how the business is tempered

the beginning of a legendary story is often subtle, careless and hard.

In the winter of p>1989 in Beijing, the cold wind was like a knife. The heavy laminate made Deng Shenwei, who was 17 years old, panting, and the exhaled gas immediately turned into a white fog in the cold air. He misses his hometown, which he left for half a year, a small mountain village around Fushun County, Zigong, Sichuan.

at the end of 1981s, when Deng Shenwei left his hometown, the first wave of entrepreneurship in China was driving the first wave of working. Sichuan, which is relatively backward in economy, is a big labor export province. Tens of thousands of migrant workers in Sichuan, like migratory birds, go to work in the "Northern Guangzhou" area in droves. 17-year-old Deng Shenwei is just one of the weak ones.

He works as a porter with his uncle in the Materials Bureau of Changping District, Beijing. Every morning at 9: 11 a.m., he takes a minivan to the railway station, lifts the laminates from the train skin to the minivan, transports them back to the warehouse, then lifts them down one by one, and carries them into the warehouse to be stacked neatly. A large laminate weighs more than ten kilograms, and a person can only bend his back and bend his waist and then hook it with his hands to move it. Every day, Deng Shenwei and his uncle each have to recite 511 laminates, each earning 6 cents a day to earn 31 yuan, but they have to be busy until three o'clock the next morning, and finally they are so tired that they can't even squat down in the toilet.

On those depressing nights, my uncle and nephew, who were homeless, were lying on stacked floors, and the warehouse was filled with the pungent smell of formaldehyde. Young Deng Shenwei always looks at the ceiling with a frown, and there is a question in his mind: Where is my future?

the opportunity comes unexpectedly. Because of his hard work, Deng Shenwei won the appreciation of Yin Shuji of Timber Company of Materials Bureau. In 1993, Secretary Yin asked Deng Shenwei to contract a Dongfeng truck, mainly to undertake the business of timber companies and pull timber from the northeast to Beijing. After one year, Deng Shenwei earned more than 211,111 yuan.

at the age of p>24, with more than 211,111 yuan in cash, Deng Shenwei suddenly floated up. I heard that many bosses in my hometown in Sichuan made a fortune supplying Wuliangye and selling feed. He decided to stop being a truck driver and go back to his hometown to collect sorghum and resell it to Wuliangye. In order to stay in style, he bought a 41,111-yuan Beijing Jeep, a 1,111-yuan mobile phone and a pager to hang around his waist. The funny thing is that when the pager was not paged for two or three days, he called himself. "This thing really rings!" "

Deng Shenwei proudly returned to his hometown to harvest sorghum. Unexpectedly, due to his lack of business experience, he ignored the problem of farmers' credit, and his capital chain was quickly broken, so he could not make up the hole by selling his car. One night before returning to liberation, he wanted to cry without tears.

everything can only be started from scratch. Deng Shenwei had to come to Fushun County to work. In the most difficult time, he helped people drive dump trucks for road construction, and he couldn't go home for a week. He was so tired that he had to sleep while there was traffic jam. His wife set up a tobacco stall at the station to support her family.

Finally, relying on their own savings and the support of relatives and friends, the couple started the business of taxi and leather goods store respectively. Two or three years later, the couple had a savings of three or four hundred thousand yuan. And this leather store opened in a remote town laid the groundwork for Deng Shenwei's later life.

nothing can stop a restless heart, even if it has failed, even if it is a rich life.

In p>1998, Deng Shenwei decided to gamble again and invest 511,111 yuan to open a hotpot restaurant. It took many years for his family to get better, and now he suddenly wants to open a hot pot restaurant that he has never set foot in. Friends and relatives all think that he must be crazy.

Deng Shenwei is not hot-headed. Experience and lessons have made him more and more rational. In the early stage, he spent a lot of time and energy, chose the store site to do a good job in decoration, and invited the hot pot master in Chongqing, named it "Chongqing Fresh Eel Hot Pot City". Before opening the business, he racked his brains to think about how to become an instant hit. Seeing the old yangko team practicing dance across the street, he was inspired at once and asked them to walk from the east gate to the west gate with gongs and drums for three days in a row. The reward was free hot pot.

At the same time, he cleverly found China Resources Lan Jian Beer, which had just entered Fushun and was eager to open the market. On the condition that only their beer was sold, he got a discount of 211 pieces per day for three days before opening, which was enough to support the reward activity of "free drinks for three days after opening". Although these marketing strategies are common now, they still made people in the small town shine at that time, and quickly made hot pot restaurants popular in the local area, with 41 tables turning over almost four times a night. In just three months, his hot pot restaurant earned 511,111 yuan.

in the second year, with the encouragement of friends in Yunnan, Deng Shenwei made the catering business in Kunming, which was also a great success. After experiencing the most primitive business baptism, Deng Shenwei finally knocked on the door of modern commercial civilization.

The inspiration of that moment

Swift, a famous British writer, said: If someone can make two grasses grow where only one grass grows, then he has reason to be more useful than a thoughtful philosopher. The young Deng Shenwei does have such potential. Let's call it a tossing skill.

