Chapter 348: Intuition is Intuition
Hong Kong Island, Tiger City Trading Company.
There are several pieces of clothing hanging on the hanger.
One is a men's shirt, one is a jacket, and a suit.
He Can was holding some materials in his hand and was introducing Li Hucheng.
"This is the sample that He Jun got back from the country the day before yesterday, and now we can choose two products to produce. Chino's intention to give us orders is 3 million shirts and 2 million jackets a year. ”
"The technical indicators, the templates are here. The inner packaging standard and the outer packaging standard are also given to us. ”
"On the issue of fabrics, I went to Zhejiang Province last week to inspect and preliminarily determine the supplier. The technical standards and samples of the fabric, I have sent them to the United States. ”
"The fabric is up to the mark, right?"
Li Hucheng is most worried about this.
If the fabric is purchased in China, whether it is the ex-factory price or the transportation cost, it will be greatly saved.
If you import fabrics from abroad, the cost will undoubtedly rise sharply, and a lot of foreign exchange will be consumed.
This is not the time when he had 3 trillion yuan in foreign exchange reserves in his previous life, and now the foreign exchange is very tight, so he will try to save some if he can.
"I think there should be no problem, this fabric in Zhejiang Province used to be supplied to a manufacturer in Java. This house in Java originally produced shirts and jackets for the Chino brand. ”
"This year, due to a fire caused by a volcanic eruption, the processing plant in Java was destroyed by fire, and we had the opportunity to win orders from Chino. ”
"Because it's the same fabric producer, there shouldn't be any problems with the fabric. As long as we keep an eye on it, the quality does not decrease. ”
"Although this batch of orders is not small, the time is also very tight, and it must be shipped from March next year. ”
"In January next year, the production samples must be sent to the United States, and they can only sign the contract after they pass the inspection. ”
"How much is the deposit?"
"Pay 20% in advance, and after the transaction, they give a letter of credit. Although Chino is not too famous, it is not small, and it has a history of forty-two years. Its products are mainly aimed at the middle class, so they sell a lot. Shirts, in particular, are in greater demand. ”
"If we have the right quality and timely delivery, we may strive for more orders for shirts in the future. ”
Regarding the dressing habits of the Chinese people, Li Hucheng knows a little bit.
Unlike Chinese people who buy shirts and buy one shirt at a time, Chinese people often buy a dozen shirts at a time, twelve pieces. Shirts are also changed frequently.
This is of course a habit, but it is also determined by people's affluent life and high consumption level.
This order belongs to the form of cooperation in sample processing, and it is pasted with the brand of Chino Company, which is essentially an OEM.
His profit is not much, and the big head is actually made by Chino.
However, due to the domestic procurement of fabrics, buttons and other accessories, the cost occupies a certain advantage, and the profit is still higher than that of incoming processing.
But now that I have just entered this industry, it is not easy to get export orders, so I have to take this order.
From the perspective of domestic manufacturers, it is very enviable to get such a list.
Li Hucheng's long-term goal is, of course, to create his own brand. However, brands cannot be created overnight, and at present, they have to take a two-legged approach, while slowly creating their own brands.
"The current exchange rate of the Chinese dollar against the yuan is 1:5.7619 and the exchange rate against the Hong Kong dollar is 1:0.89. Whether it is the Hong Kong dollar or the renminbi, the linked exchange rate system is adopted, and the rice dollar is kept. ”
"The landed price given by Chino is 72 US dollars per dozen, which is converted into 6 meters per piece, equivalent to 34.57 yuan. ”
"Deduct freight, taxes, raw material costs, labor costs, and miscellaneous expenses. Unforeseen expenses and other costs, my father and I calculated, Guanshan's median salary is calculated according to 300 yuan, and the net profit of each shirt processed is about 13~14 yuan. ”
According to this profit, with an annual output of four million shirts, it can earn about 50 million yuan a year.
This money looks like a lot, but this is the profit of more than 1,000 people, and the average person only creates a profit of 50,000 yuan per year, which is less than 10,000 yuan.
It looks quite impressive at home, but internationally, it is not even as good as the price of coolies in a developed country.
"Well, let's go next. ”
Li Hucheng reluctantly accepted this reality.
At present, it is at the low end of the international industrial chain, and it is very good that this kind of low-tech labor-intensive enterprise can receive such a large order.
At present, he can only work as a coolie for others. Who told us to fall behind?
"Don't be discouraged in Tiger City, not only for the mainland, but also in Java and Siam, the price is about the same. People have a market, and that's the most important thing. ”
"In the future, there will be a huge market in the mainland. ”
"Well, I believe, let's take it one step at a time. Since you agree, tomorrow I will fly to the mainland and go to Guanshan to make samples, and go to the United States as soon as possible to sign the contract. I'm going to sign it for three years, what do you think?"
"Okay, let's sign it for three years. In the past three years, we have also made our own brand. ”
"It's not easy to make your own brand, but it's not impossible, you take your time. You're still young, and you have time. ”
"I'm young, my cousin isn't young. ”
"Go, go, even my cousin dares to joke. By the way, the affairs of Qiongdao have been dealt with?"
"After processing, withdraw for the time being, and enter again when the right time is in the future. This exchange rate gives you and Qianqian money ....... ”
Speaking of this, Li Hucheng was suddenly stunned and remembered an important matter.
"Cousin, the contract is not signed for three years, but temporarily signed for one year. ”
"Why? The three-year contract is more stable, and such a good thing is rare. ”
"At present, there are already signs of inflation in the mainland and Hong Kong Island, and next year and the next year, inflation will further intensify and the economic development rate will stagnate. ”
"The mainland is now in urgent need of foreign exchange, and in order to expand exports, it will definitely stop the exchange rate system linked to the rice yuan and implement currency depreciation. Sign a one-year contract and observe the impact of currency depreciation on exports. ”
"Currency depreciation is good for exports. ”
"But I'm afraid that the United States will implement a quota system. Set a year first, and wait for the second half of next year to observe. As long as our quality is qualified, the price is right, and the delivery is timely, even if the exchange rate changes, Chino will give us the order. ”
Li Hucheng remembers that in 1994, the renminbi took the initiative to depreciate, and the exchange rate against the rice yuan depreciated from 1:5.7619 to 1;8.6.
Such a large depreciation will inevitably have a very important impact on exports, and even shocks.
"Okay, then sign for a year first. By the way, since you judge that it will depreciate, can you infer how much it will depreciate?"
"1:8 or more. ”
"So much?"
He Can was a little incredulous.
"Pretty much. ”
"How did you figure it out?"
"Intuition. ”
Good, good, intuition is intuition.