Rebirth of the Capital Legend

Chapter 150: Making tea and discussing Taoism!

"Wan Qing, your tone is quite loud." Fang Xingyuan said with a smile, "Who are Cao Cao and Liu Bei? How can your second uncle and your uncle Qiu compare with them? This topic is too big, you should go with your uncle Say, instead of talking about these issues with me and your Uncle Qiu here."

Fang Wanqing curled her lips and said, "My uncle doesn't want to hear me say this."

"I think Wan Qing's talk about the problem is fake." Qiu Guoyu said, "The real purpose is to use this question to explore your and my thoughts and opinions, so as to provide her with some investment opportunities. inspiration.”

Fang Wanqing said with a smile: "Uncle Qiu is still great. I really want to hear some interpretations and opinions of my second uncle and uncle Qiu on the current macroeconomics. I want them to give me some pointers on industry investment and project investment." The main point is that recently, several investment plans submitted by our group to the company leaders were rejected by the investment project department, which indeed undermined confidence.

Among them, there is one project that I think has great potential. I have agreed with my boss that I will definitely pass it.

As a result, when I submitted the financing plan for this project to the company's investment project department, it was still rejected by the leaders. Now I don't know how to tell the boss. "

"What project?" Qiu Guoyu asked.

Fang Wanqing said: "A boss planned to build a group-buying website selling vegetables. He came to our company and hoped that our company could invest to help him start the business. I checked... At present, the domestic group-buying market is still blank. , and everyone has this need.

Similar to how Dibao has changed the way people shop.

Moreover, the express delivery network is currently being built very quickly. Pre-warehousing logistics and fresh and frozen logistics are also developing rapidly. Coupled with the rise of takeaway, instant delivery services are becoming more and more common. All front-end logistics of this business development model are also developing rapidly. The basic conditions are already met, so there is no reason why we can’t do it. "

Let me say, with the in-depth development of mobile Internet.

Therefore, your company is right to deny this investment project.

Su Yi nodded slightly and said: "Food is the most important thing for the people. As a major category of food, clothing, housing and transportation, everyone indeed has the need to buy vegetables, but the concentration of fresh food markets is very low, and the shelf life is short. Usually It only takes one or two days. Furthermore, as civilian necessities, everyone is very sensitive to the price of fresh dishes.

If this money is invested, at most it will only be able to build a pilot area, which will not have any advantages over traditional channels.

Qiu Guoyu and Fang Xingyuan were also slightly stunned. Among them, Fang Xingyuan smiled and said: "Xiao Su, tell me why you think so."

This has led to low profit margins in its fresh vegetable market.

"That's it." Su Yi continued, "Civil necessities are extremely price sensitive, and the state control is also very strict. The net profit margin is extremely low, and when the net profit is extremely low, if you want to make money, you must go Scale. Only by lowering operating costs through scale can it be possible to overcome traditional channels and achieve cost-effectiveness, thus changing the way everyone lives and purchases.

When Fang Wanqing heard Su Yi's words, she couldn't help but wonder, and asked, "According to you, if he wants 5 million, or 50 billion, it will be easier for him to succeed in financing?"

"How is that possible?" Fang Wanqing didn't understand what Su Yi meant and thought he was talking nonsense.

Fang Wanqing glanced at Su Yi and replied: "5000 million."

Su Yi nodded slightly and said, "That's true."

I believe that in the future, with the further development of mobile Internet and the arrival of the Internet of Everything.

People's habit of visiting offline supermarkets to buy food will also be subverted by new models.

When the money invested is burned out, there is a high probability that there will not even be a splash.

Fang Wanqing nodded and replied: "Generally, it is around 3% to 5%, and there are very few above 5%."

"Too little, no wonder it was rejected by your company's investment project department." Su Yi said.

"How much money does this boss plan to raise?" Su Yi asked.

And an investment of 5000 million...

Ms. Fang must know what the average net profit margin of major supermarket chains in my country is, right? "

Furthermore, the boss’s idea is good, but the structure is not enough, and he has not thought clearly about how to make this business model work? In short, the boss's courage and ability are not enough. According to the primary condition of investment, which is the factor of investment, this project does not meet the investment standards.

The business model of 'group buying groceries' will definitely rise, and it will most likely change everyone's lifestyle, and even eliminate a large number of offline chain stores and supermarkets.

However, the sentence is still the same.

This business model is a business model that relies on scale to win.

Only with a huge amount of investment, a large platform with a huge number of users, and continuous money burning, can a market be created and final profits possible.

The rest of the small and medium-sized enterprises and small and medium-sized players, even if they have this intention, cannot play this model. "

"Well, what Xiao Su said... can be said to have hit the nail on the head." Qiu Guoyu squinted at Su Yi with admiration on his face, "The quality of the business model and the natural net profit margin determine the difficulty of investment. It cannot be said that business models with low profit margins and that require scale to win are not good, but at least for this type of business model, the difficulty and risk of investment will be quite high, because competitors can be found everywhere. Without scale, there will be no success at all. There is no moat to speak of, and if you want to achieve economies of scale and capture market share, you must make huge investments, which further increases the risk of investment.”

"Understood!"

The doubts in Fang Wanqing's mind for many days were finally solved.

He couldn't help but turn his eyes and glanced at Su Yi in surprise.

"But the net profit margin of real estate development is also quite low." Fang Wanqing paused and then said, "Then why are capital and companies flocking to it?"

Su Yi said: "Although the net profit margin of real estate development is very low, generally around 3% to 8%, the real estate development industry has a natural advantage, that is, it is easy to expand the scale and has a natural leverage effect. A low net profit margin will also appear very impressive when combined with the effect of scale leverage.

