Chapter 195: Selling Clothes by the Kilogram and Selling Shoes by the Bag

The second plenary meeting of the Guangdong East Branch was chaired by Wu Yibin, director of Chichime, and Hao Junjie, deputy general manager and acting general manager of the Guangdong East Branch.

Li Zehua stayed for only half an hour to mobilize the people, and left immediately after arranging the general direction.

With such free labor available, it would be a waste not to use it.

Needless to say, Wu Yibin's abilities are well-known as a top talent in the circle.

"Chairman, this is today's schedule, please take a look."

The new administrative assistant in the chairman’s office of Chimei Group, Guo Xinyi, was recommended by Temasek and was formerly an administrative manager in a multinational company.

“What’s this restaurant association all about?”

Li Zehua asked one more question out of curiosity. Guo Xinyi was indeed experienced, even though he had just received the documents handed over by the branch.

It only took him ten minutes to note down the key information, "…compared to the Jiangsu, Zhejiang and Shanghai regions, the merchants here are more grouped together.

Most restaurants of any size will receive invitations from various associations. In addition to paying membership dues regularly, association members will also share what they have with each other.

After the branch started to operate in eastern Guangdong, it found that as long as it reached an agreement with these associations, it could usually quickly enter the stores, which was more advantageous than negotiating with each store individually.

"So that's how it is. No wonder the marketing expenses are spent so quickly."

Li Zehua could not deny it and casually put the briefing on the table, "Let's put these aside for last and arrange the banquet together when the time comes.

In addition, the Hunan Province Guangdong Chamber of Commerce, what did this association invite me to do? "

"Chairman, this is a list of entrepreneurs from Guangdong and Hunan provinces collected by the branch's administrative and promotion departments. You can see that these companies are included, such as Lens Technology and other leaders in the electronics industry.

After comprehensive evaluation by the group's high-tech preparation working group, this company has irreplaceable technical advantages in non-key mobile phone glass and other technologies..."

"Wait, if I remember correctly, isn't this company in Xingcheng, Hunan Province?"

Li Zehua was very puzzled. He had worked in the electronics industry for two years and later bought its stocks. Isn't this company located in the provincial capital of his hometown?

"Zhou Yifei, the name is correct!"

After helping to clarify the doubts, I learned that the latter started in Pengcheng and has always had a production base here.

He came at the right time this time, as the Hunan Entrepreneurs Chamber of Commerce in Guangdong was holding a meeting.

The Pinxixi working group of the Promotion Department established a network of relationships while pursuing corporate cooperation.

With a company that has reached a cooperation agreement, it is inevitable to ask about the company's boss during the chat. Upon finding out more, I was surprised to find that Li Zehua is from Hunan Province?

where is this?
Pengcheng!
It has always been known as the first provincial capital of Hunan Province, but what about Xingcheng?
Sorry, I have to take second place.

Just like the joke that people often make online in later generations, that the capital of Anhui Province is in Nanjing, it may seem like a joke, but it can often reveal many deep-seated problems.

In a nutshell, Pengcheng is an emerging city with a strong sense of inclusiveness, and people from Hunan Province are famous for sticking together when they are abroad.

Especially when they learned that Li Zehua also owns two group companies, Chimai and Hummingbird, they became even more enthusiastic.

The news of a 15% stake worth US$ million is still talked about by people in the circle. Seeing that another powerful player has appeared in his hometown, everyone is vying to extend olive branches.

What Li Zehua didn't know was that at this time in his hometown, his specific information had been repeatedly studied by the investment promotion department.

The head of the Shanghai office of the Provincial Government sent him invitations one after another, trying to get in touch with him.

However, he has never been interested in these things. The initial administrative department, now the chairman's office, is well aware of this, so all kinds of invitations are screened out in the office.

It can't be delivered to him at all.

If Shanghai hadn't helped to put in a greeting, the doorstep of his hometown would probably have been broken down by the relevant departments.

No one knows whether he has money or not.

But 2 million US dollars, 15 or billion RMB, only accounts for % of the shares. Even an elementary school student can do the math. Isn't this a fortune of tens of billions?
This time he went to Hong Kong to create a new fund company and planned to transfer part of his shares to avoid being too dazzling and attracting the attention of interested people.

