication with your Chinese supplier
Effective supplier communication is among the most challenging issues when doing business in China. Barriers such as language, ethnocentrism, stereotypes and prejudice due to political and economic causes and the assumption of similarity instead of difference are significant issues that can cause difficulties in communication. On top of that, China’s market has developed faster than its education or culture can manage.
People in China have yet to fully adapt to work according to international standards in a global trade environment. Misunderstandings can lead to major problems in cooperation with suppliers. It can cause significant losses for your company. If you get in control, however, you can also turn your suppliers into valuable assets for your company. You need to develop effective cross-cultural communication skills for this.
In this article, we’d like to mention some tips for effective supplier communication. It deals with the following:
- How to reach out to suppliers for the first time?
- How to deal with language barriers?
- Several examples of dealing with cultural differences
- How to get clear and transparent information from your supplier?
- Why do you need to build long-term relationships with your suppliers?
- Some conclusions and general tips
How to reach out to potential suppliers:
You only have one opportunity for a first impression to your prospective supplier. Experienced suppliers will quickly sense whether they are dealing with an experienced buyer or someone who is a newcomer to the business. When they sense weakness, they may easily take advantage of you. Or they may believe you are not big enough or experienced enough to be a profitable client for them. They may simply ignore you. By coming across as experienced and professional from the beginning, the cooperation will go more smoothly and efficiently.
Preparation:
Preparation for the first encounter will help you make a positive first impression, even if you are less experienced. Show that you know what you want and what you expect from your potential supplier:
Do your research on the market:
Know what kind of comparable products there are out there. What kind of materials can be used? In what ways can the product be used? What are their advantages? How is the market price? What delivery time is reasonable? Ensure you know the products and the market before approaching a potential supplier. Refrain from relying too much on the information the supplier may provide because it may appear that you don’t know what you want.
Understand what kind of supplier you are working with
Make sure you have some idea of how the other party is thinking, how they most likely work as a company and what you can expect from them. You can do this by researching the online presence and understanding what the size of the company is, what their target market is and how professional they present themselves. This will help you to understand your position and how they most likely go into the conversation.
Prepare a product specification sheet
Prepare a product specification sheet with detailed information on the specifications you expect from your product. Define all data that you want to share with all factories you want to work with. Well-detailed specifications will give them confidence that you know what you want, and it lets you control the production of the product you plan to receive. For every specification that is not defined, you put your faith in the hands of your supplier. Their interests may differ significantly from yours (for example, to reduce material costs to increase profit). Once you provide the specifications, you should expect them to ask about your plans with the product, details about the specifications, and so on. If they only say “It’s fine” and they don’t give you further questions, they are actually most likely not very interested in serious cooperation.
Define what information to disclose
Define what information is too sensitive to reveal at first contact (because you want to protect your idea) and how you want to deal with product specifications you don’t want to share. When will you share these? How will you communicate these specifications with your Chinese supplier, so that they have enough information to provide a quotation but that they won’t be able to steal your ideas?
Get the supplier’s attention:
Find out how you can serve the supplier’s interests to attract their attention to work with you and give you a workable quotation. What order amounts do you need now, and how can you convince them that you will become a profitable customer? What information can you give your supplier to make them believe that working with you is in their best interest?
Reach out:
Below are some tips on supplier communication during the first encounter with your potential supplier:
Talk on the phone:
If the language barrier doesn’t prevent it, talk to the salesperson on the phone as soon as possible. Use this opportunity to find out what kind of supplier you are working with and to verify some basic information about the company. The salesperson doesn’t usually know precisely what is written on their website or Alibaba page. Therefore, if you ask the right questions, this is a compelling opportunity to verify the information they give and understand how reliable they are. Be polite and don’t judge them, but inform yourself.
Be clear in your messaging:
Start with a clear, concise message with a clear call to action. The clearer and to the point your supplier communication is, the less likely it will be misinterpreted.
Know what you want
Do your preparation and show your knowledge and experience of the market and the product and show that you know exactly what you want!
Show intention for long-term cooperation
Show as early as possible that you want to work long-term. Try to win trust and interest to get a favourable quotation and to plant seeds for future cooperation.
