Established in March 2004, Affinity exported close to US$1 million worth of mostly midrange costume jewelry in 2005, mainly to the US and the EU. The company is targeting to expand its market reach to Asia, Japan in particular. Exports to Japan are expected to account for 30 percent of total shipments in coming months.

ODM work accounts for 30 percent of exports and OEM orders, 70 percent.

Products
Affinity produces about 100,000 pieces of costume jewelry each month. Ninety percent of these are made of sterling silver and the rest are copper.

Metal, imitation stones, buckles and machine-made chains are all sourced locally.

The cost of materials and R&D expense are key price determinants, accounting for 60 percent and 15 percent, respectively, of total product cost.

In general, low-end jewelry in simple designs, fewer stones and lower weights are priced from US$0.50 to US$5. Mid-range designs are US$5 to US$15, while high-end models in elaborate styles and high-grade materials are priced at US$15 and above. Some of the newer releases with intricate design detailing even go for as much as US$50 each.

The company has a 50-member R&D team, of which two are designers. The other team members are in charge of samples. The team releases 300 styles monthly, with samples finished in seven to 10 days.

Manufacturing
The production facility consists of a three-story building for the office and plant, and the workers' living and dining quarters. The plant occupies two floors of the manufactory building.

All information contained in China Sourcing Reports is the result of exclusive, ground-level and definitive research conducted by Global Sources' analysts. Companies featured in these reports may or may not be clients of Global Sources.

	Supplier Profile
	Company Background
	Year established		2004
	Head office location		Dongguan (Guangdong)
	Business type		Manufacturer: Direct exporter
	Ownership		Taiwan-owned/invested
	Factory location(s)		Dongguan (Guangdong)
	Total factory area		4,500sqm
	Full-time employees		350
	Total annual sales (all products)		US$1.6mn
	Annual R&D spending		US$0.23mn
	R&D % of sales		14.4%
	ISO certified		•
	Sales & output: Costume jewelry
	Annual sales		US$1.6mn
	Share of total sales		100%
	Annual export sales		US$0.8mn
	Total monthly capacity		100,000 pieces
	Average monthly output		100,000 pieces
	Capacity utilized		100%
	Average monthly exports		50,000 pieces
	Export ratio		50%
	OEM/ODM % of exports		100%