Trade Commission Chains

Life is a continuous learning process. When you feel you learned everything, there is nothing to add more on top of it — of course you never think this, but routine of the life imposes the feeling I mean — suddenly someone from there comes up with such an irrational, stupid behaviour and you learn one more thing then conclude that the irrationality of people doesn’t have a limit. So never ever let yourself feel or think whatever, you finished learning. As long as humankind exist, things to learn will not finish. Don’t learn, they teach you. Funny isn’t it.

Today’s topic is trade commissions and commissioner chains. It’s actually simple. It looks simple. International buyers and sellers don’t know each other and some people connect them to establish a business line. As a result of this connection, they get their shares from the business in a way. People who know people, people who have friends, people who have worked in an industry or in a market previously, people shortly to say have circles that they can benefit from are turning this into money in many ways. So they are a part of the trade. They are like light travellers with backpacks, they don’t have offices, they are not part of a corporate body, no websites, no accounting, no tax payments. Once you meet them however, they come to you with a very high self confidence as if they all do these above. One free e-mail, and a whatsapp are their connection to business. Still I don’t make any critics by now. It’s a way, an attitude of doing business. It’s their choice, their way.

Trust is a value, a credit in your business. With people who know you for long time that’s not a problem, you proved your being and have credit note in them or the reverse. However, for new people, for new companies you are always a question mark. Still these people compose a huge cloud in the business environment. Ironic is that they are so sceptical even though not being reassuring. They are also aware that others are alike.

In the contemporary world majority of commissioners don’t tend to be corporate, they don’t develope their business. They keep talking with many new people every day but rarely they are succesful. COVID-19 period created many commissioner chains all around the world. As business scale got larger in some products, they touched corporate bodies. We have known many of them too. Nitrile gloves when we first discovered was in March 2020 before the first COVID case in USA detected. Gloves prices had tendency to increase. We bought and sold some small quantities. Then, in April, May, June as detected cases in USA increased madly, gloves prices also incresed sharply. Price of 2 USD per pack of 100 gloves came upto 5–6–7–8–9 USD at the destination and is only produced in far eastern countries. Prices were high, delivery termins were not immediate. This was the picture of gloves business in the second and third quarter of 2020.

Let’s come to the grotesque part. India, Turkey, Egypt and Middle Eastern countries although not producing any single glove, many gloves commissioner appeared like mushrooms after rain. They were talking of millions of millions gloves. I never heard of any broker who made a sale over 100.000 boxes but listened to stories of 1–2–5–10–30–50 millions of boxes. One person telling another and he tells it to another then gossip chain grows. Source not known, trade secret (!), people were not transparent to each other either, they always suspected from each other. Motto was making big money, once. So irrational. I listened to many unexisted products. A 40' full container can hold max 37.000 boxes. Imagine 30.000.000 gloves boxes. How many containers needed. Storage area for that many load is larger than a baseball or football stadium. Just for one load, that much size. Maybe they wanted to create stories and to believe in them. I still don’t know, why.

This is an extreme example. Still, these all are showing a corrupted eastern type of behaviour system. I have been in Iraq, Iran, Saudi Arabia and contacted many people from Africa. The way they (majority) make business, the way they treat each other when the issue is earning money is weird. No strictly drawn principles, no paperworks, no corporate manners, no kept promises. Every day new people like that are added to this big cloud and it is growing.

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