Chapter 20 Go to Yangcheng again
It is naturally impossible for the county to really see the county brick and tile factory going bankrupt, so it can only invite brick and tile factories across the county to hold meetings to negotiate prices.
Zhao Shucheng was too lazy to go, so he asked Lei Shigen to deal with it. In principle, he could reconcile and even agreed on a common price with other brick and tile factories, but he should also show the attitude of the Xiao Lei family. If other brick factories lower prices and start a price war in the future, then they would not be able to mediate casually. One must have been unable to continue and went bankrupt.
Other villages knew that the Xiao Lei family was rich and powerful now, so they naturally did not dare to continue to engage in price wars with the Xiao Lei family, and agreed to Zhao Shucheng's request.
County Mayor Xu originally wanted to ask Zhao Shucheng if he needed to help solve the construction team's problems. Unexpectedly, Zhao Shucheng said directly that he didn't need it. They even had the qualifications of technical personnel, but now they are busy with Xiao Lei's own construction projects and cannot take over the outside projects.
After all these things were handled, it was time for the Spring Canton Fair in a blink of an eye.
The old branch secretary did not ask to go together this time, but instead stayed in the village to stay in charge, so Zhao Shucheng took Lei Shigen and the head of the bamboo weaving factory to go to the Canton Fair to look for new business opportunities.
In fact, Zhao Shucheng has noticed the current development problems of the Xiao Lei family since the last acquisition of rabbit hair. Although Xiao Lei family has many companies, in addition to bamboo weaving factories and brick and tile factories, prefabricated plate factories rely heavily on resource providers. If they cannot cooperate, they will definitely face suspension of work.
Although the farm will not reduce production due to lack of resources, the sales problem is a big problem. Although the acquisition station has opened up the sales channel of the Magic City and there is no need to worry about sales problems in a short period of time, there are still great risks.
Because Zhao Shucheng had already remembered that in the 1985th, rabbit hair in the international market would be unsalable. If we cannot prepare in advance, it will inevitably dampen the enthusiasm of farmers.
Zhao Shucheng knew clearly that most of the rabbit hairs are exported now, so the amount of export orders will have a great impact on the domestic rabbit hair price. And he could also clearly know that most of the long-haired rabbits are coarse-shaped varieties, and in the future, they should focus on cultivating them in the direction of producing slender-haired rabbits so that the price is better.
However, these are not the most important. The most important thing is that in the 1990s, a wave of anti-fur movements would suddenly start in the international community, "I would rather be naked than wear fur." This change changed people's attitude towards fur, which further reduced the market demand for rabbit fur, and also caused rabbit fur prices to not fluctuate much for a long time.
Therefore, if Zhao Shucheng wants to solve this problem, it is to start from the source, cultivate the rabbit breeds belonging to the Xiao Lei family, and also have its own wool spinning enterprise, so that he can process rabbit hair by himself, get rid of his dependence on exports, and increase the added value of rabbit hair.
This time, Zhao Shucheng came to the Canton Fair to see if there are any wool spinning machines that meet the conditions, so as to build Xiao Lei's own rabbit wool textile factory. He has already planned that since rabbit wool can be used to make clothes, scarves, plush toys, etc., if Xiao Lei's family has its own wool spinning factory, they can naturally develop these products.
What's more, these products can not only be sold in the county, city and province, but can even be sold to the whole country, even participating in the Canton Fair, participating in exhibitions, and earning foreign exchange.
Zhao Shucheng had already discovered this time when he was decorating the booth. Now there are booths similar to bamboo weaving factories at the Canton Fair, and more may appear in the future. Sooner or later, they will face low-price competition from their peers.
Although Zhao Shucheng has long been consciously building Xiao Lei Family's own product brand, it cannot be ruled out that some customers purchase low-priced bamboo weaving products. However, there will be a problem, that is, Xiao Lei Family's own products may not have the largest sales of the last time, and may even continue to decline in the future.
However, Zhao Shucheng could not stop this competition. If it was a bamboo weaving factory in Jinling County, there was a way. However, Zhao Shucheng had learned before that most of the companies that brought bamboo weaving to the conference were not Liangyuan City, or even their province, and naturally, it was impossible for Zhao Shucheng to reach any common price conditions.
