This model is especially used in international trade, where a local ODM is used to produce goods for a foreign company which sees some advantage in the transaction, such as low labor inputs, transport links or proximity to markets. This is also used where local ownership laws possibly prohibit direct ownership of assets by foreigners, allowing a local firm to produce for a brand company for either the domestic market or export.
An original equipment manufacturer, or OEM, manufactures products or components that are purchased by another company and retailed under that purchasing company’s brand name. OEM refers to the company that originally manufactured the product. When referring to automotive parts, OEM designates a replacement part made by the manufacturer of the original part.
Kingdom Home Fashion spent 12 years sourcing and creating direct relationships with manufacturer’s overseas . Since inception, we have established a large network of manufacturers that can fulfill virtually any product in any industry. Our local office in the China has been designed to coordinate quick quotes, provide constant updates, and track all data needed to communicate with and expedite all client orders ensuring a smooth transition from placement of orders to delivery , while avoiding the inconvenience and complexities for our customers of dealing directly with factories overseas.