Save the Bachelor of Heaven
Chapter 3901 3903 [Industrial Cluster]
In the following time, Qiu Yingjie took the merchants around Yiwu, allowing them to see the current industrial level and development of Yiwu.
In 1992, the fourth generation small commodity market in Yiwu was just completed. This is the first large-scale indoor market in Yiwu, with more than 15,000 stalls, mainly selling daily necessities, needle cotton, thread belts, shoes, buttons, glasses and other major categories of commodities.
Now that all the stalls have been rented out, vendors and customers who come to purchase and shop are crowded and crowded. It is quite lively and can be said to be packed with guests.
This was an eye-opening experience for those merchants.
At the same time, Xiang Nan was also discussing investment with Chen Jianghe.
"Brother Ji Feo, I'm going to invest in building a factory with you to produce clothing." He told Chen Jianghe.
At present, Chen Jianghe's garment factory has expanded from dozens of people to hundreds of people.
However, Xiang Nan still felt that this was too small. He planned to invest in the construction of a clothing factory that could accommodate 80,000 people and fully produce clothing.
By then, more than one billion pieces of clothing will be produced annually. Even if a piece of clothing only earns one yuan, it is a profit of more than one billion a year. Of course, if you create a brand, the profit will be more than that low.
"How much do you want to invest?" Chen Jianghe asked curiously.
"Fifty million." Xiang Nan extended a slap in the face and said.
Chen Jianghe and Luo Yuzhu were all frightened when they heard this.
Their clothing factory is considered a big one in Yiwu, with only five hundred employees and an annual profit of only a few hundred thousand. Xiang Nan wanted to invest 50 million in one breath, which was really scary to them.
"This is only the first investment, and the subsequent investment is 450 million." Xiang Nan then added.
"Isn't that too much?" Chen Jianghe said in surprise, "Fifty million plus 450 million, isn't that 500 million?"
He thought investing 50 million was too much, but he didn't expect Xiang Nan to invest another 450 million. It was as if what he invested was not money, but paper.
"That's five hundred million." Xiang Nan nodded and said, "Brother Ji Feo, time waits for no one. You have time to go out and take a look. Construction is happening everywhere in the country now.
Factories are opening one after another in Beijing, Hujiang, Guangzhou, and Zhenzhen. Now is the era of horse racing. Whoever develops first will seize the opportunity, otherwise, he will always lag behind.
Let me ask you, if Yiwu had not withstood the pressure in the early 1980s and fought against all opinions to build a small commodity market, and it only started to develop now, would it still be possible to go there? "
Chen Jianghe was stunned for a moment, then shook his head.
Now with the popularity of Yiwu small commodity market, a number of small commodity markets have emerged across the country following Yiwu's example.
But because they started late, they lag far behind the Yiwu small commodity market in terms of scale and passenger flow. Even the vendors in the small commodity market have to come to Yiwu to stock their goods.
So if Yiwu wanted to build a small commodity market now, it would never be as prosperous as it is now.
"The principle is the same." Xiang Nan explained, "Now that we are getting bigger and stronger and forming a scale, on the one hand, we will get support from the government, and on the other hand, we can form an industrial cluster..."
"Industrial cluster?" Luo Yuzhu was a little confused.
"A series of industries surrounding the garment factory, such as textile factories, printing and dyeing factories, zipper factories, packaging factories, button factories, etc., will all gather here, which will create a scale effect." Xiang Nan explained, "In this way, if When merchants buy clothes, do they come directly to us? "
Chen Jianghe and Luo Yuzhu both nodded.
Just like the Yiwu Small Commodity Market, when it comes to small commodities, everyone will first think of Yiwu. If you want to purchase goods, you should also come to Yiwu, because it is the largest, has the most complete products, and the prices are more affordable.
This is the effect of scale. If the Yiwu small commodity market was not so big, it would not have such a big impact at all.
"However, I'm worried that my ability is insufficient." Chen Jianghe added.
In the past, he only managed a few hundred people at most. And to build a factory with 500 million yuan, how big would it be and how many people would it need to hire? When the time comes, he will have to take care of so many things that it feels overwhelming just thinking about it.
"So I invested 50 million in the first phase." Xiang Nan said with a smile, "If you are confident, I will invest more. If you think the management is not good, then forget it.
In fact, you don’t have to be afraid of anything. In my opinion, tens of thousands of people are even easier to manage than hundreds of people. Because the more people there are, the greater the power of the system.
In the past, you used people to manage people, but in the future, you use systems to manage people. As long as you establish a good system, you don't even need to worry about management, there will naturally be systems to restrain it. Just like the Candy Gang back then, there were rules and everyone acted according to them. "
Chen Jianghe nodded, "Okay, then I'll give it a try."
"I believe you can do it." Xiang Nan smiled.
…
Subsequently, driven by Xiang Nan, giants such as Procter \u0026 Gamble, Mars, ACA, and GAP were willing to invest and build factories in Yiwu, or cooperate with local factories in Yiwu.
It seems that Chen Jianghe's Jianghe Garment Factory will cooperate with GAP and do OEM processing for them first. After accumulating experience, you can launch your own clothing brand.
So in the next two years, factories were being built everywhere in Yiwu, creating a booming scene.
During this period, Xiang Nan traveled between China and the United States many times and continued to broker cooperation between the two parties.
Thanks to his efforts, American sporting goods giants Nike, Reebok, Converse, New Balance, etc.; American home decoration giants Home Depot and Lowe's; hardware giants DuPont, Chuangke, and Stanley; and clothing giants Ralph Lauren and Mike Meyer. Many companies, such as Si and CK, come to Yiwu to invest and build factories, or ask Yiwu's factories to do processing.
The cumulative investment and order volume has reached 5 billion US dollars, and the results are quite gratifying.
The first phase of Chen Jianghe's Jianghe Garment Factory has also been completed, covering an area of 75 acres, with five large workshops, 5,000 machines, and a total of 12,000 workers.
Chen Jianghe was originally worried that he wouldn't be able to manage it, but after he built the factory and recruited all the people, he found that managing people was actually not as difficult as he thought.
In the past, he and his wife Luo Yuzhu had to manage hundreds of people and had to take care of everything themselves. Incoming goods, shipments, collections, payments, wages, personnel... there are so many things to be busy with, so busy that you can almost hit the back of your head with your feet.
But now that the factory has more than 10,000 employees, he is free.
Because there are so many employees, he simply cannot manage them by himself. He can only rely on the system to manage them. Under the system, he only needs to supervise the managers of various departments, such as the business department, sales department, human resources department, finance department, warehouse management department...
The number of people he has to manage has been reduced dozens of times, and relevant departments have taken over everything, so he has much fewer things to be responsible for.
He only needs to set the general direction of development and hand over the tasks. He does not need to do everything personally. Anyway, whoever fails to complete the task will be done by ruthless K when the time comes.
Therefore, he finally understood what Xiang Nan meant when he said, "The more people, the better the management."
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