Daming Town Haiwang

Chapter 2253, Overcapacity economic crisis 3
"Um~"

Hearing Liu Jin's words, Xie Yunshan, Xie Feng and his son immediately had nothing to say. They are experts and they can't hide it from the other party. The other party knows everything.

"It seems that I can't hide it from Mr.

"Yeah, the textile industry is really bloody now, and the competition is too fierce. The market has become extremely bad these years. Not only is it very difficult to sell, but the price has reached the point where there is no profit at all. Many times We will sell even at a loss."

"My factory is only open for half a day now, and a lot of goods are squeezed in the warehouse. If it can't be sold, I will announce the closure of the factory."

"But I really can't bear it. The factory in front of me is my painstaking effort over the past few decades, and I have worked hard to build the factory to this point step by step."

"Even if I sell the house, stock, manor, shop, land, etc., I will continue to operate it."

"Please buy some cloth as much as you want, Mr. Price."

Xie Yunshan almost knelt down for Liu Jin.

The factory in front of him is all his painstaking efforts, he will never let it fall down, even if it is to kneel down, he is willing.

Selling at a loss is also a loss, because it can still be sold if it is sold at a loss, and at least part of the funds can be recovered after the sale, so that the factory can continue to maintain.

He firmly believes that the market will gradually improve. As long as he can persist for a longer period of time, other factories will close down and the overall production capacity will be reduced. He will be able to have more markets, and he will be able to survive and continue.

"Tell me about the current situation in the textile field in detail, and I will buy all the cloth in your warehouse."

Liu Jin looked at Xie Yunshan's appearance, such a person would be an entrepreneur in future generations.

They cannot be called capitalists. Capitalists are only chasing capital and have no affection for enterprises. Enterprises that do not make money will abandon them without hesitation.

Entrepreneurs are not, they are full of affection for their business, even in the most difficult times, they will try their best to keep the business going.

Entrepreneurs are full of affection for their own enterprises, just like their own children. After decades of hard work, the enterprise in front of them is the result of all his hard work.

"Really?"

Hearing Liu Jin's words, Xie Yunshan and Xie Feng's eyes widened suddenly, and they seemed a little in disbelief that the person in front of them actually said that they wanted to buy all their stocks.

Others may not know it, but they know it best. There is a mountain of cloth in their warehouse, with millions of pieces worth several 10 taels of silver.

"To be honest, there are millions of pieces of cloth in our factory warehouse, worth more than 50 taels of silver!"

Xie Yunshan thought for a while and said.

What he meant was actually very clear. If he told Liu Jin that his inventory was very large, the business of a few 10 taels of silver would be a big deal.

If you brag to the point of insisting on eating it, then Liu Jin will be in great trouble.

During this period, people in Daming were still particular about doing business.

"It's just a few hundred thousand taels of silver, it's nothing."

Liu Jin smiled, seemingly indifferent.

For Liu Jin, not to mention these 10 taels, even a few million taels are still small money.

Liu Jin didn't care about this amount of cloth at all. The industries under his command could easily digest it. Among other things, it would take a lot of cloth just to distribute uniform seasonal clothes to the employees of the major industries.

And Liu Jin also owns a textile company under his command.

The textile enterprises under Liu Jin's command are also similar to Caiyun Textile Factory. They started to transform early, and now they mainly focus on brands, sports, and fashion, and the production of cloth has long been separated.

Digesting these 10 taels of cloth is not a matter at all.

Of course, for the entire textile industry of Ming Dynasty, it will have no impact at all. If you buy the cloth from Jinyun Textile Factory here, you will need to purchase less cloth from other textile factories. After all, someone will have to bear it.

Overcapacity is overcapacity, and the textile industry produces too much cloth.

There are too many, too many people investing in this traditional field.

Coupled with a large number of cotton and sheep breeding in the world, the supply of cotton and wool has increased significantly, which has greatly increased the global cloth production, which has exacerbated overcapacity.

According to the laws of the market economy, a large number of low-quality enterprises will be eliminated after overcapacity, and only enterprises with strong competitiveness can survive.

At that time, companies will close down, production capacity will be reduced, and the market supply and demand will return to balance, and eventually it will return to normal.

But in this process, a series of economic crises may be triggered.

The bankruptcy of a large number of enterprises will lead to a large increase in the unemployment rate, which will further lead to market shrinkage, further aggravate the economic crisis, and finally fall into a cycle, which will continue to spread to other industries, triggering greater economic crisis. scale of the economic crisis.

