Chapter 431: Summary of Wealth in 1964

Chapter 431: Summary of Wealth in 1964

Chapter 431: Summary of Wealth in 1964 (Part )

Before, Yang Wendong had asked Changxing Culture to add more color printing equipment, but it was still not enough. However, printing equipment can be produced in Japan, and they are still very competitive in this era. As long as we place an order, it can be delivered in more than a month.

Zhang Zhiyuan agreed and said, "Okay, Mr. Yang, I will ask the purchasing department to place the order immediately."

"Okay." Yang Wendong continued, "Since the first shot has been fired, the subsequent story plots should also be accelerated. As long as Doraemon continues to be serialized, the sales of our weekly comics can double and be stable in the long run.

Also, when you have more plots, you will have to make cartoons, because only cartoons can expand at the fastest speed."

The speed of comics dissemination is too slow. On the one hand, it depends on channels, customers have to spend money to buy, and consumers have to take the initiative to read. It is too troublesome.

Cartoons are basically easy to spread on TV stations, and watching videos is a passive way of receiving information, which makes people feel much more comfortable. This is why Tik Tok crushed everything on the mobile Internet in the past. It is much more comfortable than reading text news or novels.

"I understand. I will also let our animation team be prepared." Wu Hailin agreed.

"That's it." Yang Wendong nodded and said, "Next, whether the Doraemon comics can become popular in Asia depends on the strength of your team.

This is different from previous adaptations of ancient Chinese mythology. I hope Doraemon can conquer other Asian countries."

The advantage of adapting ancient myths is that the Chinese community is very familiar with the background; but the disadvantage is that non-Chinese people cannot understand it at all.
"Doraemon" has original content and new simple settings, so everyone can understand it.

Historically, some well-known Japanese animations have generated billions of dollars in revenue for countless years, because there are so many ways to economically develop a well-known IP.

Compared to other movies and TV series, cartoons have the least cultural barriers, and the same is true for "Doraemon". In the past, there were countless children in the mainland who liked "Doraemon" or Ultraman, etc.

With the appearance of the "Doraemon" comics, many children began to discuss it in school. For students, the popularity of "Doraemon" is far higher than any other comics, because the background is Hong Kong children, and the sense of substitution is really strong.

On January 1, Yang Wendong arrived at the Changxing Industrial Park in Kwun Tong, and Wei Zetao had been waiting at the door for what seemed like a long time.

After Yang Wendong got off the car, he said, "Old Wei, don't wait for me at the gate next time. The traffic jam was too serious at the ferry before, and I got bored and went crazy too quickly."

No matter how rich you are, whether you drive a Rolls-Royce or a Bentley, if you encounter a traffic jam, it is no different from driving a Toyota or a Volkswagen, you just have to wait.

"It's okay, it'll only take a short while." Wei Zetao said with a smile, "It seems the Hong Kong government has decided to build an undersea tunnel. By then, it will be much more convenient to travel between Hong Kong Island and Kowloon."

"Well, I hope so." Yang Wendong nodded.

The idea was proposed as early as the early 60s, when the previous Governor Robert Black was still in office. However, the Hong Kong government and Hong Kong's big capital had different opinions at the time. One side thought that a tunnel should be built, while the other side thought that a bridge should be built. The two sides argued for several years. It was not until the new Governor Trench came that he finally gathered a group of people to discuss and decide to build a tunnel.

Yang Wendong was not involved in this matter, but he knew that in history, the impending economic crisis completely disrupted this plan. At the worst time, the Governor of Hong Kong believed that the British should leave Hong Kong. In this case, how could they build a tunnel for you? The same is true for the container terminal.

It was not until the economy recovered in 1968 and everything returned to normal that the Hong Kong government began to re-plan the tunnel. It was then completed in the early 70s. Hong Kong's economy also developed much faster because of this tunnel.

The two then took a tour inside the factory. Although the year was coming to an end, the Changxing Industrial factory was still very busy. Along the way, Yang Wendong saw more than a dozen trucks loading and unloading goods, it was very lively.

