"To put it bluntly, it's small companies, big groups, small enterprises, and big strategies. In the past two years, prices have risen quickly, and the situation has changed quickly. Everyone should be able to feel it. Overall, it's still a seller's market. Many places have even started panic buying. No matter what the goods are, they sell well. There's no need to worry about business. You should know the best, right? "
Since 1988, the sudden national panic buying, coupled with the tiger of inflation, had caused the economic order of the entire society to fall into chaos.
With the Third Plenary Session of the Thirteenth Central Committee as a symbol, they began to rectify the market and regulate prices. However, the effects were still not apparent.
As long as you had the goods, people would come to your door and give you money. You could just lie at home and collect money. Wasn't that how Master Dao got rich?
"One billion people, nine hundred million down, and one hundred million searching."
This was considered to have entered the era of "everyone doing business." There were countless companies, but most of them were "shell companies." There were as many "managers" as there were locusts running around, transferring goods between the upper and lower companies to earn the difference in price.
They were forging ahead in a state of disorder.
They had endless pursuit of happiness, wealth, and career. They respected and abided by the law of survival of the fittest. They sought survival in the midst of change, and moved forward in the midst of forging ahead.
This was also the original driving force for the continuous transformation of this country.
Fu Xia smiled. "That's true. Even Pujiang came to my place to transport goods. It's obvious that the market is short of supply."
In the big cities, people still needed tickets to buy furniture. Needless to say, in small places, the furniture produced by her furniture factory was naturally in short supply.
Of course, on the other hand, it was even more difficult for her to find raw materials. Boards, sheet metal, leather, and other upstream products were also rising in price. Not to mention the price increase, there was no place to buy them. She had no choice but to establish a few subsidiary factories.
Su Ming took out a cigarette and spread it around. After lighting it, he said, "I'm not bragging. You can ask Old Yu. As soon as products from Hong Kong enter customs, they can be snatched before they are even unloaded. But if you want to talk about changes, there are. Like the electronic watches we made in the past, no one really cares about them now. In the Shenzhen Electronics Building and Saige Electronics Accessory Market, many of them are making these things, and they are all produced by small workshops. Radio factories, tape recorders, TV factories, and magnetic head factories are everywhere. Although the quality is not good, the price is cheap. "
Fu Biao said, "Bro, the land we bought last year next to the electronics building is next to Old Yu's land. A lot of people want to cooperate with us. Some want to build shopping malls, and some want to build hotels. I think they are all good. "
Li He snappily said, "You two still have the cheek to say that? Is it fun to fight among yourselves?"
It would have been better if Erbiao hadn't mentioned this. Now that he did, Li He was still angry. It was all his money!
Yu Dehua glared at Erbiao. He had inexplicably implicated him, so he hurriedly explained, "At that time, there were dozens of companies bidding. In the end, at the climax, there were only three companies left. Erbiao folded in the second to last round. With or without Erbiao, we still need the money."
Erbiao also said, "Bro, we can be angry, but we don't dare to joke around with business."
"I'll settle this with you when I have time." As for the truth in their words, Li He couldn't tell. He could only continue, "Of course, that piece of land is for the electronics market. After it is built, it will only be rented and not sold. If you want to do it, do it to the best of your ability. When you have time, go to Hong Kong with Old Yu and learn how they do it. "
In the early days, the companies that came to Huaqiangbei basically started from processing materials, putting on watch chains, assembling radio recorders …
As long as they could make money, they would do anything. After they had the capital, they started to form joint ventures with foreign companies. At the same time, all kinds of investments came in, and companies were established like mushrooms after a spring rain. Most of them were electronics companies.
Therefore, Li He was right to follow the trend and enter the electronics market.
Moreover, he preferred to collect rent. He had no interest in selling buildings for the time being. The property prices were so low that he could only earn a little money. He still focused on hoarding land and developing large-scale wholesale markets, such as the electronics market, the fruit market, the clothing market, and the small commodity market.
As it turned out, collecting rent was the way to go.
Yu Dehua and Fu Biao nodded together. "Okay."
