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What's actually different between working direct with a factory, buying off Alibaba, and hiring a sourcing agent?

The short answer

Alibaba is fastest to start but you're often talking to a trading company, not the factory floor, fine for standard products, riskier for anything custom. A sourcing agent (5-15% of order value) earns their fee on your first complex or high-value order by vetting factories and standing on the ground for inspections. Go direct-to-factory only once you have enough volume and product knowledge to negotiate and audit without help.

A quick summary to orient you. The real value is below: the resources worth your time, from people who've actually done it, not us.

Here are the resources

Hand-picked from around the web, each with a note on why it earns your time. India-specific ones carry a badge.

2 resources 2 link-checked

Read

📄 Article
✓ Link checked Free Beginner

Why we picked it A DTC-focused sourcing overview that's useful precisely because it treats freight and customs as part of sourcing strategy, not an afterthought.

Product Sourcing in China: Guide for DTC & Dropshipping

From logisticsff.com by LogisticsFF

  • Treats freight/customs decisions as sourcing decisions, not logistics-only
  • Covers channel choice alongside cost trade-offs
  • Written for DTC/dropshipping founders specifically
Open logisticsff.com →
📄 Article
✓ Link checked Free Beginner

Why we picked it A DTC-specific playbook that frames the real decision every founder faces: stay on Alibaba, build a direct factory relationship, or hire an agent, and when each makes sense.

How to Source Products From China: A DTC Playbook

From portless.com by Portless

  • Choice of sourcing channel depends on your volume and specialisation
  • Specify materials, dimensions and quality standards before outreach
  • China remains the default even for India-first brands on many categories
Open portless.com →

People also ask

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