In 1984, there was a fierce fight between supermarkets in Hong Kong

"War", the weapons used are not guns and rockets, but big discounts. This one

The "war" was fired by PARKnSHOP Group. On April 26, 1984, it had 79 branches in Hong Kong

The "PARKnSHOP" group suddenly published a price reduction advertisement, announcing that dozens of commodities would be sold at a reduced price, ranging from 10% to 30%.

Another supermarket group with 78 outlets

"Wellcome" immediately made a posture of responding to the battle, and pushed the price of the commodity to a higher level

"PARKnSHOP" is lower. After all of its branches closed at midnight, the price tags were changed overnight, and the next morning, customers noticed that the prices had dropped significantly.

The "war" is intensifying, and there are more and more goods that have been reduced in price, from food to daily necessities.

"PARKnSHOP",

Wellcome is part of two consortia that have long been in fierce competition with each other. At that time, more and more supermarkets were opening in Hong Kong.

In April 1984, there were 393 supermarkets in Hong Kong, and there were many shopping malls.

At the same time, due to the increase in goods in the Hong Kong market, the oversupply, and the increase in the channels for goods to enter Hong Kong, many factories hope to sell their products in Hong Kong, and the purchasing power of Hong Kong citizens has not improved, resulting in a backlog of unsalable.

To stimulate consumption, eat a lot

"Little Fish" broke out this price reduction war. The reason why these two groups dare to launch a price reduction war is because they have an advantage in the supply of goods and banking futures.

Hong Kong's supermarkets all order from foreign companies, because of the large quantity, the transaction price is very favorable, the price is cut by 10 yuan and 8 yuan without losing money.

They have a longer banking period, usually 60 days, which can be extended to 120 days if they are underwritten.

This business war has thrown the Hong Kong market into turmoil. Hong Kong's

"PARKnSHOP" and

The two major supermarkets of "Wellcome" are operated by the Group, and the goods ordered account for more than 80% of the purchases of supermarkets in Hong Kong.

In order to win customers, the two major supermarket groups began to cut prices and compete for sales in late April, and refused to stop for several months, with most commodities cutting prices by 10%~20%, and even some major commodities reduced to below cost.

People described it as a show

"Hand-to-hand combat", and

"Fist to the flesh". The two major supermarket groups have cut prices and competed, and many small and medium-sized supermarkets and stores have suffered - some have collapsed, some are out of breath and are precarious, but some small and medium-sized stores are as safe as a mountain, and some have increased some customers and developed.

The trick of the latter is to adopt the strategy of watching the fire from the other side. When the two major groups cut prices and compete, they did not follow the price cuts, but calmly analyzed the two major supermarket groups in the goods that competed to cut prices, what is the market demand situation, and take the goods you cut the price of I will not operate, let's have one

"You have nothing to do with me",

"Don't engage in popular drills". Just imagine, if the enterprise with very small capacity does not adopt the strategy of watching the fire from the other side, and blindly intervenes, the wealth is not big, the gas is not coarse, and it will inevitably be unlucky.

The two major supermarket groups have been fighting for four months, and their vitality has been damaged, and then prices have rebounded.

At this time, some small and medium-sized enterprises that followed the price competition had no choice but to do so because they had no funds

"Looking at the price and sighing". The small and medium-sized enterprises that watched the fire from across the strait saw that the time had come, and actively operated and benefited a lot.