Unlimited start with one dollar spike new skills

Once the decorative design of homes, companies and other places really becomes popular, then the future of this industry is unlimited." The more Chen Yi spoke, the clearer and clearer his thoughts became, as if the fog was gradually dissipating, and he could see things as they were, the happier Li Shan was.

Chen Yi drank a sip of water, continued: "As for why the company's market share is expected to increase in the future, I think so, I probably looked at the company and the industry before, the company's market share in the industry is among the best, but even so the company's market share in the industry as a whole is less than three percent.

That is, there is a lot of room for growth, once the company's market share has been increased then the benefits of natural self-evident, not only can there be more orders, have more income, earn more profits, with the increase in market share, the impact on the market will become greater, once a certain extent, is also equal to the right to master a certain price increase, so that you can increase the price appropriately! This will also be very beneficial to the company's profit growth."

After Chen Yi finished speaking, he looked at Li Shan, scratched his head apologetically and smiled: "That's all I can think of for now, there are a lot of things I might not have thought of perfectly. Brother Li, what do you see in me that needs to be perfected and improved?"

When Li Shan saw Chen Yi finished, he nodded and said: "It is very rare for you to think of this. After that, Li Shan gave Chen Yi a thumbs up.

After that, he shamelessly said, "What you said is what I thought of when I was researching, I didn't expect that your thinking is so similar to mine, great, your talent is very high, you can consider developing in the direction of a fund manager in the future."

Chen Yi laughed at Li Shan's words, not at all as calm and collected as he was when he was concentrating on his analysis.

Li Shan also smiled slightly when he saw Chen Yi smiling, but then Li Shan changed the subject and continued: "However, you are still a bit young, and when you think about the problem, some parts of your thinking is not very comprehensive, so you need to pay more attention to it in the future."

Chen Yi put away the smile on his face and looked at Li Shan very seriously: "Big Brother Li, tell me in detail what is wrong with it? I'll go and think about it over and over again afterwards, and I'll analyze it more in the future."

Li Shan looked at Chen Yi's modest attitude and nodded his head as an old gentleman would do: "Not arrogant, not impatient, modest and studious, not bad. There is no problem with your analysis framework and ideas, but the details need to be improved.

For example, you only said why the industry's pie as a whole will increase later, but you didn't explain why the company's market share in this market will increase, you only said that the current market share is very low, indicating that there is room for improvement, as well as the possible benefits and impact of the increase.

If I'm right, you didn't figure out why this company would increase its market share; you didn't ignore it, but you deliberately avoided it because you couldn't figure it out, right?"

Chen Yi listened to Li Shan's words felt a little hot cheeks, full of red face and lowered his head, he knew that Li Shan was right, this part he did think of, and did not ignore, but because he could not understand, there is no reasonable explanation, so deliberately ignored not to mention, did not expect to be Li Shan rudely pointed out to his face, for a moment is very embarrassed.

The company's main business is to provide a wide range of products and services, including: a wide range of products and services, including: a wide range of products and services, a wide range of products and services, a wide range of products and services, a wide range of products and services, a wide range of products and services, and a wide range of products and services. I'll change it in the future, and there won't be a next time."

When I saw Chen Yi's attitude of admitting his fault was so good, Li Shan smiled comfortably and continued: "This is right, we do investment is to be objective, how it should be, you have just entered the industry not long, a lot of things are not clear, do not want to understand is also very normal, do not want to understand you can ask.".

Chen Yi nodded his head and said yes.

Li Shan continued: "Then I'll tell you why I judged that the market share of this listed company will increase."

Hearing that Li Shan was going to put his own thoughts into words, Chen Yi listened attentively.

You just said that this company is one of the best in the industry, which means it has more orders, more resources and more competitive advantages than other companies, am I right? "

Chen Yi nodded his head in agreement.

Li Shan continued: "This is more conducive to competition, more conducive to development, in fact, not only in this industry, but also in many other industries, some of the best companies are also constantly increasing their market share, such as the air conditioning industry "Geberit" and so on, this is the inevitable development of an industry! The phenomenon of concentrating resources to accelerate development."

Chen Yi asked: "In fact, there are other companies that meet the requirements in the design industry, why not those companies? After all, the company's stock we bought is only one of the top in its industry, not the absolute number one. In that case, wouldn't it be better to buy a few shares of each of the top companies? This way to spread the funds a bit can also reduce the risk of ah."

Seeing Chen Yi's puzzled, open-minded look Li Shan's heart was a little bit guilty, because he really did not think about this point, after all, these are in order to deal with the customer, not his real buying logic, Li Shan at this time to find Chen Yi is not as easy to deceive as he thought, but also a little tricky. Li Shan smiled calmly and said: "This is to consider the cost performance, you know what is cost performance, when we do stocks, the so-called cost performance is the risk-return ratio, that is to say, the proportion of possible gains and possible risk, the higher the risk-return ratio is more appropriate, this is comparable.

The higher the risk-return ratio, the more appropriate it is. When the risk-return ratio is similar, as you said, we can buy some of them all to spread the risk, but when there is a clear difference in the risk-return ratio, we won't buy stocks with low risk-return ratios.

Chen Yi listened to Li Shan's words, suddenly realized, Chen Yi thought: "So that's how it is, cost performance, risk-return ratio, so it is," Chen Yi knew that this risk-return ratio is very simple to say, but if you want to compare, you need to fully consider all kinds of possible risks and possible benefits, you need to conduct an in-depth study of this listed company, otherwise the risk-return ratio is not useful at all.