In Shanghai, an ordinary development project can easily cost billions or tens of billions, and the sales scale of an ordinary residential project can easily reach billions or tens of billions. Even if the net profit margin is only 3%, that is still a net profit of hundreds of millions.

Under the same net profit margin, industries or companies that are easy to achieve revenue scale will definitely have a higher priority in reinvestment than industries or companies that are difficult to achieve revenue scale. "

"It seems that's true." Fang Wanqing thought for a moment.

The eyes that looked at Su Yi gradually became appreciative.

"Is Mr. Su also an investor?" Fang Wanqing asked proactively, "It seems... you look like a colleague of mine."

Before coming to Qiu's house as a guest, her second uncle didn't tell her why she wanted to come for dinner, nor did he tell her who the Qiu family had invited, nor did he mention Su Yi to her.

Therefore, she didn't understand Su Yi at all.

I don’t even know about tonight’s meal.

It was the blind date dinner that Qiu Guoyu and Fang Xingyuan arranged for her after secretly discussing the plan.

"Peers should not be counted." Su Yi said, "I am currently mainly engaged in the secondary market. Although I have dabbled in the primary market, it is only in a small way."

"Secondary market?" Fang Wanqing was slightly surprised.

She originally thought that Su Yi had such a deep understanding of the investment market that he should be an investor in the primary market.

But I didn't expect that the other party's main focus was actually the secondary market.

"Does Mr. Su also have deep insights into the financial trading market?" Fang Wanqing asked, "Are you dealing in the domestic market or the foreign market?"

Su Yi said: "I can't speak of deep insights. I can only say that I still have some experience. At present, it is mainly in the domestic market. In the future... maybe it will turn to foreign markets."

"The A-share market in the second half of this year should not be very good." Fang Wanqing said, "Our company's secondary market business department is mainly the fund investment department. In the second half of this year, in just these few months, We were forced to liquidate several stock-oriented fund products in the A-share market.”

"I think it's okay." Su Yi said, "It's not difficult to make a little money."

"Can you still make money? Then Mr. Su is really awesome." Fang Wanqing praised and then asked, "Does Mr. Su work in a securities firm?"

Being able to understand both the primary market and the secondary market so well.

She would subconsciously think of domestic securities institutions.

Su Yi replied: "No, I was at Bloomage Capital before, and then I went it alone."

"'Bloomage Capital'?" Fang Wanqing said, "I have a classmate who is also in the company'Bloomage Capital'. Her name is Deng Xiyao. Do you know Mr. Su? She should be in the investment strategy of'Bloomage Capital' now. Research department work.”

Su Yi thought for a while and felt quite impressed by this person.

After all, the person Fang Wanqing was talking about had worked with him for a while, and later moved to a foreign investment banking institution, and seemed to be doing well.

"I know him, but I'm not familiar with him." Su Yi said.

"Which school did Mr. Su graduate from before?" Fang Wanqing thought for a while and asked, "Harvard Business School? Stanford School of Finance? Oxford, Cambridge, Huaqing University, Yanda University in China, or the Central Finance Department?"

Su Yi smiled and said: "Miss Fang may think highly of me. I graduated from the University of Finance and Economics in Shanghai."

"That's pretty good." Fang Wanqing said with a smile on her face, not looking down on Su Yifei because he graduated from a top school, "I studied at Zhejiang University for two years, and then as an exchange student, I went to Chicago to study. For a while, oh, by the way... Mr. Su, what do you think of the current economic environment at home and abroad? Are there any industry investment opportunities that you think are clear and have potential? "

Su Yi said: "The economic environment at home and abroad cannot be said to be good, but it is not very pessimistic. There is a possibility of crisis, but during the crisis, there will also be many rare opportunities and investment opportunities. As for potential, As far as I know, the industry investment opportunities that have the expected consensus should be the in-depth development direction of the 'mobile Internet' and the development direction of the 'new energy industry.'

"Well, I think so too." Fang Wanqing nodded, "Recently, the 'new energy industry' has attracted much attention, but this concept has been mentioned for several years, and many institutions have invested in waves. There are only a few startup companies that have survived, and even fewer that are profitable. Mr. Su thinks this situation... will improve in the future? In fact, I am quite interested in this industry direction. "

Su Yi said: "There will definitely be improvements. As far as I know, the technical route for 'lithium batteries' and the commercial route for large-scale production have gradually matured. Related industry chain companies, as well as the 'new energy vehicles' that the country is vigorously promoting, Enterprises related to the industrial chain will definitely have a good time.”

"However, Japan's exploration of 'new energy industry' is quite different from our technical route in developing 'lithium batteries.'" Fang Wanqing said, "Their research focus is mainly on 'hydrogen energy'. The concept of 'hydrogen fuel cell' has been proposed. Do you think this route of 'hydrogen fuel cell' is feasible? "

Su Yi smiled and said: "At present, it should be unreliable. If we want to truly achieve large-scale production and commercial use, it is not only necessary for the experiment to be successful, or to be able to travel far away, but also to consider the materials. Cost, production cost... and other factors, if the production cost of a battery is 100 million or 200 million, then even if the technical route is feasible, it will not be implemented in actual market applications..."

The two talked about industry analysis from an investment perspective.

Let’s talk about macroeconomic development and policy trends.

Finally, we started to discuss the trading skills of the secondary market, talking about stocks, bonds, foreign exchange, futures, derivative financial product trading markets... and other related issues.

They didn't even notice that Qiu Guoyu and Fang Xingyuan had already put away the chessboard and entered the house.

He didn't notice that the girl feeding the fish next to him muttered and stuck out her tongue, and ran into the house.

He didn't even notice that there were only two of them left in the entire garden, and Sunset, with only half of his face left.

(End of this chapter)