Chapter 126: The price war begins
In a blink of an eye, it was the opening day of the Canton Fair.
Before dawn, Li Weidong came to the exhibition hall, and then put several sets of wool car cushions on his counter.
In the cushion exhibition area, the most conspicuous position is the linen car cushion, and Li Weidong's sets of wool car cushions suddenly seem a little out of place.
But it is precisely this kind of incompatibility, like a husky mixed in a flock, which is too conspicuous and can instantly attract the eyes of merchants. When everyone comes to the cushion exhibition area, the first thing they see is a wool car cushion.
Li Weidong sat in the corner, looking very indifferent, looking at foreign businessmen of all colors walking around.
On the first day of the exhibition, except for the orders negotiated in advance, the vast majority of foreign businessmen just came to visit and were not in a hurry to place orders.
And Li Weidong has already received news from Ma Dexing that Wal-Mart buyer Gordon has already stayed in the White Swan Hotel and will definitely come to the exhibition site today.
Wool car cushions are something that people in ordinary countries can't afford, and only the rich dog in the United States will buy it in large quantities, so Li Weidong simply found a place to shrink and wait for Gordon to arrive.
As a result, Gordon didn't wait, but waited for the Mr. Wu from Singapore.
At the last Canton Fair, Mr. Wu also ordered 1,000 sets of linen car cushions from Li Weidong, although the number is not much, but he is also a repeat customer.
Seeing Mr. Wu coming over, Li Weidong immediately greeted him.
"Mr. Wu, we're meeting again!" Li Weidong opened his mouth to say hello, and then asked: "The linen car cushion last time sold well in Singapore, right?"
"The temperature in Singapore is hot and the air is relatively humid, this linen car cushion is indeed very suitable for use in Singapore, and some of my Chinese friends in Malaysia are also interested in this car cushion, so I plan to order another batch of car cushions this time. Mr. Wu replied.
"That's great! I'm more than happy to serve you. How much are you going to order this time?" asked Li Weidong.
Mr. Wu said, "I wonder if the price has changed this time?"
"Of course not, it's still $29 a set, $8 a piece if you buy the front seat separately, and $15 a piece if you buy the rear seat separately. Li Weidong said.
"Since the price hasn't changed, I'm going to order 1,000 more sets. Mr. Wu said.
At this moment, someone from another manufacturer next to him came over.
"Sir, our linen car cushions are priced at $25 a set!" the man began.
Mr. Wu was slightly stunned, and then looked at the man: "You mean, your linen car cushions, 25 US dollars a set, are they the same as the products that Mr. Li sells?"
"Of course, you see, this is our product, which is also made from a blend of flax and wool. The man hurriedly brought a sample and handed it to Mr. Wu.
Mr. Wu took the sample, looked at it carefully, and then touched it with his hand, as if to confirm whether the materials were consistent.
Then Mr. Wu looked at Li Weidong and said, "Mr. Li, I'm very sorry, I'm afraid I can't purchase products from you, this colleague of yours, his products are the same as yours, and the price is lower." ”
"It doesn't matter, you have the freedom to choose the product. Li Weidong smiled, not at all annoyed after being robbed of business, as if he was not in this order at all.
At this moment, a sales representative from another manufacturer also came over, and he said, "Sir, we can also provide the same product, and the price of one set is only 22 US dollars!"
"$22, the same product, is it real?" Mr. Wu asked, surprised.
"Of course it's true, you see, this is our sample. The sales rep immediately brought over his factory's linen car cushions.
Mr. Wu carefully touched the sample of the linen car cushion and showed a heart-warming expression.
The first sales rep saw that his business was robbed and immediately said, "Sir, $25 is just our quote, if you really want to order, our price can be lowered even more." ”
"Oh, how much can it be dropped?" asked Mr. Wu with interest.
The sales rep gritted his teeth and replied, "$21 a set!"
At this time, the third sales representative also came over: "Sir, we only sell the same product for $19!
The fourth person also came over: "Sir, we sell for $18 a set, you might as well consider our products!"
"Sir, if you place an order today, I can give you a discounted price, $17!"
"$16 for our product!"
"Ours is only $15, which is definitely the cheapest, sir, you should consider our products." ”
"Sir, theirs is by no means the cheapest, because we only sell for $14 for a set of linen car cushions!"
Seeing this scene, Li Weidong simply stepped aside, regretting that he did not have popcorn and melon seeds in his hands, otherwise he would definitely find a place now, Erlang's legs, eat popcorn and melon seeds, and watch a good show.
Mr. Wu had a feeling of being surrounded by happiness, and the original $29 set of linen car cushions dropped to more than a dozen dollars after a few minutes.
These sales representatives, in order to earn foreign exchange through exports, are also fighting, one by one bloodletting and price reduction, the scene is like the Tianjin gangsters in the old society, comparing who is more ruthless to themselves!
Looking at these sales representatives cutting their own flesh, Li Weidong smiled slightly and muttered to himself, "I expected it to be like this!"