"Okay, the Chamber of Commerce will host a banquet tomorrow night. I'll see if I have time. I'll arrange to go to Lansi tomorrow afternoon and see what the result is."

He looked at the meeting schedule again and circled a few key companies with a pen, "Let's make arrangements for these full-category clothing and shoe factories.

I will contact the remaining electronics factories and home appliance manufacturing companies today and tomorrow to coordinate the time. I plan to visit them in person to check the situation.”

"Ok."

Guo Xinyi went out with the documents. Not long after, the leaders of the Pinxixi preparatory working group and the group's high-tech preparatory working group came to meet him.

Before going downstairs and getting in the car, he instructed the administrative specialist who was picking him up, "The promotion department has a heavy workload recently and time is tight. If there is anything, you are responsible for checking for omissions and filling in the gaps.

For example, for factories that have signed cooperation agreements, you should send someone to visit and fully understand the details of the factory's inventory products. "

After saying that, he got into the car and headed towards the headquarters of the nearest large clothing factory.

The car is a Mercedes-Benz business car that was rented temporarily. In the entire Guangdong East branch, there is currently only one Audi and two Volkswagens.

Not many people in the management own cars. Many regional managers ride electric scooters when they go out. It would be perfect if their ride could not be taken away by three hands.

On the way, I received a call from Wu Yibin, "We are in a meeting and are planning to ask you to make a summary speech. Where are you? Boss, please don't play tricks on me, okay?"

It would have been fine if he didn't explain, but once he did, Wu Yibin immediately got furious, "Boss Li, don't be partial to one person over the other!
You are also the chairman of the board. How can you back down at such a critical moment? "

Seeing that he was getting more and more excited, Li Zehua interrupted:

“The biggest problem of ChimoMo is not business expansion or poor market response, but external factors.

As long as the negative impact of the overall environment is resolved, many problems will be solved.

Besides, I don't know the people under me. The regional system is about to be implemented. Please make a summary for me.

The company only looks at results, let them speak with their performance!"

After spending half an hour in the conference room, he realized that these people were holding a grudge and there was a fire burning in their hearts.

As long as the constraints are removed and everyone rushes to the market eagerly, there is no need for him to emphasize it too much.

After hearing the company's decision, Hao Junjie and other middle and senior executives were so eager to sign a military order on the spot.

The army is motivated and morale is high. It would be a waste of time for him to stay. It would be better for him to go down and see the real situation.

As long as Pinxixi becomes successful and drives the expansion of Hummingbird and has stable profits, it will be able to recruit more people.

Some people have everything. Do competitors dare to recruit tens of thousands of people in a city to compete with him in service?
As a boss, he only needs to grasp the core of the problem, solve the most critical problems, and control the direction of progress.

"Old Wu, as the saying goes, those who are capable must do more work. I feel relieved when I have you around!
You should take more responsibility and coordinate public security, so that we can all make money easily and happily. "

Facing the brainwashing and blame-shifting, Wu Yibin was very happy inside but very angry on the outside, "I really can't do anything about you, but you are the boss, so I will do my best to make a summary speech for you.

But let me make it clear first, there will be a general mobilization meeting in Pengcheng tonight, you have to come back, I can’t handle it alone.”

I am so happy that my boss gives me power and trusts me.

Even if he is only temporarily affiliated with Chimo, Wu Yibin's professional ethics dictates that he must do his job well.

This has been proven by what he did to Ahri, so there is no need to say more.

What's more, Li Zehua had no intention of letting him run away from the beginning. He was a top talent in the Qingyun system. How could he want to run away in this life?

He hung up the phone and looked down at the documents again.

"The foreign trade industry is too hard."

Looking at the shocking statistics above, Li Zehua couldn't help but sigh, "Xiao Guo, you also worked in a foreign company before, right?
Can you talk about this?"

Guo Xinyi, who is nearly 30 years old, doesn't mind being called Xiao Guo at all, and he organizes his words carefully when he hears it.

“…Affected by the global economic crisis and Apple’s rapid advance in smartphones, Freescale has also had a hard time.

