Extraordinary Genius

Chapter 634 Making Money by Selling a Card

By the end of August, all the stores at the Taihua supermarket had been rented out, which was much shorter than they had expected.

Mainly because Taihua supermarket brings too much passenger traffic, since the opening of Taihua supermarket has quickly become one of the most famous locations, even several cities, in any one city, including Beijing, Magic City, and has become one of the landmarks.

And the background strength of Taihua Supermarket, the development potential, is too great, other companies are also very smart, leaving such a good opportunity, if not grasped, it is a loss.

It has been said that companies like Kentucky and McDonald's can succeed mainly on two points. First point, brand; second point, location.

To give a very simple example, if Kentucky and McDonald's were in the countryside, even if all the villagers knew it was a major international brand, they wouldn't make any money, either, because there were fewer people, because purchasing power per capita was too poor.

Why do Kentucky and McDonald's merchants have to have a dedicated visitor to the site? Because they believe that stable passenger flow is the most important thing. Not everyone will come all the way to eat because you are a world-renowned caterer.

To be honest, fast food doesn't taste so good, and many stores make the same flavor. And that's why so many similar fast food restaurants later developed, and they just picked a good location, and then about the same flavor, and they made the business good.

Though Taihua Supermarket leased out all its stores and the rent was paid annually, the rent for the first year was really not very high, to be honest, whether it was the companies that leased the stores or the Taihua Supermarket Group.

Taihua Supermarket Group would like to explore the profitability of other stores to decide whether to raise prices next year and, if so, how appropriate. Other companies are also worried that the explosion at Taihua Supermarket is only temporary, what if it goes downhill in February? The rent is too high for them to decide so quickly.

With so many shops to rent, and the brand margin to enter the Taihua supermarket, it's not a small number. After seeing the explosion of the Taihua supermarket, it seems that there are too few 20 supermarkets at the same time. It is advisable to set up more than 100 supermarkets nationwide at the fastest possible speed. It is best to ensure that each province has at least three Taihua supermarkets, some more developed cities and cities with a larger population, and can open several more.

As he received the news, Carrefour had conducted a market survey in Huaxia and was said to be ready to enter the Huaxia market next year. There are currently only two cities visited, the capital city and the capital city.

For the time being, they don't think Huaxia is a good place to open a supermarket, which they don't even see the potential of the market. Huaxia has such a large population, and this supermarket has great market potential.

When Carrefour opened its supermarket in France, the economic situation in France was far worse than it is today in Huaxia.

There is also Wal-Mart's head of Asia, who is also said to be interested in entering the Huaxia market and is currently in the study phase.

If these two large groups see that the supermarket is perfectly successful in Huaxia, they will definitely enter the Huaxia market quickly, when two of them and their strong competitors emerge.

Not only that, Fu Guangzheng also learned that in many cities, people have registered companies and want to replicate the Taihua Supermarket Group model to open supermarkets.

Many of these companies have a government ~ background, with local government ~ support, and are likely to grow more smoothly than Taihua Supermarket Group.

They may not be able to open a supermarket of this magnitude, but it's okay to open just one supermarket. Even well developed, supermarket chains can be opened directly.

In Iceland, for example, there is a national supermarket already in the process of opening up, and the fast moves to make the payment did not react, and should have been ready long ago. It's expected to open in October this year!

Taihua Supermarket Group, in Huaxia, has become the public enemy of the whole industry! If all the good places were occupied, it would affect the footsteps of the expansion of the Taihua supermarket.

That's why Fu Guangzheng became so desperate, and Li Zexuan agreed, even Superman Li and Fu Rongbing agreed.

Now there are several options, the first of which is that you continue to invest proportionally, and then you have the money to open more supermarkets.

The second type is loans. Although Taihua Supermarket Group has a lot of registered capital and real estate, the brand value is not high and the amount of money it can borrow is not large. At least they are not satisfied with the payment.

The third is to continue to overdraft the profits of the Taihua Supermarket Group, leveraging most of the liquidity, including the use of margins from those businesses, and so on.

At this time, Feng Yu put forward another proposal.

“Proportional additional investment is certainly not too difficult for all of you. But you should also know that if we open a chain of stores so quickly, there will inevitably be less money in it, which means that we will have a long time under pressure, which is not a wise investment option, the first 20 stores, we will not visit for a short time, and now to pursue speed, there will inevitably be a loophole. ”

“Of course we know this, but the size of our Taihua supermarket group is still incomparable with transnational retail groups like Carrefour and Wal-Mart, and once they enter, there will certainly be some related policy support. If we let them stand on their heels, the market will let them out for nothing. And the followers of those places, they would take over our markets, and if they took over all the good places, it would be too hard for us to get in. Now we need the fastest way to get the position down, and the first time we need to sign an agreement.” Fu Guangzheng said.

“I know what you're saying, I'm not opposed to expansion right now, but we don't need additional investment, and loans are a way, and although not too much, opening ten supermarkets should be enough. What I'm trying to say is, overdraft the profits of the Taihua Supermarket Group, which I think is a good idea.” Feng Yu chuckled.

“Brother Feng, overdraft profits can raise a lot of money for a short time, but if anything goes wrong, the company will quickly collapse, and of course we can continue to invest in salvage, but it will inevitably have a significant impact on the brand, making people think that we are a shell company.” Li Zexuan frowned.

Superman Li has promised to continue to fund him, so he is very opposed to overdraft profits, and the loan is not opposed.

“We at Taihua Supermarket don't seem to have a membership card yet, do we? You've never promoted a shopping card, have you? In my opinion, the potential of these two cards is completely untapped!” Feng Yu mysteriously said.