Li He took a sip of tea and continued, "In the past, it was a seller's market. Maybe in the future, it will become a buyer's market. No matter what, it won't always be a seller's market. So how will it change in the future? It will become like Hong Kong. Everyone, go to Hong Kong and take a look, and you will know. Whether you buy or sell, it will be a normal relationship between supply and demand. This is an effective market, a normal market. What will we compete for in the future? It was a competition of product quality, service, funds, and channels. Then, let's look back at it. What do we have now? We look like we have everything. We have money, land, factories, but it seems like we don't have anything. We're just a middleman, and it's still a small workshop. Will this work? Whether it can last or not is a problem that everyone needs to consider. "
Xiang Dong smiled and said, "That's right. I think that specialization and diversification should be taken together. I am a professional printer, and I'm focused on familiarizing myself with the printing industry. But when I reach a bottleneck and reach a certain stage, I can take another path. I can do papermaking, or I can set up a wine factory. This is also the path of diversification. Premier Zhou Enlai had said before that we have to walk on two legs. "
"That's right. This is what I meant by specialization for a small company. How can we specialize? Specialize our technology. We must be at the top of the industry. Only when we are at the top can we diversify and take the path of collectivization. Our current problem is that we don't have a core industry. We need to have a core. " Li He was pleased with Xiang Dong's words. Among all the people here, only Xiang Dong and Fu Xia were consciously leaning towards R&D. Had the others considered the problem of specialization? "We can't just do whatever makes money. Blindly being big and comprehensive won't end well. The products must have unique characteristics and focus. We can't blindly pursue being big and comprehensive. Otherwise, we can't avoid mediocrity and a dead end! Doing everything well is much more appropriate than blindly being big and comprehensive. " “
Li He had already passed the stage of capital accumulation. But how to turn around and how to highlight his comparative advantage were the problems he had to consider.
Su Ming blew out a smoke ring. He seemed to have gained something and said, "I will go back and cut off and sell the other businesses as soon as possible. I still want to focus on making tapes."
Li He waved his hand. "Turning around is not in a short period of time. There's no need to be so radical. We still have to earn money. What I mean is that everyone has to have an accurate position and highlight their core advantage. Our biggest advantage now is our capital advantage. However, we don't seem to have any other advantages. Do we want our product advantage, our talent advantage, our R&D advantage, our distribution advantage, our market advantage? All of them. You sell printers. Currently, you're the only one in the market that has it. The customers have no choice and no comparison. Your price is expensive, your service is bad, and the quality of the products is poor. The customers will pinch their noses and accept it. But what if there's a second or third company's product in the future? Will the customers still choose your products? Let's take the simplest example. How many state-owned restaurants dare to put on airs like before? So, everything is changing. Everything is changing. We have to change with it. "
After saying this, everyone was deep in thought.
Yu Dehua smiled. "You must have a plan in mind. Just tell us and we'll do as you say."
"I'll repeat what I said earlier. Everyone, think about what your core business is. Do real estate or don't do it. If you want to do it, you have to be the best in China. Do cassettes or don't do it. If you want to do it, you have to be the best. It was the same principle when it came to making furniture, shoes, and foreign trade. If we can't be the first, we should at least be the second, right? "
Currently, Li He was most confident in real estate. Only God knew how much land and real estate he had hoarded!
Yu Dehua's scalp went numb when he heard about real estate. God knows how much he would have to pay for the Pudong land!
But Shen Daoru is confident. "Our properties in Hong Kong are rising in value. We will try our best to get into the top three in Hong Kong. “
"The first thing everyone needs to do this year is to do a good job in financial management and corporate governance. Why should it be regulated? This is because everyone's rapid development has concealed the reality of high investment, high costs, and low efficiency. I will give everyone some time. I will not integrate for now, but when I will do so will depend on everyone's development. I won't integrate them, but if you want to integrate them, you must do it in a standardized manner. If you don't know how to do it yourself, then go ask someone else. These are my exact words from before. Also, if you really can't find the core advantage, can't you just throw money at it? Don't give up on mergers and acquisitions, which is a magic weapon for rapid expansion. All of us are not short of money. If you lack technology or manpower, you can go for mergers and acquisitions or joint ventures. I will support these forms of cooperation. Letting you spend money to be a shareholder is already the minimum requirement. But your ultimate goal is to set up an incubator and investment platform. "
In this era, there are too many big entrepreneurs, and there are also too many big entrepreneurs who are short of money. Li He can also make a lot of money by looking for the best investment target. If he doesn't know how to do it, he can give money to others to do it. This is also a way to make money.
Shen Daoru said. "We still hope that you can take charge of the overall situation."
He had thought that Li He would take charge of the overall situation.
"Now is not the time." Li He suddenly overturned all his thoughts from yesterday. The more he chatted with these people, the more problems he found. He needs to slowly sort out these problems before he can think of a way to integrate them.
He can't do it in one go. Being too hasty will not be good.
To integrate all the resources under him, it can't be done with just a few words. Li He needs to set up a capable strategic investment department, led by an experienced M&A manager, and supported by employees from investment, consulting, finance, legal, or business backgrounds.
But he doesn't have any such people around him. In fact, Li He doesn't even have a reliable finance department. Integrating resources is just empty talk.
Also, Li He still can't figure out what kind of corporate structure to reorganize.
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