Follow up fast
Using the chat app WeChat is the best way to get things moving. If your replies take too much time, it signals to the supplier that your company has limited genuine interest and decision power. The supplier may lose interest in working with you and you may lose authority. In many Western companies, decision-making is much slower than people in Chinese companies are used to. In any case, keep the conversation going at all times.
How to deal with the language barrier?
One common problem in supplier communication is how to overcome the language barrier in communication. The language barrier here does not refer to the use of the language per se but to understanding each other. Most people who import from China cannot speak Chinese, especially not on a professional level. English will therefore be the most commonly used language.
If you do business with a Chinese factory, you can assume that the workers, technical and operational managers, and most likely even the boss cannot speak English. You will probably only communicate with one of the company’s sales employees.
The primary skill that these salespeople have usually been selected for is their English skills. These salespeople are often fresh graduates (especially in small factories). They lack experience on the work floor and often have very limited operational and technical knowledge. Even though the sales staff of many factories can communicate in professional language, there are still many risks that they misinterpret your language. Mistakes or false assumptions are commonly made during communication with you Chinese supplier. They need a lot of clarification. They also often lack the technical knowledge and understanding to understand you on a detailed level.
Simplify your language:
Some Westerners immediately start using complicated terms and vocabulary at the first step of the process when contacting the supplier, because they believe this show their expertise. Confusion is very likely to happen in this case. The Chinese salesperson may feel embarrassed that they cannot understand you and may not admit this. It is a Chinese habit to not directly tell you they need help understanding, possibly leading to problems later.
Therefore, you must be patient in your communication and ensure that the other party understands all the requirements, specifications and agreements. Some language barrier solutions include simplifying your language. Give short and straightforward replies and explanations and use commonly used words and terms to refer to the several elements involved in the production process. Also, ask them many questions to check if they really understand you. Use universal language, such as drawings or sketches, when possible.
Also, avoid sending long emails with lots of instructions at once. To make supplier communication faster and smoother, we advise using a chat app, preferably the Chinese chat app WeChat. Chinese people commonly use this app all the time. Using it lets you instantly reply to whatever you need to clarify or address. You can send concise instructions and check for understanding point by point.
There may also be problems with open communication and free negotiation between the buyer and the factory professionals because only your sales contact person can speak English well. In the factory, the operational team may need help understanding the descriptions, documents and contracts you prepare in English. When you work with Chinese suppliers on more complicated projects, it may be wise to find help in translation or communication, preferably from a partner who can understand your requirements well and work closely with the factory using the Chinese language.
Dealing with cultural differences and communication styles:
Differences in cultural backgrounds, including values, norms and beliefs, may impede effective supplier communication1. China has a long cultural history, and its model of living and working is fundamentally different from the Western model. For example, its communication style is very different from the West’s. These differences make it difficult to comprehend and interpret the message that is communicated. This can lead to risks due to misunderstandings that can ultimately cost lots of money or time.
Communicating with Chinese people is very different from working with someone from a Western background. The language used may feel unnatural, sometimes slightly off or rude. Since this is usually due to cultural differences and communication habits, some tolerance for this is crucial. Intercultural business communication is just more challanging than dealing with people from your own culture. Moreover, the Chinese language may appear unclear, indirect and inconsistent, and you may want to have some tools to understand better the intentions behind the language used.
Dealing with vague or inconsistent information
There is a culturally deep-rooted need in China to keep relationships harmonious. The Chinese rely heavily on indirect communication as an extension of the need to maintain harmonious relations. This often leads to vague or inconsistent information, or at least language Westerners do not understand. Their speech is often ambiguous, and they may understate their point2.
The Chinese are comfortable with this ambiguity; the Chinese language is full of ambiguous meanings that can be difficult for Western people to follow. One way of navigating this rhetoric and finding the underlying intention is to clarify constantly. Focus on hints of hesitation. Listen closely to what they say, but also pay careful attention to what they don’t say and double-check your understanding.
