Chapter 360: Bad Competitive Methods

This is a topic that seems a little incomprehensible: Pepsi invested in Tianfu and used Tianfu's shell to produce Pepsi Cola and open a channel for Pepsi to enter China.

Nothing seems to be a problem.

But it obviously sounded like there was no problem, Liang Yifei always turned the topic around it over and over again, but Thomas was not as impatient as he was at the beginning, and his expression was obviously solemn.

"What is the biggest obstacle for Pepsi to enter China?"

Liang Yifei asked himself and answered: "Is it the government's permission? Obviously not, our Chinese government has always welcomed and accepted foreign businessmen; is it the production equipment, site, and labor? Maybe, but with China's prices and human resource costs, 300 million yuan is enough to build a factory; in fact, at present, a large part of Tianfu's subordinate bottling plants are idle, that is to say, if we buy Tianfu, the three hundred million yuan and the personnel wages and expenses are at a premium. Then the question arises, with Pepsi's shrewdness, why buy Tianfu at a premium? If you follow the normal process, you will build your own factory, and the cost will be lower. ”

After a pause, he said with a smile: "Of course, China's policy is to exchange the market for technology, and there are certain difficulties in wholly foreign-owned enterprises, so we must find a shell to cooperate, but the problem is back to the beginning, you can find a smaller, cheaper local manufacturer, why spend so much money to find Tianfu?"

Hearing the phrase 'market for technology', Thomas's previous contemptuous attitude towards Liang Yifei has finally changed, which is indeed China's current national policy, but it does not appear in any official documents, and not every Chinese entrepreneur and official can clearly grasp it.

Even foreign-invested enterprises may not be clear to everyone, and only after careful analysis can a large enterprise like Pepsi come to such a judgment: Backward China provides all kinds of preferential treatment to foreign businessmen and opens up its market in order to use its own market to attract foreign technology in a short period of time, and to give money to foreigners to earn money in exchange for foreign advanced technology and experience.

Almost all the time Liang Yifei was talking, and he said: "Because Tianfu is a good brand, it ranks first among domestic cola, and its market share is the first, even more than Coca-Cola, investing in Tianfu will of course make people think that this is a win-win deal, domestic brands get foreign funds and technology, become bigger and stronger, and foreign capital can grab profits." But ......"

Having said this, Liang Yifei was no longer ready to continue to detour around the corner, stared at Thomas's blue eyes, looked solemn, and said: "However, the fundamental purpose of Pepsi Cola's acquisition of Tianfu Cola is to eliminate China's domestic brands and destroy the biggest competitor in the mainland market at the lowest price!"

Thomas's brows gradually furrowed, but he still didn't say a word, staring at Liang Yifei deadly.

"It is worthy of being a world-class enterprise, this set of business methods is used unknowingly, it seems to invest in the Tianfu brand, and after getting it, immediately hide this brand and let it vacate the market for Pepsi. If you compete normally and want to defeat Tianfu Cola, your publicity costs, market costs, and production and construction costs are far more than 300 million, maybe 300 million can't do it, but now, with this little money, you will completely make a national brand product with the largest market share in the mainland and the country's positioning as a key support, disappear from the market, and then Pepsi will occupy the blank left by Tianfu, and win a battle almost without bloodshed."

Liang Yifei sneered and applauded lightly: "This battle, Coca-Cola has been fighting for more than ten years, and has invested countless times, but there has never been much progress, at most it can only be equal to domestic Coke, and Pepsi only took 300 million yuan to complete it in one year, should I be amazed by this?"

After a pause, he said, "Mr. Thomas, if you continue to remain silent, then I will leave now, and I can talk to the local government about this issue, and I can also talk to the Chinese side of Tianfu." ”

Thomas finally spoke, "So what, first, it's just your guess, and second, we didn't break the contract. ”

"First, now you can say that this is just my speculation, but if the production of Tianfu Cola has been down sharply since the beginning of this year, and it has fallen sharply while many bottling plants are idle, then my guess is obviously correct; ”

Thomas spread his hands and said disdainfully: "What principle? I have not received any official or Chinese notice telling me what principles there are other than the terms of the contract." ”

That is to say, we have made major concessions and sacrifices to foreign businessmen, and if you take advantage of these concessions and sacrifices and gain benefits, then it should bring us improvements in technology, capital, management, etc., in short, we are paying tuition. Mr. Thomas, I would like to ask, is there any school in the world where students pay high tuition fees, but the teachers do not teach the skills, not only do not teach the skills, but they deceive the students into bankruptcy?"

