Chapter 1063: Operation Broken Wings, Another Battle in the World!

Chen Chun turned over and lay on Yang Fei like a figure. His eyes hadn't been opened yet, but his mouth was talking: "You want to go out?"

"Well, the acquisition of Pechoin Company is a big deal. The [Silk Novel Network] team is waiting for me, I have to go."

"Then give it to me again."

"You can't get enough to eat?"

"I want……"

When Yang Fei led his team to arrive at Pechoin Company, it was almost noon.

The boss of Pechoin led the crowd to welcome him.

"Sorry, I was delayed because of something," Yang Fei shook hands with the boss and asked, "Have you dealt with the matter last night?"

"It's solved." The boss invited Yang Fei and the others to sit down in the office and said, "It's like this. I have talked with the city leaders and the restructuring is still going on."

"How did the vice president handle it last night?"

"Dismissal of duties, serious demerits will be recorded."

Yang Fei nodded slowly.

The boss said: "One more thing. When the restructuring is completed, I will be transferred from Pechoin Company."

Because Yang Fei mentioned before that everyone from the boss on down can stay, and no major changes will be made to the team members.

After hearing this, Yang Fei pondered: "Is this the result of your negotiation with the leader? Is this in exchange for the psychological balance of others?"

The boss smiled bitterly and said: "If I don't leave, the people below will have no chance to rise to the top. If I move, I can move a bunch of people."

Yang Fei said: "Boss, I think you have misunderstood? After the company's restructuring, I have the final say in everything here. Who I appoint or not appoint, the government has no right to interfere."

The boss said: "Yes, you will have the final say at that time. I thank you for your trust in me, and I also want to stay and continue fighting, but the fact has been determined and I can't change it. In fact, if I leave, I will not be responsible for your future management." Factories are also beneficial.”

Yang Fei knew there was no way back, so he gave up.

The acquisition process is complex and cumbersome.

Meili Group sent a certified public accountant to conduct an investigation and obtained an independent expert's evaluation of Pechoin's financial, commercial and administrative affairs.

At the same time, Meili Group's lawyers should conduct a special investigation into Pechoin's account books and local concessions, and check all original contracts, guarantees, licenses, etc.

Meili Group's lawyers will also investigate the employment conditions of Pechoin employees, the union's opinions, factory practices and pension arrangements.

After the acquisition is completed, Meili Group will explain to all senior managers of Pechoin Company its current accounting and common methods of managing the enterprise, and who to report to, etc. The accounting staff will explain the financial reporting requirements that Beauty Group will need in the future.

After completing these steps, the integration work officially begins.

Yang Fei just gave an outline and left the specific tasks to a professional team.

Because the Pechoin Company was of great strategic significance in Yang Fei's layout, Yang Fei had to be at the helm for the past few days, and the Zhonghua Toothpaste Factory still had some matters to deal with, so he stayed in Shanghai for a few more days.

While making the acquisition, Yang Fei should formulate corresponding measures based on the actual situation of Pechoin Company to achieve the realistic small goal of turning losses into profits.

The daily chemical market is a very magical place.

Some companies have annual sales of only a few hundred million, but net profits can be as high as one or two hundred million.

Some companies seem to have annual sales of tens of billions, but when calculated, the net profit is only tens of millions.

The well-known Langqi Company was formerly the Huacheng Hardened Oil Factory. Like all light industrial companies, the oil factory did not have its own brand until the 1980s because it supplied products based on plans.

It was not until the end of the 1980s that Langqi was officially launched as the company and product's general brand, forming a dual-brand strategy of Langqi Gaofuli and Langqi Tianli, gradually becoming one of the three major laundry detergent brands in the country.

Langqi has transformed into the largest detergent manufacturer in South China. Its laundry detergent market share is second only to Shanghai's White Cat, ranking second in the country!

However, for such a large company,

When the annual sales reached 600 million, the annual net profit was actually negative and the company lost tens of millions!

In later generations, when Langqi's annual sales reached 5.4 billion, its net profit was only over 40 million, and its net profit rate was only 0.8%. It can be said that it refreshed people's understanding of profits in the daily chemical industry.

Coincidentally, the same is true for Pechoin Company. Sales seem to be okay, but when profits are calculated, they are still losing money.

Behind the overall prosperity of the industry, the development status of each enterprise is different. Some people are happy, while others are worried.

Yang Fei estimates that in more than ten years, my country's retail sales of daily chemical products will reach 500 billion, and the cosmetics market will reach at least 250 billion!

This is a huge growth market.

Generally speaking, brand owners have the strongest voice in the beauty industry chain, with gross profit margins ranging from 60% to 80%; distributors and terminal retailers have gross profit margins of 25% to 45%; R&D and production companies The gross profit margin level ranges from 16% to 32%.

If profits are too low, there must be a big problem with management or operations.

The net profit margin of leading companies can be maintained stably at 10% to 15%!

Compared with the net profit of washing daily chemical products, the profit of the beauty industry can be said to be very considerable.

It is an indisputable fact that our country's cosmetics companies are losing ground in their battles with international companies.

In the domestic daily chemical industry, except for the laundry field, where the Meili Group led by Yang Fei can compete for domestic products, various other subdivisions have been occupied by foreign-funded enterprises. Low prices, low values, and low profits have become This has eliminated the vicious circle that many local daily chemical companies cannot escape.

Yang Fei has his own beauty and skin care brands, but it is far from enough to dominate the world with just one brand.

Because, in the field of beauty and skin care products, Yang Fei does not have the unique conditions and advantages like washing powder, nor does he have the right time, place and people.

Yang Fei still has a long way to go if he wants to make some achievements in the beauty industry.

Pechoin Company is the new battlefield for Yang Fei to attack!

Now, what Yang Fei has to do is to find out the problems of Pechoin Company and work out a solution to lead the brand on the right track.

By studying Pechoin's products, Yang Fei discovered that in addition to differences in product categories, the quality and innovation of the products themselves are the root cause of the poor performance of local daily chemical companies.

In recent years, with the awakening of consumers' health awareness, consumers have higher and higher requirements for quality.

Domestic daily chemical companies, however, cannot keep up with the pace of consumption upgrading, both in terms of quality and the speed of innovation and upgrading.

In the past few years, local daily chemical companies could compete with foreign-funded companies, but in the past three or four years, they have been completely defeated.

Yang Fei found the crux of the problem, and after completing the acquisition, he will flex his muscles, introduce new production lines, develop new products, replace with new packaging, and compete in the daily chemical industry again!

While Yang Fei was studying the beauty and skin care industry, P&G quietly launched a "Broken Wings Operation."

Don’t you, Yang Fei, have wings and want to lead the local Rihua to fly high?

Then I will practice archery and shoot your wings off!

And this battle was P&G’s trump card after proactively contacting Yang Fei and failing to negotiate!