Is Overseas Outsourcing Really a Good Idea?

Here’s a look at ten reasons why outsourcing overseas may do more damage to your brand than you expect.

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  1. Skilled labor is rare.

    Everyone is an expert over email. You’ll be told just about anything to get your business. Many domestic companies find they would have saved time and money attempting to build their products themselves.

  2. Products are vulnerable to local problems.

    Violence, unrest, energy problems, flooding, terrorism may not be things you’d usually consider when making a product, but producing in the wrong country (at the wrong time) may leave your goods stranded in the middle of mayhem. Don’t expect your manufacturer to alert you of these problems until the last minute.

  3. It can turn customers off.

    Customers just don’t want cheaply made junk at high prices. A “Made in Canada” or “Made in America” sticker can speak volumes as it is associated with quality and people would rather support things made domestically even if the cost is a bit higher.

  4. Retailers may not accept your product.

    Let’s just say your products were produced and delivered on time. Depending on where and how your items were produced, or where they traveled through, may cause rejection by retail buyers.

This article has been edited and condensed.

Liam Massaubi is the co-founder Kanati Company, a Canadian menswear brand and retailer. He also provides design and consultation to other well-known labels. Connect kanaticompany on

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