One of the main reasons for indirect language throughout the conversation is to prevent a “loss of face” on either end of the exchange. In China, the concept of “face” is deeply embedded in society. “Face” is a metaphor for a person’s reputation among their peers. Many Chinese will go to great lengths to save themselves or others from embarrassment or face loss. The result of this saving face and politeness is that you seldom get direct negative responses. The Chinese are more likely to be polite but often very vague. More patience and preferably experience with the Chinese way of communication is needed to interpret this vague or indirect communication style better.
Dealing with reactive and unconstructive suppliers
Regarding problems, Chinese companies usually have a very reactive approach. Chinese often only start handling and solving problems if there is no other way. At this stage, there may already be quite some damage. To avoid problems, it will be necessary to manage your orders hands-on. Letting the factory control the quality and the planning will likely cause issues that could be avoided.
The Chinese ambiguous and pragmatic mindsets are most apparent when faced with problems during the working process. The Chinese vision of truth and who is right and wrong in cases where issues occur depends very much on the situation, context and time. Adherence to laws and rules may be flexible to suit the actual situation. This is the way that the Chinese tend to deal with problems. The Chinese’s first reaction when issues arise is often to avoid solutions to a problem by attempting to convince people that the problem is not a problem. They may also mask the problem or offer solutions that don’t solve the main problem. In addition, they may try to convince you that the agreements made are not relevant to the problem that came up.
Keep a constructive attitude
It is common for Western buyers to become angry and frustrated when confronted with a reactive and avoiding attitude towards problems. People feel that the Chinese party treats them unfair and doesn’t take their issues seriously. The first response is often to point to agreements and contracts and to blame the factory as the responsible party that needs to solve the problem. This attitude often does not help the situation! Always remember that China is a “face” culture. Making the other party lose face will mean they will be less willing to cooperate and find solutions. In a meeting of people, keep your emotions under control and don’t blame others when discussing solutions in this kind of meeting.
If the Chinese party says that the problem is not a real problem or that agreements are irrelevant here, it does not necessarily mean that they really think this. The Chinese way of dealing with issues just differs significantly from the Western way. When problems occur, the Chinese party may want to find a harmonious solution in which both parties give and take. The denial of the issues or the proposed superficial solutions is nothing more than the supplier’s first step to preparing for negotiations on how to deal with the problem. They want to maintain their interests while finding solutions for the problems but also want to keep the relationship good. Since production takes place in China and you wish to control output there, it may be wise to use some of the typical Chinese strategies to solve problems and mitigate your risks:
Anticipate potential problems and negotiations when negotiating agreements and contracts
Production errors and other issues come up regularly. In making agreements, be sure to provide incentives for the factory to solve any problems that might come up that may harm your business. Over-specify your requirements and specifications. Ensure you can be confident that issues that will lead to severe damage to your company will always be solved. This will mitigate these risks substantially.
Negotiate smartly
Make sure you find solutions to every problem critical to your business. Don’t use blaming, and don’t show that you want to win the discussion. Give the other party “face” and give in on issues of minor importance to you. Get them to admit problems step by step and let them formulate their subsequent corrective actions to solve the issues and confirm a time frame, especially if they may be very costly for the other party to resolve. So search for win-win solutions.
The “Always say yes- phenomenon”.
Importers often have these kinds of problems. “I didn’t understand that the other party didn’t want to proceed with the cooperation. They didn’t tell me.”
You may want to make a new product in China, and the supplier you approach says everything you want is possible. The supplier says yes to everything, but once you get going and start developing the product to your liking,you notice that they reply very late or that you even get ignored.
Communication in China is usually much more indirect, especially when bad news is conveyed. As a result, the Chinese may not want to say “no.” They feel that telling you directly that they are unwilling to cooperate or that they are incapable of producing according to your instructions and specifications. This can be embarrassing. Whether in their day-to-day life or business, saying “no” should be avoided in Chinese culture. Yes, it’s possible (“ke yi/ 可以)”will be the most likely reply when asking a supplier if they can produce something, no matter if it is really possible. Rather than telling you directly, they often stop communicating with you or give subtle hints when they don’t want to cooperate.
