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Dropshipping - Another Profit Sewing Mechanism

There are various techniques followed in business world in order to excel in the venture

. Drop shipping is one among the latest techniques that it slowly getting popularized. Drop shipping can be described as a mechanism in which the customer places an order to the seller and seller will transfer the order to the manufacturer or wholesaler. The wholesaler in turn will ship the order directly to the customer will the label and logo addressing the actual retail shop. In case of any issue with the order, the customer will in fact approach the retailer for getting this corrected. The retailer will gain the profit between the selling price and the whole sale rate. This approach is slowing getting shape in many industries. This method is now commonly applied with orders related to large heavy items like construction items or can be with bulk orders where retailer is not having sufficient stock. In order to attract the customer, the retailer will either have a single piece of the order in the store or will show the pictures or though the website created for the retail shop.

This process has many advantages including all the unwanted shipping cost can be greatly reduced on one end and on the other end, there is a need for managing all the stocks and inventory in one location rather than transporting from one place to another as the selling stages advance. Majority of the drop shipping is taking place in and around America. This can also greatly reduce the supply of duplicate products to the customer. There are some disadvantages also for drop shipping. The major disadvantage includes the running of various scams in the mode of internet home based jobs. There will be some middle man playing the role of a wholesaler who actually does not have any products with them. If the wholesaler is not sincere with the job, there is a possibility of selling the ordered product to some other customer there by causing a long wait for the arrival of next batch from the factory. The customer will in fact feel cheated as the retailer might have already promised a fast delivery within a short time span. This will definitely affect the goodwill of the retailers business. Therefore you should definitely check with the pros and cons of drop shipping thoroughly before adapting to the strategy.

by: gibsonsturart
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