"Boss Yu, I know what you are worried about, but this worry is unnecessary. Next, I will increase the capital of [Bailian Catering Management Company]. No matter how much, 2 billion yuan can still be taken out."
Du Shaojie would naturally not kill the goose that lays the golden eggs. Now all the pressure is on [Xichuan Restaurant], and there is no need to drag all its brands into the water.
But fighting a war of attrition requires a huge amount of funds, so he decided to expand the capital.
To put it bluntly, he pays for it. No matter which company the funds are drawn from, he will eventually pay for it.
But everyone shook their heads when they heard this.
"Isn't this necessary? Boss Du, if we control the cost of expenses, we may not lose money. If we still let you pay for it, won't all of us become freeloaders?"
Yu Jianxin firmly opposed it. If he were to say, even if [Xichuan Restaurant] was closed, the boss couldn't be asked to pay for it, right?
That's not how business is done.
"It's not that I want to do this, but it's the opponent who forces me to do this. [Xichuan Restaurant] is my foundation, so I can't give it up. You don't need to say anything more."
Du Shaojie usually listens to opinions, but today he decided to act arbitrarily.
Of course, there is a reason for his determination to fight the opponent to the end, and there is also a little secret that is unknown to others.
This secret was only discovered recently. When he was in Beijing, he often cooked at home, but there were no rewards as before.
Whether it was the time or the exchange points, they were all gone.
He also tried to cook in restaurants or other places. His cooking skills were naturally no problem, because he could see the comprehensive evaluation from the light screen, and he could get the evaluation of "Phoenix Marrow Dragon Liver" for any dish he made.
But there was no value in the reward column, only dotted lines. Fortunately,
the previous time and exchange point balances were still there, but I didn't know if they would disappear in the future.
Therefore, he had to deal with this problem as a matter of urgency.
The system helped him get through the most difficult period and laid the foundation for his future improvement in cooking skills.
To be honest, if the system suddenly disappeared, he would be very sad, even though he no longer needed it now.
After setting the tone for capital increase, Du Shaojie went to Hong Kong.
He registered an offshore company through his own channels, and then established a new company in Hong Kong in the name of the offshore company.
Then he used this Hong Kong company to inject capital into [Xichuan Restaurant], investing a total of 2.7 billion Hong Kong dollars.
This time in Hong Kong, he exchanged all the remaining exchange points into Hong Kong dollars, totaling 2.863 billion Hong Kong dollars. 2.7 billion Hong Kong dollars of them were injected into [Xichuan Restaurant], and 163 million Hong Kong dollars were left in the account.
Of course, the change of equity is for outsiders to see, and its core has not changed.
[Bound Chef: Du Shaojie]
[Level: Senior Cooking Technician]
[Current Highest Comprehensive Evaluation: Phoenix Marrow Dragon Liver (Achieved)]
[System Highest Comprehensive Evaluation: Return to Nature (Not Achieved)]
[Ultimate Prize: Ultimate Gift Pack (Not Achieved)]
Du Shaojie looked at the unrecognizable light curtain panel and couldn't help but sigh. He didn't know what would happen if he broke through the ceiling of his cooking skills and could make dishes that were comprehensively evaluated as "returning to nature".
He felt that the system would most likely disappear, and there would be no more rewards or simulation training.
Of course, he no longer relied on the system, whether it was to improve his cooking skills or to earn money. It was
just that the system had been with him for many years, allowing him to grow from an apprentice in a large canteen to a well-known catering giant. It was hard to give up this emotional sustenance.
Unfortunately, some things were not subject to his will, and when that day came, he could only accept his fate.
Du Shaojie returned to Guangzhou with mixed feelings, and then cheered up to deal with the current situation.
Unlike the high-profile [Kawakami Family], [Xichuan Restaurant] remained low-key in the following days, with few advertisements and no promotional activities. It just operated silently.
Some people said that [Xichuan Restaurant] found it difficult to resist the fierce offensive of [Kawakami Family]. If there was no movement, it meant that the other party had accepted its fate. It would depend on what happened and whether it could not hold on and go bankrupt.
Some people also said that [Xichuan Restaurant] was holding back a big move, and if it didn't make a big splash, it would make a big splash.
Anyway, there were all kinds of things, but most people were not optimistic about [Xichuan Restaurant], thinking that this nationally famous Sichuan cuisine chain would gradually disappear from people's memory.
