The Business World Is Competitive

I was preparing my shop for the upcoming 11.11 (11 November) sales. For those who do not know, 11.11 is the sales event created by Taobao to mark the Single’s Day. Long story short, they created a day out of nowhere and made it into a sales event. Now that South East Asia has become the next battleground for ecommerce, Singapore is also positively impacted as well.

My shop is also affected by the 11.11 mood, and there is a need to stock up for the event. If you ask me, this is my first time joining this thing too, and have no idea how it will turn out. I took a bit of risk, and imported a bit more goods. My shop has only 5 goods – A, B, C, D, E, all of which I got from different suppliers.

Yesterday the supplier of A rightly guessed (although I did not really confirmed that) that I also buy B and C, as they are related goods. He offered a good price to me, which made me hesitate whether to get from him next time or not. On one hand, not concentrating your goods into one supplier will diversify out the risk. What I learnt from my previous lesson was that relying heavily on one supplier will cause a great deal of trouble if the supplier abandons you. Yet concentrating on one supplier will save you a lot of trouble and you are able to get additional perks such as discount or credit.

That being said, the supplier this time is more easily replaceable than my other business, which makes it less risky. Such is business. Everyone is trying to steal customers from each other. And on my side I will have to weigh the risks of each decision.

As for me, I am always constantly poaching customers from rival businesses. People are also poaching my customers.

Back to the topic about supplier A, he approached me 2 days later to follow up. Given his enthusiasm to do my business and his repeated assurance about the quality of his products and the services he provide, I thought I might just throw all B and C’s business to him. The cost savings far outweigh the risks.

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