| Differentiator |
VIG |
Other large Companies |
| Private Label |
Since VIG is not an extremely large company and is strategically partnered with leading Chinese manufacturers, it can provide private label products for customers. VIG has the flexibility to help customers design new products and manufacture them under their company name. Because VIG is not an internationally recognized brand company, it will not suffer by manufacturing products under another company’s private label. In fact both the customer and VIG will greatly benefit from private label production. |
|
Large companies carry an internationally recognized brand. They do not have the flexibility to product private label products for other companies. They will suffer a loss as a result of private label production and are therefore unwilling to provide private label products. They can only provide customers with products that carry the label of the large company.
|
|
| Corporate Approach |
VIG has a family oriented approach to their business with their customers. The intermediate size of VIG grants the ability to help small, medium, and large companies equally with their business success. VIG’s ability to help businesses out of the range of larger companies allows for a vast clientele of companies to utilize the advantages of VIG. VIG is able to accommodate both large and small volume product orders because VIG’s intermediate size allows for a low over-head cost. VIG is able to translate its low over-head cost into savings for the customer. |
|
Large companies will not benefit from helping small businesses because small companies lack the ability to order large volumes of products. They are only able to procure a profit if a company can order a large enough volume to offset their high over-head cost such as, high number of employees, many large offices, and outsourced labor contract and so on.
|
|
| Materials & Labor Cost |
The cost of labor in China is eight times less than that of the U.S. This is because of the exchange rate between the U.S. and Chinese money systems. $2000 U.S. can hire eight Chinese workers. The cost of materials is significantly cheaper in China as well. This is a result of China supplying the U.S. with most of its manufacturing materials. |
|
The cost of labor in the U.S. is eight times higher than that of China. $2000 U.S. will hire one American worker. This is because of the exchange rate between the U.S. and Chinese money systems. The cost of materials is significantly higher in the U.S. because most manufacturing materials are imported from China.
|
|
| Product Variety |
VIG is not affiliated with one specific brand. As a result of this and VIG’s strategic partnership with leading Chinese manufacturers, VIG is able to offer an enormous variety of product lines. |
|
Large Companies are affiliated with only their specific brand. As a result they can offer a variety of products but only in their specific brand product lines. They do not have access to the vast quantities of product lines available outside of their brand. |
|