[QUOTE=zeze;400301]
Quote:
Originally Posted by Jabong82
Jabong82's rules of mobile phones:
1. AUTHENTIC IS NOT CHEAP!!!
Not in General, but you can find authentic products at very good prices to mark up profits. How else would retailers survive & have healthy profit to pay for High market rent and staff if profit is only 10%? Ive heard of sales 30-50% off from stores.. that says something in itself.
2. BRANDED ELECTRONICS DON'T COME FROM ASIA!!!
So what about the top Asian electronic companys? so do Lg, Samsung and the like all manufacture & distribute all outside asia?
3. PROFIT MARGINS ARE SMALL!!!
Depends on your purchasing power, and what country your selling at. Just going off ebay, you obviously can find price differences from the same item worldwide. Each country is different, especially with currency & shipping differences.
5. PAYPAL IS NOT SAFE!!!
As with all payment methods, nothing is totally safe, but it does offer buyers an extra paypment method in which alot of cases is the only 1 they would be comfortable with.
8. HEY NEWBIE, DON'T SELL ON EBAY!!!
I think Ebay is the best place to start off. It brings customers to you instead of you searching. You mite not be able to start auctions @ $1, but if you set your start price where you will profit after final sales fees etc, then what can you lose from it?
Alot of businesses started off small on ebay selling few items weekly and have grown to open up retail stores etc. It is a great 2nd income to begin with, and if done right can be your prime income.
Im not critizing, just adding my thoughts to the post.. Interesting & great post by the way. :niceone:
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Jabong's rules are indeed great for larger scale business although we also agree with some of Zeze's comments which reflected a different and open-minded take on it.
On point#2 , BRANDED ELECTRONICS DON'T COME FROM ASIA
This is generally true especially with China. Despite the fact that a lot of these top electronic brands have set up their production or has contracted their production with China factories, freshly produced goods are still considered as exports by commercial law and are sold in China as imported items. China has a 17% tax import duty so foreign base branded goods ends up with a price higher than the US or UK.
For the same reason that China is the source of most of the world's consumer electronics, it gives them the competitive advantage on refurbished branded phones. China has the cheap educated labor to touch up returned cell phones. Refurbs are units returned to the factory by retailers because customers change their minds about the item even if there’s nothing wrong with it. In any case, this goes back to the factory which are mostly based in China. They get restored but can only be sold as refurbs.
After studying the market and interviewing multiple potential factories, we at
Quad-Band-Phones.com are now bringing you the best refurbished
Blackberries available.
On point #3 PROFIT MARGINS ARE SMALL
If you buy wholesale and sell it also as wholesale, the margins are usually small. But if you are in a niche market, buying something wholesale and selling it in retail usually allows you to sell at a more than the usual margins.
On point #8 HEY NEWBIE, DON'T SELL ON E-BAY
Just a thought, E-bay or other similar platforms can still be rewarding to a newbie, maybe not so much financially but it offers a wealth of experience especially for beginners of online selling. Would rather have them take this route than have them jump on building their own expensive site without a clue of how the online market works.
These are just some of our thoughts base on our experiences working together with our resellers and suppliers in the online mobile phone business.
Last edited by Quad Band Phone; 29-08-2009 at 08:23 AM.
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March 2010
