National Tide 1980.

"Limited funds and lack of experience are objective conditions, and you need to recognize these two disadvantages. Therefore, I think when you enter this industry, don't rush to grab the most profitable pieces. You can start with the simplest and most straightforward things. The primary target is funeral supply stores."

“Coffins, coffin bedding, tombstones, urns, altars, Buddhist shrines, incense, candles, and paper money... you can make all these things. It doesn’t cost much to start a business. As long as you get the goods, you can make money by selling them. The cost is low, it’s easy to operate, and the more you sell, the more you earn. Moreover, you won’t rely too much on individual customers, because it’s enough to secure large clients like funeral homes, cemeteries, and temples.”

"Therefore, your past Yakuza backgrounds will not have too many side effects. As for how to achieve this and secure those lucrative clients, it's very simple: I will provide you with inexpensive and high-quality goods. Goods that are cheaper than everyone else's, and they are well-made with guaranteed quality."

Ning Weimin's words struck Zhao Chunshu and Nakamura Gou like a thunderbolt from the heavens, piercing the depths of their souls as they clung to a lifeline.

"Really? You're not kidding? It can really be cheaper than everyone else, and... well-made?"

Nakamura Go's voice was hoarse, yet filled with barely suppressed excitement.

"That would be great! But...where...where will you get such a source of goods? How can you guarantee that you can do that?"

Zhao Chunshu's tone also suddenly rose, but since he hadn't seen the whole picture, he couldn't fully believe it yet.

"That's not difficult at all. Don't forget where I come from. What is China's current economic level? The huge economic gap between China and Japan is our future source of profits."

To prove he wasn't joking, Ning Weimin laid out his thoughts and evidence in a methodical manner.

"First, we need to understand that while funeral products are a necessity in Japan, a person can only die once. Given the current situation in Japan, with the population over 65 years old accounting for about 10%, the total social demand is limited. It is not enough to support modern industrial assembly lines and cannot reach the minimum scale for profitable mass production. Second, funeral products are labor-intensive, and a typical investment scale cannot form an industrial assembly line. Also, although most funeral products are relatively easy to learn and teach, and anyone can do them, things like tombstones, urns, Buddhist shrines, and coffins require technical expertise. These items are expensive, partly due to labor costs and partly due to the technical content. Fourth, funeral products do not have high requirements for the production environment; it does not necessarily require a professional factory, and a general workshop can meet the requirements."

Ning Weimin seemed to feel thirsty as he spoke, so he took another sip of sake before continuing with a cheerful tone.

"Therefore, in conclusion, we can see that the main production cost of funeral products is labor. Given Japan's current economic situation and the current wage levels of Japanese people, the cost of producing these products cannot be reduced much. But it's different for China. A Japanese person's monthly income is 400,000 yen, which is about 13,000 to 14,000 RMB at the official exchange rate, enough to cover the income of dozens of Chinese people. That's our profit margin. If we simply import them and collect one or two times the tax, that's still a profit of ten or even dozens of times. Even if Japan collects ten times the tax, we can still make a profit. The best part is that these products don't spoil at all and don't expire. Tell me, in Japan, even if you don't leave Tokyo, can you still make this much stable profit in your old business?"

Profits that are ten times, even dozens of times higher!

Zhao Chunshu and Nakamura Go felt their mouths were dry and their throats felt like they had a handful of sand stuck in them.

They finally understood that Ning Weimin's plan was to profit from the difference in labor costs.

The problem is, the difference is too big; it's outrageously profitable.

This isn't doing business at all; it's using the most ingenious methods to profit from the suffering of the Japanese.
"So much... really so much profit margin? This business is too easy to run. It's even more profitable than selling face powder. If that's the case, then it's absolutely impossible to lose money!"

Nakamura Go slapped his thigh and exclaimed in genuine admiration.

"Yes. If we really have such a supply advantage, we'll be invincible. It'll be easy to get those big clients to come to us. We can just lower the price. Nobody turns down money."

Zhao Chunshu also expressed his inner feelings at this moment.

He then said to Ning Weimin with genuine admiration, "Mr. Ning, you truly are a man of great talent. No wonder you have achieved such success in just a few years in Tokyo. I really regret not seeking your guidance sooner. However, I am fortunate to have a business genius like you helping me with strategies. Otherwise, the future of us, master and apprentice, would be uncertain. I really don't know how to thank you enough. How about this: since this industry is so profitable, and as the saying goes, 'Don't forget the well-digger when you drink the water,' how about we cooperate to open a store? You don't need to put up any money; you just need to provide a stable supply of goods, and I'm willing to give you shares for free..."

