Extraordinary Genius

Chapter 1474 Retail Troubles (9/10)

“Brother Feng, the period of rapid expansion of our supermarket has passed and now mainly expands in cities below the third line. Expenditure has fallen considerably, and we will soon have a large cash surplus.” Paid a glorious face and said with joy.

After investing so long, you can finally see the dividend.

Previously there were dividends, but they were very small. Because the expansion of the Taihua supermarket is too fast and too strong, and the supermarket is not a rental venue, it is a purchase or self-build, which is a lot more expensive.

In the long run, buying or building your own is a great deal, but it puts tremendous pressure on supermarket funding.

Good thing they can lend enough money from the bank, even without the Taihua Supermarket Group, in their name, to lend a lot of money.

So after so many years of operation, Taihua Supermarket has always been a high indebtedness model, but no bank is worried that they won't get a loan.

Not to mention that a company as big as Taihua Supermarket is here, but the shareholders, which one is not a millionaire, who will depend on the account? Even any of them can repay the loan.

After so many years of rapid expansion, Taihua Supermarket Group finally captured all tier one and tier two cities and the majority of tier three cities, but the cities below tier four were occupied by many local supermarket groups.

They now have two ways, one of which is to drive around them and crush each other with strong brands and more affordable prices. Such an approach hurts a thousand enemies, damages eight hundred self, and reduces one's profits. And when you crush the other party, if you raise the price, you lose some of the consumers.

The second simple way is to merge those small supermarket groups and expand them at their home locations. The places that small supermarkets choose are also good locations.

You can even keep the brands of those small supermarkets, multibranded and co-operated.

It is also important to note that monopolies cannot be charged. Factual monopolies don't matter, but using monopolistic positions to crowd out competitors, the ticket won't be lighter.

So the third approach that Taihua plans to take is to open at least one big supermarket, not necessarily a supermarket, in those three or four tier cities.

Take advantage of the brand, slowly attract customers, do not make excessive promotions, etc.

It's just that membership cards and shopping cards at Taihua Supermarket can be used nationwide to keep other supermarkets out of sight.

A lot of people are fighting in big cities, but their parents are still living in small cities. The company issues a shopping card and can take it back to the parents.

And the bigger the brand, the more credible it is, the better and fresher people will think your product is. And it is true that the freshness of the Taihua supermarket has always been the industry standard.

With its own picking garden, it transports itself and delivers multiple times a day, it not only provides customers with fresh products, but also reduces wear and tear rates.

The development of the Taihua supermarket is getting better, but the problem is coming, but it's a sweet worry.

“Brother Feng, do we have so much cash in our balance, are we all dividends or are we partnering to do something else? ”

Dividends are good. After investing so much time, you can finally really see a lot of profits. Take the money and invest in something else.

Well, Pai Guangwei had already seen a luxury yacht, and this time he had money to buy it.

“Dividends are fine. Partnerships can do anything else. Have you asked anyone else?” Feng Yu turned around and looked at Guangzheng, as if the two brothers had discussed this.

Pai Guangzheng nodded: “I talked to the Li brothers, they also wanted to ask you what you mean first. ”

“If I say no, then what are you going to do?” Feng Yu asked backwards.

“Our cash share will exceed 30 percent this year, which is too high. My idea is, dividends, and then quarterly dividends, and then everybody takes the money and invests in something else, like investing in stocks.” Fu Guangzheng said.

Now that he had his father-in-law to help, he caught up with the financial industry to warm up again, and the stock market entered the bull market, of course he wanted to make more money while he could.

But the Li brothers don't think so. They themselves have less investment in finance, and their families love industry. Now they don't need money, and they're worried about how to invest, how to invest, what to invest.

If you invest in their best real estate, there seems to be a little bit less money, and recently the mainland is regulating the real estate market, many people say the real estate is getting cold.

So the Li brothers wanted to see what Feng Yu was going to invest in, and they wanted to see if they could participate. They also have a wealth of networking resources and are willing to hand over power to people designated by Feng Yu, who have not pitched them once in all these years.

“Dividends are good for everyone to invest in the stock market or whatever. But I have a request, for a year, that our Taihua supermarket continue to expand rapidly. ”

Fu Guang was frowning: “Why? This is simply not cost-effective and will increase our spending considerably. ”

“Our Taihua supermarket is about to be restricted by this type of financial model. I heard a rumor and was discussing that the retailer's payment deadline could not exceed sixty days, as there had been too many lawsuits over the past two years to make a claim.” Feng Yu was also helpless. Fortunately, the rapid expansion period of Taihua Supermarket is almost over, without delay.

Fu Guangwei discovered that his work was even more difficult to do, and had previously been settled quarterly or even semi-annually, giving them sufficient floating cash on their books.

Many of their new stores opened with this money for working capital investment.

And if this is limited to 60 days, their floating cash will be much lower, and fortunately they won't have to expand that crazy anymore, and investing in a supermarket in three or four tier cities is too cheap.

“By the way, there seems to be some limitation that vendors should not be charged admission fees and should not be charged for any reason, such as festivals, festivals, opening of new stores, etc.” Feng Yu thought about it.

This time, Guangwei is about to turn into a bitter melon face. How come he hasn't been in power for a long time and everything changes?

If, after he took office, the supermarket expanded slowly, profits and turnover had fallen sharply, his chairman would have no face to go on.

Feng Yu didn't expect to make such restrictions before. Good thing Zhang notified him in advance. Tell him to pay attention and don't get named.

In fact, this rule is basically aimed at large retail households such as Taihua Supermarket Group. It is obviously the proposal made by the representatives of those suppliers at the time of the meeting, which is also considered feasible.

The damage here is second only to Taihua Supermarket, I'm afraid it's the national rice and Su screwed up.

“This is the last time we can float cash, and within six months, the settlement period must be kept within two months. If it doesn't work, the dividend will be slow. ”

……