Even though Li Dong had made up his mind to deal with the supermarkets, it was easier said than done.
He was like a dog trying to bite a hedgehog.
Those supermarkets were not like the small supermarket in Dongping. They were international famous brands.
No matter how one looked at it, Fang Yuan had no advantage.
They were well-known brands. Even if they did not advertise, they would still be famous.
Far Away would not be able to compete with these supermarkets if it was not for their popularity in the past six months and their advertisements.
When it came to the service and environment, both supermarkets were about the same.
Even though Li Dong had requested for more service, there were too many rookies. The quality of the employees was not high. It could not be compared to those foreign companies.
Far Away had priority in terms of environment. This was also because it was a new store.
Other than that, the supermarkets also had to look at the types of goods.
But everyone was a big supermarket, and they were all lifestyle supermarkets. There was not much difference in the types of goods.
No matter how he looked at it, the only advantage Distance had was that it had more stores, which was why it had the upper hand.
But now, having more stores was a burden.
In a price war, it was enough for one store to lower their prices. Far Away had to lower their prices at the same time. If not, it would be a blow to Far Away's reputation.
The more stores there were, the more losses they would suffer in a price war.
Li Dong had a headache. What should he do?
One man's plan was short. Everyone's plan was long.
Li Dong had no choice but to gather the company's top management for a meeting and ask them.
Everyone had heard about the competition between Far Away and the other supermarkets. They had also thought about how to win.
But when it came to solutions, there were really no good ones.
The marketing director hesitated for a while and said, "Should we ask the government to put pressure on them?"
Li Dong shook his head. It was not appropriate to ask the government for help.
If the government was involved in a business competition, it would be more troublesome. Furthermore, the government was not easy to deal with. You knew to look for the government, but they did not.
The director of the merchandising department said, "We're losing money, but the other party is also losing money. Why don't we talk to them again? It's almost the end of the year. At this time of competition, no one can gain an advantage."
Li Dong exhaled and said, "CEO Sun has mentioned this before, but when I went to Carrefour, they didn't show any signs of relenting. Now, they are forcing us to lose our foothold. They would rather suffer losses than do business properly. "
This time, everyone was speechless.
He would rather suffer a loss to continue working with you. There was no point in talking about anything else.
After a long while, someone whispered, "Should we continue lowering the price?"
The corner of Li Dong's mouth twitched. This thought coincided with his. Now that the other conditions were similar, continuing to lower the price was probably the only way to win.
However, Li Dong also had his difficulties. Now, both parties were already operating at a loss.
Although it wasn't a big loss, it was still a loss. If they lowered the price again, the loss would be even bigger.
If it was in the past, Li Dong was used to being extravagant. It didn't matter even if he suffered a loss, as long as he could get rid of the other party.
But Far away did not have much money now, and the amount that could be used was even lesser. If they suffered a loss, it might hurt the foundation of Far Away.
Li Dong sighed. Was there no other way?
Just when everyone was pondering, a crisp sound suddenly rang out in the conference room.
Li Dong turned his head and saw Shen Qian sticking her tongue out as she picked up the pen that had fallen on the table.
Raising his brows, Li Dong sourly said, "Go out and spin the pen. Everyone is thinking of ways, and you're the only one with nothing to do!"
Shen Qian grumbled, "What else is there to think about? Aside from lowering the price, what else can we do? It's better to get the pain over with. If we drag it out, we'll also suffer a loss. Why don't we defeat the other party in one fell swoop? After all, they're just a branch company, and they have to report to the higher-ups if they want to lower the price. Let's lower the price this time and drag it out for at least two to three days. "
"With the time difference, we'll be able to snatch the majority of the customers in two to three days."
"When their headquarters send out the documents, we'll lower the price again and snatch all their business and customers."
"Our only advantage now is our flexibility. Far Away, you can make a decision with a single word. On the other hand, the other companies have their own board of directors, and they've been operating at a loss for a long time. Do you think that they will have a unified opinion? Just the time it takes for the board of directors to wrangle is enough for us to defeat them. "
Although Shen Qian made it sound simple, Li Dong knitted his brows. "I understand what you're saying, but how much will it cost?"
"A huge price reduction. It's not a small sum for ten stores."
"I've made some calculations. 20% for the first time, 25% for the second time, and 30% for the third time. That should be about it. Compared to the usual flow of people and sales, we just have to be prepared to lose 30 million, "Shen Qian said nonchalantly.
Li Dong really wanted to spit on her face. What did she mean by 30 million was enough?
30 million. If it was in the past, Li Dong could grit his teeth and endure it. But the problem now was that Far Away did not have much money left.
Moreover, this was only Shen Qian's estimation. If those stores were not as Shen Qian imagined, how much money would they have to pay?
50 million? 80 million?
Far Away's bottom line would be empty if they went all out. Any mistake would mean big trouble.
Seeing Li Dong staring at her, Shen Qian snorted. "This won't do, and that won't do. What do you think we should do?"
"We're also losing money now. When the other new stores open, we'll probably still lose money. We'll lose tens of millions in a month, and we'll lose the money in a few months. Isn't it the same? "
"If we can defeat the other party with the momentum of a thunderbolt, we might be able to earn back the money in a few months. Over and over again, not only did we not lose money, but we also bought time. What do you think? "
After Shen Qian said this, she did not say anything else. Anyway, this matter still depended on Li Dong.
