How Can I Make Sure That A Chinese Manufacturer Will Not Steal My Idea?

Recently one of our customers asked us above question, that's a good question, I believe many customers have the similar question before they send something to be produced in China

Well, there is one question before we answer that one, that's "Is that possible? OR how will it happen"?

The answer is: for sure, it is possible and sometimes it will happen although it is disappointed and we don't want to see that result, so no matter what, we should be prepared for that before we send them to China or any other low cost countries to be produced

Here are several ways we suggest and used

1, Sign Non-disclose agreement with all vendors, that's always the first step before you send any drawing or PO to the vendor. that's easy to do, but what we suggest is to hire a Chinese lawyer to be involved that, make sure that there is an Chinese Version for factories, and make sure that it will comply with all Chinese Acts, also it will make your vendor feel that you are serious about it.

2, Don't use one-stop shopping factory, many customers would like to find a vendor which can provide one-stop shopping factory, it will be nice for customers but not safe and give you endless trouble, working with several factories to finish one product will always be safer for customer

3, If your product is so simple that they can't be separated, so just don't put all eggs in one basket, although it seems that it will be economical to let one factory to produce all of them, but actually it is pretty risky...it seems that you have to balance it between the cost and the safety

4, Using a third party, like sourcing company or agent or freelancer, sometimes it is so hard and cost so much to go to the factories, so a company which can representative your interests show up in the factories and watch the progress is kind important. sourcing company will be better than agent, agent will be better than freelancer, it is because sourcing company have more resource like they have engineer, lawyer, Marketing stuff and QC stuff etc., however, agent or freelancer is only one person

So hiring a company or person to supervise is necessary when you send them out to be produced, although it looks like it will cost a little more, but actually it will be same or lower than when you hire factories directly in the end, the more important is that will effectively prevent manufacturers from stealing your idea and protect your interests in supply chain.