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Regular importers prefer to have their own buying office in sourcing country for better co-ordination. If the importing company is not a large one - they outsource buying function by appointing buying agents.
Buying Offices and Buying Agents identify vendors, negotiate rate, check in-process quality, perform pre-shipment inspection and many other functions on behalf of buyer. While buying office act as a procurement office for buyer, Buying Agents usually receive a commission from buyer for their work.
Selling through buying agent is advantageous for exporters also, as it helps in significant cost and time saving. Exporter saves in marketing cost, courier and communication cost, overseas travelling cost etc.
Another advantage of selling through buying agent/house is significant reduction in business risk as buying agent representative keeps regular control over quality during production process. As goods have to go through pre-shipment quality inspection under supervision of buying agent - there is hardly any chance of getting quality complaint after the goods reach destination
However, selling through buying agent is very competitive and entails far less profit marging compared to selling direct.

 

 
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