Chapter 994 Low-end Coffee

According to her judgment, the strength of Tomorrow Group is no less than that of Ruishang Group, and Tomorrow Group is a wholly-owned group.

The entire group is dominated by one person, coupled with the crazy investment behavior.

She could easily imagine that if Tomorrow Group could make a profit of 20 billion yuan, it would be able to invest all of the 20 billion yuan into the Nanhe Coffee project.

But can their Ruishang Group do it? It is simply impossible.

Ruishang Group is not owned by them alone, and there are several other shareholders. Their family only holds 60% of the shares and has the right to manage the company.

But can they invest all the profits? No, not to mention retaining reserve funds.

The biggest problem is which shareholders should receive dividends.

Therefore, she doesn’t think Ruishang Group will win if it continues to fight a financial war with Nanhe Coffee.

Thinking of this,

Chang Zishan took a deep breath and looked up at the two people in the reception area.

"I think the first option is the best. Stopping the loss in time is the most clear choice. The loss won't be that much by then. If we continue to stalemate with Nanhe Coffee and fail, the loss will not be just a few billion."

She thinks this is the best option. If some of the current Nanrui Coffee industries are disposed of, the loss may be less than 10 billion yuan.

Then this loss is still acceptable to their Ruishang Group.

However, if we continue to stalemate with Nanhe Coffee, we will have to invest more and more money, and if we fail, the losses may be huge.

Moreover, if too much investment is made, it may affect the operation of Ruishang Group itself.

So if she had a choice, she wouldn't want to be an enemy of Tomorrow Group.

"No, I won't choose the second option. I must destroy Nanhe Coffee."

Chang Rui refused directly. He had been in a stalemate with Nanhe Coffee for so long and had always been successful. Nanhe Coffee had been in a state of loss due to his targeting.

How could he give up now? Wouldn't everything he did before be in vain?

Chang Zai picked up the tea and took a sip, then his eyes finally fell on Chang Zishan.

"What you said does make some sense, but you have always looked down on our Ruishang Group and think that our Ruishang Group cannot compete with the Tomorrow Group."

"But our Ruishang Group has such a deep foundation, can it be that it cannot compete with the Tomorrow Group, which has only been developed for two years? Even if the Tomorrow Group now has some profitable industries, do they really dare to take the risk?"

"You have to know that when your industry grows bigger, you will be more and more careful in everything you do. So I don't think Tomorrow Group dares to go against our Nanrui Coffee with all its strength. So I think as long as we persist for a long time, Nanhe Coffee will slowly give up."

"And I also know about the Tomorrow Group you mentioned. They are now involved in many industries. Although they are very profitable, they also need funds in many places. So if I were the person in charge of the Tomorrow Group, I would not continue to include Nanhe Coffee as a major project."

"After all, Nanhe Coffee is burning money all the time and has no profit. The best thing to do is to give up Nanhe Coffee and continue to develop profitable projects."

“So if we continue to stalemate with Nanhe Coffee, then the first to give up will not be us, but Nanhe Coffee.”

Chang Zai spoke seriously. As a rival of Tomorrow Group, he naturally knew some information about Tomorrow Group.

The development speed of Tomorrow Group is indeed very fast, it can even be said to be terrifying.

But more haste makes waste. The faster you develop, the more unstable your foundation will be.

Therefore, what Tomorrow Group needs to do now is not to continue to develop industries, but to think about how to consolidate the existing industries.

When he investigated the information about Tomorrow Group, he found that the Tomorrow Group still had many unprofitable industries.

If these industries are not resolved, they will sooner or later become bombs for Tomorrow Group.

"What if Nanhe Coffee insists on continuing to develop Nanhe Coffee? What will you do? Do you have enough funds to confront Nanhe Coffee?"

Chang Zishan was somewhat helpless. She understood that her father's mindset was fixed. Being the leader in Jiangcheng, he had become conceited and would never admit that the group's strength was no longer comparable to that of the Tomorrow Group.

He can only comfort himself by constantly saying that the Rising Star Group is developing too fast and has insufficient foundation.

So she knew that no matter what she said, her father would not admit the fact that Ruishang Group had been slowly surpassed by Tomorrow Group.

Looking at the two people sitting in the reception area, he sighed secretly.

One is ignorant and arrogant, the other is complacent.

What else can she do!

After thinking about it, he finally insisted.

"I still insist on stopping losses in time. Besides, Nanrui Coffee is also losing money now, isn't it? We can completely change our strategy and not compete with Nanhe Coffee."

"Nanhe Coffee is a high-end brand with high prices, but we can definitely go low-end and grab those grassroots consumers."

"I have learned about the addresses of Nanhe coffee shops. Basically, there is a Starbucks near every Nanhe coffee shop. The price of Starbucks coffee is in a very awkward position now. It is not as expensive as Nanhe coffee, nor as delicious as Nanhe coffee."

"However, Starbucks' prices are much higher than those of low-end coffee, so the price still rejects some grassroots customers. The reason why it is popular now is still the reputation it built up before, but now the public's awareness is gradually improving. No one believes in Starbucks' previous slogan of high-end coffee anymore."

"We can definitely seize this opportunity and set the price of Nanrui Coffee below that of Starbucks. A cup of Americano at Starbucks costs more than 30 yuan, and we can definitely set the price of our coffee between 15 and 50 yuan, taking the low-end route to attract grassroots customers."

"This way, there will be no impact on us and Nanhe Coffee. Nanhe Coffee will continue to attract those high-income people, while we will attract those grassroots people."

“This is a win-win situation and the best situation.”

Chang Zishan carefully shared her ideas, saying that the low-end coffee market can be fully developed.

When grassroots office workers buy coffee, most of them just want to have a cup of coffee to refresh themselves while at work.

If there is a cup of coffee worth more than 10 yuan and a cup of coffee worth 50 yuan placed in front of you.

Basically, I would choose coffee that costs more than 10 yuan. Even if I want to drink coffee that costs 50 yuan, I would only buy it occasionally.

It’s not that the 50 yuan drink doesn’t taste good, but that income determines consumption.