Silver in Mexico:Our Guy Noir Bodyguard: (Part IV)

Susan, the professional jewelry buyer, glanced at me over her shoulder. By her expression, she was saying – pleading really — why don’t you negotiate with her. Susan seemed intimidated.

Whether it was Sangria’s good looks, the unusual merchandise, (that’s one of her earrings at right), her smarts or whatever, Susan wanted me do the heavy negotiating. Let’s be honest, Susan won’t be invited to join Mensa any time soon, but she has been buying fine jewelry for years.

But to be fair, I don’t think she’s ever found herself in such a complicated buying – sourcing – predicament as this. Here’s our dilemma.

A)  The seller – Sangria – is a talented jewelry designer without a manufacturing facility.

B)  Her styles – per Susan – would be a big hit in the US as long as the designs are “priced right” – (as they say in the trade).

Holding her powder blue cigarette between her thumb and middle finger, she said she appreciates the wonderful order. “I happy you like my styling,” she continued.

C)  One of the major reasons these beautiful styles haven’t reached our competitors stores — and web sites — is most US retailers can’t — or are afraid to — order small quantities from designers like Sangria. To be sure, they don’t want be out-of-stock of any style, especially during an important buying season.

D)  Sangria would simply give Susan’s US$50,000 order to a motley bunch of local factories.

E)  Having the styles manufactured by 20 local factories can – and usually does – turn into a fiasco. It leads to nothing but unanswered questions. Will Sangria handle quality control? Who checks on delivery schedules? You get the picture.

F)  Will Sangria’s company, handle all these administrative details? Her firm, don’t forget, has just seven employees.

G. Oh, did I mention, the labor cost in Mexico is among the lowest in the world.

I stood up to stretch my legs. I glanced at our Guy Noir bodyguard, the Tony Soprano look alike. He had taken off his aviator sunglasses and lasciviously eyeing Sangria’s assistant. So much for tight security.

To save Susan any embarrassment, I told Sangria I generally handle the shipping and financial details for my company. (Our logo, a cheap plug for my company, is below, on the left.) She turned her attention to me. For some reason, I felt like an Acapulco Cliff Diver ready to take a plunge. I sat down.

Holding her powder blue cigarette between her thumb and middle finger, she said she appreciates the wonderful order. “I happy you like styling,” she continued.

I told her that I’m not sure we will place the order. We want to work with one factory, not twenty.

Sangria chimed in. “My firm will take care of all the quality and administrative details.” She went on, “We normally do this for several of my European customers.” (I didn’t see that as much of a positive endoresement.) “It seems – in some ways – business in  US differ from Europe.”

No surprises there.

I had a thought. I suggested to Sangria that we break the order into a few smaller units, say five orders, each 20% of the total. Once we have tested Sangria’s quality and administrative systems on the first one, we will release the rest in sequence  – one at a time. “Good things happen in phases”, I told her.

“Once we have established a confidence level,” I said, “We will visit you in Mexico often. By that time, we should have developed a strong relationship.” A little incentive for her could benefit us all, I thought.

Will this system work? Your guess is as good as mine. But please stand by.

After Susan finished working on the five orders, we gave Sangria our red QC Manual and what we expect for delivery, communications,  yada, yada.

We were ready to leave. By this time, Tony Soprano was in deep conversation with the homely assistant, (see pix at right.) Seeing that we were ready to leave, he apologized for not being more attentive.

“Fuhgeddaboudit,” I told him. (Yes, I’m from Noo Yawk).

After a friendly good-bye, (a kiss on each cheek), we were on our way to the next appointment. Mexico was growing on us, indeed.

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