Near-sourcing

May 30, 2013

Near-sourcing

enterpreneur

Whether as a customer, a business owner, or a tradesperson, we’ve all encountered some of the challenges associated with having product shipped over great distances. Packages can arrive late, damaged, or not at all and changes in currency values along with fluctuating fuel costs can lead to serious increases in shipping costs. For these reasons, many businesses are re-evaluating their supply model and questioning whether outsourcing – which has long been popular as a way to cut down on expenses – is really the best choice.

An Entrepreneur magazine article suggests that ‘near-sourcing’ – which means doing more business closer to home by selecting local and regional vendors whenever possible – is enjoying a resurgence.  While local dealers may charge slightly higher prices for their product, the reduction in shipping fees could help to offset other costs – possibly even leading to savings. What’s more, choosing nearby dealers can help provide faster service to customers, which often leads to repeat business and more word-of-mouth recommendations. Environmentally-conscious businesses and clients will also appreciate the reduced carbon footprint of near-sourced products. Win… win… and win!

Environment, Miscellaneous
About Alana Graff

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