As he said this, Zhao Chunshu's eyes shone.

Clearly, he was extremely optimistic about the prospects described by Ning Weimin and had decided to go all out without reservation.

Moreover, he was quite clever, trying to use shares to tie Ning Weimin to his own ship.

However, to his surprise, Ning Weimin shook his head and refused without hesitation.

"No, no, Mr. Zhao, we can cooperate, but we absolutely cannot start a company together."

"Why?" Zhao Chunshu was a little puzzled, and his face immediately turned embarrassed.

Clearly, he connected this to his own identity, assuming that Ning Weimin also disliked their former Yakuza identity and was afraid that starting a company with them would be undignified or bring negative consequences.

However, he was completely wrong; Ning Weimin's considerations were not so superficial.

When Ning Weimin actually gave his reasons for refusing, he found them to be so reasonable that he couldn't help but be convinced.

"First of all, you are at a disadvantage in terms of shareholding."

Ning Weimin explained methodically, “I’m placing the order for you because it involves international trade via sea freight. Of course, the more you order, the cheaper it will be to Japan. That would require at least several containers, right? My first order, including taxes and shipping, might cost tens of millions of RMB. In comparison, your capital is too small. Right now, even if you have 300 million yen, you simply don’t have enough money to purchase the goods without my investment.”

"And that's not all. Tombstones, shrines, coffins—these are large items. It's not cost-effective to manufacture them in China and ship them to Japan. It would be better if I brought in technicians from China to set up a factory in the suburbs of Tokyo to make them. Including setting up the factory and buying raw materials, that's another expense, at least 200 million yen. So, think about it: I'll invest 500 million yen, and you'll invest 300 million yen. How should the shares of this company be distributed?"

Ning Weimin's words can be described as a soul-searching question.

When it came to the issue of profit distribution, Zhao Chunshu and Nakamura Gou couldn't answer the question based on this single reason.

The two looked at each other, both looking embarrassed.

Yes, they're not happy if you give them too much; nobody wants to work for someone else for nothing.

Giving too little would be unreasonable, making them look like they're taking advantage of others. Nakamura Go was the first to admit, "This is indeed a bit difficult. We not only need the money to open the shop, but also to support more than a hundred people. However, the Hakoya family still has quite a few legitimate businesses. If we hand over all of them, we might end up with close to 400 million yen."

Zhao Chunshu, being even more straightforward, frankly stated, "This isn't about whether it's a hundred million yen more or less. It's because we didn't do the math properly and lacked self-awareness that we said such unrealistic and foolish things."

He then bowed his head and admitted his mistake to Ning Weimin. "My suggestion just now was indeed ill-considered. I am very sorry. Mr. Ning went so far as to advance funds to help us. This is equivalent to taking on the risk for us and saving us on inventory costs. I am very grateful for this. So, you can decide on the specifics of our cooperation. After all, our business experience is really lacking and cannot compare with Mr. Ning's."

"Then let's separate the business for now and each do our own job. I'll just supply the goods, and you'll just sell them."

Ning Weimin didn't stand on ceremony and directly finalized the cooperation model.

However, in order to avoid any misunderstandings between the two parties, he did not forget to make sure to explain things clearly.

"Even without the issue of unequal funding between us, I would still prefer to adopt this form of cooperation for the time being. Only in this way, when we are completely separate, with no subordinate or employer-employee relationship, can we avoid more unknown risks."

"After all, if you two stay in Tokyo and change careers after leaving the Inagawa-kai, your actions will likely attract a lot of attention for some time. Many people will probably be interested in your lives after you change careers. If we work together, our secret of low-priced goods will definitely be exposed."

"If others find out that this industry is so profitable, who knows what will happen next? So it's best for us to keep a low profile and make our fortune quietly, just like Zhu Yuanzhang back then who 'stored up grain and delayed declaring himself king,' so that we might be able to protect ourselves and eventually succeed. I even suggest that you two pretend to be down on your luck, and keep the real cost of your purchases a secret from your brothers."

