Siheyuan, was chased by Qin Jingru at the beginning

Chapter 430 The Cruelty of Business Competition

Chapter 430 The Cruelty of Business Competition

In 99 or 90s and millennium.

At this time, due to the influence of the general environment, there are not as developed network channels and logistics models as later generations.

Therefore, while the physical business is booming, it has always followed the path from manufacturers to dealers and then to merchants in shopping malls in various places.

In fact, in this mode, dealers often become quite important.

Because no matter how good your product is, without the cooperation of these distributors, it will be difficult to sink into the terminal market and appear on the shelves of various merchants.

Even in the end, they can only eat ashes in the warehouse, slowly expire and deteriorate, losing all their money.

And when Fang Yuan brought Sun Miao to the Fangyuan Food General Factory in Chuzhou, he realized that his company was already facing this situation.

"I have to admit that Master Niang and Tongyi's counterattack was quite quick. While imitating and copying us, they even secretly recruited dealers of all sizes across the country.

The most important thing is that these two manufacturers seem determined to go to war with us this time, and they even lowered the ex-factory price to almost zero profit..."

In the office, the person in charge of Fangyuan Foods is reporting the latest situation to Fangyuan.

There are several senior management personnel in the factory beside them, who are sitting beside them at the moment, and they all look sad.

"Boss Fang, you really need to make up your mind about this matter."

"Yes, Mr. Fang, at this juncture, no matter what countermeasures you take, you must act quickly. According to what Lao Sun and I said, since Master Qiang and Tongyi are going to fight us on price, we will spend it with them to the end.

In the final analysis, in the current mainland market, we take advantage of our preconceptions, and the common people still prefer our Fangyuan Foods.

It's really a price war. At the same price, we have enough advantages! "

Director Xu of the marketing department is obviously short-tempered, and at the moment when he speaks out of anger, he is in a hurry.

It's just that his proposal was obviously opposed by the head of the sales department.

"It is true to say so, but if we really start a price war with Master Jian and Tongyi, even if the common people recognize our brand, but Mr. Wang, don't forget that we have no profit margins. In fact, we are selling more and more. More, on the contrary, equals more compensation!"

"That's right, I agree with Director Xu's words, although our company's size is not inferior to that of Master Chew and Tongyi, but compared with the joint efforts of the two companies, it is still a head behind.

Although there is a price war, whoever laughs at the end will probably be able to seize enough market share and even dominate the market.

I'm afraid that before this result comes out, we will be trapped in the quagmire of price wars. If we are not careful at that time, we may go bankrupt! "

"Then according to what you said, it's possible that you, Old Chen, have a solution?"

"This... If I have a way, I won't worry about it here..."

After saying this, the entire office fell silent for a while.

After all, since ancient times, one-on-two has always been a headache.Not to mention that once a price war starts in the market, it will be a kind of trouble.

Adding the two together, the degree of headache can be imagined.

Especially the current trick played by Master Chew and Tong Yi, the method of attracting dealers, is indeed ruthless enough.

As for how to win over dealers... Actually, the principle is very simple, it's just giving away profits!

for example.

The dealers usually sell a pack of instant noodles for a dime.

Now Master Niang and Tongyi have lowered the ex-factory prices and passed on the profits to the dealers, which means that the dealers can earn [-] cents or more for every pack of Master Niang or Tongyi's instant noodles sold!
Regardless of the fact that there is only a gap of one or two cents in the middle, it seems inconspicuous at all.

But that's just one pack!

Converted to 1 box, that is a gap of 2 or even 4 yuan!
Compromise, even if it is a difference of 1 yuan per box.

这一箱白赚3块,10箱就是30,100箱就是300!

You must know that dealers exist, no matter how small they are, they have to buy hundreds of thousands of boxes at a time, which is hundreds of thousands of profits.

Although it's not much, but if it's you, with these hundreds of thousands of dollars cheap, don't you just throw them away and make no money?
Not to mention the larger distributors, who even purchased tens of thousands of boxes at that time.

Coming down this time is equivalent to picking up tens of thousands of yuan for nothing. Who wouldn't catch up?

Anyway, at least Fang Yuan asked himself, if he was a dealer, faced with this kind of profit-sharing situation, he would definitely choose Niangshifu or Tongyi instead of Fangyuan Foods in the first place!
Of course.

If only that's the case.

The key issue is that while the dealers are vigorously selling Niangshifu and Tongyi, the entire market or demand is so large, it is tantamount to squeezing the living space of Fangyuan instant noodles in disguise!

Originally, it could be sold for a little profit, but now, the instant noodles are almost sold out!

Even according to the person in charge, some dealers with less stable relationships have recently started clamoring for returns!

But to be honest, the current situation is actually not good for Chef Chew and Tongyi.

After all, once the profits are made, it is tantamount to squeezing their own profit margins. Even if they don't "sell more and pay more", the profits may be extremely low.

But even so, Fang Yuan believes that Master Qiang and Tongyi will not give up easily this time.

After all, although doing so may seem like a short-term loss, if you look at it in the long run, it will have huge benefits!
Because once this goes on for a while and Fangyuan instant noodles are squeezed out of the market, then the entire instant noodle industry may be dominated by Chef Chef and Tongyi.

At that time, if the market share is dominated by these two brands, it will basically form a near-monopoly situation. If consumers want to buy instant noodles in the future, whether they intend to or not, they will have to choose from these two brands.

This thing is just like Fang Yuan's previous battles with taxi-hailing software and food-delivery software in his previous life. Each company used crazy profit subsidies, red envelopes and other welfare means.

Even if it loses money, it must be recognized by consumers and seize the entire market.

And once it succeeds, it will become one of the best giants or even a monopoly just like Fang Yuan's XX, XX group, and XX hunger in his previous life.

Thinking about Fang Yuan's previous life, but when it comes to the food delivery industry, in the early days of its popularity, it was a group, a certain hunger, a certain delivery, and other software blooming.

But after a lot of shopping, in the end, a certain group and a certain hunger had the last laugh and successfully seized most of the market.

Since then, if you look at it again, the entire food delivery industry is almost dominated by these two companies.

The delivery fee can be increased as much as you want, and you can play all kinds of tricks of "earning money in the dark" as you want.

No matter how unhappy consumers are, unless they don't use the software of these two companies, they will have to hold their noses and admit it whenever they want to order takeaway!

(End of this chapter)

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