Showing posts with label Local-to-global economy. Show all posts
Showing posts with label Local-to-global economy. Show all posts

Thursday, 20 August 2009

Reg Almond, Bardwells, Sheffield

Reg has sold electronic components at Bardwell’s for 40 years. He works with his wife Jenny [right], who, along with her brother Rod, inherited the business from their father, who set up the business in 1944. Rod's son Chris also works at the shop. Despite saying he hates electronics and customers refusing to believe he doesn’t know how to build or fix something, Reg is an engineer by trade, knows his components and will try his best to satisfy hopeful, or technically adept customers.

A first-time customer looking for a replacement 60 milliamp fuse from his stereo’s tuner, had heard of Bardwell’s reputation for stocking all things electronic. He’d been told by a high street electronics retailer that if anyone's going to have that fuse, it's Bardwell's. Reg tested the fuse, confirmed it was “deceased”, and said anything under a 100 is not made anymore. So rare in fact, the shop's 60mA drawer was empty. They had some 80s, but Reg advised it wouldn’t be safe enough and suggested a 50 would do the job. Because the 50s are rare too, why not buy two? Total price 50p.

Reg says the shop could be busy with one customer after another, but in an hour they might only take a tenner, as some items cost as low as 25p. It’s tough to earn a living from the shop nowadays – they've not had a pay rise in ten years - because people don’t buy electronic components like they used to. Reg offers up two cultural shifts as root causes. Electronics isn't taught in schools like it used to be and cheap Chinese imports are flooding UK shops. They used to get loads of school kids coming in, buying stuff for projects they would build, but now it’s cheaper to buy new rather than fix things.

Bardwell's has survived because they’ve diversified their stock to include TV and Computer accessories. They also sell online (Bardwells are ebay Power Sellers) and they also take orders through their website (www.bardwells.co.uk).

Friday, 30 May 2008

International Traders, Guangzhou

Guangzhou is known in the import/export trade as an end selling point. Traders from all over the world come to buy wholesale products produced all over China, which eventually find their way to places like Guangzhou’s Yide International Exquisite Toy and Stationery Square, where we met Craig and Clem Eady. This father and son team run a wholesale business in Brisbane, established for 35 years and supplying about 150 clients back in Queensland, Australia. They are here for toys, army surplus, hardware and knives. “If you can find that factory somewhere in China or even in the back streets here, you can buy exceptionally well, but all the way down to Guangzhou, it will get dearer. And here, at the endpoint, it’s the dearest.”

We interviewed Craig, Clem and dozens of other traders from the five continents on video, asking about their relationship with Guangzhou, the sellers, and other traders they may encounter. Traders come because they believe this city has the cheapest products available in the world. On this 2-3 week visit Craig and Clem will spend around A$100,000 (650,000RMB). They visit 3 times a year and have been coming here for 8 years. Before Guangzhou, they used to buy in Hong Kong and Taiwan.

They tend to use the same sellers each year – regular customers should get a better price - until the seller does the wrong thing; like supply the wrong goods/quality, change the price, or leave goods behind so they miss the ship and have to be sent by plane instead (400 times dearer than ship). Clem says they will still pop in when there in town but and say “hello” – one of the few Chinese words that they know, other phrases being “too high”, “too low”, “how much”, “how many” – but won’t buy from them again.

They say a lot of the Chinese they deal with speak some English, plus they have help from interpreters and guides. But even when they’re doing business with the sellers that don’t speak a word, they can find a way to understand, such as negotiating price through the use of calculators.

Even though the community of traders is fragmented in time and place (and at times secretive), there are odd occasions when the network connects to exchange tips. Craig and Clem have only ever met one other Australian, but do bump into Americans - who usually get the better prices because they buy the largest amounts - and often put them on to things. Germans too! Because they are not competitors, it’s no skin off their nose. Craig remembers having a quick chat with a Middle Eastern guy at an airport baggage collection. Next minute the guy was on his laptop and getting him the address of a factory somewhere in China, which he said, has very good products at a very good price.

Wang Lin, Clothing Manufacturer & Wholesaler, Guangzhou

Here is Wang Lin, general manager of Anna V (Anna Victoria) clothing, in his central Guangzhou office, showing off his pick of this seasons collection made in his factory outside of the city. His office is on the 6th floor of a huge building hosting hundreds clothing wholesalers, attracting buyers from all over China and the world.

It’s a family business, set up by his relatives in Taiwan. We met his wife, who was asleep at her desk when we walked in. His children help out at the factory when they are not in school. He made us tea, and we sat and chatted about his business; how it isn’t as good as it was and his strong sense of business ethics.

Anna V is their own Womenswear brand, with a new collection for each season – four times a year. They don’t have a designer; they just work things out for themselves. They don’t do fakes/rip-offs and they do pay taxes. His business operates almost entirely with returning, loyal customers. Sometimes his good customers, such as one Japanese man, drop in for tea three times a week when they are in town. Other clients come from Italy, USA, Iran, Iraq and Spain to name a few. The company also has a website and accepts orders direct to the factory through that.

They used to have a retail unit downstairs, but that became too expensive so now they only operate from this upstairs office. Wang Lin used to be able to manufacture and sell 1,000 units of each design in his seasonal collections, but now he says he can only sell 200 of each. He says he doesn’t make much money, as he has to pay his workers first. He employs 200 people at his factory.

He believes in doing business honestly and taking a long-term view. Trust, friendship and responsibility are the backbone of a business he wants to run like a family, and his family are happy. Rather than the short-term manufacture of fakes, which he believes is a non-sustainable business, he wants to build something lasting, to pass on to his children.