bookrandom Chapter 513 Take the initiative
Chapter 513 Take the initiative
That afternoon, Li Xiangyang reopened his purchasing station and even put up a big red paper at the entrance that read: "This station has obtained a formal business license and is operating legally. Your supervision is welcome."
The news quickly spread to several surrounding villages, and villagers rushed to deliver their goods, restoring the purchasing station to its former bustling state.
"Brother Xiangyang, that was a brilliant move!" Zhang Weiping gave a thumbs up. "Those who wanted to see us fail are going to be disappointed."
"This is just the beginning," Li Xiangyang said confidently. "Since someone wants to play, we'll play along to the end."
That evening, Wang Ergou approached Li Xiangyang mysteriously: "I've heard some news."
"what news?"
"Ma Qingfu is planning to open a second purchasing station in the town next to ours, trying to steal our business."
Li Xiangyang sneered, "Perfect timing! I've been looking for an opportunity to test my skills against him."
"Aren't you worried?" Wang Ergou asked, somewhat surprised.
"What's there to worry about? Business is about integrity and service, not underhanded tactics," Li Xiangyang said confidently. "Besides, I have new plans."
“What plan?”
"You'll find out tomorrow," Li Xiangyang said, keeping everyone in suspense.
The next morning, Li Xiangyang drove off, heading straight for the provincial capital.
Wang Ergou was busy at the purchasing station, his mind preoccupied with the new plan Li Xiangyang had mentioned. But he waited and waited without seeing anyone until evening when he finally saw the Jiefang truck drive back to the village.
"Xiangyang, where have you been all day?" Wang Ergou asked as he stepped forward.
Li Xiangyang jumped out of the car, a satisfied smile on his face: "I negotiated a big deal in the provincial capital."
"What big business?"
"Do you remember that Boss Zhao from last time? The one who bought our ginseng?" Li Xiangyang said as he walked towards the purchasing station. "I went to see him today and signed a long-term supply contract with him."
Wang Ergou's eyes lit up: "How long?"
"Three years! At least five thousand yuan worth of mountain medicinal herbs every month, and at a price ten percent higher than the market price." Li Xiangyang patted Wang Ergou on the shoulder. "Most importantly, he also promised to help us contact other clients, saying he'd introduce us to his circle of friends."
"That's so good?" Wang Ergou was somewhat incredulous.
“Of course it wasn’t free; I paid a price.” Li Xiangyang pulled a small cloth bag from his pocket. “I sold him that century-old wild ginseng and got eight thousand yuan in return.”
Wang Ergou gasped, "Eight thousand? Didn't he offer five thousand last time?"
“Last time was last time, and this time is this time,” Li Xiangyang said with a mysterious smile. “I told him about our development plan, and he thought it had potential, so he was willing to invest and cooperate. This 8,000 yuan, besides the initial investment, also includes a prepayment.”
"Investment cooperation?"
“Yes, he wants to set up a purchasing point here, specifically for high-end medicinal herbs. We'll handle the receiving and initial processing, while he'll manage the sales channels,” Li Xiangyang said, becoming increasingly excited. “That way, we won't have to worry about sales.”
Wang Ergou was overjoyed: "Then why is Fatty Ma still fighting us? Does he even have the strength?"
"We need to show him that you can't succeed in business by resorting to underhanded tricks." A cold glint flashed in Li Xiangyang's eyes. "Since he wants to play games, then we'll show him what real strength is."
Just then, Zhang Weiping rushed over: "Brother Xiangyang, something bad has happened! News has spread from town that Fatty Ma's purchasing station is opening tomorrow, and he's said he'll lower his prices even below ours and steal our customers!"
Li Xiangyang smiled calmly: "Really? That's perfect, it's time for us to take action."
"What operation?"
“Starting tomorrow, we will raise our acquisition price by 20%,” Li Xiangyang said casually.
"A 20% increase?" Wang Ergou's eyes widened. "Then how are we supposed to make a profit?"
"Who said we're not making money?" Li Xiangyang patted the eight thousand yuan in his pocket. "With stable sales channels, we can operate on a low-profit, high-volume basis. Moreover, raising prices will attract more supply and create economies of scale."
Zhang Weiping was still a little worried: "But what if Fatty Ma also raises his prices?"
"Does he dare?" Li Xiangyang sneered. "He's just starting out with another purchasing station, and his funds are limited. How could he dare to engage in a price war with us? Besides, even if he did, we're not afraid."
"Why?"
“Because we have a good reputation.” Li Xiangyang pointed to the busy villagers around him. “Look, why are these people willing to deliver their goods to us? Isn’t it because we never cheat people, our prices are fair, and we settle accounts promptly? And what about Fatty Ma? He’s been doing business in town for so many years; everyone knows what his reputation is like.”
Wang Ergou suddenly realized: "That's right! We don't need to be afraid of him."
“Not only are we not afraid, we'll take the initiative,” Li Xiangyang said in a low voice. “Tomorrow I'm going to personally visit several villages to sign long-term purchase agreements with the villagers. For those willing to sign, we'll not only buy at the new price, but also guarantee priority in receiving their goods.”
"This is brilliant!" Zhang Weiping exclaimed excitedly. "This way, we've locked down all the good sources of goods. Even if Fatty Ma opens ten purchasing stations, it won't make a difference!"
Just then, a car horn sounded in the distance, and then a brand-new Dongfeng truck drove into the village, with more than a dozen people sitting in the cargo bed.
"Whose car is this?" Wang Ergou asked curiously.
Li Xiangyang squinted and looked at it: "The license plate number is from town; it should belong to Fatty Ma's men."
Sure enough, the car stopped at the entrance of the purchasing station, and a tall, thin man got out of the driver's seat. It was "Old Wang," the one who had previously instigated Liu Datou to cause trouble.
"Is Mr. Li here?" the tall, thin man asked politely.
"I am Li Xiangyang. Is there something you need?" Li Xiangyang stepped forward.
"It's like this, our boss, Mr. Ma, would like to discuss a business deal with you." The tall, thin man pulled out a business card. "My surname is Wang, and I'm Mr. Ma's manager."
"What kind of business?" Li Xiangyang asked coldly.
"Boss Ma said that since we're all in the same business of selling mountain products, it's better to cooperate and achieve mutual benefit than to engage in cutthroat competition. He wants to talk to you to see if we can divide the market—you do yours, I'll do mine, and we'll keep to ourselves."
Upon hearing this, the surrounding villagers gathered around.
"Cooperation?" Li Xiangyang sneered. "Your boss Ma's method of cooperation is quite peculiar. First, you send people to cause trouble, and then you report us to the Industry and Commerce Bureau. Is this cooperation?"
Wang Jianshe's expression changed: "Mr. Li, your words are a bit harsh. Mr. Ma has never..."
“Nothing?” Li Xiangyang interrupted him. “Do you think I don’t know who’s behind this?”