At the last Canton Fair, when Li Weidong sold an order of four million US dollars, he had already expected this scene.
As an old fritter who has worked hard in the mall for many years, Li Weidong has long been accustomed to Chinese companies fighting price wars. Chinese companies will never learn the means of foreigners to control the pricing power of products.
In the face of competitors, most Chinese companies think of not engaging in technology research and development, not organizing price alliances, but fighting price wars.
Before and now, Li Weidong is facing a group of such enterprises.
Enterprises that have the ability to imitate linen car cushions in the first time are all state-owned enterprises with profound heritage, and these big entrepreneurs have a thick foundation, and they can lose a little.
What's more, in the eyes of these large state-owned enterprises, earning foreign exchange through exports is more important than making profits.
In '87, China suffered a trade deficit for many years in a row, and its foreign exchange reserves were about to bottom out, and the country was exporting at all costs to earn foreign exchange.
Therefore, for the leaders of state-owned enterprises, being able to earn foreign exchange through exports means that they have made remarkable achievements.
With political achievements, then there is hope for step-by-step promotion, and it is possible to be transferred to a government unit in the future, or to be transferred to the leadership of a larger state-owned enterprise.
As for whether the company will incur losses, it becomes less important than its own career.
Even if they sell one piece and lose another, as long as they sell US dollars, they can achieve the goal of earning foreign exchange through exports, and the leaders of state-owned enterprises are very willing to make this loss-making transaction.
For large state-owned enterprises, the performance evaluation of leaders should be higher than the profit assessment, and if the state-owned enterprises lose money, it is not the state-owned enterprise leaders' own money that is lost, but the state's money.
Even if the state-owned enterprises finally go bankrupt, these leaders of state-owned enterprises can also enjoy the treatment they deserve according to their rank.
......
In the morning, Li Weidong watched several good shows, all of which were price wars fought by various enterprises in order to compete for customers.
The trading price of the linen car cushion also fell below $10, as Li Weidong expected.
However, this price war has boosted the sales of linen car cushions, such as Mr. Wu, who saw that the price was only one-third of the original, so he purchased 2,000 sets of linen car cushions at once.
There are also some less wealthy countries, such as Argentina, Chile and Venezuela in South America, Malaysia and Thailand in Southeast Asia, and some merchants from the Middle East, who have also purchased a batch of linen car cushions.
A $10 cushion is still affordable for people in these countries who can afford to buy a car.
This morning, the orders from various countries added up piecemeal, and the number was also 30,000 sets.
It's just that the total price of these 30,000 sets of orders adds up to less than $300,000.
......
This time at the Canton Fair, it was still Sun Xinmin who was sent by the Ministry of Foreign Trade and Economic Cooperation.
At this time, Sun Xinmin was staying in the office, eating a boxed lunch while listening to the report on the morning transaction.
Sun Xinmin is also a person who is about to be promoted to deputy director, and with his identity and status, the local government has already arranged for him to go to a restaurant for lunch.
However, Sun Xinmin is a pragmatic official, so he refused the local arrangement and did not go to the guest house for lunch, but stayed directly on the front line of the Canton Fair and ate a boxed lunch.
In this way, if there is any temporary emergency, Sun Xinmin can deal with it immediately.
As a leader, Sun Xinmin still enjoys some special treatment, such as an extra Cantonese roast goose leg in his boxed lunch.
The roast goose leg is very fragrant, and Sun Xinmin eats a mouth full of oil, but his mind is not on the roast goose leg, and his mind is full of data reported by the eye secretary at this time.
I only heard the glasses secretary say in a straight voice: "This morning, a total of 30,000 sets of linen car cushions were sold in the cushion exhibition area. ”
"30,000 sets?" Sun Xinmin raised his head, and then asked, "Wal-Mart's Gordon, is it in these 30,000 sets?"
"Nope. The secretary looked at his watch, and then said: "The news from the White Swan Hotel, Gordon didn't get up until ten o'clock, and then ordered breakfast, he should have just finished breakfast now!"
"Wal-Mart has sold 30,000 sets before it comes, and this linen car cushion is really marketable!"
Sun Xinmin continued: "I remember that this set of linen car cushions can be sold for 29 US dollars, and if there are 30,000 sets, that will be 870,000 US dollars! If Gordon orders more than 100,000 sets, this linen car cushion alone can be exported to earn 5 million foreign exchange!"
"Uh......" The glasses secretary hesitated for a moment, and then said: "Director, I'm afraid there aren't so many, these 30,000 sets of linen car cushions were sold for less than 300,000 US dollars in total." ”
"What? how can it be so little?" Sun Xinmin put down the chopsticks in his hand and continued: "Take the form!"
The secretary hurriedly handed the form to Sun Xinmin.
Sun Xinmin looked at the data on the table, and his face turned blue.
Sun Xinmin is also an old foreign trader, and he can see at a glance that these exhibitors have started a price war!
"These turtle grandchildren!" Sun Xinmin couldn't help but burst out of the dialect of his hometown.