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What is the Difference between OEM & ODM + Tips for NDA

Today’s Question: What are the meanings of OEM and ODM?

OEM stands for Original Equipment Manufacturer. For example, you hire a factory in China to make products to your spec under your brand name.

ODM stands for Original Designed Manufacturer. For example, the factory R&D department comes up with a design on their own, but they sell it to you for the international market under your brand or their brand.

Regardless if you are buying with an OEM or ODM, you will still need to protect yourself!

 

Here are some valuable sourcing tips about OEM:

Read more about OEM and MOQs where MOQ stands for: Minimum Order Quantity. And trust me, this will be your worst enemy!

Does the NDA protect me? Will my ideas be stolen? Whether you want to sell, buy, or manufacture in China, make sure you sign a Non-Disclosure Agreement with your partners! Read more here!

Question answered by Mike Bellamy, always glad to help! If you have a question about sourcing in Asia, ask here.
Visit Mike’s YouTube Channel for lots of video tutorials about sourcing in China.

 



Mike Bellamy

Advisory Board Member & Featured Blogger at the not-for-profit China Sourcing Information Center (www.ChinaSourcingInfo.org). Author of “The Essential Reference Guide to China Sourcing” and founder of PassageMaker Sourcing Solutions. Mike is co-founder of CSA, the China Sourcing Academy.


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