OEM Why are they so popular-.docVIP

 PAGE \* MERGEFORMAT 9 OEM Why are they so popular? OEM, is the English abbreviation for Original Equipment Manufacturer, the Chinese translation: original equipment manufacturers. The original meaning of that produced by other companies using the original assembly of products to its own brand products. With economic development, OEM meaning has evolved as a commissioned production or OEM production methods, and now, OEM involved in the content from the original ‘original equipment manufacturers’, while the more rich and diversified. In the OEM process, there is cooperation between the two sides: brand manufacturers and suppliers, brand manufacturers to use their own brands, sales channels, the core technology and other market resources, the production of non-good at links to other enterprises to do to the limited resources on core business, in order to improve their core competitiveness, suppliers (OEM Supplier) according to the requirements of the brand manufacturers to provide products or components, suppliers can produce their own products, but also can be outsourced to contract manufacturers (Contract Manufacturer, abbreviated as CM), at the same time, many brands are also suppliers of other brands. 1, select OEM’s for several reasons Economic globalization, international division of labor brought about the development trend of today’s world, technological innovation, speed faster and faster, more competitive, more and more refined social division of labor. OEM is that economic globalization has brought the inevitable result of international division of labor. OEM in the garment, IT, household appliances, auto parts, toys and daily chemical industries has been widely used is one of the important reasons for OEM precisely adapted to the characteristics of industrial structure of these industries. It is the above-mentioned industries in the procurement, production and marketing of high level of social division of labor resulted in the prevalence of OEM.