"Boss Du, [Chuan Shang Ren Jia] is really too ruthless. Not only did they rob many mid-range Sichuan restaurants of their business, but even small restaurants were in trouble. According to media statistics, many small and medium-sized Sichuan restaurants have closed down in the past three months."
In the morning.
Wu Chenggang received the analysis report sent by Wang Yongli, and then reported it to Du Shaojie.
This is a typical "fight between gods and mortals". [Xichuan Restaurant] hasn't done anything yet, but a bunch of small and medium-sized Sichuan restaurants affected have suffered heavy losses.
"What a sin! In order to attack us, [Kawakami Family] even operates at a loss. How can a small restaurant withstand such an impact?"
Du Shaojie is very disgusted with this "burning money" model. It is like setting a fire in the wilderness. After the fire, no grass grows, which completely disrupts the normal market order.
But he is powerless to change all this. What he can do now is to waste time with the other party.
"Mr. Du, the company sent the performance express report of [Xichuan Restaurant]."
As the two were talking, Li Yimei came in and handed the performance express report she had just received to Du Shaojie.
Du Shaojie took it and read it once, then put it aside.
According to the express report, the operating data of [Xichuan Restaurant], which had stabilized, has once again experienced a sharp decline. According to the data in the express report, [Xichuan Restaurant] will suffer its first quarterly loss in history.
"Tell me, is it the worst moment now?"
Supervision All this was within Du Shaojie's expectations, but he still felt a little unhappy.
He took a deep breath and then looked at Wu Chenggang.
"Mr. Du, please forgive me for being frank, but it's far from the darkest moment yet. During this period of time, the customer flow of [Xichuan Restaurant] has dropped sharply, and even many old customers have chosen [Kawakami Family]."
Wu Chenggang has connections with regional companies and stores. He can always grasp the latest situation and is a little pessimistic about the future.
[Kawakami Family] actually dominates the low-end and mid-end markets with its ultra-low prices, which puts more and more pressure on [Xichuan Restaurant]. Fortunately, Du Shaojie increased his investment, otherwise everyone would have lost confidence.
"Xiao Wu, you are wrong. Now is our darkest moment. I can tell you that [Kawakami Family] has actually played all its cards. This stage is when it has the greatest impact on the market.
Once their three tricks are over, the effect will be greatly reduced. By then, due to the different positioning of the enemy and us, our customer base will tend to stabilize, and a large number of customers who go to try new things will also return."
Du Shaojie smiled and shook his head, then explained.
[Kawakami Family] did take a strong medicine before, and was willing to operate at a loss to drag the other party into the water. But don't forget that the catering industry has its own rules, and the price of dishes cannot determine everything.
At the beginning, [Xichuan Restaurant] will be hit hard, but as time goes by, the effect of the opponent's attack is actually weakening rapidly.
After all, the two sides have different positioning. Through this period of dormancy, [Xichuan Restaurant] has been constantly improving both in terms of food quality and service level.
There is a certain lag in the customer's experience. When the attack effect of [Kawakami Family] weakens, the grade of [Xichuan Restaurant] will be highlighted.
Grade is not easy to explain, but through strong contrast, it will be accepted by most people.
Therefore, Du Shaojie's strategy is very simple, that is, to persist and persist, and must persist until the day when the opponent can no longer consume. At present, the consumption of [Kawakami Family] is far greater than that of [Xichuan Restaurant]. Who makes [Kawakami Family] the attacker?
[Xichuan Restaurant] may suffer losses in the next period of time, but because it has maintained a normal profit margin, it is expected to get out of the quagmire first.
After listening to Du Shaojie's words, Wu Chenggang couldn't help but feel bright.
He finally understood why the boss wanted to fight a war of attrition with the other party. The purpose was to drag down the opponent, or to weaken the opponent's strength as much as possible.
Facts have proved that Du Shaojie's judgment is accurate.
Three months later, the revenue and profit of Xichuan Restaurant stopped falling and stabilized. The loss was about 15 million yuan per month, which was generally within the controllable range.
A loss of nearly 200 million yuan a year is simply unbearable for small and medium-sized enterprises, but for an enterprise of Xichuan Restaurant's size, it is far from reaching the life and death line.
However, the reputation of Xichuan Restaurant is getting better and better.