Tens of millions was not a small amount. Li Dong's hesitation was also within reason.
Li Dong took a deep breath and lightly knocked on the table. After a while, he asked Sun Tao, "Director Sun, what do you think?"
Sun Tao replied, "I agree with Manager Shen's words in general. But doing this kind of thing will kill a thousand of the enemy and suffer eight hundred of the losses. If we can avoid it, it's better not to do it."
"Then, do you have any suggestions, Director Sun?" Shen Qian snorted.
Sun Tao thought for a while and said, "I do have a suggestion. It's just that it'll cost a lot."
Li Dong perked up and quickly asked, "What is it?"
"Acquisition!"
Everyone was surprised. Acquisition? Acquire what?
Sun Tao looked around and smiled. "Acquire the other supermarkets."
"Pu!"
Li Dong did not spit out his drink, but Shen Qian spat out the water she just drank. What kind of stupid idea was this?!
Acquiring a few famous supermarkets? Sun Tao was really daring!
Sun Tao did not mind and continued smiling. "If this was in the past, it would not be possible. But now, the situation is different. These supermarkets are operating at a loss, and they will not bring any benefits to our company. Also, I believe everyone can see the situation in Jiangbei. Let's not talk about other places. In Pingchuan, we have the upper hand. We have the initiative. "
"Doing business is to earn money and not to vent our anger. They are also struggling now. Once they see our determination to continue, they will make a decision. "
"Also, it will depend on whether we are willing to pay this price. As long as the price is right, there is no business that cannot be negotiated."
Li Dong frowned. "How much do you think we need to acquire these three supermarkets?"
"At least 150 million RMB!" Sun Tao replied.
These few supermarkets were the best in terms of area, location, and decoration. They were not any worse than the Longhua supermarkets.
If he wanted to buy these three shops, 50 million per shop was probably the lowest price.
After all, this was the provincial capital, and the rental was not a small amount. If they were to buy the entire building, Sun Tao would not dare to make this suggestion.
Li Dong heard this figure and shook his head. "That's too much. Far away cannot afford it now."
Li Dong thought for a while and explained. "Also, we have enough supermarkets now. If we acquire these few supermarkets, it will be difficult. Even if the other party agrees, it will be a waste of money and resources."
Hearing Li Dong's words, Sun Tao thought for a while and nodded. "That's true. I didn't think about this before. I was thinking more about the impact of acquiring these supermarkets. If the acquisition is successful, Far Away will be able to establish itself as the leader of the retail industry in Pingchuan. "
Acquiring a few branches of famous supermarkets would indeed make Far Away famous.
If they were not short of money, Li Dong would like to give it a try. Unfortunately, the investment was too big, and it was not worth it. Li Dong shook his head.
In the end, Li Dong realized that other than lowering the price, there was no other way.
Li Dong took a deep breath and stood up. "Then, let's follow Manager Shen's suggestion and continue lowering the price!"
"You should have said so earlier!"
Shen Qian laughed. "Don't worry. Listen to me. I guarantee that we will win!"
"Let's use 30 million as the bottom line. If we exceed it, then we will continue to drag on." Li Dong instructed again.
If they still could not acquire those supermarkets after losing 30 million, then they will slow down and continue to fight with them.
Anyway, in the long run, they will win Far Away.
But if 30 million can solve this problem, Li Dong does not mind investing this 30 million. When the settlement is completed, the other supermarkets should be making profits. Far Away should be making profits for the month.
It is worth it to gamble with a month's profits.
After making up his mind, Li Dong does not need to worry about this matter. Sun Tao and the rest can handle it.
Back in the office, Li Dong asked Liu Qi to call Zhou Haidong in.
After Zhou Haidong entered the door, Li Dong paced around the office a few times.
In the end, Li Dong gritted his teeth and made up his mind. "Think of a way to get some people to go to the other supermarkets."
Zhou Haidong raised his eyebrows and asked tentatively, "Are you really going to smash it?"
Li Dong was stunned for a moment, then he said angrily, "Use your brain. Who told you to smash the shop?"
"I am asking some aunties to help them introduce their business. They are very picky. It should not be difficult for them to delay the payment for half an hour. If there is a problem with the product quality, it should not be difficult for them to quarrel. Do you still need me to teach you? "
Zhou Haidong understood what Dong Xuebing is trying to say and smiled. "No problem."
Li Dong was also embarrassed. "I am helping them to introduce their business. It should not be considered as causing trouble, right?"
"Yes, yes, yes!" Zhou Haidong quickly said.
Li Dong rubbed his face. This is too immoral, but he has no other choice.
Shen Qian's huge price reduction did not guarantee success. Undue delay may bring trouble, so Li Dong had to add fuel to the fire.
Compared to smashing the supermarkets, Li Dong had done the right thing.
In the business world, if you don't take advantage of others, others will take advantage of you. It is not right for the supermarkets to compete with him, and it is understandable for Li Dong to take advantage of them.
As for whether it will be effective, Li Dong believes it will be effective.
He didn't believe that the supermarkets would be able to hold on for long.
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