The weather in Kunming in autumn of p>2112 was pleasant. Deng Shenwei, who is doing the catering business in full swing, received a bad news: his younger brother opened three franchise stores of a leather brand in Kunming, and when the business was still good, the capital chain of the leather brand headquarters went wrong and he was informed that he would no longer supply to the franchise stores. My brother was in a daze and found Deng Shenwei.

Deng Shenwei can't stand by. The business experience gained over the years made him start to make a calm analysis:

The supply chain of the catering industry was difficult to manage and develop, and the Sichuan and Chongqing brands such as Little Swan, Sister Su, Dezhuang and Tanyutou at that time had formed a climate and the market was relatively saturated. At that time, the high-end leather goods market was luxury brands such as LV and Gucci, and the middle end was basically occupied by imported goods, while the low end was full of a large number of brand-name leather goods, and there was no Chinese leather goods brand. There is a huge market space among them.

Like a cheetah in the jungle, Deng Shenwei did not hesitate to entrust the catering business to his friends and turned to the leather goods business. However, how can we bring my brother's shop back to life first?

First of all, to solve the supply problem, Deng Shenwei invited several old craftsmen who made leather goods from Guangzhou to open a small leather goods factory to supply three stores in Kunming. In view of the large number of local ethnic minorities in Yunnan, he mainly focused on women's bag products with primitive ethnic styles, and the average price of each product was set at 151~311 yuan.

Then, in order to stand out among many peers who look like foreign flavors but are actually miscellaneous brands, Deng Shenwei decided to launch a brand with Chinese characteristics. A moment of inspiration, the word "red valley" jumped to the page. "Simple and easy to remember, and ethnic customs, reminiscent of the artistic conception of the rising sun in the valley."

At the same time, he changed the store decoration into a national style of returning to nature, and even carved the word "Red Valley" on the original board as a signboard. In this way, the storefront of Red Valley is unique among the shops lined with Qingnian Road in Kunming, and it is easy to stand out.

The market has gradually verified Deng Shenwei's analysis, and the red valley with ethnic flavor has gradually been accepted by consumers. A store can sell more than a dozen bags every day, with a revenue of more than 3,111 yuan, and its revenue reaches 891,111 yuan a month. Deng Shenwei, who was still a little embarrassed, suddenly got excited. "If you find the right way, you must hurry up!"

in order to realize the chain development, he rushed out more than a dozen brochures for investment promotion overnight, which were printed with a decent slogan "Come from a foreign country, adorn yourself" and the telephone number for investment promotion. With the psychology of giving it a try, he put the brochure in the shop and waited for it. I didn't expect that although there were a lot of typos in the brochure, the next day I brought a consultation phone from wenshan city.

The caller's name is Zhang Yang. At the age of 22, he came to Kunming from his hometown Wenshan, thinking about finding some business to do in his hometown. Walking to the Youth Road where shops gather, he was immediately attracted by the uniquely decorated shops in Honggu, and then went into the store to inspect and took a brochure of investment promotion.

after returning to Wenshan, Zhang Yang thought: Red Valley, a women's bag specialty store, is still a blank in Wenshan. In addition, its ethnic design and back-to-basics shop decoration are likely to be very popular in Wenshan, where ethnic minorities gather. So he dialed the number in the brochure.

Deng Shenwei was so excited when he received the phone call that he quickly told Zhang Yang that he had come all night. As soon as he finished the meeting that afternoon, he didn't have time to go to the toilet, so he went straight to the station and sat in the car for 12 hours overnight. A bubble of urine actually went from Kunming to Wenshan.

Zhang Yang was secretly surprised by Deng Shenwei's positive and enthusiastic attitude. Previously, he also contacted many franchise brands, but the response he got was either to fill in cumbersome registration forms or to wait for a lengthy approval process. Like Deng, he arrived overnight, or he was the first one.

When they met, Zhang Yang didn't have time to entertain them as a host, Deng; Deng Shenwei calculated an account for Zhang Yang, considering the flow and purchase of people at these stores; "This person is reliable!" Zhang Yang was moved by Deng's sincerity; In the initial battlefield of market expansion, Deng Shenwei almost rushed forward in this way; In 2113, there were more than 41 franchisees in Honggu, which set foot in Yunnan and Guizhou. There is hope when you are alive; The red valley has grown bigger, but Deng Shenwei always feels insecure, but he says no; In 2114, Dao Lang, a fellow villager of Deng Shenwei and a Sichuanese, became popular in China. This year, when Deng Shen

and Zhang Yang met, Deng Shenwei took him straight to the local commercial street to see the shop before he could do his best to entertain them. There are two commercial streets in wenshan city. Deng Shenwei took Zhang Yang and his party from eight o'clock in the morning to four o'clock in the afternoon. When they were tired at noon, they took a nap on the floor of Zhang Yang's house and finally delineated two or three pavements.

Deng Shenwei calculated an account for Zhang Yang. Considering the factors such as the flow of people, purchase rate, rent and labor in these stores, he should earn more than 1,111 yuan a month. In principle, in order to attract franchisees, manufacturers should describe the profit prospect better than the actual situation, but Deng Shenwei's account is conservative to even lower than Zhang Yang's calculation result.

