How can you compete?
As has been said, don't sell what they sell. But beyond that, there is much dissatisfaction with Chinese sellers. While not every purchase from China may be fraught with issues, some are, and if you read the Boards, there are many threads from buyers detailing their bad experiences, such as getting defective merchandise, not receiving items, being strung along past the deadline to open a case, agreeing to a replacement and not getting one or getting another defective product, and buyers do not like these experiences. They may then be reluctant to buy from, or stop buying from, Chinese sellers. They may decide they just don't want to take the chance again.
There is buyer protection, the MBG and the INR, but the buyer may not want their money tied up or want to open a case.
I understand your frustration. Some buyers find it hard to resist the low priced, free shipping item that seems to good to be true. They may change their minds when they get defective merchandise and have to open a case, or deal with the seller who may say they will give them some of their money if they send the item back (with buyer paying shipping, of course) before they open the case.
