Chapter 521: Clayton Xavier’s Business Acumen
So, a bewildered Clayton Xavier ended up having a lavish lunch at the home of the helpful Auntie Wu, who had kindly introduced him to her son. While there, he also discussed a business partnership with her son, Director Wood. Though confused at first, Clayton quickly got his bearings, suppressed his joy, and finalized a large order with the director.
He had also taken matters into his own hands, haggling with Director Wood to secure the order at a price of six mao per foot of fabric. The actual price, however, was five mao and eight fen. The two-fen difference was a kickback for Director Wood.
Of course, Director Wood would never dare to pocket the entire kickback himself. He had to pay his respects to those higher up—the factory manager, the party secretary, and others all had to be properly taken care of. Otherwise, his time as director would be up.
Adrian Hawthorne had originally planned to head south in a couple of days, but Clayton Xavier brought him such major news upon his return that Adrian had to move up his departure. He absolutely had to secure this massive order and, moreover, establish a long-term partnership.
A large enterprise like the machinery factory offered excellent employee benefits, always handing out goods for the holidays. He didn’t care what they had given out in years past, but from now on, he had to make sure the factory was giving out *his* fabric.
"How did you know I’d agree to a price of five mao and eight fen? Weren’t you worried I’d lose money on the deal?"
Adrian Hawthorne gazed at Clayton Xavier, who stood nearly as tall as him, with a complicated look in his eyes. ’I really underestimated this guy.’ And he realized he had been selling himself short as well.
His own vision wasn’t as broad as Clayton’s. The man had only been selling for a few days, yet he’d already thought of securing orders from a factory. And to think Adrian had always looked down on him, believing Clayton was nothing more than a bookworm who only knew rote learning.
This order from the machinery factory was a harsh slap in the face for Adrian Hawthorne. It was a brutal wake-up call.
’I’ll never look down on anyone again,’ he thought. ’Even the most unremarkable person could be hiding an incredible talent!’
Clayton Xavier gave a slight smile, his tone confident. "You were willing to give me an eight-fen commission, which tells me your profit margin is at least two mao per unit. At five mao and eight fen, you’re still making money."
"Couldn’t I be aiming for small profits on high volume?" Adrian Hawthorne retorted.
Clayton Xavier shook his head. "Your current operation isn’t large enough for a low-margin, high-volume strategy. You only bring in a limited amount of goods each time. If your profit were less than two mao per unit, you wouldn’t be making much, and knowing your personality, you’d have given up on this venture long ago."
Surprise flashed in Adrian Hawthorne’s eyes. ’This bookworm has managed to surprise me yet again.’ He spoke about business with such surprising clarity and logic. ’Could he have been secretly studying business books at home?’
"Have you formally studied business?"
"Not formally," Clayton said. "But my grandma often told me stories about the past. You know my family—the Xaviers—we used to be in the medicinal herb trade. We also had fabric shops, rice shops... it was a sizeable operation. My grandma was very successful, and I’ve heard a great deal of her business advice over the years."
Clayton Xavier felt very fortunate. His grandmother, the matriarch, made time every day to tell him about the Xavier family’s past. She had told him in great detail about his great-grandfather’s rise, his grandfather’s ventures, and her own difficult struggle to protect the family business.
His great-grandfather had been a renowned physician, but he also possessed a keen business mind. After saving up some money, he opened an apothecary. Because of his great-grandfather’s excellent medical skills, the apothecary thrived. Within a few years, he had expanded the shop, bought fields and land in Xavier Village, and even acquired some storefronts in Vessaria. Still, it was all a relatively modest operation.
The Xavier family truly began to prosper thanks to his grandfather. Though his grandfather’s medical skills were mediocre, he had a brilliant head for business. He took his great-grandfather’s proprietary "dog-skin plaster," developed it into a pre-packaged medicine for easy storage, and even advertised it. It sold phenomenally well. That one plaster alone brought in a massive fortune. Later, his grandfather went into partnership with others to open a silk factory in Tristone, earning them even more wealth.