Chapter 755: The Super Profitable Tai Chi Group

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The new year is coming soon, and many companies have begun to switch to the state of celebrating the new year. Driven by the enterprises under Ye Zishu, they pay much more attention to traditional festivals than before.

This is especially true during the Spring Festival. After the New Year's Eve in his companies, unless they are left-behind employees, other employees have begun to go home one after another.

Ye Zishu himself has also entered the New Year's state, that is, to check the operating conditions of its properties and see how they did in the past year.

Compared with the sharp increase in revenue in the previous year, the revenue growth rate of various companies has dropped sharply last year. This is a normal phenomenon. There are special reasons for the sharp increase in revenue in the previous year.

Last year, Taiji Group had the fastest revenue growth. With the many new businesses at the end of the previous year, it brought them huge benefits throughout last year.

In addition, in the process of internationalization, they are more daring than before, and the business that caused their internationalization to be hindered has also been greatly developed, and even has a tendency to monopolize.

The first is their earliest business health products. Last year, the global total revenue reached 1.5 trillion yuan, a growth rate of 57.9% compared to the previous year.

There are various reasons. The first reason is the launch of the membership system for health care products. After purchasing the membership, you can enjoy discounts. This measure has greatly increased the sales of old health care products.

The second reason is that health care products for increasing height continue to make efforts. Before that, because the effect has yet to be verified, many consumers are still cautious and choose to wait and see.

After more than a year, it has been proved by facts that the effect of increasing height is very obvious, so naturally more and more consumers choose to buy, and even the domestic sales are surprisingly good.

The third reason is the addition of a new product called Concentration Health Products. Although it has been on the market for less than half a year, the revenue of the new product has contributed a lot to such a high growth rate.

The fourth reason is that the improvement of the overall brand value has a very obvious effect. Now consumers have a natural sense of trust as long as they hear that it is Tai Chi Group.

Some people even worship Taiji Group blindly. This is what other companies want but can't do anyway. Now Taiji Group has such a status.

Because of this, many businesses under the Tai Chi Group have benefited a lot. Many consumers never question the quality and effectiveness of Tai Chi Group's products, but worry that the price is relatively expensive, which makes people feel a little bit painful.

In terms of the global health care products market share, Tai Chi Group's health care products business can be said to be thriving, occupying more than 99% of the global market share in this field, becoming an absolute leader.

In fact, many companies and capital are envious of the business of Taiji Group. Although this business is not the most profitable business of Taiji Group,

But it is the most stable business.

It can be said that as long as this business is still in the hands of Taiji Group, even if all their other businesses are lost, they can still live happily.

Many capitals are actually not envious of the more profitable medical business of Taiji Group, because the measures adopted by Taiji Group in the medical field are not delaying tactics, allowing patients to continue to pay for it.

This means that the number of consumers will be reduced if it is cured, and the market may gradually shrink over time. Many capitals believe that the pharmaceutical business of Taiji Group is already at its peak this year.

It will gradually decline from next year, and finally enter a stable period. This kind of one-shot deal is not liked by many capitals.

Therefore, many capitals and enterprises are researching the formula of health care products of Tai Chi Group, hoping to break the monopoly position of Tai Chi Group in the field of health care products and bring more benefits to themselves.

It’s just that companies and capital with this kind of thinking have come back one after another. Don’t think that you can produce something just by getting the formula. There are too many ways in it.

First of all, these health products are all made of traditional Chinese medicine ingredients, not to mention them, even if we have been immersed in Chinese medicine for so many years, we still don’t understand what ingredients in Chinese medicine work.

And even if the traditional Chinese medicine ingredients in these health care products are analyzed, they don't know what kind of Chinese medicinal materials they are extracted from, and they won't mark them on the formula at all.

In fact, even if they know what kind of Chinese herbal medicine is extracted from, there are high requirements for extraction technology, and ordinary extraction technology may not be able to extract anything.

The second is that the effect is not caused by a certain Chinese medicine ingredient, but by the cooperation of many ingredients. If the ratio is slightly different, the effect may be completely opposite.

Finally, there are very high requirements for the cultivation of Chinese herbal medicines. The same Chinese herbal medicines can have completely different medicinal properties in different environments and different years.

If there is not enough research on the Chinese herbal medicine itself, even if they buy the same kind of Chinese herbal medicine from the market, they may not be able to extract anything, because there may be no such ingredients in it.

Relying on the theory of modern medicine, it will not work at all in imitating the formula of Taiji Group's health care products, because there are many things that Ye Zishu does not explain clearly, and even the R \u0026 D personnel are ignorant, they only know what it is and don't know why it is.

Interestingly, as many of the Taiji Group's medicines are formulated with traditional Chinese medicine, traditional Chinese medicine, which was originally strongly excluded, has gradually become popular internationally.

As a result, the export business of Chinese medicinal materials in my country has increased greatly, and the health preservation of traditional Chinese medicine has also become popular in the world. This is good news for those engaged in this industry.

Last year, the export scale of Chinese herbal medicines in my country was as high as 100 billion yuan, which was absolutely impossible before, and the export of Chinese herbal medicines will continue to increase in the future.

Among these Chinese herbal medicine export businesses, the Taiji Group has a very low proportion. The reason is that their production capacity has been absorbed by themselves, and there is simply not much output to sell on the market.

