Chapter 620
Words:1711Update:22/06/28 11:41:59
What Honda Ichiro didn't know was that when he thought that Boss Jia didn't know about this, Jia Yapeng had already received a report from Fusang. Boss Jia was very clear about the situation at Fusang.
Natsume Haruko flew back to Hua Xia and asked Boss Jia for advice on how to turn the situation around.
At that time, the two of them were sitting in Boss Jia's office. When Natsume Haruko told him about the situation with Tribute Tea, it could be seen that Natsume Haruko was quite anxious.
Although Yu-Gi-Oh had more shops than Tribute Tea, their sales were equal. This meant that Tribute Tea's single shop sales were much higher than Yu-Gi-Oh's single shop sales.
This meant that Yu-Gi-Oh's Milk Tea was about to lose to Tribute Tea.
Natsume Haruko was very anxious. Otherwise, she wouldn't have flown to Hua Xia to ask Boss Jia for advice. In Natsume Haruko's eyes, the only person who could solve this problem was Boss Jia.
What Natsume Haruko didn't know was that an hour before she came, the general manager of Daqian Entertainment came to Boss Jia to discuss how to deal with the competition from Aiduo VCD players and other new brands. The general manager gave three suggestions which made Boss Jia so angry that he almost cursed out loud.
When Natsume Haruko came to look for Boss Jia, Boss Jia's mind was filled with VCD players. He was thinking about Aiduo VCD players lowering prices and competing with him.
Therefore, when Natsume Haruko asked Boss Jia for advice, Boss Jia directly blurted out, "Then let's lower the price!"
"Nani!" Natsume Haruko wasn't shocked by this idea, but she felt that this idea was simply too ordinary. It was so ordinary that it didn't seem to be the idea of the unparalleled Boss Jia, who was resourceful and resourceful.
Shouldn't Boss Jia come up with an earth-shattering plan? Shouldn't he come up with something that made Natsume Haruko prostrate herself in admiration?
Why did the current idea become lowering prices? Isn't this idea a little too ordinary?
"Don't you think this idea is too ordinary?" Seeing Natsume Haruko's expression, Boss Jia broke free from his thoughts about VCD players and smiled.
Although Boss Jia's idea of lowering the price was taken from Aiduo VCD players on a whim, he still felt that it was a good idea after he thought about it again.
"How can there be so many wonderful ideas in this world?" Boss Jia said with a smile, "The reason why those seemingly ordinary strategies are considered ordinary by people is that they have been tested countless times in actual combat and are recognized as the most effective methods by everyone. The most effective ideas will naturally be used the most ordinary ideas.... "
"Just like how Honda Ichiro invited Sakai Noriko to be his spokesperson, this seemingly ordinary strategy is actually the best and most effective way."
"It's the same with lowering prices. As long as your prices can be lowered, you will be able to attract a large number of customers. This is an unbreakable truth. Hurry up and do it!" Boss Jia said.
"But what if the tribute tea reduces prices like us?" Natsume Haruko was still unwilling to give up. Why did they have to come up with such a simple idea?
"If they reduce prices like us … then I'll reduce them even more!" Boss Jia touched his nose and said. "How much is our cheapest original milk tea?"
"It's 150 yen per cup!" Natsume Haruko replied.
"Then how much is the cost of a cup of milk tea?" Boss Jia asked again.
"If it's just the cost of the ingredients, the cost of the ingredients for a cup of milk tea is 10 yen! The price we offer to the franchisees is 80 yen! "Natsume Haruko said.
Look, the Daqian is so greedy. They sold 10 yen worth of ingredients to the franchisees for 80 yen, earning 70 yen in one go. That's too greedy!
"If we include the franchisees' own operating expenses, the cost of selling a cup of milk tea is about 100 yen!" Natsume Haruko said.
The franchisees could earn 50 yen for a cup of milk tea. Although it was not as greedy as the Daqian, it was still very greedy.
"Do you know the cost of the tribute tea?" Boss Jia squinted his eyes and asked again.
"Yes, the cost of producing a cup of original milk tea is about 80 yen!" Natsume Haruko said quickly. Don't ask why Natsume Haruko was so clear about the cost of the tribute tea. It was because the tribute tea's business model was actually the same as Yu-Gi-Oh. The cost was basically the same. Therefore, Natsume Haruko was very clear about the cost of a cup of original milk tea.
"Then tell all the franchisees that in order to meet this challenge, our best original milk tea will be on a big discount."
"Wasn't the original milk tea 150 yen per cup? Now it's reduced to 120 yen per cup! "
"As for the ratio, we will negotiate with the franchisees. Our material supply price will be reduced by 15 yen. Similarly, they will have to bear 15 yen of the price reduction!" Boss Jia said.
"This … will the franchisees agree?" Natsume Haruko asked subconsciously.
"They have to agree even if they don't. Our franchisee contract states clearly that in order to meet the company's overall marketing needs, the company has the right to request all the franchisees to reduce or increase the price!"
"As long as the price reduction does not exceed 50% of their profits, it will be enough!"
"They can earn 60 yen per cup of original milk tea. Now, we are only asking them to reduce the price by 25%. They have no reason to refuse. If they refuse, it will be a breach of contract!" Boss Jia said nonchalantly. With the contract in hand, he was not afraid of the franchisees rebelling.
If they had the guts, they would withdraw from the franchise. If that happened, the franchisee fees and renovation fees that they provided would all go down the drain. After all, Boss Jia had added Yu-Gi-Oh Milk Tea's name on all the renovations. The renovations could only be used by Yu-Gi-Oh Milk Tea.
Therefore, Boss Jia was not worried that the franchisees would reject Boss Jia's request.
"Of course, you have to appease them. You can directly tell them that this is to compete with the tribute tea. If we reduce the price, we can attract more customers. They won't suffer losses!" Boss Jia added. "That's right.
"Yes!" Natsume Haruko nodded. Then, she asked doubtfully, "Boss, if we only reduce the price to 120 yen, I'm afraid the impact won't be too big. As long as we reduce the price of the tribute tea to 120 yen, their cost is 80 yen per cup. They can still make money."
"So, why don't we reduce the price to less than 80 yen? This way, we can still make money. But the tribute tea won't make a single cent!" Natsume Haruko suggested.
"That won't do. If we reduce the price to 80 yen, it will destroy the market. If we reduce the price to 80 yen now, it will be difficult to raise the price back up. Isn't this going against the money?"
"But …"
"No buts. If the tribute tea doesn't reduce the price with us, then they are smart. But if they reduce the price with us, I can give them a prophecy. They won't live past 1995!" Boss Jia said with a smile. He directly gave the prophecy to Honda Ichiro.
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