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Difference between a trading company and a manufacturer?

What is the difference between a trading company and a manufacturer?

Trading companies donโ€™t directly manufacture products but connect buyers with the right manufacturers. The main advantage of working with a trading company is that they can choose the best option among an array of manufacturers. Working directly with a manufacturer can be useful if you have the expertise and the market knowledge to choose the best factory in China for your product. Usually, Chinese manufacturers are highly specialized in one product type or one manufacturing process. For instance, a company that manufactures golf shoes would not make golf bags.

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