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Contract manufacturing and toll manufacturing are business models utilized by companies of various sizes. Contract manufacturing involves a company entering an agreement with a manufacturer to produce specified quantities of products, often referred to as private manufacturing or white label manufacturing. This allows companies to leverage external facilities for production, either as a temporary solution while transitioning to in-house manufacturing or as a core part of their strategy. Toll manufacturing, on the other hand, typically involves a manufacturer processing raw materials provided by another company, who retains ownership of the final product. Both methods offer different paths to manufacturing success, accommodating diverse production needs and strategies.