"That's not unreasonable. After accumulating experience for a few years, and ideally after the 'big mess' Mr. Zhao mentioned has passed, when we've both made some solid money and you two have truly cleaned up your act and have no further connection with the underworld, it would be better for us to consider further cooperation plans. Because by then, not only will the prospects of this industry be clear, but we'll also have the strength, the funds, and the experience of cooperation between the two sides, which will be more conducive to the stability of our partnership. Then, how to proceed will be much easier to discuss."

"Perhaps we can continue to cooperate in this way, or perhaps we can open a cemetery or a funeral home together and move to a higher level. Or perhaps we can each do our own thing. In any case, we can move forward or backward as we please, it's all up to us."

What Ning Weimin said was absolutely a well-thought-out and mature statement.

These words made Zhao Chunshu and Nakamura Gou, who had already begun to calm down, see more clearly the risks that they had overlooked and failed to notice.

Yes, it's no exaggeration to say that such a highly profitable industry can be concealed.

For most Yakuza, the scent of money is like a shark seeing blood—they'll disregard everything else.

Who cares about chivalrous code or past ties anymore?

In particular, Ishii of the Inagawa-kai is currently in dire need of money. If the second-generation Ishii knew that this business was more profitable than any other business in the Yakuza, he would have to strike first. Handing over more things would be useless.

It's easy to imagine that if Ning Weimin hadn't reminded them, they would have been wiped out if the news had leaked out.

"Yes, yes, Mr. Ning's reminder is absolutely necessary. My master and I will definitely be careful to keep it a secret and will never let anyone else know our financial data regarding the purchases."

Nakamura Go felt his heart pounding, and his back was soaked with cold sweat.

Even though he wasn't the sharpest of them all, he knew the importance of this matter—enough to send him to his death.

"Mr. Ning, it's all thanks to your thoughtful consideration. Otherwise, we might have made a terrible mistake, tantamount to digging our own grave. Please be sure to tell us everything you know about how to proceed with this business and what we still need to pay attention to. Please don't hold back."

Zhao Chunshu was also secretly terrified, and a feeling of gratitude, or even admiration, welled up in his heart.

He felt that Ning Weimin's mind was almost supernaturally intelligent, and his business acumen was unparalleled throughout history, something he had never seen before.

As for Konosuke Matsushita, based on his own experience, he felt that Japan's business magnate was definitely not as quick-witted as Ning Weimin.

If he doesn't rely on someone like that, who else can he rely on?
Therefore, at this moment, Zhao Chunshu had completely lost any of the dignity and pride one would expect from an elder.

He only knew that compared to the other person, he was at most a few years older and had some life experience.

When it comes to scheming, he's completely clueless, like a child; he's only good at blindly following orders and never does anything foolish.

“Mr. Zhao, then I won’t stand on ceremony with you. Regarding our cooperation, if we really want to make a lot of money, if I may be so bold, there are three things I’d like to add. Please take them seriously.”

It must be said that Ning Weimin did not disappoint.

His next words were full of wisdom, a veritable business manual, and contained methods that ordinary people could not even imagine.

This further solidified Zhao Chunshu and Nakamura's confidence in the business.

"The first point is that we must be discreet in our competition with our peers. Even if our supply prices are low, we should not openly engage in price wars with our competitors. If there are no major unforeseen circumstances, I should be able to supply you with goods at one-third of the retail price of funeral products in Japan. This way, we can guarantee you a profit of about twice the supply price."

"But if you voluntarily lower your prices to two-thirds of the market price, that's absolutely not advisable. The downsides are, firstly, that will definitely attract too much attention and make people curious about your supply sources. Secondly, it will ruin the market price. Even if you squeeze out your competitors, once customers get used to such prices, it will be very difficult for you to raise the prices back up."

"So my opinion is that we can only win customers by indirectly lowering prices. On the surface, we don't sell our goods at much lower prices than others. But you can use double the profit margin of the purchase price to bribe customers. High-end banquets, luxury gifts, taking customers to the red-light district, or even giving them money directly are all acceptable."

"Even if the cost exceeds the price reduction itself, it doesn't matter. This way, we can keep our price advantage and business model confidential to the greatest extent possible, and even reduce the costs involved. Furthermore, it will firmly bind customers to your business. After all, people's greed varies; a price reduction for the company and personal gain are two different things. Besides, when other competitors go out of business, you won't need to explain to new customers why your prices are no longer low. This is the way to focus on long-term interests and ensure the industry's exorbitant profits." (End of Chapter)