Burdensome Business

What Shi Jinglin said makes sense. If we follow this logic, we really cannot take over the marginalized products of Dongpeng Group.

These products, according to the requirements of Yuanwei Group, should be eliminated and are completely a burden to the company.

This is a typical business philosophy of modern enterprises.

In many traditional enterprises, the so-called "burdensome" businesses often refer to those businesses that have fallen into serious losses. After adjusting the managers several times, they still couldn't save them, and finally they learned from the experience and laid them off.

This is a relatively traditional corporate philosophy, and most ordinary companies do this. Business that makes money is good business, and business that does not make money is burdensome business.

The philosophy of modern large companies is different.

Businesses that make little money are redundant businesses and should be eliminated!

The small amount of money earned is not enough for the hard work of the corporate elite. There are already few elites, and they should be allowed to spend all their energy on making big money, rather than making small money.

The most typical one is General Electric back then, which had a set of "no one, no two" theory, which means that if a certain product is not number one or number two in the industry, it has no value and should be eliminated.

Lose.

However, there is actually a more advanced concept.

For a company, there is something more important than making a lot of money, and that is a future-oriented development strategy.

Zhou Buqi yelled, "Are you a dog?"

Shi Jinglin chuckled and said: "Yes, we have to keep up with the trend. In fact... I saw Guo Pengfei last time and chatted with him for a while, talking about the mobile Internet. I think the ideas are similar, and we need to adopt a 'collision'

Tactics: Be optimistic about a direction and launch seven or eight products at once. One product will always become popular and become a hit, and the remaining ones that are less successful will be cut off. Anyway, we cannot be conservative and follow the rules.

I don’t think it’s going to work like Wahaha did.”

Zhou Buqi glared at her, patted his thigh, "Come here!"

"There are too many types of beverages. Except for cola, coffee, and Red Bull, which are long-lasting, most beverages have a short life cycle and are trendy. Look at herbal tea, how popular it was in the past few years. In recent years,

It’s not good either.” Shi Jinglin concluded, “Each generation has its own taste.”

In our own company, performance is not up to standard, jobs are gone, and even the product line has to be completely closed. Dongpeng has a bunch of products that cannot be put on the market, and it is just leisurely every day... This can easily cause internal conflicts.

Zhou Buqi still didn't understand, "There are a lot of advertisements for Dongpeng Special Drink, and you spent so much money to buy it. The advertisement is so big, aren't suppliers all over the country rushing to get the goods?"

Zhou Buqi nodded, "So, private enterprises that were restructured from state-owned enterprises all have sequelae. This is the biggest hidden danger. Wahaha was also restructured from a state-owned enterprise. It was also a 100% state-owned enterprise back then. The situation is similar to that of Dongpeng

They’re pretty much the same.”

Shi Jinglin said: "The concept is too traditional. It's similar to Dongpeng. Many products are marginalized and they can't make ends meet. They are still trying to maintain it. Doesn't President Zong's daughter want to take over and use new concepts?

Transform the company and rejuvenate the Wahaha Group. As a result, there are always conflicts. Her daughter fired employees in the morning, and her father invited them back in the afternoon and apologized to them, saying that his daughter was ignorant."

Shi Jinglin said softly: "Yes, I know, so I can't take over Dongpeng's unnecessary product lines under any circumstances. I won't be able to control them by then, and I will be angry to death."

Just like when Steve Jobs returned to Apple.

Shi Jinglin blinked a few times, "Do you have a solution?"

If Yuanwei Group acquires Dongpeng Group and retains all Dongpeng's marginal products, what will happen to Yuanwei Group's product line?

It would feel very unfair.

Zhou Buqi said: "What happened to Wahaha?"

"I want to ask you for advice."

Zhou Buqi didn't want to go crazy with her and slapped her on the butt, "Let's get down to business. Products with sales of less than 100 million will be axed. Doesn't that mean the life cycle of many products is very short?"

Therefore, many great companies not only focus on businesses that are losing money and making little money, but they even start with businesses that can make a lot of money!

Shi Jinglin didn't refuse, she got up and walked over, sat down on his lap, then went up and bit him on the face, not polite at all, leaving 5 obvious teeth marks.

"That's right! You don't understand this, right?"

However, Zhou Buqi was a little confused, "If the annual income is less than 100 million, it will be cut off? What kind of beverage can have an annual income of 100 million? Isn't this requirement too high?"

"Is this still high?" Shi Jinglin glanced at him with contempt, "Don't you understand? How big is the domestic market? As long as the products are not too bad, is it difficult to earn 100 million per year? Dongpeng is just a small local company. Launching Dongpeng

After Peng Te Drink, do you know how much sales were last year? 200 million!"

Apple's performance at that time was not very good. In fact, it only needed to cut off those unprofitable businesses to turn the situation around quickly. Steve Jobs did not have a knife and an axe, and all the good and bad businesses were cut off.

, any business that is not related to strategy, regardless of whether you make money or not, give up!

Then, integrate resources and integrate all the elites in the company to do something big!

Yuanwei Group is just a beverage company. It does not need to have as high a vision and goal as a technology company. It just needs to make a lot of money.

"Huh?" Shi Jinglin smiled, "It's okay, I know a little bit."

Zhou Buqi actually had this idea in the afternoon, "If it doesn't work out, we will set up a Dongpeng Special Drinks Co., Ltd., with Dongpeng Group holding 50% of the shares and Yuanwei Group holding 50%."

Shi Jinglin held his neck with her arms and smiled proudly, "Scream! The louder you scream, the more I will like it!"

If this business no longer conforms to the company's strategy, it will be eliminated even if it can still make a lot of money.

Zhou Buqi said: "Then don't."

Zhou Buqi understood what she meant, "So we have to constantly introduce new things?"

"Fifty-fifty?" Shi Jinglin immediately refused, "That won't work! Then if there is a disagreement, who will listen to it?"

Zhou Buqi said: "Then you go talk to them yourself. This direction should be similar. It will not only allow Dongpeng Beverage Group to ride on the popularity of Dongpeng Special Drinks to maintain the vitality of its marginal products, but also allow Yuanwei

The group avoids those product lines it doesn’t want. Each side takes a step back and that’s pretty much it.”

Shi Jinglin said with a smile: "Can Boss Zhou help me to talk to Mr. Lin and the others?"

"I'm not going!" Zhou Buqi flatly refused, "I'll go back to the capital tomorrow, and I'm going on a business trip to the United States the day after tomorrow. You can handle this little thing yourself!"
Chapter completed!