Confirm, reconfirm and get clarity before proceeding
Many Westerners may not grasp this message, especially with no experience working in China. They may lose a lot of valuable time waiting for the supplier to come back with news to proceed. A way to confirm that the supplier will push your project forward is by being pushy with them. Confirm & reconfirm again and again! Ensure they are willing and capable of doing what they are committed to.
Also, pay attention to the information that is not being given. If your requests are ignored, or you get very vague, inconsistent answers, and they often change the subject to something else, this most likely means something is going wrong with this specific request. If their replies take a long time, it also usually means that something is wrong or they have lost interest in working with you.
Be careful to proceed to any next step or make any new payment or agreement before you have clear and convincing confirmation that all specifications and requirements are clearly understood and possible to achieve. Everything that is not explicitly confirmed and the factory has yet to be able to show you or describe in detail how they will do this cannot be perceived as confirmed. The chance that you will be disappointed later in the process if you continue is significant.
The “it is difficult” scenario
“They told me they understood everything I had said and that all was possible, but when I received samples, they were not at all in accordance with my expectations. The only reaction I get from the factory is: “It’s difficult”.
The cryptic “it’s difficult” is often used later in the process, usually when you receive samples and if things go wrong. Sometimes you get this even after mass production. It is supplier code language: “I’ve got some overdue bad news for you”. The Chinese way of breaking bad news isn’t to tell you directly. Instead, give some vague hints and hope you proactively fill in the blank, saving them from embarrassment.
Beware of wrong assumptions
The problems with the samples and their specifications may have different causes. Still, a very likely one is that the specifications have not been specified clearly enough, or you may have missed the subtle hints that the factory couldn’t produce according to your specifications. These issues often happen when buyers assume suppliers must understand specific issues, considering this is common sense. In China, however, this common sense can differ significantly from common sense in the West. The Chinese side may have filled in the unknown requirements and specifications based on their own understandings and assumptions, their own benefits or their own production capabilities.
The Chinese side may not be familiar with the consumers’ expectations for the product in your home market. Most Chinese people have not lived or been in a Western country, so they don’t know how people in the West think or judge products. They may make many assumptions about what they think is best for you. Assumptions formulated by the supplier can be completely wrong, resulting in a product that differs significantly from your expectations. In the end, your contact person may deny anything wrong and avoid responsibility. It can make these situations frustrating and often worsen cooperation between the buyer and the supplier.
Dealing with the feeling that communication feels unnatural and untransparent
You may feel that the supplier communicationfeels unnatural and lacks transparency. They will say things like:
“The communication with my supplier didn’t feel real. It looked like a play, and I hadn’t understood who they really were and what I could expect from them. Even when I visited the factory, it all seemed like one big show.”
When you come to China or talk to Chinese people, they care a lot about saving face (mian zi/ 面子). Chinese people are susceptible to public humiliation and criticism and will go to extensive lengths to avoid embarrassment or shame. They will try to make everything look flawless. Everyone in the organisation is expected to play a game to give the customer as much respect as possible. They expect the same from potential customers. Publicly criticising or discussing issues may hurt the relationship and future cooperation.
During these early stages of cooperation, expecting much transparency is impossible. Most likely, the Chinese side is concealing its intentions. The Chinese are mainly testing their potential before establishing a relationship. This relationship is the first step toward building trust and constructive cooperation. Patience and building this kind of relationship (guan xi/ 关系) will eventually help future collaboration.
This lack of clarity and transparency can be frustrating and risky. Questions arise: “Do they actually produce in the factory you have seen, and does that represent the same company you have contacted?” What production steps take place here, and what is outsourced? Are they genuinely able to keep all their promises?”
How to get clear and transparent information from your suppliers
To mitigate risks, you must know what is occurring on your supplier’s side. A lack of transparency can lead to all kinds of undesirable outcomes. It can lead to quality problems, price uncertainty or unexpected delays, causing cash flow issues for your company. It may also make it more difficult to trust your supplier. Therefore you may find solutions to get more clarity and transparency from your supplier in earlier stages of the cooperation.
In short, you cannot trust your supplier, and to know what is really going on and how things are progressing, you will need to see it for yourself. Seeing is believing, so seek physical evidence in the form of samples, photos and videos. They can prove what’s really going on. If you only rely on the information that they provide to you, you may overlook many problems that can be avoided.
