The Top 4 Advantages of Choosing a U.S. Based Manufacturer
For many companies, choosing a manufacturer requires both strategic thinking and an aptitude for business. While many companies would choose saving on the cost of parts and labor to maximize profit, there are many aspects that must be weighed more than cost. Decades ago, the decision to move manufacturing from U.S. soil to overseas or over border territories like Mexico and China rang a sound decision in the minds of company heads who wanted to save money on production and materials.
Now, that decision is less desirable among companies and manufacturers because today, companies often run the risk of gambling their money by investing it in a foreign manufacturer. Products that are cheaply made can often result in being too flawed to sell and communication and travel when living overseas is much more difficult than communicating with a manufacturer that is at most, a few hours away. Despite the potential cost savings in labor and materials found overseas, there are advantages that weigh much higher than cost when it comes to choosing a manufacturer in the United States.
1. Convenience and on-time delivery
When you have a specialized product and you care about reliability, on-time delivery and order turnaround, your company should be investing in a U.S. based manufacturer. When your company is selling specialized products to your audience, you really don’t want to take the chance of sending flawed products to your customers. This is equivalent to throwing money into the wind because, in the long-run, you’ll likely end up spending more money on a cheaply made product. That’s the thing about many foreign manufacturers – you’re running the risk of receiving products too flawed to sell or not up to par on quality and while you’re saving money because they’re cheap to make – which is largely due to the fact that they’re cheaply made. Not to mention, products that are made overseas that must be shipped back to the United States can take weeks to arrive and if there’s any delay in manufacturing, those weeks can turn into months.
2. Higher manufacturer quality and labor standards
When it comes to manufacturing in the United States versus choosing a manufacturer located overseas, there’s no doubt that the United States holds higher quality and labor standards than manufacturers in many other countries. Manufacturers located in the U.S. are required to abide by strict labor laws and maintain good quality work environments for employees. It’s hard to argue against choosing a manufacturer when you’re well aware of the standards that must be kept in manufacturers based at home. In many countries, there exist manufacturing companies where workers are overworked and underpaid. Just like a cycle, poor working conditions can negatively affect workers and can often result in poorer quality products.
Choosing a U.S. based manufacturer is best for business, especially when your own business is located in the United States. A business or company who chooses U.S. manufacturing is investing in the labor market and economy of the United States, supplying residents with permanent jobs and making a positive contribution to our economy.
Why Kodiak Assembly is the Electronic Assembly Choice for Austin Tech Companies
3. Domestic manufacturers maintain strict intellectual property rights protections
There are many foreign manufacturers that ignore intellectual property rights and protections, allowing your ideas to be stolen, re-created and mass produced to your very own audiences. Manufacturers in the United States typically maintain strict intellectual property rights and protections, meaning your specialized product can’t be copied and mass produced. This isn’t often the case in many foreign countries, where, in many cases, intellectual property rights and protections often either aren’t followed or ignored.
Even when these property rights protections are assumed, in countries where English isn’t the dominant language, communication about these protections and what the manufacturers can and can’t do breaches difficult language barriers and wording in contracts or negotiations can be confusing for both parties. Innovation is what allows companies in the United States to be competitive, but an IP Commission report found that stolen ideas, brands, and inventions drain more than $300 billion from the U.S. economy. With this in mind, it’s important to realize that intellectual property rights and protections are extremely difficult to protect overseas.
4. “American Made” is a powerful marketing tool
Just as investing and contributing to your community compels many consumers to buy locally, buying a product created by a U.S. based manufacturer carries a deep sense of patriotic pride for many Americans. The “Made in the U.S.A.” or “American-made” stamp can be a powerful marketing tool for specialized products. Purchasing a product manufactured domestically is also symbolic to providing permanent jobs and healthy economic growth to our home economy. Knowledge of well-maintained manufacturing and labor standards, as well as the quality of products found at home, instills confidence in a consumer about a product manufactured by a U.S. based manufacturer.
When you choose a foreign manufacturer, you often run the risk of gambling not only your business’s money, but your ideas and innovation overseas. There are many risks associated with choosing a manufacturer that is physically located far from your company’s operations and when problems arise, it can cut into your own time and money if you have to use your valuable time and a passport just to correct issues.
Choose to avoid complications, communication problems caused by language barriers, and ensure the protection of your ideas by selecting a manufacturer based in the United States.
Kodiak Assembly Solutions is a U.S. based manufacturer and has developed solutions in electronics manufacturing services, with the customer’s business goals in mind. Being committed to excellence, Kodiak Assembly’s strength lies in an experienced team, state-of-the-art machines, clean facility and quality-centered processes. Contact Kodiak Assembly today to learn more about quick turn electronic assembly.
