Although sportswear OEM seems to be an effective way to reduce production costs, if not carefully selected, the problems of the foundry may lead to the verge of bankruptcy of the brand.
Foundry risks include quality problems, delivery instability, contract disputes, etc. which may unknowingly devour the profits and credibility of the brand.
The quality problem of the foundry is a huge invisible trap. In order to reduce costs, many brands choose foundries that do not have enough experience, and as a result, the quality of products produced is not up to standard. Customer complaints are frequent, the return rate is high, the brand not only suffers economic losses, but also faces a reputation crisis. You know, the loss of brand image is far more deadly than the short-term economic loss.
The problem of late delivery of foundries can also lead to the financial crisis of the brand. In order to catch up with the pace of market sales, brands usually arrange publicity and sales activities in advance, but if the foundry cannot deliver on time, the entire sales plan will be disrupted, resulting in the loss of market opportunities.
Loopholes in foundry contracts can also be minefields that destroy brands. If the brand party does not clearly specify the intellectual property rights, production standards and liability for breach of contract in the contract, the foundry may take advantage of these loopholes to seek improper benefits.
In short,
when choosing a sportswear foundry, brands must always be vigilant and do a comprehensive assessment and risk prevention.
Dblue sportswear is a mature custom sportswear manufacturer, with a mature design team and 16 years of experience. If you want to know more about sportswear OEM, click on the homepage to see the details!