See it for yourself to gain control.
Even better is to visit the factory and collect feedback on the work floor before starting cooperation. One problem that you may encounter is that the Chinese part may show everything at its finest, so you will see the venue in a more positive light than it actually is. During your first encounter, you may get an idea of what kind of factory it is, but you may not have an opportunity to discuss the production details yet. The information that you get may be helpful but not completely convincing. The better the relationship with your supplier becomes, the more you can get transparent information and feedback.
Have your eyes and ears in the factory
Make sure you have eyes and ears in the factory after you visit it as well. Ask for regular feedback from technicians and production managers or even from workers during the production of your goods or other orders. Doing this may give you much more information about how the factory produces your products and ensures their quality. It may feel like micromanaging the factory, but it is how to take control and ensure everything will work out for your company. Distrust is common in Chinese relationships where partners don’t have a close connection. A point of caution here is that you’d better not openly show this distrust, which may damage the relationship. You can go to the factory yourself or hire an experienced 3rd party, such as Sino Import Solutions, to do so.
Let them show you how they plan to make your product and why they have the capabilities and capacity. Know how they plan to ensure the quality of your product. Beware that they may have prepared to shift your attention away from everything they don’t show you or try to move your reaction away from. There may be red flags here. Naively believing that if there are problems, the factory will inform you or making assumptions that everything should work out right can lead to big disappointment.
Maintain long-term relationships with give and take (win-win):
China, as a collectivist society, emphasises group harmony and cohesion. Many Chinese business people will prioritise relationship building, particularly in a business context. Building a solid business and personal rapport with the factory may let the company trust you better and make them willing to provide more transparent and valuable information. It may also open many other doors, such as lower prices, more effort to avoid quality issues, or more willingness to solve problems for you.
Relationships (guanxi / 关系) are the basis of any cooperation for Chinese companies. Here I will explain the importance of building a long-term relationship with your supplier and how to build this in more detail.
Conclusions and general tips:
Although everyone has their own experiences and way of communication, I’ll share some concluding tips when talking to your Chinese supplier: Always know what you expect and want from the factory. Show experience and professionalism from the first moment of contact and take control. Be in control of the process.
Be patient!
In order to overcome language barriers, Avoid long texts, but prefer using drawings, sketches or alternative translations. This ensures that everybody in the factory understands your instructions and specifications. Check constantly for mutual understanding.
Understand and accept cultural differences
Try to understand the indirect language you often receive and what it means. What issues are they avoiding, and what kind of “cryptic” language are they using? When given a vague response to your question, ask it in several ways to ensure you’ve understood each other correctly. Make sure they are willing and capable of meeting your expectations, so you can determine how to proceed.
Anticipate constructive win-win solutions when confronted with problems
Problems are sometimes unavoidable but most often they can be avoided. Anticipate problems by incentivising the factory to manage them and prevent them. When issues still occur, choose constructive negotiation based on agreements that have already been anticipated on the problems to occur. Find a win-win solution providing advantages for the factory while maintaining your interest.
Distrust the supplier
It is totally normal to distrust the supplier at the start of a collaborative effort. Ensure that every step in the process works out well before proceeding. While doing this, don’t openly criticise or blame the factory. These are all actions that cause Chinese people to lose face. You better draw your own conclusions about how to proceed with caution.
Show Respect
Show respect for the Chinese supplier’s culture, beliefs, and values is essential. If you demonstrate some knowledge or interest in their culture, language, food etc., it helps to overcome barriers. Avoid any form of public embarrassment or publicly expressing negative emotions. Smartly solve issues, maintaining a win-win commitment, even when confronted with problems.
Aim for long-term cooperation and build relationships
Showing willingness to build a long term cooperation and to build rapport will make the supplier feel more comfortable and they will open up in their communication with you. You will get better opportunities and you can expect more transparency from your supplier.
Get help from Sino Import Solutions
Sino Import Solutions can help your company to cooperate better with your supplier and get better production outcomes for the short and long term. Contact us to get expert advice on working with your supplier. Or visit our services pages to understand how our services can help you