You should know that foreign exchange earning is an important task in this era, especially some counties and cities without other channels have implemented a series of preferential policies. From tax incentives, even land incentives, and additional subsidies, the purpose is to allow enterprises to earn more foreign exchange. Therefore, some enterprises, even if they are willing to lose money, they still have to sell products at a low price to earn foreign exchange. Anyway, there are subsidies, so there is no need to worry that the enterprises cannot survive.
Zhao Shucheng cannot do this because they are village collective enterprises and need to bear their own profits and losses, and it is impossible to lose money to gain publicity. Moreover, such low-price competition and over-reliance on exports are a serious harm to brand establishment.
If Zhao Shucheng was only satisfied with making a fortune, he could do this naturally. However, Zhao Shucheng did not want to do this. Instead, he hoped to use the Canton Fair channels to establish the Xiao Lei family's own brand and plan for other industries in the future. Therefore, even if there is no order, it is impossible to use the method of selling at a lower price.
When Lei Shigen and others saw other companies reach orders one by one, while Xiao Lei's family only had a few old customers to purchase, they became anxious.
"Secretary Dongbao, we can't continue like this. Other bamboo weaving factories have lowered prices. If we don't bargain, those foreigners will not buy our products at all."
Zhao Shucheng glanced at Lei Shigen and other Xiao Lei family members who were a little anxious and said, "What are you in a hurry? In this price war, isn't we suffering enough in the brick factory before? Once we lower the price, they will definitely lower the price. Should we also lose money and make a profit?"
"But what if I don't do this? Otherwise, let's negotiate. Everyone is at a reasonable price?" Lesgen said with a frown.
"It's impossible. They have their own ideas, and it's impossible for them to agree to our request. Besides, even if they agree, how do you know that they really give this price? We can't keep an eye on them. If we turn around and lower the price, what should we do if we put it together?"
Lesgen grabbed his hair irritably and said, "Then we can't just watch it like this. We can't sell much of it, how can we explain it when we go back?"
Zhao Shucheng shook his head gently and said, "Shigen, this is the second lesson I taught you. Price wars are not necessarily the best choice. Instead, they can differentiate competition and re-enhance their product positioning."
"Market competition is cruel, and you can never predict the strength and trends of your opponent. In addition to price wars, similar products can also adopt an asymmetric strategy to achieve product separation and positioning through asymmetry, change the situation of price fighting, and invalidate the opponent's price advantage."
As he said that, looking at the somewhat confused Lei Shigen and the others in the village, Zhao Shucheng couldn't help but shake his head and said, "Just say that, if you buy a watch, there are Shanghai cards, Haiou cards, and even foreign brands such as Rolex, Bulgari, Innag, etc., which one would you choose?"
Lei Shigen hesitated for a moment and said, "Of course it's from Shanghai."
"Why?"
"Because the price is cheap, although Haiou is good, it is not as good as the Shanghai brand. It is too expensive abroad and we can't afford it."
Zhao Shucheng nodded and said, "What if you can afford a foreign brand of watches and it's effortless?"
At this moment, Lei Shigen and the others hesitated. Lei Shigen whispered: "Foreign!" Although no one else spoke, they obviously wanted to buy foreign brand watches, after all, they looked more respectable.
Zhao Shucheng smiled and said, "So, they are all watches, they all look at time, but when money is enough, people would rather buy big brands or even famous Chinese and foreign brands than brands in a certain place. The same is true for our products. If you want to distinguish them from those companies, you must have our own brand."
"Why do we need to make our bamboo weaving factory's products specifically when we make them when we make them. This is to make a brand so that users can know that this is our Xiaolei family's products. What they make are agricultural products and our crafts, which are not on the same track themselves, so naturally it is impossible to reduce their identity and fight price wars with them."
"We don't need price wars, we have to fight value wars. To build a brand that belongs to our Xiao Lei family, we must improve our value, rather than compare prices with other companies. Because after the price drops today, it is likely that this price will be like this in the future and will never rise again. On the way to build your own high-end brand, you must be able to endure loneliness and not be afraid of no orders. As long as you persist, you will always gain."
