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Chapter 21 How Can You Spare Him 3

"Mr. Guan, if we give all the market to you, plus your other users, does Changda Company have such a large production capacity? If your supply is not timely and delays our use, who will take the risk?

What about the responsibility?" Lao Wang is indeed a business operator for many years and has considered the issue very thoughtfully.

Guan Yuntian was also confident. He picked up the tea cup in front of him and took a sip, "Mr. Wang always considers things very carefully, which is admirable. However, before inviting you to meet, we have made all preparations for expansion of production, including funds.

and site, construction will start soon. We plan to double the production of cord fabrics based on the existing basis."

At this point in the conversation, Lao Wang had to look at Guan Yuntian with admiration, "Oh, Mr. Guan and I are not at the same level when it comes to considering things carefully. You don't fight an unprepared battle. You use your own advantages before entering the market.

First lower the price to put yourself in a favorable position to compete with the price advantage; before deciding to expand market share, make preparations for expansion in advance to avoid the embarrassment of being in a hurry in the future. Operating a business in this way will

You are the first business manager I have ever met."

"Mr. Wang, thank you. When it comes to running a business, I am still a student in front of you. Many of your experiences are worth learning. Mr. Wang, let's go back to the topic of the previous conversation. Do you think Lao Xu can also lower the price?

Come down? If he doesn't lower the price, what are your final plans for Lao Xu's Donghua Company?" Guan Yuntian wanted Lao Wang to express his position on the spot.

Lao Wang didn't know Guan Yuntian at all before. He only thought that the other person was a stupid young man who relied on connections to start a business. Through the conversation that night, he had a full understanding of Guan Yuntian and thought that the young man in front of him was knowledgeable, educated and well-spoken.

He is a rare business manager who acts in a measured manner, is good at sizing up situations and seizing opportunities. On the platform of Hengyuan Company, when his old friend Xu Jianzhang encountered such a competitor, he could only admit that he was unlucky and beg for blessings.

"According to my relationship with Lao Xu, if the price could be lowered, he would have lowered it long ago, so I don't need to ask him about this matter. But Mr. Guan, even if we give you the entire market, we have to do it step by step, no matter what

Maybe Donghua Company will be completely shut out suddenly. After all, Xu Jianzhang is an old friend of mine for many years!" Lao Wang finally agreed to Guan Yuntian's request.

"Absolutely! This is human nature, but there must be a time limit. Are you going to close the door to Donghua Company in one year or half a year?" Guan Yuntian wanted to get a timetable.

"We are reducing the purchasing volume at Donghua Company month by month. I think this process will take about a year, right?"

"It's not good for anyone to be procrastinating for up to a year. Mr. Wang, the truth is obvious. If you purchase less from Donghua Company, the production cost can be reduced." Guan Yuntian emphasized the stakes again.

"Mr. Guan, there is no need to explain the reason. Just follow your wishes, and the transition period will be one year."

In response to Donghua Company's counterattack, Guan Yuntian was victorious, but Xu Jianzhang, who was far away, had no idea. But in Guan Yuntian's view, this was just the beginning.

With the successful experience in Hengyuan Rubber Company, Guan Yuntian followed the same method. In less than half a year, Xu Jianzhang's Donghua Company was completely driven out of the Fuyuan County market. The four users in Fuyuan County accounted for Donghua

Hua Company's sales share is 60%, and the blow to Lao Xu can be imagined.

In fact, in the second month after Hengyuan Company reduced its purchases, Xu Jianzhang came to his old friend to find out the reason. Lao Wang didn't say much, and just told Xu Jianzhang that another supplier had reduced the price by 7%.

"Which company dares to ship at such a low price?" Xu Jianzhang obviously did not believe this fact.

Lao Wang originally didn't want to mention Changda Company, but when faced with the doubts of his old friends, he could only tell the truth, "Our local Changda Company's prices are five percent cheaper than yours from the beginning."

Hearing this, Xu Jianzhang understood everything. It turned out that Changda Company, which was silent on the surface, had secretly targeted himself. But this Changda Company had set the price so low. Did they just want to lose money?

Are you making money? In front of Lao Wang, Xu Jianzhang said to himself: "Can Changda Company make money by shipping at this price?"

"Humph----, I was skeptical at first, but later I learned that your average profit is 10%. Even if you reduce the price by 7%, you can still reach the average profit of the industry. Do you think you can make a profit?

Money?" Lao Wang explained.

"How did they do it? Did they cut corners during the production process?" Lao Xu continued to wonder.

"Old friend, you can't say this casually. You suspect that others are cutting corners, but you can't provide any evidence, and the quality of Changda Company's products is better than yours. According to them, Changda Company's low cost comes from the leading

Process technology and advanced management concepts.”

"Hmm----," Lao Xu groaned for a moment, "This is possible, but with the market share they took away from me, will they be able to supply it by then with their production capacity?"

