Chapter 478 This efficiency is simply amazing

Valentino rented three floors of office space in Milan as a branch, located near Via Montenapoleone.

A total of more than one hundred employees work here all year round, mainly responsible for marketing, design, retail operations, visual display, business development and other businesses.

The merchandise department, legal department, finance department, key account department, and human resources department are all located in the headquarters building in Rome.

After a brief tour in the morning, Fan Wumian began to doubt whether Valentino’s headquarters should continue to be operated in Italy.

High labor costs and taxes are only one reason. Another reason is that the local business environment makes him feel a little risky.

Tourists love the classical and charming European cities, and as they come from all over the world, bringing their wealth with them, they create business opportunities in the eyes of countless criminals.

There are too many gangsters in the city, and not only tourists are unlucky, but local businessmen are also often harassed. Links such as transportation, docks, and warehousing have almost been monopolized by gangs, and the charges are much higher than normal prices.

An earlier comprehensive audit of Valentino's accounts had revealed several "public relations" expenses totaling millions of euros, which, according to the accountants, were actually money spent to buy safety and prevent its factories from being harassed by members of Italy's second-largest mafia.

Now Fan Wumian has become the boss of Valentino, and several of his factories are located in Italy. As a complete outsider, it is probably only a matter of time before he is targeted.

When the business grows bigger, there is no telling what troubles you will face.

Moreover, when the company grows to a certain size in the future, it will be too bloated and it will be much more troublesome to move the headquarters.

up to now.

Valentino has a total of 21 directly-operated retail stores worldwide, in addition to 96 sales points. Last year, its total revenue barely exceeded 7000 million euros, but its losses reached more than 2000 million euros. It is a relatively small and exquisite luxury brand.

Due to the mediocre brand strength, it needs to invest huge amounts of money in marketing and promotion to attract customers, and its days are far worse than those of its peers such as Hermès, Chanel, and Dior.

Valentino's headquarters, branches and manufacturing plants in Italy employ more than 700 employees in total. Last year, total salary expenditure was approximately 2900 million euros, of which more than 400 employees were workers in the manufacturing plants.

On the premise of not moving the manufacturing plant for the time being, Fan Wumian felt that there would not be too much resistance in moving the headquarters.

Some employees can go to work in other places, while others can adjust their positions and stay. If that doesn't work out, a severance pay can be paid so that everyone can part ways amicably.

It would be more convenient for departments like marketing, design, and business development to continue to stay in fashion capitals like Milan, and then only one branch would be needed in Italy.

to be frank.

If he wasn't worried about making the matter worse, Fan Wumian would even want to close down the manufacturing factory.

For a company like this with more than 700 employees, the total annual salary expenditure in the mainland may only be to million RMB, which is only to million euros.

If we continue to recruit more people, the burden of labor costs will be too heavy. Moving to Serbia can save more than half, and moving directly to Australia City can save two-thirds.

Considering the company's fame in Asia, Fan Wumian has reason to believe that Valentino still has good development prospects in his hands. If Valentino hires thousands or tens of thousands of employees in the future, and most of them receive high salaries in Italy, the cost would be too heavy.

Thinking about it from another perspective, it seems that it is not a bad idea to continue to keep an empty shell headquarters in Rome or Milan, which will help to maintain Valentino's high-end image.

At that time, the nominal headquarters will be in Italy, most of the products will be produced in Serbia or Hungary, but the actual offices of most employees will be located in Australia.

In this way, it seems that both face and substance are achieved.

If we don't use our brains now and move the company out of high-tax countries, if Italy faces bankruptcy in the future and starts to pursue tax collection to fill the fiscal hole, Fan Wumian will most likely face punitive damages, resulting in heavy losses.

Thinking that it was better to suffer a long-term pain than a short-term one, he then began to consider negotiating with the Macau government to see if he could get a good piece of land at a low price to build the Asian headquarters building in the future if he moved the company there. He did not know enough about the official policies, so he had to wait for a professional team to study it before he could finalize the most suitable new corporate structure.

8:50 AM local time.

Fan Wumian took the elevator upstairs and stood at the door of the Milan branch. He found that the glass door was locked and there was no one outside or inside.

It is clearly written on the door that work starts at 9:00 am and ends at 5:00 pm, Monday to Friday.

After a few minutes, no employees came to work, so Fan Wumian even began to suspect that today was not a working day, or it was a statutory holiday in Italy.

It was not until 9:08 that a white girl wearing a short skirt and with a slightly sturdy figure came out of the elevator with a cup of coffee and a magazine.

When she saw Fan Wumian's stunned expression, she wanted to take out her cell phone to tell her boss and colleagues, but was stopped.

The company actually opened at 9:13.

During this period, only a dozen employees came, and all of them were prohibited from informing their colleagues of the news.

Around 9:10 in the morning, more than people came in total, and it lasted until after o'clock, with people still coming to work slowly.

Fan Wumian discovered that someone had brought a fat cat to the company and said with emotion: "This efficiency is simply amazing. If you don't know, you would think it's in France."

Pu Jiajing had nothing to say and took a deep breath:
"I'm so jealous. They earn 20,000 to 30,000 RMB and have no pressure at work. Compared to them, should I get a raise?"

Pretending not to hear her last words, Fan Wumian said:
"I was originally wondering whether I should move the company, but now it seems that I have to. As a boss, I feel uncomfortable when I see them acting so uncool. Could it be that the manufacturing plant is like this too?"

"I don't think so. The management always enjoys the most. The former shareholders of Valentino definitely want to make money, so they won't let their people live in retirement. I guess it's because after you acquired the company, you didn't come over to keep an eye on it, which led to these people becoming passive and lazy."

Pu Jiajing was working part-time, and seeing others being so carefree, she felt like she had eaten sour grapes, so she continued:

"Just close all of them. Outsource their work to me and give me 5000 million RMB a year. I promise to find someone to help you handle it beautifully when I return home. It's just making bags and clothes. I'm afraid half of the world's clothing products are processed in China. How difficult can it be? I remember that Red Star Erke was listed in Singapore in November last year. Such a big company had a total market value of only about 11 million RMB. At least it didn't make their boss lose money."

Since acquiring Valentino, Fan Wumian has invested nearly 2500 million US dollars in three installments. Part of the funds were used to repay previous debts, and the other part was used to launch a new series of products.

How could Pu Jiajing not know these things?

Some employees go to work at 10 o'clock in the morning and take at least half an hour break at noon to eat lunch and relax, and then finish the day's work at 5 o'clock in the afternoon.

From the perspective of the company boss, it is really unpleasant no matter how you look at it, as if your salary has been stolen from your wallet.

Fan Wumian said to Pu Jiajing:

"It is understandable that European and American companies make profits from high-tech products. After all, there is a certain gap in technology between developing countries, and some products cannot be made by themselves. However, they use their brand influence to sell some luxury goods of questionable quality at sky-high prices. Consumers actually acquiesce to this set of rules and willingly become leeks for vanity. This is very confusing."

Pu Jiajing was speechless because she herself had bought LV and Chanel bags, spending more than three months' salary in total.

When she thought about how she had worked like a slave for Fan Wumian for so long, but these employees of the luxury goods company were living a very comfortable life, she became furious and said:

"It's all for the sake of face. Who would buy them for quality? It's just like most men like to buy luxury cars. If it's just for commuting, a Santana is fine. Women need flashy things to dress themselves up. Now you are the boss of Valentino. The more money your customers spend, the happier you will be. The fools will line up to honor you again."

(End of this chapter)

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