What does "wholesale and retail" mean?
"I assure you that the carriages I supply you are at the lowest price I can sell them for. No one else will get them for a lower price."
"Wait! What do you mean by that? Isn't it just the four of us negotiating? You're going to supply the carriages to others too?"
“That’s right, because I need to recoup my investment. In other words, I need to earn back the capital I’ve invested before I can continue developing and manufacturing. So I can’t guarantee that the goods will only be supplied to the four of you.”
No, no, the first option won't work.
"And what does the second one mean?"
"The second point is that I will only provide the design and technology, not the money. All the expenses required to build the carriage will be borne by you. And for every carriage sold, the profits will be split 50/50 between you and me."
Half for each person?
OK.
"The second option is to guarantee supply only to the four of us?"
"Yes, since all the money is shared by the four of you, I will naturally not sell the carriages to other merchants without your prior consent."
After hearing her explanation, the four men exchanged glances. They were all wealthy enough to make a decision immediately.
"Then I choose the second one."
"I choose the second one."
"I also choose the second one."
"The second one."
Zheng Quchi was worried about not having a cash flow, but now her biggest problem has been solved. She smiled and said, "Since everyone is happy to choose the second option, then I will draft the second contract first."
She remembered the old merchant from Ye Kingdom. He was no match for the four of them and naturally couldn't get a share of the pie, but she was still grateful for his timely help.
“I have another win-win solution here. The five of us can sign a second contract, but we can sign the first contract with other merchants at a relatively low price, with small profits but quick turnover, and the profits will still be split equally.”
They thought about it and realized that it was true; whether they sold to others or to merchants, they would still make money.
As long as there is a profit difference, it doesn't matter who they sell to.
However… Chen Bai asked a crucial question: “If the Panlong Carriage is sold like this, wouldn’t it lose its unique characteristics?”
It's become so common, who would still pay for its uniqueness?
"That's right. Although there are many poor people in the world, there are also many rich people. If a noble person of extraordinary status and a wealthy merchant ride in the same carriage, it will devalue the Panlong carriage."
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