"Jianzhang, we didn't know the boss of Changda Company before. You and I have underestimated him. According to my observation, that young man is knowledgeable and educated, speaks generously and decently, and considers things comprehensively and thoughtfully.

Before planning to expand the market, Changda Company was ready to expand production, and it is said that the new production line has entered the debugging stage."

"Really? This guy came prepared!" Xu Jianzhang was surprised.

"Well, I don't understand. You and he are strangers. Although the other party didn't say it clearly, why do I feel that he is deliberately targeting your Donghua Company?"

"This..." Lao Xu knew the reason better than anyone else, but he couldn't say the dirty things he did in front of Lao Wang no matter what. "Hey, who knows."

Seeing that Lao Wang did not care about friendship in the face of huge interests, Xu Jianzhang could only sigh in his heart, it is better to rely on himself than to rely on anyone else!

Do I need to say this? No matter how good friends are, they can't use their feelings to kidnap their interests! It's fine if it's between private individuals. After all, this is a matter between two companies. Although they are both private companies, they can't do it for the sake of their own interests.

Personal relationships at the expense of the huge interests of the company! In this regard, Lao Wang, the general manager of Hengyuan Company, did the right thing.

Seeing that Changda Company had completely eaten up its market in Fuyuan County and showed no sign of giving up, Xu Jianzhang panicked and wanted to give it a try by selling at reduced prices. Lao Wang advised him to think twice before proceeding.

"Why, seeing that Changda Company is trying to kill us, are we going to just let it go? Now that they have driven me out of the market in Fuyuan County, can you guarantee that they will not continue to pursue us?" Xu Jianzhang seemed to want to

A wave of resentment poured over Lao Wang.

"Old friend, I can't promise you anything. Looking at Guan Yuntian's attitude, I don't know how big a feud there is between you. He seems to have a lot of opinions about you. Who knows if he is interested in other users of yours.

"Lao Wang said.

"Well, if I don't follow up, I'm afraid the other users won't be able to keep it either."

"Your worries are not unreasonable. Why do I advise you to think twice? I think it is too late for you to follow up now, and the gains outweigh the losses. Besides, with the strength of Changda Company, if Guan Yuntian fights with you, if you follow up on the price

, he dares to lower the price by another 3%, do you believe it or not? If that is the case, are you riding a tiger? In addition, if the price is reduced by 7%, your Donghua company will have to pay the death penalty?" Lao Wang is now facing Guan Yuntian.

We already know Hechanda Company very well, and we have long been familiar with Donghua Company, our old friend.

"Then what do you think I should do? Just wait for Guan Yuntian to kick Donghua Company out of this industry?" Xu Jianzhang said angrily.

Seeing his old friend in this situation, Lao Wang felt pity. Donghua Company is also a big company in the industry. It would be a pity to close down. "Jianzhang, I want to give you an idea. I don't know what you want."

Don’t want to hear it?”

"It's now time. Brother, don't worry so much. If you have anything to say, just say it. I'm all ears."

"I don't know what happened between you and Guan Yuntian, but the matter has come to this, and I think you need to talk to him face to face."

"Talk? What to talk about? How to talk?" Xu Jianzhang seemed reluctant.

"Jianzhang, we have been an old friend for many years. If you ask this, I won't worry about it, but I want to say that you really shouldn't ask this. According to my observation, there must be something going on between you and Guan Yuntian. If you have any problem,

I must be clear in my heart, what to talk about and how to talk about it? Do you still need to ask me?" Lao Wang thought to himself, if it weren't for your pity, who would care about this nonsense of yours!

Realizing that what he said was unreasonable and seeing that Lao Wang was a little unhappy, Xu Jianzhang hurriedly took back his words, "Brother is right, I should meet with Guan Yuntian, but if I take the initiative to contact him, I'm afraid they won't give me face!"

"Based on my understanding of Guan Yuntian, I think this person has quality and is not the kind of person who is inexperienced." Lao Wang said.

"However, there is indeed a misunderstanding between us. He may be too prejudiced against me. If I took the initiative to contact him, to be honest, I would not feel confident." Xu Jianzhang felt embarrassed.

From the bitter look on Xu Jianzhang's face, Lao Wang knew that he was too embarrassed to open his mouth, "Jianzhang, if you really don't want to take the initiative to contact you, how about I invite you? Is it convenient for you to talk in my presence?"

"It's great that eldest brother has come forward. It's even better to have you here to avoid embarrassing situations between Guan Yuntian and me."

Lao Wang called Guan Yuntian's office, "Mr. Guan, this is Lao Wang of Hengyuan Company."

"Hello, Mr. Wang! What are your orders?"

"Have you arranged to go out for the evening? If you are free tonight, I would like to invite you to get together."
Chapter completed!
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