Xing Baohua was spending money like crazy in Japan, burning through over a billion US dollars in just one month. Many economists and experts have also taken notice of his reckless spending spree.
They even went so far as to say that Xing Baohua's rate of spending wouldn't last until the end of the year, as the funds would be exhausted. Using this method of burning money to stimulate the small Japanese market is counterproductive.
Shareholders also had complaints. According to back-end data, the losses from discounts only accounted for 70%, with the remaining losses being labor-related.
A nationwide field sales effort requires a large workforce. Once employees are hired, they become full-time staff, and all kinds of benefits must be provided. Laying off them when they are no longer needed results in even greater losses.
R's sluggish economy was revitalized by Xing Baohua, but the market was also in disarray. Many first-tier cities were taken over by his sales team, and numerous large, medium, and small supermarkets launched discount promotions.
Ordinary people are concerned about things like firewood, rice, oil, and salt. After the discounts and promotions, ordinary people also want to participate. They don't have computers! Families with better financial conditions will buy one anyway, since it's discounted and comes with three months of free internet, so they'll buy one.
Many computer brands are making a move.
However, rice still leads in sales. To better reflect the service, the factory-configured software includes a one-click connection. Simply find the π icon with your mouse and double-click to open it.
It even provided a dynamic image demonstration, teaching housewives who had nothing to do at home how to operate and use the π software.
From registration to linking your bank card, only five bank cards support π payment. If you don't have one, hurry up and get one for convenient money transfers.
New users enjoy numerous benefits, including various coupons and discount cards that are very tempting.
The only problem is that users don't check the merchant's address. Currently, π Pay only supports in-store pickup, but customers are only thinking about getting discounted items and ignore the distance between the merchant's address and their home.
Some customers were stunned to find that the addresses were in different cities after they had purchased items and clicked submit.
This can be considered a bug in the software.
Furthermore, canceling orders is quite cumbersome. To keep the money from customer returns in the warehouse for a few more days, he implemented a T+5 system. Submit for review, approval pending…
If it weren't for the bank's backing, the users would probably have panicked long ago.
Moreover, this guy even had the backend create a "Lingqianbao" (Pocket Money Treasure) where you can put your spare change to earn interest.
This is one way of absorbing deposits.
As π Payment became operational, various problems arose, and the original dozen or so customer service representatives were simply overwhelmed. Within a month, a customer service team of over 150 people was formed. To reduce costs, the 24/7 customer service was discontinued, and a 12/5 model was adopted.
On Sundays, you just have to wait; there's no use getting anxious if there's a problem. We need to get the Japanese used to this slow pace.
As the amount of money burned through the bank increased, Xing Baohua announced that he was preparing for an angel round. This round would only accommodate 12 shareholders and would require raising 50 billion US dollars.
After receiving angel investment, the money will be used to expand into several other developed countries.
As soon as the news broke, the first company to call Xing Baohua was Temasek Holdings in Singapore, eager to secure a 10 billion NTD quota.
This won't do! No matter how good our relationship is, we can't just spend your money like crazy! We gave you a $5 billion limit out of consideration for your relationship.
Subsequently, financial groups from desert countries such as the Abu Dhabi Consortium and the Riyadh Consortium called Xing Baohua.
They were a little unhappy that they weren't included in the first round, after all, they have such a good relationship, why shouldn't they get a share of such a good opportunity to make money? This time they are determined to get involved, and also invite the π Group to do some business in their area.
To be honest, the last place I want to go is the area around the desert country. They're already rolling in money, why would they care about discounts? Is there any justice in this world?
After accepting the money, Xing Baohua decided to postpone market expansion, citing that it did not conform to market planning.
Then came the big players, led by Wall Street.
A group of 25 institutions came, led by old rivals such as Buffett's Berkshire Hathaway, Solskjaer's Quantum Fund, and Sequoia Capital. Basically, all the well-known capital firms came to the Japanese to talk to Xing Baohua.
Xing Baohua saw that there were more than 20 companies, and he had to meet and talk to each one in person. There was no time for that. He suggested finding a large conference room and having them all gather together for a chat.
I don't have time to talk to you privately.
The desert country alone has already snatched up half of the 50 billion share, and there are a few other related parties that need to be taken care of. It's estimated that about 30% will be left. With so many of you, let's reach a consensus on who is suitable to subscribe.
Uncle Ba and Uncle Suo didn't come in person, but sent representatives instead. Although these two had suffered losses at Xing Baohua's hands a few times, there are no real enemies in the world! When it comes to interests, they are all good friends, putting on an act of friendship that blossoms from a fight.
Twenty-five institutions were vying for the angel round allocation, and none of them were willing to concede to the others, so they couldn't reach a consensus. They decided to send a representative to talk to Xing Baohua to see how it would be for all 25 of them to get involved together. They were willing to accept a smaller share, as long as they could get on board.
Xing Baohua gave out 5 slots to subscribe to the remaining 30% of the shares, and the rest will wait for the Series A and Series B rounds.
Look how sought-after Xing Baohua's projects are, but someone still wants to stir up trouble.
A venture capital firm called HOM raised several questions at a group meeting.
Ask Xing Baohua: How much money does π Group need to burn in the early stages to reach a certain market value? How many rounds of financing are needed after the initial burnout? When will it become profitable? When will it go public?
These are all normal inquiries, to keep investors informed. You can't just hand over your money and not have the right to ask questions. Even when buying groceries, you have to ask if they're fresh today.
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