Manufacturing, service, retail, hotel, real estate, plus a promising computer industry and an entertainment industry that is not even a start, Wu Xiaozheng feels that his steps seem to be a bit big.

Will this pull the egg?

He's thinking about it very seriously.

For an entrepreneur with a dream, a future business kingdom must be well planned, and this kind of planning must follow the general trend.

Among the industries he is involved in now, manufacturing, services, retail, hospitality, and the fast-growing computer industry are the core of his future business kingdom, and only the real estate industry is too unstable.

The real estate industry can easily collapse!

In this regard, there are profound historical lessons.

The lesson came first from Japan.

In the mid-80s, land prices in Japan began to soar wildly as a large amount of money poured into the real estate industry.

Since 1985, land prices in the six major cities of Tokyo, Osaka, Nagoya, Kyoto, Yokohama, and Kobe have risen by double digits every year, with residential land prices rising by 30.7 percent and commercial land jumping by 46.8 percent in 1987.

In 1990, the land price index in the six major urban centres rose by about 90 per cent compared to 1985. In the Tokyo metropolitan area, land prices rose almost vertically from 1986 onwards, peaking at 1990 and about 2.5 times higher than in 1983.

Since '91, Japan's housing prices began to plummet, falling by 70% that year.

As a result, the poor who acted as pick-up heroes even had problems renting and eating, and many chose to jump off the building.

For enterprises engaged in real estate business, if they do not withdraw in time, they will immediately fall into the dilemma of broken capital chain.

The real estate crash in Japan in 91 suffered not only from the ordinary people who acted as pick-up heroes, but also from a large number of real estate companies that did not evacuate in time.

The second lesson comes from the superpower, the United States.

In 2008, because of the subprime mortgage crisis, the real estate in the United States collapsed, which not only made a large number of the American middle class poor at once, but also caused large companies such as Freddie Mac and Fannie Mae to close down overnight.

In addition, Hong Kong, China, also caused a real estate crash during the financial crisis in the next few years.

……

Once a country's real estate industry collapses, it will be fatal to the people who speculate in real estate, as well as those real estate companies that fail to retreat in time.

Wu Xiaozheng naturally didn't want such a fate to happen to him.

Therefore, for the real estate industry, even if he wants to get involved, it is only as a windfall industry to play for a while, and he will definitely run when it is critical.

He was thinking about a very important issue right now.

Once you really start getting involved in this industry, when is the right time to run?

Perhaps, the future of the real estate industry can continue until 2020 at most!

He came to such a conclusion.

The reason why he came to such a conclusion is not unfounded.

He remembers that in his previous life, around 2000, domestic housing prices had risen wildly for more than ten consecutive years, which not only emptied the energy and wealth of too many people, but also overdrawn the growth potential of China's economy.

There is no doubt that China's property market has formed a bigger property bubble than the current Hainan real estate bubble in that long period of madness.

Bubbles always have to burst!

Based on the collapse of the housing market in Japan and the United States, some people have summarized four conditions that led to the bursting of the bubble.

First, real estate development has entered a saturated state.

Second, housing prices continue to rise, and the bubble is serious.

Third, monetary policy has suddenly changed from loose to tight.

Fourth, an economic crisis has broken out or occurred.

Wu Xiaozheng feels that these four conditions are actually very reasonable, for example, the Hainan property market that is about to collapse, and the reason for the collapse is particularly consistent with the first three conditions.

In the previous life, around 2017 and 2018, China's property market was basically in a situation where all these four conditions were met.

Especially in 2018, when China and the United States start a large-scale trade war, it is likely that a certain economic crisis will occur, which will become the fuse of the property market crash.

Wu Xiaozheng thought to himself that by 2017 or so, Wu's enterprises would have to consider a large-scale retreat from the real estate industry.

To be honest, if he can, Wu Xiaozheng really doesn't want to get involved in the troubled waters of the real estate industry.

In his view, in the next two or three decades, although the real estate industry will drive the development of China's economy for a certain period of time, it is more like a "YA piece" of China's economy, knowing that it is extremely harmful, but it is difficult to quit.

In the end, it will be like China's stock market, cutting ordinary people like leeks.

Extremely harmful!

But when he couldn't change the general trend, did he refuse this temptation?

It's really hard!

Because he knows that when China's economic development reaches a certain stage, because of the rise of the real estate economy, it is precisely the real estate developers and financial and capital players who can stand with the local government and play the mainstream players and biggest beneficiaries of China's economy.

He also knows that when inflation and inflation, raw material prices rise, and competition becomes more and more fierce, the profits of real enterprises will become lower and lower, and many will even close down.

This is also the inevitable result of China's economic development reaching a certain stage.

Wu Xiaozheng knows very well that don't look at the current Chef Wu food processing factory and chain restaurants are very profitable, but after more than ten years, the profits will be much smaller than now.

Based on this situation, it is impossible for him to give up the real estate industry, which has a huge lucrative future.

Only by making enough money and taking the capital into his own hands can he be qualified to participate in the future game, or set the rules of the game himself.

Alas, the business field is also a river and lake, and people are in the rivers and lakes, and they can't help themselves!

Wu Xiaozheng sighed and began to tease people: "Boss Liao, everything I can promise has already been promised to you, should you leave?"

Liao Hongcai: "......"

You don't have to take the village chief as a cadre, I'm also a high-level leader, okay, how can you say that you can pick up people?

Alas, it's really amazing to be rich!

Who makes the current government short of both money and investment?

Who let himself rush to hug Wu Xiaozheng's big legs?

He could only sigh with emotion.

However, he is very satisfied with today's meeting, and it is impossible not to satisfy him with the potential huge investment of several internationally renowned brands, as well as the huge cost of land sales and a future urban livable area.

But before leaving, he decided to add some trouble to this kid unkindly.

"Boy, your bastard dad has been locked up for a long time, aren't you?

Wu Xiaozheng: "......"