How supplier referral and commission arrangements actually work — disclosed properly
Supplier referral or commission arrangements are acceptable only when they are disclosed, do not quietly limit the buyer's shortlist and do not replace independent commercial judgment.
What to check before you decide
- Ask what relationship exists, who pays whom and whether it changes the service fee or supplier choice.
- Keep the buyer's product, quality, price and delivery criteria documented before introductions are made.
- Retain the right to compare alternatives and request evidence for any recommended supplier.
Keep the buying decision controlled
Start with one written brief: the product or service required, the buyer's target market, the commercial decision to make and the person who can approve the next step. Compare supplier answers against that same brief, keep versions of specifications and quotations together, and record each open point with an owner and date. This approach makes remote work, a China visit and a later inspection part of one evidence trail rather than separate conversations.
The mistake to avoid
The problem is not that commercial relationships exist; it is hidden incentives that make a recommendation impossible to evaluate. Disclosure gives the buyer a chance to judge the arrangement.
Need help turning a sourcing question into a practical China route, supplier brief or comparison process? Ask goChina Events for a focused planning conversation.