It was in this environment that I was laid off by Motorola. However, it was not just the semiconductor industry that I worked for. Before I left, the production company in Jinshi also laid off a large number of jobs.”

"Is that so? You've worked in a foreign company for six years, and you're in administration. You must know a lot of people, right?"

Li Zehua pondered for a moment, "As you know, the company has recently launched multiple projects at the same time. Not only the logistics positions need manpower, but also the front-line and technical R&D departments. You used to work in a semiconductor company, can you find a way to attract some real talents?"

Guo Xinyi was stunned, thinking back to the company's mysterious high-tech preparation group, and asked uncertainly:
"Chairman, is the company really planning to make mobile phones?"

He was very confused. When he came to apply for the job before, it was simply due to the overall environment. Many companies could not offer high-paying positions, and there were many competitors, so he chose to be downward compatible.

It’s not that it’s bad to eat it, but among companies of the same level, its prospects are still unclear, and its reputation in the industry is limited to the large amount of financing.

In fact, there is a lot of controversy in the industry as to whether ChimoMo is an Internet company.

Many people have never seen in their lives a non-mainstream Internet company with 10,000 front-line employees and a technical team of 300 to 400 people.

If we add Hummingbird to the mix, wouldn’t this be a real intermediary service company?

Now that they have to cross over into e-commerce and make smartphones, Guo Xinyi is even more confused.

Different perspectives lead to different standards for looking at things, and Li Zehua can understand that.

“The company has its own overall strategic plan, and you will understand it in a few months.

How about it? Is it possible to find some real talents through your personal connections? After all, you have been there for five or six years, so it shouldn’t be too difficult, right? "

Guo Xinyi scratched his head. "We can find a lot of people, but I can't guarantee that they will come."

I really wanted to refuse, but when the words came to my lips I had to think of a solution.

He was also in a difficult situation, but he did it reluctantly because of the high salary.

As they chatted in the car, Li Zehua gained a deeper understanding of the current environment. It was difficult for everyone.

That’s easy, as long as Qingyun is not difficult!

However, when he got off the car and arrived at the destination, he truly understood what difficulty meant.

"What? You mean these big warehouses package by kilogram? They sell it for money?"

As soon as I arrived at the factory gate, I saw a large group of people, from the boss and general manager to the workshop directors, waiting eagerly. The only thing missing was to hire a singing and dancing troupe to perform at the gate.

In short, the enthusiasm reached its peak. The boss, who was in his forties or fifties, held his hand and refused to let go.

After a brief greeting and introduction, we entered the factory area and pointed at the piles of various clothes. The boss almost choked up and said:
"Mr. Li, you decide. Foreign trade is not easy right now. The competition is fierce. These are the orders canceled by foreign companies..."

Really, it’s a bargain!
Dashengzao garment processing factory is just an inconspicuous one among the many OEM enterprises in the Pearl River Delta. Similar to them, they were shut down because foreign companies temporarily breached the contract.

There is not much domestic market, and the companies that fill the missing market share are on the brink of bankruptcy.

Because there are not enough orders, the original inventory pressure and capital turnover pressure are about to overwhelm them.

In the subsequent international trade competition, they no longer have any more bargaining chips to impress those brands.

Yes, in this environment, lower the price, lower the price, and lower the price again. Even if it falls below the cost price, there will always be someone who sells lower than you.

During an economic downturn, companies that expand blindly and lack core competitiveness can often only earn meager profits by exploiting cheap labor.

Their sources of funds are often not so formal, and it is difficult for them to persist even when the economic environment is good and orders are stable.

What's more, now a large number of new and powerful companies are taking the opportunity to lower prices and frantically grab market share, further squeezing their living space.

Take Dashengzao as an example. When business was good, the factory had more than 3,000 employees and had signed OEM agreements with brands in more than 30 countries and regions around the world.

But now only 30% of the production lines are still operating normally, and the inventory backlog of products is piling up.

These are orders canceled by customers. In addition, many overseas trading companies with fixed payment terms went bankrupt, and a large number of accounts receivable became bad debts.

Extreme shortage of funds in the short term, lack of long-term orders and no domestic market share have become fatal hidden dangers for Dashengzao Garment Factory.

If Li Zehua had not intervened, the future of this factory would be unimaginable.