In fact, most of these exported medicinal materials are not very effective. The good medicinal materials are basically bought by Japan, South Korea and other countries. The medicinal materials purchased by Western countries are actually not very effective.

In fact, Chinese medicinal materials do not have a fixed template. The same medicinal material planted in different years and in different environments has completely different effects on the treatment of different diseases, and there is no fixed idea at all.

This is also the reason why Chinese medicine is called empirical medicine. Like modern medicine, there are fixed routines that can be mastered as soon as you learn it. However, Chinese medicine needs a lifetime of immersion to achieve some success.

Those who think that they can learn a Chinese medicine formula just by learning a little, so Ye Zishu is not worried at all that there is a company that can surpass Taiji Group in this field.

The Tai Chi medical equipment business is also a great success. Only 50 million units of personal diagnostic equipment have been sold, and this business alone has brought them 800 billion yuan in revenue.

Although the medical equipment used by medical institutions started to make efforts in the second half of the year, they have also achieved good results, and the global sales revenue has reached 200 billion yuan.

Unmanned hospitals have forced many companies to change their doors and start replacing medical equipment on a large scale. In the face of advanced technology, sometimes it seems ridiculous to stick to their own opinions.

Last year, Taiji Group earned a total of 1 trillion yuan in revenue from the medical equipment business, a four-fold increase compared with the previous year. It was one of the fastest growing businesses last year, second only to the personal care business.

Moreover, this business also has huge development potential this year. According to the conservative estimate of Taiji Group, this business is expected to reach 1.5 trillion yuan this year.

The success of Tai Chi Group's medical equipment business is a bit dwarfed by their success in the field of personal care business, which is really amazing.

Last year, they sold a total of 600 million sets of skin care products around the world, with an average income of 6,000 yuan per set. The skin care business alone brought them 3.6 trillion yuan in revenue.

Although the cosmetics business is incomparable with the skin care business, it also created a revenue of 100 billion yuan last year, which is the number one existence in this field.

Then there is their fashion brand business. Although the development time is relatively short, the effect is not bad, and it has even reached a revenue of 150 billion yuan.

Including other fragmented businesses, the entire business has brought 3.9 trillion yuan in revenue to Taiji Group. Last year, their business was only 200 billion yuan, an increase of 18.5 times.

Although the growth rate of these businesses is very high, in terms of revenue scale, it has to be the pharmaceutical business of Taiji Group, which brought them a total of 6.5 trillion yuan in revenue last year.

It accounts for half of the Taiji Group's total revenue, but there are hidden worries under this prosperity. If new businesses are not developed, this may be the peak of the Taiji Group's pharmaceutical business.

It is precisely because of this that Pei Qing wants Ye Zishu to continue to provide medicines for other diseases, so as to slow down the declining trend of this business.

Ye Zishu believes that even if the existing pharmaceutical business revenue will decline, the initial decline will not be very large, and it will eventually stabilize at a level of around 4 trillion yuan.

This kind of income is actually not too small, but once stood at the peak and saw a better scenery, it gradually disappeared, causing the Taiji Group to fall into collective anxiety.

This kind of thing can only be gradually adapted to themselves. Even if he took out the medicine and treatment methods to treat many disabilities and diseases this year, he will gradually return to the normal state as time goes by.

It is impossible for any thing to keep advancing at high speed, there must be ups and downs, and finally enter a period of calm, which is the state of natural development.

As long as the Tai Chi Group's total revenue remains at the 10 trillion yuan mark, no one can easily shake their status as a global giant, and there is no big problem in doing this.

The last is their medical business. This business is still in a state of loss in general. In addition, Taiji Group continues to invest heavily in the construction of hospitals, and it is even far away to make a profit.

Last year they invested a total of 300 billion yuan in the construction of the hospital, and they plan to spend so much money on the expansion of this business every year in the future until it reaches saturation.

So in the medical business, the total loss last year was as high as 1 trillion yuan, and the main loss came from the burden of medical costs. This is because the number of people who buy members is not too many, otherwise the loss will be even greater.

So next year they plan to increase the membership price and increase the monthly membership fee base to 200 yuan, otherwise the losses will be even greater. Although Tai Chi Group does not intend to make much money on this, it cannot suffer more and more serious losses.

The best way is to establish and improve the medical insurance system. Otherwise, relying on one company alone will only increase the cost in the future. This is an inevitable result.

For the whole of last year, Taiji Group’s total revenue reached 12.9 trillion yuan, with a net profit of 8 trillion yuan and a net profit rate of 62%. The net profit rate rose instead of falling.

The reason is that the expansion of the market size has shared their investment costs and R\u0026D costs. If it were not for the expansion of medical business losses, the net profit margin would be higher.

This net profit includes investment other than non-main business. If the investment is excluded, their revenue balance last year was 6 trillion yuan, and the half-way investment in Wancheng Foundation was 2 trillion yuan.

The surplus funds are still very large for the Taiji Group, and there is simply no need for such a large amount of money. Ye Zishu directly withdraws 5 trillion yuan from the surplus funds, leaving only 1 trillion yuan for the Taiji Group.

Leaving 1 trillion yuan is enough for the Taiji Group to carry out its business normally without any impact, and it can even leave a lot of capital reserves.

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