If someone's family is better off, many customers will often choose Xichuan Restaurant instead of Chuan Shang Ren Jia when they encounter family birthdays, parties, banquets and other activities.
The dining experience of Chuan Shang Ren Jia has always been not very good. In the past, it took advantage of the high cost-effectiveness, but now the gap between the two sides has opened up, and the quality of Xichuan Restaurant's dishes is much higher.
Not to mention the service level, which is the shortcoming of Chuan Shang Ren Jia and the most criticized place.
Recently, a wave of public opinion has also appeared on the Internet. The public opinion itself does not mean to praise the high and trample the low, but just makes an objective comparison between Chuan Shang Ren Jia and Xichuan Restaurant.
The comments were much more intense.
"[Chuan Shang Ren Jia] is really a conscientious business. The dishes are not only good, but the key is the low price. I don't go to [Xichuan Restaurant] for dinner. The quality of the dishes is not much higher. Who cares about the dining environment and service level?"
"Indeed, for ordinary people like me, low price is king."
"[Xichuan Restaurant] has always been positioned as a mid-range restaurant, right? High cost performance is good, but if you invite people to dinner or have special activities at home, of course you will choose the upscale [Xichuan Restaurant]."
"Originally, [Chuan Shang Ren Jia] is positioned at the low end, focusing on cost performance. [Xichuan Restaurant] is positioned at the mid-end, focusing on the quality of dishes and dining experience. The two tracks are different, what is there to compare?"
No matter how fiercely the netizens quarreled, as the topic continued to heat up, many people consciously or unconsciously labeled the two catering companies.
[Xichuan Restaurant] is of a higher grade, and the quality of dishes, service level, and environment are impeccable, so the dining experience is definitely better, and the corresponding consumption is also higher.
[Kawakami Family] is good at resisting restaurants, emphasizing high cost performance, and the quality of dishes is acceptable. It is the first choice for customers who pursue affordability.
Du Shaojie certainly knows how this topic came about, and Wang Yongli and others have made great contributions. Of course, netizens are also sharp-eyed. After this wave of public opinion fermentation, [Kawakami Family] was nailed to the low end.
This is very necessary. It is easy to put a label on, but it is difficult to take it off. It basically blocks the other party's way to open up the mid-end market in the future.
With this public opinion as a sign, the first phase of the battle between [Kawakami Family] and [Xichuan Restaurant] is basically over.
There is no winner in this battle. [Kawakami Family] won face but lost the inside, and [Xichuan Restaurant] lost face but won the inside. Let's
not talk about anything else. In order to suppress [Xichuan Restaurant], [Kawakami Family] has to burn 100 million yuan every month, which is almost 7 times that of [Xichuan Restaurant].
As a result, the seemingly lively [Kawakami Family] made a lot of noise but lost money, and nailed itself to the low end.
This day.
Du Shaojie held a meeting at the training center to discuss the action plan for the second phase.
"In the first phase, we mainly practiced internal skills, which was a dormant stage. In the second phase, we should have both offensive and defensive capabilities and not do nothing. Let's talk about your ideas."
Du Shaojie presided over the meeting, and all the executives of the head office and the heads of various sub-brands were present.
The battle between [Xichuan Restaurant] and [Kawakami Family] basically included all the elements of business war. He hoped that everyone could summarize more lessons from it.
"Can we try advertising?"
"I think we can do some appropriate promotional activities, not to reduce prices in disguise, but to give back to old customers."
"We have implemented a membership system for a period of time before, and now we can re-activate it."
Everyone spoke enthusiastically at the meeting and put forward many useful suggestions.
Du Shaojie hesitated for a moment, then turned to look at Yu Jianxin, meaning to let the other party express his opinion first.
"Then let me say a few words. At this stage, we can carry out some appropriate promotional activities in the name of giving back to old customers. Remember, our purpose is for publicity rather than for price wars."
Yu Jianxin's summary was very accurate. Appropriate promotional activities can increase customer stickiness. Generally speaking, the discount will be cancelled after the activity ends.
In price wars, price reduction is a long-term plan, directly launching low-priced dishes.
"Mr. Yu is right. I agree with some appropriate promotional activities, but the activity period must not be too long. It is best to control it within one week, and no more than this month at most."
Du Shaojie made the final decision, and [Xichuan Restaurant] took the initiative to start the second phase of the offensive and defensive battle. (End of this chapter)
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