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Don't underestimate the blood and violence of these businessmen!
In Yang Fei's memory, there were two wholesale markets. In order to compete for customers, hundreds of people were finally organized to fight with sticks and weapons, smashing one wholesale market and destroying dozens of cars. It took three days to recover after being paralyzed, blood was everywhere on the road, and there were broken hands and feet, which was horrible.
How bloody are southerners?
It is enough to think about the saying that there is no army without Hunan.
Not cruel, not fierce, not evil, can the reputation of the Hunan Army be achieved?
In order to prevent this phenomenon from appearing, Yang Fei buried the hole in advance, and first invited the police to calm him down, so that the younger generation would not dare to act rashly.
Sure enough, as soon as this move was made, the heroes bowed their heads, and those who threatened to disown the chamber of commerce also stopped their flags and drums, and stopped making fierce and aggressive remarks.
Such a big market, such a big chamber of commerce, without any background, can it stand firm?
Yang Fei's pledge to donate the police car is not only a respect for the police, but also for the future development of the chamber of commerce.
When the vice president and directors recognized this fact clearly, they deeply appreciated Yang Fei's foresight.It is more important than anything else to spend a small amount of money and get a safe party!
The money invested by the chamber of commerce will be remitted to the account of the chamber of commerce one after another.
Yang Fei signed an investment dividend agreement with the chamber of commerce.
Only investing in dividends, not taking equity, can guarantee Yang Fei's absolute control over the company.
The agreement stipulates that the property rights of the enterprise belong to Party A, and only pay annual profit dividends to Party B. The contract period is five years. After the contract expires, Party A will pay dividends and principal and interest returns to Party B, and return all investment principals to Party B. Termination of contract.
If during the contract period, Party A declares bankruptcy, then Party B has the right to distribute Party A's property in proportion to the dividends.
After Yang Fei signed the contract, he took a huge sum of 5000 million yuan and went to Beijin.
During the five-year contract period, Yang Fei has an extra 5000 million yuan in funds!
Not long after Yang Fei returned to Beijin, he heard an explosive news.
Procter & Gamble's new product Tide Laundry Detergent is seriously unsalable!
As a result, they took the most serious price cuts in history.
"Tide's price has been reduced! It's directly reduced from three yuan a bag to one yuan nine!"
This big price cut is simply jumping off a building!
Yang Fei was stunned when he heard the news.
Also confused, not only Yang Fei, but also Li Bai and Diaopai.
Everyone can't imagine that a big international brand will drop from three yuan to one nine in a short period of time!
Procter & Gamble's idea is, don't you sell a bag for two yuan?Then I'll sell it for one nine!
In the price war, Procter & Gamble has never lost!
Chapter 462 Responding to the price war and shifting the battlefield
No matter in terms of scale or its own strength, Procter & Gamble is not afraid of domestic daily chemical companies.
The usual way for foreign-funded enterprises to enter the Chinese market is to acquire a local leading company, then quickly launch their own brand, use channels and resources to build up the reputation of their own brand, or use price wars to seize the market, monopolize it and then raise prices for sales.
Procter & Gamble still uses this old method, first lowering prices to seize the market, and then selling at higher prices after monopolizing.
After Yang Fei heard the news, he was spending time with Su Tong in Beijin's new house!
Putting down the phone, Yang Fei laughed and said, "Tide's price has been reduced to [-] yuan, are you angry?"
Su Tong chuckled, "Angry! Then are you still laughing?"
Yang Fei spread his hands helplessly, and said, "I just think it's funny! Such a big international company, a world-renowned Fortune [-] company, is playing such a low-end price war!"
To be honest, when Yang Fei heard it, he was almost in a cold sweat!
But he calmed down quickly, because this day was already in his expectation.
He is even looking forward to this day!
Su Tong said sternly, "Do you think this is low-end? The price war is like cavalry on the plains, charging forward and invincible. Fortunately, they only dropped to one nine dollars, and we can keep up!"
Yang Fei murmured, "They used to set the price at three yuan, but now they jumped off the building and dropped it by one yuan. Do you think their profit is so big? A pack of washing powder, packed by the catty, can earn two yuan? Is this possible? ?”
Su Tong also realized the question "What did you think of?"
Yang Fei said, "I think that if a large company has problems with its cost control, or its research and development costs are too high, it must transfer these costs to the end products, so as to recover its profits."
Su Tong said, "Of course, the more you invest, the more expensive the product will be."
Yang Fei said, "The average wages of Beijin and Huacheng are much higher than ours in Taohua Village. This means that their production costs are also higher than ours. Coupled with the premium of the brand, a bag of washing powder, they can't make so much money." That’s a lot of money, so they’re selling it at a loss now that they’ve dropped it to [-] yuan?”
Su Tong said, "No way? We can make money if we sell it for two yuan, but they will lose money if they sell it for one yuan and nine yuan?"
Yang Fei said with a smile, "Their sales network is different from ours. Moreover, they are in the early stage of creating the market, and their investment in all aspects is much more than ours. I can say for sure that they are definitely losing money!"
Su Tong said, "Then how are we going to deal with Procter & Gamble?"
Yang Fei thought for a while, and said, "Our general fans sell for two yuan, and the profit of the agent is already very low, and it can't be lowered any further. Let's just move the battlefield!"
Su Tong smiled and said, "They pester Pufan, so we just sell soap powder?"
Yang Fei said, "We produce a new product, a new generation of washing powder that doesn't hurt your hands! It has a new formula, a new experience, and is suitable for machine washing. We sell the new washing powder for two yuan and five. In fact, the cost is compared with ordinary powder. , not much higher, but the profit has increased instead.”
Su Tong said, "Are you planning to use a formula laundry detergent that doesn't hurt your hands instead of regular powder?"
Yang Fei said, "Powder powder can never be replaced. There will always be a market for this kind of cheap laundry detergent. But we can compress the market for general powder and give consumers a better choice at a relatively low price. It only costs [-] cents a bag, but you can choose a better new generation of washing powder, and it really doesn’t hurt your clothes or your hands. Under such a premise, which one would you choose?”
Su Tong smiled and said, "Of course it's a washing powder that doesn't hurt your hands. After all, Xiao Nene still has to wash it by hand. I used to wash it with soap, because washing powder really hurts my hands, especially the kind that is held in the hand. There is a burning washing powder in the hands, and after washing, the hands are deformed."
Yang Fei said, "So, we call this a shifting battlefield. Don't confront Procter & Gamble head-on!"
"Just now?" Su Tong said, "What do you mean?"
Yang Fei said, "It's head-to-head, just!"
Su Tong pursed his lips and said with a smile, "You come up with some new words from time to time—it's quite interesting. Then we don't care about Procter & Gamble's price reduction?"
Yang Fei said, "I can't control it. They are such a big company, and they have conditions to lower prices. Even if they lose money, they can afford it. We can't afford it."
Su Tong said, "The marketing boss of Procter & Gamble must be crying angrily. He punched him out, and we were already behind him."
Yang Fei said, "Your metaphor is really good. Well, I want to be behind you today..."