Chapter 351 - Three Hundred and Forty-Seven:
Translator: 549690339 |
“Exactly.” Tang Luo nodded and smiled: “So the remaining ninety percent of people don’t lack the need for farming tools; they just can’t buy them due to the price.”
At this point, Gong Zheng seemed to have been struck by a thunderbolt, and he exclaimed, “Do you mean that we should now lower our prices to seize market share?”
Seeing Gong Zheng’s eagerness, Tang Luo laughed and said, “If you lower your prices, others can too. Everyone is watching you.”
“Then…” Gong Zheng looked confused again, his little bit of boldness dissipating. “I really don’t know what to do.”
“Do you know what the advantage of the Righteous Business Group is compared to other businesses?”
“Advantage?” Gong Zheng was even more puzzled: “Our farming tools aren’t as good as the others, and our seeds don’t offer the same discounts. I really don’t understand what our advantage might be.” Even his business skills were learned halfway. If not for the young master pointing out the business opportunities early on, he wouldn’t even have the stage he now has.
“Hehe, if you had no advantage, why would other businesses see you as a competitor and align their prices with yours? They wouldn’t even dare to exceed you in producing better farming tools.” Tang Luo laughed, “You were the first business in Xiling agriculture, and you made such a big scene from the start, so you’ve become the standard for Xiling’s agriculture. They want to compete, they can only start from a cost-effective angle. Doesn’t this prove your advantage?”
Gong Zheng was stunned. He had always thought of himself as the weakest link. He never realized that others saw him that way. Had his pricing standard already become an insurmountable gap for them?
“If you consider this a battle, you should understand that a total advantage is almost nonexistent, so the connection between fighting and business is to find our advantage, use our strengths against their weaknesses, understand?” Tang Luo asked calmly, “Tell me, how many farming tools do we have in stock right now?”
“I’ve bought all the farming tools from several nearby cities, totalling 240,000 sets!” Gong Zheng replied. His group had accumulated several million gold, originally meant to save Mrs Xu’s life. But since he pledged his allegiance to Tang Luo, he hadn’t seen Mrs Xu again, and the money was left over. After Tang Luo pointed out the business opportunity in farming tools, he put all the money into organizing a trade group. If it came down to the number of farming tools, the Righteous Business Group has the most.
“240,000 sets!? Tsk tsk.” Tang Luo looked at Gong Zheng several times, also stunned by the number: “You’ve got quite the guts. You’re secure. Your advantage is immense!”
“Firstly, we have the biggest scale in Xiling and were the first to open a farming tools store, and we have the best reputation.”
“Secondly, we have sufficient stock. Finally, and most importantly, you control three thousand gang members.”
Tang Luo’s eyes shone with wisdom. He confidently said, “Combining these three advantages, within three months, we can monopolize the Xiling market!” The ambitious Tang Luo didn’t even notice the shocked look on Gong Zheng’s face.
As a gang lord who had fumbled around in the underworld for twenty years, he had seen a lot of ups and downs. But all the shocks he had experienced in the last twenty years added up wasn’t even comparable to tonight’s surprise.
A moment ago, the young master said that even the Tang Clan couldn t monopolize Xiling’s agricultural market. But in a blink of an eye, he’s saying that with just our ragtag Righteous Business Group, we could achieve it. All this was too shocking for him, and he became speechless.
“What, you don’t believe it?” Tang Luo asked with a smile.
“No.. I just.. I just….” Gong Zheng constantly denied, but his voice was getting lower and lower. He didn’t know how to describe his complicated feelings.
“Heh, you think you can’t sell 200,000 farming tools in three months, but what about giving away 200,000 sets!? ” Every time Tang Luo opened his mouth, it made Gong Zheng’s heartbeat skip a beat.
He couldn’t believe his own ears: “Give…Give them away? Wouldn’t this be… a total loss?”
The ultimate goal of business is to make money. If the price to dominate the market is a total loss, then this market isn’t worth it.
“Those without a grand strategy cannot control a territory, those without an eternal plan cannot control an era! You have no ambition.” Tang Luo laughed and scolded, “You said you couldn’t monopolize the Xiling agriculture market in three years. Now, I’m telling you that you can occupy more than seventy percent of the market in three months, and then recover the money in three years. And you’re afraid of total losses!?
Gong Zheng was completely puzzled. He was unsure about giving things away for free and then charging for them. What does this mean?
Tang Luo sighed and shook his head. Perhaps this form of pre-payment consumption was still too advanced for the people of this world. He could only explain, “If there’s a set of farming tools that can be bought today for thirty gold, and the three hundred gold principal can be paid off in ten installments over three years, what do you think the Xiling people who can’t afford farming tools would do?”
Hearing these words, Gong Zheng’s mouth dropped open wide enough to swallow a fist. There was only one thought in his mind: You can do that? You can actually do that!
“Maybe a one-time payment of three hundred gold is quite a large expense for most civilians in Xiling, but thirty gold… I believe they would even borrow to get it. And once they buy the full set of farming tools, they can develop their own fields and their lives will get better and better. Do you understand? ” Tang
Luo said lightly.
Business, in the end, is about fulfilling urgent needs. Those Xiling people who want to buy farming tools but don’t have enough money represent a huge demand. This enormous demand will ferment into a great business opportunity. In his view, monopolizing Xiling’s agriculture was very easy. “Master, I understand! I’ll go and arrange it!” Gong Zheng, as ever, felt his heart filled with a flame of hope. Even though the moonlight was cold, he felt warm all over, his blood boiling with vigor.
“Wait.” Tang Luo waved his hand and asked with a smile, “How are you planning to handle this?”
“I’ll gather all the storekeepers in the Righteous Business Group and start spreading the news tomorrow!” Gong Zheng said enthusiastically, “With the three thousand members of the Righteous Gang, we can spread this news all over Xiling in a few days. In less than three months, I’ll make sure that all 240,000 sets of farming tools are sold.”
He has courage and decisiveness, but lacks comprehensive carefulness. It seems this guy still has a lot to learn.
“By making a big show of it, everyone will know, you’re just giving away your advantages.” Tang Luo laughed and said, “If you can do this, others can too. If their farming tools are better than yours, why would people in Xiling come to buy from you? Right now, our advantage is our large inventory, but do you know that if a small family workshop is in full operation, they can easily produce over a hundred sets of farming tools in a day. How many farming tool shops are there in Xiling? How many families back them? Huh?”