After seeing the Tianfu information in the car for the first time, Liang Yifei's heart was slightly moved, and he was a little suspicious, after chatting with the Tianfu factory guards and Bahrain, and after visiting the Tianfu factory on the spot, Liang Yifei could already determine that Pepsi used this set was exactly what he had learned in the MBA in his previous life, and in the early 90s, the most common and worst trick in the fierce competition between foreign brands and domestic brands:

In the early and mid-90s, after more than ten years of exploration and development of reform and opening up, there have been a number of excellent domestic brands, coupled with the support of the state, the patriotic psychology of the people, and the pride of national brands, these brands initially have the strength to compete in local and world brands.

Foreign investors entering the mainland market did not go head-to-head with these local brands, but used huge capital to directly buy brands and hide them.

In just two or three years, those domestic brands that were once popular all over the country disappeared, and when they came to their senses, it was too late to ban foreign capital from holding domestic strength brands, and foreign brands had already occupied the market. ‘

Many brands like Tianfu that have the hope of becoming the light of the nation have disappeared in this way.

Strictly speaking, this is one of the tuition fees to be paid for backward and advanced.

Liang Yifei has not learned this case of Tianfu, but Liang Yifei has learned this method, so after investigating it clearly, he can clearly judge the true intention of Pepsi.

Liang Yifei's tone became stern, and said: "We are poor, we are backward, but we are definitely not fools, we welcome foreign businessmen to do business, but the premise is a win-win situation." As I said before, I can't compete with Pepsi, but I certainly have the ability to make your plans a major obstacle. You should know that this is China, and we all have a visible hand above our heads, and the power of this hand is so strong that even a world-class company like Pepsi cannot compete with it. ”

Thomas was silent for a moment, and then said, "What is your purpose here?"

No matter how strict Liang Yifei said and how pertinent his analysis was, since he came to the door instead of going directly to the government department or the Chinese side in Tianfu, it can only show that he has something to ask for this trip.

If you have something to ask for, then you can go back to negotiations.

It's like going back to what Thomas does best.

"I am in the health care products business, and I want to buy the previous bottling plant in Tianfu from Pepsi. Liang Yifei said.

A disdainful smile appeared on Thomas's lips, and he said, "It seems that you are not a true patriot." ”

Whether it is a patriot or not is not what Thomas said, nor can it be judged through a few collaborations or one or two business behaviors.

At this time, Liang Yifei was not ready to argue with Thomas about whether he was a patriot or a traitor, but said: "The way for businessmen to love the country is to do their own business well and create more jobs and taxes." Mr. Thomas, we are all businessmen, so there is no need to talk about national justice, let's talk about business. ”

"Just because of your so-called speculation, I'm going to sell you those bottling plants that have advanced equipment and are ready to be put into Coke production?" asked Thomas, smiling.

"Not all, of course, I think, about half. Liang Yifei said.

"Mr. Liang, I admit that you are not very different from the Chinese entrepreneurs I have met. But you seem to have forgotten that the bottling plant is not a dispensable asset for Pepsi, and we also need a bottling plant, and if you want half of it, then where will our Coke be filled? Will we spend more money and energy to build the same bottling plant after selling it to you? Even if I agree, this inexplicable deal will not pass in the boardroom. Thomas said.

"But you don't need it right now, a lot of bottling plants are shut down, and you have to pay the wages of the workers and the maintenance of the equipment. Liang Yifei said.

"Will be useful in the future. Thomas said.

Liang Yifei smiled: "The problem is this, I think that the management of Tianfu Cola, even if it has no business acumen, must have signed a relevant agreement with you at the time of the merger, and there is an agreement on how much Tianfu Cola will be produced every year, right?"

After a pause, he said: "As far as I know, the contract requires that no less than 40% of the products every year be Tianfu Cola." ”

"How do you know?" said Thomas.

At the time of the merger, the contents of the contract are confidential.

Liang Yifei laughed and said, "Mr. Thomas, you really don't know much about the national situation, here, nothing can really be kept secret." ”

This news was obtained by Liang Yifei from the old man of the doorman for three hundred yuan.

Originally, he was not sure, just deceiving Thomas.

Foreigners are sometimes treacherous like ghosts, and sometimes they are as simple as children.

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