This is an inevitable law of the development of the capital economy, determined by the market.

The same is true of any industry. When it is profitable, a large amount of capital and people pour into it, resulting in a large increase in production capacity and an oversupply. When this oversupply is seriously out of balance.

The industry will fall into the red sea period, the competition is extremely fierce, triggering an economic crisis, a large number of companies have closed down one after another, and finally slowly returned to normal.

In fact, according to the normal situation, the Ming Empire already had an economic crisis.

It's just that under the guidance of Liu Jin in the past, new industries have always emerged, and the rapid development of these new industries has become a new force in the market.

On the one hand, it disperses investment in old industries, eases the competition of old industries, and delays the time of crisis; on the other hand, the development of new industries drives a lot of employment and consumption, and at the same time provides more opportunities for old industries. big market.

This is the reason why the Ming Empire has never had a real economic crisis, because there are always new industries emerging and developing rapidly.

Such as automobile manufacturing, petroleum industry, chemical industry, film and television industry, etc., these emerging industries are developing rapidly, attracting a large amount of capital to invest in them, and also driving the development of a large number of related industries, providing a large number of employment opportunities and creating even bigger industries. economy.

However, the textile industry, the earliest developed industry, is now really unable to move forward. The serious overcapacity will usher in the economic crisis of the textile industry.

Xie Yunshan and Xie Feng looked at Liu Jin. This time, they really met a true god. The business of a few hundred thousand taels is nothing. Who is this Mr. Liu? It seems like a trifle.

But after the shock, the two of them became ecstatic in their hearts, and began to introduce Liu Jin in detail about the current situation of the textile industry.

"Sir also knows."

"In fact, it's not just that our Jinyun Textile Factory is underutilized and has an extremely large inventory squeeze. The textile enterprises in the entire Ming Dynasty and even overseas colonies and vassal states are similar to us."

"Now the textile industry is really very difficult."

"Too much, too much cloth is produced, and the global market simply cannot absorb so much cloth and cannot be sold."

"Everyone's situation is similar to ours. The inventory is squeezed and it is difficult to maintain."

"Many people have had to close their factories, reduce production, and sell cloth and machinery cheaply to invest in other industries."

"I am most familiar with the situation here in Nanyun Province. In the past, many commercial houses would place large orders for us, and the cloth would not worry about selling. Sometimes, those commercial houses even made reservations with us in advance."

"But now, it's difficult to sell cloth to those business houses. Those business houses only place orders with companies that are related to them."

"Other companies often can't get orders. In Daming itself, we are now mainly selling shirts, and the cloth is sold to those garment factories. There are very few people buying cloth personally."

Xie Yunshan began to describe in detail the problems he is currently facing in the textile industry.

What he said was actually similar to what Liu Jin knew. In the final analysis, the serious overcapacity caused the economic crisis of the entire textile industry.

"It seems that this is the problem facing the entire textile industry."

"Generally speaking, the production capacity is too large, and the consumer market cannot keep up."

"Can everyone learn from Caiyun Textile Factory, it should make ready-made clothes."

After Liu Jin listened, he thought about it and said.

"We have also considered this issue, but this garment manufacturing requires more technology, more equipment and better management, plus professional design and marketing, etc., the investment is even greater."

"We really don't have the confidence to do well, and we dare not invest in it again."

"In addition, the current competition in garment manufacturing is also very fierce. A large number of enterprises have transformed into garment manufacturing, and only a few professional enterprises like Caiyun Textile Factory can live well. Others are actually very difficult."

Xie Yunshan thought about it and said.

"So that's the way it is, how can there be an egg under the overturning."

Liu Jin also nodded after listening. It seems that Wang Shouren will be in trouble next time. As the chief minister of the cabinet, the first thing he has to face is the current economic crisis of the textile industry.

This is a huge test, but there is no reference to any experience test before.

We must know that in the past, under the condition of low productivity, there would be no economic crisis at all, so there has never been any experience and lessons in this regard in history.

"You and Mr. Xie are docking and buying all of Mr. Xie's inventory."

Liu Jin shook his head slightly, then turned to give instructions to the butler beside him.

"Thank you sir, thank you sir!"

When Xie Yunshan, Xie Feng and his son heard this, they were overjoyed and excited, and thanked them repeatedly.

PS: Ask for tickets~~
(End of this chapter)