"This man is reliable!" Zhang Yang was moved by Deng's sincerity. Relatives on the side privately reminded Zhang Yang: "Look at his small eyes, be careful of being a liar." Zhang Yang waved his hand: "How is it possible? How can a liar be so diligent?" Later, he not only opened four stores in Wenshan, but also was invited by Deng Shenwei to help the company because of his outstanding performance.

in the initial battlefield of market expansion, Deng Shenwei almost rushed to the front line in this way and went into battle in person. In addition to giving advice to franchisees on site selection and marketing, he even helped franchisees decorate together, meticulously carving the words on the signboard by himself. This serious and responsible attitude has infected many franchisees and followers.

In p>2113, there were more than 41 franchisees in Honggu, covering Yunnan, Guizhou and Shandong provinces. At the same time, Kunming Haixing Factory was set up to support channel expansion from the production end. This year, the annual sales of Honggu reached more than 11 million yuan, and everything seemed to go smoothly.

There is hope when you are alive

The Red Valley has grown bigger, but Deng Shenwei always feels insecure, but he can't tell why. During that time, he often dreamed that a pair of huge hands came from behind and woke up in the middle of the night in a cold sweat.

In p>2114, Dao Lang, a native of Sichuan and a fellow villager of Deng Shenwei, became popular in China. "The First Snow in 2112" and "Impulsive Punishment" even seven or eight-year-old children will hum two sentences. Deng Shenwei likes Dao Lang's two songs very much, and thinks they are a kind of catharsis of emotion and pressure. However, for Honggu, the first snowstorm did come a little late, but the punishment that followed was almost fatal.

In this year, Deng Shenwei moved his headquarters and factory to Yongxing, Guangzhou, and took advantage of the local leather industry cluster to expand the production scale. In terms of channels, Honggu began to use the second-generation store decoration scheme that takes a fashionable and lively route, and expanded to Hunan, Hebei and other places, with the number of stores reaching more than 411.

However, storms often originate in neglected places. Supply chain management has become the leaky short board of Honggu barrel. In 2115, Deng Shenwei suddenly discovered that the inventory backlog of Honggu actually reached 71 million yuan! The sound of broken capital chain almost rings in my ears, and more seriously, a series of problems brought about by expansion have been triggered.

For example, many investors who have joined the company have been working hard to open stores, and the profits from the previous store are used to open the next store, and there is no return; The quality of employees in store sales positions is not high and their mobility is high, so they cannot form a cohesive team; The growth mainly depends on opening more stores, but the profitability of single stores cannot be further improved.

All the pressures are coming towards Deng Shenwei. He knows that there are only two ways ahead: to fall apart or to survive. However, where is the problem?

after carefully sorting out the supply chain, Deng Shenwei couldn't help taking a breath of air conditioning. The supply chain in Honggu has long been a mess!

It turns out that since its inception, Honggu has always adopted the distribution system, which saves franchisees' energy in variety selection, so that they will not be pressured by funds and inventory because of blind ordering, and can quickly spread channels and seize the market.

However, the management team of Red Valley Headquarters is far away from the front line, and has not made a detailed analysis of the market demand, which leads to blind ordering. Some best-selling models are short of orders and out of stock for a long time, while some unsalable models are accumulating, resulting in inventory pressure. What's even more funny is that sometimes when the order is filled, 111 is not enough, just add a zero at the back.

At that time, the communication of supply chain information in Honggu was very poor, and the way of manual statistical data was also very backward. On the one hand, the market demand changes rapidly, on the other hand, the factory production needs a long cycle, so the sales forecast and production scheduling are almost a mess.

By the end of 2115, due to the serious inventory backlog, Red Valley had no money to pay employees! In desperation, Deng Shenwei had to borrow hundreds of thousands of yuan from a friend who is engaged in catering business in Yunnan to tide over the difficulties-one step forward is the abyss.

Deng Shenwei, who learned from a painful experience, immediately organized manpower to count the backlog of goods and the quantity of goods that have been ordered but not delivered, and then controlled the goods that have been ordered but not produced, and then implemented the promotion policy of bundling sales at the terminal, such as buying a women's bag and getting a belt or a wallet, which promoted the sales of genuine products, reduced the gross profit margin and increased the net interest rate.

then, he changed the "distribution system" to "ordering system" and changed the original "production-driven" to "market-driven". Red Valley Headquarters holds an order meeting every quarter, releasing new products this autumn this spring and new products next spring this autumn. According to such a cycle, franchisees choose the style and quantity of orders according to local consumption habits, past sales data and grasp of fashion trends, and successfully realize a major shift from fixing production by production to fixing production by sales.

in this way, the total number of company shipments is the total number of sales, and the headquarters can more accurately control the total production and inventory, which greatly relieves the inventory pressure.

next, he set up a supply chain management department within the company, which is responsible for connecting orders between front-end stores and back-end factories. In addition, in order to strengthen information communication in the supply chain, he spent < P > 2 million yuan to invite a professional IT team to build an advanced ERP system for Honggu.