Now that Li Jianhui has started a price war, he will not stop easily. The next morning, he did not disappoint the people of Xiangjiang. Lane Crawford and Watsons put up 20% off signs.
Wellcome is not lagging behind either, with a 20% discount on the entire game, and seems to be ready to fight Xinjian until the end.
The citizens are happy, but they are miserable for small and medium-sized retailers like Xiangjiang. In terms of procurement costs and operating costs, the major giants are far lower than the small and medium-sized retailers.
The major giants can still make a little profit when the discount is 20%, but few small and medium-sized retailers can maintain their capital, so they dare not follow the discount at all. This has also caused the traffic of the three giants to skyrocket because of the discount, while their stores have not
The door is empty.
What worries these small and medium-sized retailers the most is that whether Lane Crawford and Watsons are backed by the Xin Jian Department, or Wellcome is backed by the Jardine Matheson Department, they are both Hong Kong business giants, and it will be difficult to decide the winner in a short time.
These two parties can afford to delay, but they cannot afford to delay. They do not have strong capital to sustain it.
Some smart retailers have stopped purchasing goods and have begun discounting and clearance. Most retailers still want to wait and see if a few will stop selling them in a few days.
In the office of the Chairman of the Board of Directors of Wheelock Building, Wei Li said to Li Jianhui: "I plan to keep the current 20% discount for the time being. We will stick to it for ten days and a half to clear out a group of small and medium-sized retailers so that we can occupy the market in the future.
Greater market share."
Li Jianhui naturally hopes that his retail group can monopolize the retail market in Xiangjiang, but there is one variable now, and that is whether Wellcome will cooperate.
After all, it was only his side that produced that kind of effect. Only Wellcome joined in, and the two sides competed, leaving other retail companies out of the game.
There were many such cases in the past life, where the two leading companies had a price war and finally wiped out those behind them.
For example, Laowang and Xiaobao in the herbal tea industry have been involved in various competitions and lawsuits, which has caused other herbal teas to be pushed down several levels.
"I agree with your proposal, but this time I am mainly dealing with Wellcome. You must always pay attention to the situation at Wellcome. Once they continue to cut prices, we will follow up directly. Don't care about whether we can make a profit."
Wei Li is now full of motivation. Different from the mess that Hutchison Whampoa was when he took over, both Lane Crawford and Watsons are developing well. Once Wellcome and small and medium-sized retailers are eliminated this time, he will become the only one in the Hong Kong retail market.
King.
Li Jianhui has already told him about future plans and arrangements. Starting next year, Hutchison Whampoa and Wheelock will merge several companies in the same industry, and he will serve as the chairman and president of the merged retail group.
For the development of the group he will helm in the future, he will also try to reduce the number of small and medium-sized retailers in Hong Kong this time to expand the markets of Lane Crawford and Watsons.
In order to achieve this goal, after returning to his office, Weili specifically contacted Newbigian by phone.
Both of them are top professional managers in Hong Kong. In addition, Weili and Nubigian were both at the helm of the four major foreign banks, so the relationship between the two parties is not bad.
It's a pity that after Li Jianhui took over Hutchison Whampoa, because the bosses of both sides had opposing positions, they could only do their own thing.
Upon hearing the call from Weili, Newbigian said sarcastically: "I heard that Li Jianhui has given you a heavy responsibility and is fully responsible for the affairs of the two major retail companies, and is responsible for the actions against our Wellcome Supermarket.
Why, are you ready to sue for peace after seeing our Yihe counterattack?"
Weili was not angry because of this. He already had a good future. Newbijian seemed to be prosperous now, but it was hard to say what the future would be like.
And this time he wanted to cooperate with Nubigian, not to mock each other, and he didn't have the same experience as Nubigian.
"I came to you this time to talk about cooperation. You also know the current retail market situation in Xiangjiang. Xiangjiang is so big. There are not only our three large department store retail companies, but also many small and medium-sized department store retail companies, making Xiangjiang department store retail
The market is very crowded.
I hope that both parties can maintain the current discount range for the time being, squeeze these small and medium-sized retailers out of the business first, and then everyone can rely on their own abilities."
Newbikin heard a strong ambition from Weili's words. Xin Jianxi and Weili wanted to monopolize the retail department store market in Xiangjiang.
However, this is also in line with his wishes. Newbigian also hopes that Wellcome can monopolize the retail department store market in Hong Kong?
"Weili, you have a good idea. It seems that you are very confident in the Xinjian system. It's just that it's hard to say who will win in the end. I hope you won't regret your choice in the future.
I agree with your cooperation. We will limit it to one week. Within seven days, we will maintain the status quo. We will communicate after seven days to see if there is still a need to continue cooperation."
"I definitely won't regret it. As long as you don't regret it in the future, if one day you really can't stay in Yihe anymore, you can come to me and I can recommend it to Li Sheng. With your ability, I believe Li Sheng will never
Bury yours."
Just thinking about working under Li Jianhui in the future, Nubigian felt a chill coming from the bottom of his heart. He targeted Li Jianhui and Xin Jian not once or twice. Even if he really couldn't survive in Yihe, he would rather return to England than
Will choose to join Li Jianhui's company.
At this time, Newbijian would not lose his momentum. He said loudly: "Weili, I'm afraid this is also a test for you by Li Jianhui. If the goal is not achieved, I'm afraid it will be difficult for you to gain a foothold in the Xinjian Department.
I still know your abilities well. If you leave the Xinjian Department one day, you can come to our Yihe.
I will recommend you to serve as deputy chairman of the board of directors of Jardine Matheson Holdings and executive vice president of the group, and as chairman of the board of directors of Jardine Matheson Land and group president."
Two people who are rivals of each other and both recognize each other's abilities, while thinking of defeating the other, draw the other into their own camp.
Because of the communication between these two people, an extremely tragic scene occurred in the Xiangjiang retail market.
Countless small and medium-sized retailers look at the empty stores every day and feel desolate in their hearts. They know that it will be difficult for them to survive in this industry, especially during such a period of time.
The worst thing is that they have no way to deal with the current situation. They have only two choices now, either to continue like this and face continued losses, or to change careers in time and leave this industry.
Some retailers have also spoken out in newspapers, hoping that the government can stop this behavior that disrupts the normal order of the market.
It's just that this voice is too small, and the citizens of Xiangjiang are not willing to stop the discounts of several companies. They still think that it would be better to continue like this.
These are simply not understandable. Once these small and medium-sized retailers are squeezed out of the market, they will face a situation where the pricing power will be completely in the hands of monopolies. By then, not only will all the savings they have now be paid back, but also the situation they will face.