Sourcing Knowledge Center / Ask the Sourcing Experts / What are the meanings of OEM and ODM?
Full Question
What is OEM and ODM?
Answer
OEM stands for Original Equipment Manufacturer. For example, you hire a factory in China to make products to your spec under your brand name.
ODM stands for Original Designed Manufacturer. For example, the factory R&D department comes up with a design on their own, but they sell it to you for the international market under your brand or their brand.
Regardless if you are buying with an OEM or ODM, you still need to protect yourself. Here are some tips:
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