Chapter 113: The reason why the Li family sold the factory
Most of Wang Xin's current employees in the factories are basically skilled workers recruited from factories that have closed down.
Why did the factories that closed down go out of business?
That's because there is a backlog of things that can't be sold.
Therefore, if he still has a large backlog of goods in this factory, even if there is no problem with his own capital chain, it will still bring a lot of psychological pressure to those employees.
They're going to worry about whether the factory they're staying in is going to close down again or something.
With such worries in my heart, not only is it easy to be poached by others, but I will not be particularly attentive and attentive in doing things.
It is precisely based on this that Wang Xin said that he should not care about profits for the time being, and try not to let the inventory backlog in the factory.
Because the employees in the factory have to have confidence in the factory, which is conducive to the development of the factory in the future, so we can't care too much about the short-term gains and losses, or the long-term.
"You don't need to worry about the sales channel, the things we produce are still quite easy to sell in backward areas.
In particular, it is more expensive to sell it to backward countries that have no means of producing it than if they had just arrived here.
However, because of the ferry freight, the total profit is actually a little lower than that of selling on Hong Kong Island.
Overall, there are still profits, just not much.
However, because the initial investment is large, the current profit is far from being able to fill the previous investment, and the possibility of being able to fill it in the next ten years is also quite low, so it can still only be regarded as a loss!"
York immediately explained.
There is no way to make up for the low profits, because the factory machines in their hands do not have any monopoly products, and they are basically things that can be produced in developed countries.
There is no room for the price of such a thing that everyone can make, unlike monopoly products, which can be raised casually.
Prices for products that are generally applicable are basically transparent, in the range between a certain price and a certain price.
Sometimes, because of competition, you may have to pull the price lower.
Therefore, the normal thing to do in these industries is to mix food and clothing, and it is quite difficult to make a fortune by relying on this kind of non-monopoly thing.
"It's good to sell to backward countries by shipping.
However, I remember that the other pillar industry of the Li family is not the shipping company?
It stands to reason that what we can do, there is no way they can't do.
Why don't you transport the products you produce at home to some relatively backward areas and countries through shipping?"
Wang Xin then remembered that the two pillar industries of the Li family are manufacturing and shipping, and even the status of the shipping industry in the Li family is far greater than that of the manufacturing industry.
So I can't help but be a little curious.
Curious why their Li family didn't use shipping to save their family's manufacturing industry.
"Oh, that's clear to me.
In fact, there was no need for their Li family to sell their own manufacturing industry, after all, with their family's background, it would be no problem to lose money for a few years.
However, about a week ago, their shipping company had a big problem, and three 100-ton freighters sank in the Pacific Ocean due to an accident.
As you should know, the prices of freighters are quite high, and they all come back full of cargo.
The most important thing is that those goods were purchased by the Li family at their own expense and were ready to be brought back to the retail industry.
Plus they haven't had insurance yet.
Therefore, all the losses have to be borne by the family themselves, not only the lost crew need to compensate a large amount of compensation, but the loss of the cargo ship is even more painful for them.
In order to prevent their shipping company from having problems, they can only sell the manufacturing factory, in fact, not only the production factory in Victoria Harbour is listed for sale, but the manufacturing factories in other parts of their family are also being sold out one after another.
In order to raise funds as soon as possible, first, to buy a few more freighters to fill the vacancy, and secondly, to make up for the shortage of funds brought by previous accidents to shipping companies.
I have to say that their family is really unlucky.
There is a grapevine that the third son of their family recently lost a lot of money in a casino in Macau, and he doesn't know what to use to pay off that gambling debt!
This kind of family with many wives and illegitimate children is complicated.
If it were all like our empire, except for the eldest son, no other heir would have the right to inherit, how could there be so much chaos!"
York explained, and complained about the chaos of the Li family.
Indeed, the Li family is really chaotic, which is also a common problem in this type of family business, and it is the main reason why many family businesses are rich for less than three generations.
The power can't control his lower body, he keeps seeds everywhere, his wife on the surface, the junior in secret, and the lover behind his back......
There are also a bunch of illegitimate children of greater or younger age, illegitimate daughters and the like.
Sometimes there are aunts and wives who enter the door openly, openly and secretly fighting for power with the main wife of the family, or secretly plotting the children born to the main wife of the family.
Those children who grow up in such and such an environment naturally fall into a struggle involuntarily.
Where can a family with infighting last long?
In addition, there are some children who are contaminated with bad habits, such as drug abuse, gangsterism, gambling, etc., and the situation is naturally even worse.
Of course, this situation usually only happens in those families who have been rich for less than a hundred years.
Anyone who has been rich for more than three hundred years, and the head of his own family has no bad brain, it is not easy to say in other aspects, but at least in terms of the education of his children, he is still much better than those nouveau riche.
"It seems that the Li family, which has been chic for decades, may not be able to hold on!
As far as I know, the Helen Shipping Company should also want to stay on Hong Kong Island, and the Puxiton Shipping Company should also want to come over.
Neither of them is good at stubble, when they were on Ah San's side before, Ah San's local shipping companies were basically forced to survive.
The only one that mixes well should be the background of your empire on which the sun never sets.
A family-owned company like the Li family, which does not want to be owned by others at all, may find it difficult for the Hong Kong governor to help them stand on the platform.
On their own, they may not be the match of those two shipping companies at all, unless they can join forces with other shipping companies on Hong Kong Island. ”
Wang Xin also shook his head when he heard this.
This is a time of crisis and opportunity.