"Are these storage boxes also exported overseas?" Yang Wendong asked, looking at the plastic boxes inside a large number of wooden boxes.

Wei Zetao said: "Yes, storage boxes are low-frequency products. Once a family buys one, they don't need to be replaced for ten years unless they need to buy a new one. In the past few months, the Hong Kong market has basically been saturated. Now we are also focusing on the European, American and Japanese markets. These are not selling well in Southeast Asia because the local wood is cheap."

"Well, plastic products are indeed easier to promote in places with good economies," Yang Wendong agreed.

Mass-produced plastic is indeed cheap, but the investment is not low. In the pre-container era, shipping costs were also high, so plastic products were not cost-effective in countries with abundant wood, and sometimes were even worse than iron products.

Storage boxes replace traditional wooden boxes, which are only suitable for countries such as Europe and the United States where wood is expensive and carpentry is even more expensive. In Southeast Asia, wood is cheap and carpentry is even cheaper.

Wei Zetao went on to say: "Storage boxes are very popular in European and American cities. Now I have mobilized seven workshops to produce them, and more than a dozen suppliers are involved."

"Okay, keep working hard. This market still has great potential." Yang Wendong smiled and said, "Europe and the United States are different from Hong Kong. They will throw away some things when they are old. The fans sold very well last year from Honor Electronics, which was also a factor."

Europeans and Americans are the least likely to save money. Yang Wendong had seen this when he went abroad in his previous life: many families did not turn off the air conditioner when they went out, so that they would not have to wait for the air conditioner to cool down when they returned home. The same is true in other aspects. The amount of food wasted by Americans every year is enough to feed Africa.

"This is good for us, too. If they were the same as us, who would we sell them to?" Wei Zetao said with a smile, "If we can't change them, then we have to make good use of them."

"That's right." Yang Wendong nodded, then looked around and asked, "How is the business of the other products?"

Wei Zetao replied: "Compared with last year, there is a certain increase. Our channels are also gradually expanding. In addition, with our cost control ability, we have always been more cost-effective. Our market share has also been relatively stable and is still gradually increasing.

All the relevant documents are already upstairs. Let's go take a look at them later. "Performance-price ratio is a term that the boss taught to several manufacturing factories. The essence of a product is performance-price ratio. Price control is also a very strong technology. Under the same technology and quality, if one company can achieve a cost 3% lower than others, it will have an absolute advantage.
Once it is cheaper, it can occupy more market share. With more market share, manufacturers can have lower costs, which leads to higher cost performance and gain a higher market share. In a virtuous cycle, a surge in market share can drive technology updates, quality improvements, and so on.
"Okay, let's go take a look later." Yang Wendong said with a smile.

Soon, the two arrived at the chairman's office in the administrative building in front. The assistant served tea to the two of them. Wei Zetao took out a document and said, "Mr. Yang, these are the operating data of Changxing Industrial last year, including the performance of the four business units and the total performance."

Yang Wendong took the document, glanced at the data at the bottom, and said with a faint smile: "Last year, Changxing Industrial's net profit exceeded 6000 million? It's much higher than last year, right?"

Wei Zetao nodded and said, "Yes, last year it was 5500 million, this year it is 6100 million, an increase of almost 12 percentage points, this is mainly due to the expansion of channels and the appropriate price increase of some products;

Originally, the net profit might be higher, because many of the loans for infrastructure investment have been gradually repaid. However, we spent a total of about 1000 million on advertising in Europe and the United States last year, which was much more than the year before. "

"It doesn't matter. Advertising still requires long-term investment. The more you invest, the more returns you will get in the future." Yang Wendong said indifferently: "We will continue in this regard in the future. If one day our brand is deeply rooted in people's hearts, then our company will be completely stable."

Not to mention a company like Changxing Industrial whose products have low technological content, even cars and home appliances need to advertise on a large scale. Marketing is an important growth factor for modern enterprises, and in many cases, it is even more important than technology.

"Okay." Wei Zetao agreed and continued, "The first business unit sold 18.3 billion sticky notes last year, with the main markets still in Europe and the United States, up 10.9% year-on-year, with sales of HK$1.63 million, up 4.5% year-on-year. Last year, the price of sticky notes was adjusted once, and it was reduced a little to compete for the market.

