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Chapter 131: A blessing in disguise

Thanks to Shi Wenjin's order, workers in Tian's flour mill worked three shifts around the clock, and the daily output of the new equipment was also high. After a quarter, Tian's flour company's output and profit exceeded Lu Yuankun's flour

The factory became the city’s number one flour mill.

Mr. Tian was very happy and personally held a banquet to celebrate Tian Meimei and Shen Chen. The sudden power of Tian's Flour Mill caught Lu Yuankun off guard. Why did Tian's Flour Mill, which had always been ranked fifth, make rapid progress overnight? After investigation, it was Lu Yuanhao who secretly helped Tian Meimei.

After having her flour mill update its equipment, Tian Meimei got a big customer in the past six months.

In a city, colleagues are enemies, especially the first and second-ranked flour mills like Tianjia and Lujia. Lu Yuankun's flour mill has always occupied half of the city's share, but due to the sudden rise of Tian's flour mill, his flour mill has

The city's share has dropped to 30%, which makes Lu Yuankun very unwilling.

In order to suppress Tian Meimei's rising momentum, Lu Yuankun took price reduction measures, lowering the price of flour by a dime per kilogram. Lu Yuankun and Tian Meimei's flour mills have a monthly output of more than 1,000 tons, and their monthly net profit is less than 100,000 tons.

Diverse.

One hundred thousand yuan is a small amount of money for Tian's Flour Mill, but customers in this city have withdrawn and switched to Lu's Flour Mill, which makes Tian Meimei a little worried. If he follows Lu Yuankun and lowers the price, a price war will occur, and profits will be lost.

The space is getting smaller and smaller; but if the price is not lowered, the flour market in this city will be monopolized by the Lu Group.

After discussing with Shen Chen, Tian Meimei decided not to reduce the price of flour. The two calculated an account and found that the total gross profit of a pound of flour was less than 20 cents. If it were reduced by 1 cent, it would require double the output to earn the same profit. Because Shi Wenjin

The orders can guarantee an output of 100 million yuan per year, and the company can achieve a gross profit of 20 million yuan.

After running this model for a month, although Lu Yuankun doubled his output, his total profits remained almost unchanged. Employees worked overtime, but their income remained unchanged, so there was a wave of resignations at Lu's Flour Mill. Tian Meimei seized the opportunity

He recruited all the workers who resigned from Lu Yuankun and installed two large pieces of equipment at the same time.

Due to the exodus of workers in large numbers, Lu Yuankun had to increase workers' wages in order to retain and recruit workers. In order to maintain the company's profits, the price of flour was increased by five points. As the price of flour increased, Lu Yuankun's customers began to disperse. He was faced with internal and external difficulties.

Lu Yuankun's flour price reduction measures this time actually shot himself in the foot.

The old workers resigned, and the new workers needed an internship period, so the output could not be increased at all. The old employees of Lu Yuankun who Tian Meimei took over directly became the technical backbone of Tian Meimei's new equipment. Tian Meimei's flour price did not decrease, but the output increased by 3 million tons. This news

Later, Lu Yuankun realized the mistake of lowering the price and gradually returned to the same price as Tian Meimei.

Although Lu Yuankun and Tian Meimei's flour prices are the same, the consumer psychology is different. Consumers feel at ease when the price of flour falls, but they feel uncomfortable if you increase the price. So many consumers changed their stores and went to Tian Meimei's flour store to buy flour.
Chapter completed!
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