And now, here he comes, with a life-saving order.

"Chairman, this is the inspection report. There is no problem with the quality. It's just because their quality is too good.

The cost of materials and other aspects remains high, so there is no competitive advantage in the domestic market and it is simply not selling well.”

Guo Xinyi lowered his head and whispered that the information collected by the promotion department was very comprehensive.

It not only includes Dashengzao’s past sales history, but also briefly analyzes the biggest problems the factory is facing at this stage.

"Qin Guangsheng, Mr. Qin, right?"

After listening to this, Li Zehua turned to the boss of Dashengzao and asked:
"Let's not talk about your products first. I would like to ask, what's the matter with your inventory of raw materials?"

Even he didn't understand. On the one hand, the products were unsalable on a large scale, while on the other hand, there was sufficient inventory of raw materials. Looking at the purchasing records, many of them were just replenished in the first half of the year.

Isn't this nonsense?

Qin Guangsheng's face turned red, and he stammered:
"Well, this is mainly for future considerations. We judge..."

Don't think about it.

To put it bluntly, the downstream clothing industry is experiencing widespread sales slump and exports are blocked, and the prices of upstream textile cotton will also plummet.

The price of raw materials is the basis of these companies' profits. Based on past experience and a strong speculative mentality, Qin Guangsheng gritted his teeth and even mortgaged his factory.

He raised a large sum of money from the private sector, hoping to take a gamble before his death, betting that the international market would soon undergo changes.

As a result, as everyone has seen, the situation got worse day by day. Not to mention coming back to life, it was hard for Qin Guangsheng to even protect himself. The huge interest payments every day almost made him unable to stand up straight.

If it weren't for smartphones and the sudden rise of the mobile Internet economy, the duration, scope and consequences of this round of crisis would have been greater.

However, looking at the data, if Li Zehua had not intervened, this factory would most likely have collapsed before dawn. As for the raw materials in stock, it is unknown who would get the benefits.

"Okay, Mr. Qin, I understand your desire to sell by the pound and by the bag, but the biggest question now is, will there be any brand disputes when selling these originally foreign trade clothing?"

Li Zehua got straight to the point. "Besides, I need much more than this. What if you can't produce products of the same specifications in subsequent cooperation?"

Qin Guangsheng didn't even think about it and said directly:
"Don't worry, the price is negotiable. As long as we can make ends meet and Dashengzao can survive, that's all that matters."

"If you say that, I'll turn around and leave now."

Li Zehua interrupted rudely, "There are countless clothing and footwear factories that are unable to survive in the market now. I don't have to place an order with you."

Qin Guangsheng was confused for a moment, "This?"

If even a price reduction can’t impress you, then just give it away for free!
"Boss Qin still doesn't understand!"

Li Zehua waved his hand and said, "I'm not a one-time business. Oh, with this little inventory, how long can it last?
I am planning to do long-term business with you. I am having a headache looking at all these various brands of yours."

Qin Guangsheng was stunned. "Long-term business?"

“Yes, not only long-term business, but also individual brand licensing cooperation.”

Li Zehua casually opened a large bag of clothing and picked out a piece of children's clothing at random, "This bag must be at least 50 or 60 kilograms, right?
If you sell it for 99 yuan, you will probably lose all your pants. How many days can you last for this one-time deal?

If you ask me, you often do foreign trade, so don’t you understand the domestic market?
Send someone to Europe or the United States to register a brand, come back and make some advertisements to promote it, as long as it can make some noise, isn't it better than working as an OEM?"

Qin Guangsheng thought it was a good idea, but when he heard it, he pursed his lips and said with a bitter face: "I tried it, but the market didn't accept it!"

"market?"

Li Zehua glanced behind him and asked doubtfully, "Didn't I make it clear to you about my people?"

What a joke! The three major military governorates all arranged a team of tens of thousands of people for him. To put it bluntly, every town in the south with a population of more than 10,000 people has made promotion plans.

Coupled with Internet promotion, the whole of China is his market. Is there any marketing network more powerful than his?

Qin Guangsheng was stunned when he heard this. "What is this 50,000-person and 10,000-town promotion plan? No one told me about it!"

(End of this chapter)