Today I didn't manage to pick many vegetables, so dinner will have to be baked flatbread.
"I don't eat baked flatbread, I want to eat meat! If there's no meat, I'd rather starve than eat this," the child wailed, collapsing onto the ground and throwing a tantrum upon hearing the mention of baked flatbread.
Chen Mancang, not far away, seemed lost in his own thoughts, as if he hadn't heard anything, continuing with his work.
"Won't Grandma buy you meat tomorrow, okay?"
"I want meat, I want meat!"
"Alright, alright, I'll go buy you some." Zhang Chunhua, at her wit's end, had no choice but to compromise.
...
"The quota of five thousand pieces is more than half complete. In about two more days, all production will be finished. The other two styles of shirts will also be put into production soon," reported Zhou Haiming, the production team leader, summarizing the week's situation.
Wang Aixiang added, "According to Aunt Yuan's budget, the raw materials are mostly ready and can be used as soon as production starts."
In the early stages of the factory's establishment, there weren't enough middle management personnel. Wang Aixiang was responsible for both the raw materials department and the finance department.
Zhao Xingwang commented, "Our factory is new, and many of our clients are returning customers. Sales haven't increased significantly. For new customers, it might take time to build confidence in our factory and brand."
Nan Haitao leaned forward, his fingers interlaced on the table, stating seriously, "Based on the current sales situation, we can only cover costs and labor. To recoup our investment and start making a profit, we must increase production. Waiting for customers to adapt will take too long; we need to expand the market as soon as possible."
Zhao Xingwang replied, "I'll call a meeting with my team later to see about sending people out to expand our business."
Chen Lishu glanced at Wang Aixiang and Zhou Haiming. "That's all for today's weekly meeting. You two can go back to your work."
Soon, only Chen Lishu, Nan Haitao, and Zhao Xingwang remained in the conference room.
"To expand the market, we must first identify our market positioning," Chen Lishu said, looking at Nan Haitao and Zhao Xingwang.
"Light industry in the north has always been a weak point. Low-end products are available everywhere. Compared to the lower costs in the south, our advantage can only be in quality and design. Therefore, from the beginning, my positioning has been in the mid-to-high-end market."
Zhao Xingwang added, "However, many places we visit now find our prices unsatisfactory."
Nan Haitao, who had been silent, sat up straighter and said, "I have an idea."
Chen Lishu and Zhao Xingwang turned to look at him.
"You've traveled to many places, so you should have noticed a phenomenon: it's easier to negotiate with individual proprietors than with stores. However, due to their limited capital, they can't stock too much inventory and prefer goods with low costs and quick returns."
Zhao Xingwang nodded. "It's manageable for nearby areas. Delivery isn't a problem. But if it's too far, it's not very cost-effective to deliver just thirty or fifty pieces."
The road transportation industry was not well-developed then, and longer distances would increase transportation costs.
Nan Haitao continued, "Stores are different. They operate under centralized purchasing and sales. Regardless of whether their business is good or bad, they still pay their employees regular salaries. This often leads to low employee morale. Sometimes, after a lot of effort to close a deal, the other party only buys inventory once or twice before discontinuing."
He had worked in department stores for ten years and was very familiar with their operations.
Some managers, after receiving benefits, were willing to place orders. But they also had quotas. For long-term cooperative units, a simple favor would be granted.
Chen Lishu commented, "I've also considered this issue. Once everything is on track, I plan to open several chain stores in surrounding provinces to handle both production and sales."
Nan Haitao responded, "The idea of opening chain stores is good, but it requires significant upfront capital investment and a slow return. Moreover, there are issues with personnel management and transportation, all of which carry risks. It's a good direction to develop gradually when resources allow."
Chen Lishu found his points very reasonable and nodded, waiting for him to continue.
"With the increasing number of individual proprietors, many stores are not as good as they appear on the surface. If they are not profitable, the government will naturally implement policies for them to be responsible for their own profits and losses. We need to consider speed. Whoever occupies the market share first will have the dominant position."
Nan Haitao paused before continuing, "Since the market positioning is mid-to-high-end, we should approach it from two directions."
"First, mid-range products are more easily accepted by the public. To quickly expand the market, we can develop franchised stores. The current policies are more lenient, and many people are eager to try, but they lack direction. We will provide them with that direction. We have two well-performing stores in the provincial capital, which have established a brand foundation. These are concrete examples."
"Furthermore, based on my knowledge and recent inquiries with friends, major cities like Kyoto and Shanghai have joint-venture department stores featuring many big brands. If our 'Shuse' brand can also be established there, standing shoulder-to-shoulder with international brands, our high-end positioning will be solidified."
After listening to Nan Haitao's analysis, Chen Lishu couldn't help but admire him. He was truly a professional. Even she hadn't conducted such a thorough and systematic analysis. While she might follow this path in the future, there would undoubtedly be many detours.
With a clear direction, Chen Lishu's thoughts also became clearer.
Subsequently, she and Nan Haitao jointly developed two brand franchise plans.
One was a distribution model, where franchisees paid an franchise fee and a security deposit. The factory would provide initial assistance and supply channels but would not be responsible for management.
The other was for agency franchisees, who would be responsible for the overall marketing planning and market expansion in a specific region. As agents, franchisees could develop their own franchisees, distributors, and joint-venture partners.
After the factory released the news, it immediately sparked strong curiosity among people.
As long as they paid the franchise fee and security deposit, the factory would assign dedicated personnel to guide them in selecting stores, decorating, selling goods, and also provide stable supply channels.
For those who had aspirations but had not found a good project, this was a godsend.
For those with some experience who didn't need guidance and already had a customer base, they could become agents. For example, Sister Feng and others who followed Chen Lishu in reselling clothing from the very beginning, when they learned that Shuse Garment Factory was recruiting agents, they immediately contacted the factory and signed contracts.
"We trust you when we work with you. Everyone knows that Chen Lishu herself is a walking advertisement; anything she does is guaranteed to make money."
Out of the five districts in the provincial capital, excluding the commercial street and the district where the fourth department store was located, the remaining three districts were all signed out.
Sister Feng and her group signed so readily purely due to their trust in Chen Lishu and the brand.
For the remaining interested individual proprietors, Chen Lishu specifically allocated three days. She gathered everyone together, first taking them to visit the two stores in the city, then to the factory to see its scale. Finally, she convened them all for a systematic explanation and Q&A session.
For the entire three days, although she and Zhao Xingwang and others were exhausted, the results were very fruitful.