Zhao Shucheng also wanted to give them some foreign luxury brands, but after thinking about it, I just let it go. After all, what they said now has been enough for them to digest for a while.
Not far away, a foreigner suddenly applauded and said to Zhao Shucheng: "I didn't expect that I would meet someone who understands the brand so well here."
When Zhao Shucheng heard the other party’s fluent Chinese, hesitated for a moment and started chatting with the other party.
Through conversation, I realized that the other party was a Huaxiatong and liked Chinese culture very much, so I learned Chinese by myself. This time I was a company that came to the Canton Fair to participate in the exhibition.
In fact, he was also confused at the beginning which one to choose for bamboo weaving this time to purchase, but after hearing Zhao Shucheng's words, he knew that Zhao Shucheng was planning to build his own brand and wanted to make bamboo weaving products according to the artwork, so he naturally knew the information contained in it.
We know the difficulty of establishing a brand, but we are more clear that if a new brand is established, then their initial products will have more collection value due to quantity restrictions and will even be more expensive in the future.
So he needs to understand Zhao Shucheng’s real idea, whether he really wants to build his own brand, or just talk. But after chatting with Zhao Shucheng, he found that Zhao Shucheng’s knowledge was very different from the Chinese people he remembered.
Many of Zhao Shucheng's business philosophy have exceeded his expectations. He even felt that if Zhao Shucheng really did what he said, it would be possible to witness the birth of a new luxury brand, and even his own gains this time might be these beautiful bamboo weaving products.
After Zhao Shucheng talked a lot with the other party, the two quickly signed a large order. At this moment, another group of Arabs with headscarves came from afar. They were also inspecting the goods. At first, they were really excited when they saw the bamboo weaving, but after hearing the price, they frowned.
But when they walked to Zhao Shucheng, they saw the bamboo weaving factory products and prices, and their brows frowned even deeper. Because in their opinion, the prices here are several times the prices of other products.
However, when Zhao Shucheng took out a kettle and smashed the water into the vase or even the bamboo basket, no drop of water was revealed, which immediately attracted the attention of the other party and was very surprised.
In the next few days, many foreigners came to Zhao Shucheng and his stall one after another. Zhao Shucheng explained them and his throat was smoking.
However, the emperor pays off. The products of the bamboo weaving factory are indeed very attractive. With the brand philosophy promoted by Zhao Shucheng, there are still many generous customers who place orders. Even an Arab prince couldn't wait for the order to be shipped, so he directly announced the products brought by Zhao Shucheng and others, and bought them at a high price after the Canton Fair.
Lesgen and others looked at the orders that were completed, and their mouths cracked and smiled, seeing that everyone showed their big white teeth.
After returning to the guesthouse, the young people in the village surrounded Zhao Shucheng on three floors and three floors inside and outside, and asked:
"Secretary Dongbao, how many orders have we received this time? Can we meet our production in half a year?"
Zhao Shucheng smiled and said, "Of course there is no problem. You don't have to worry about sales even in the next year's production."
The young people suddenly let out a depressing cheer, for fear that the people outside would hear it.
"That's great. Now our village doesn't have to worry. I didn't expect this thing to make money like this, otherwise we..."
When Zhao Shucheng saw that they seemed to want to expand production, and even the whole village went to do bamboo weaving, he couldn't help but say, "Everyone calm down, you are so excited that you can't do this. How can you become a great player in the future? Besides, you have also seen that bamboo weaving products in other provinces have also begun to appear, and the prices are even much lower than ours. In the future, they will face severe competition. This time I have found a wool spinning machine manufacturer. In the future, our village will have its own wool spinning factory to produce rabbit wool crafts, clothes, scarves, etc.."
When Lei Shigen heard this, he was stunned for a moment and said, "Secretary, do we have to run our own factory?"
"Of course, I understand this time. If the price of these agricultural products cannot be increased, we still have to do industry to get more profits. We don't compete with state-owned wool mills, we just focus on foreign trade orders and earn US dollars, and continuously improve the technical content of our products, thereby opening up the gap with other factories."
Chapter completed!