Last year, sales of pest control products such as sticky mouse traps and fly traps totaled HK$5100 million, up 21% year-on-year.

"I know about the price reduction of Post-it Notes. You told me about it." Yang Wendong said, "Looking at the market feedback, the market for Post-it Notes is basically saturated, right?"

Wei Zetao replied: "Yes, we have advertised many times. Basically, everyone who needs it knows about the existence of sticky notes, but many companies do not buy them. Although sticky notes are convenient, they are not really a necessity."

"Well, then our next step is to cultivate user habits." Yang Wendong added: "Not everyone likes Coca-Cola, but as long as there are more advertisements and other marketing methods, we may be able to gain some new customers."

Even in the era of mobile Internet, for an APP with a very important role, it is very difficult to develop stable users after the initial growth reaches a stable period. If it is a paid software, it is even more difficult.

The same is true for real-life products. No matter how popular they are, their growth will become sluggish after reaching a certain level, but in reality there are still many potential customers.

"Mr. Yang, what you mean is that we should also do some appropriate free promotion?" Wei Zetao asked. He also knew that Post-it Notes were promoted for free in the earliest days, and later they operated normally after they had the channels.

"Free is one method. We can also cooperate with some office supply brands. For example, if they sell notebooks, we can offer buy one get one free." Yang Wendong added: "People will definitely not refuse free things. Once people who were originally unwilling to spend money on sticky notes have used them, some of them may become our long-term customers."

"Okay, then I will try to cooperate with European and American office supplies brands this year," Wei Zetao agreed.

Yang Wendong asked again: "How many people are doing this pest control business now?"

Yang Wendong doesn't care how much he can earn from the mouse sticky board business. This thing basically has no technical content and there are many competitors. Although there is a patent, the patent is not useful in many cases. He insists on making mouse sticky boards mainly for employment because it is made entirely by hand.

"There are about 3000 people." Wei Zetao said: "The factories are mainly built in some remote places in Kowloon. Generally, there are to people in a factory. There are about a dozen factories, all of which are small-scale."

"Okay, let's keep it like this." Yang Wendong said.

Wei Zetao added: "Mr. Yang, I have recently discovered that the demand for mouse traps in Asian countries has increased rapidly. This may be because the economies of these places have begun to develop and many people from the countryside have moved to the city.

But the infrastructure is not perfect, the living conditions are very messy, similar to Hong Kong in the 1940s and 1950s, and rats are rampant, which has also brought about a large market. "

"Do you want to focus on developing the Southeast Asian market?" Yang Wendong asked, "But many places there don't have patent laws, and local people can just imitate them. In terms of cost, can you compete with them?"

"So we don't compete on cost, but on quality." Wei Zetao said: "The products produced by small workshops cannot compare with ours in terms of quality. As long as we find suitable partners in Southeast Asia, there will definitely be great opportunities."

"Okay, you guys decide. The more jobs we can create, the better." Yang Wendong naturally wouldn't object, and added, "If the transportation cost is too high, we can consider investing in production in Singapore. It's much more convenient there."

Although he has Changxing Shipping, his ships can only transport large quantities of goods for himself, and some small quantities of goods can only be transported by normal bulk liners. Therefore, it is not of much help to the goods of some of his own industries, unless one day his transport fleet can cover most parts of the world.

“Okay.” After Wei Zetao agreed, he said, “The First Division also has glue and paper businesses. The two businesses were not very obvious two years ago because they were mainly supplied to ourselves;

But last year, the foreign trade of glue exceeded HK$500 million, and paper was HK$800 million.”

"The main customer of glue is 3M, right?" Yang Wendong asked.

Wei Zetao replied: "Yes, the main customer of glue is 3M, but exports are also gradually increasing. Last year, the total export volume was HK$170 million.
The paper factories in Taiwan currently mainly produce facial tissue, toilet paper and A4 paper, among which facial tissue is the best-selling product, and they are considering expanding their production capacity.

PS: Please give me a monthly ticket
(End of this chapter)