2003: Starting with Foreign Trade

Chapter 49 2005 is coming
After receiving the money, Gu Qingqing tactfully said, "Then I'll be leaving now. I'm sorry to have taken up Mr. Tan's time today; also, I wish you a Happy New Year."

"It's nothing. Happy New Year to you too. Do you want me to give you something?"

"No need, it's not far; I can take the bus back."

"Alright then, be careful on the road; there are a lot of people today, don't let pickpockets steal your money."

"Okay, I understand. Goodbye, Mr. Tan."

After saying that, Gu Qingqing got up and left; at the same time, she was a little puzzled, as there was something strange about Boss Tan's last few words of advice.

It wasn't until she walked out of the coffee shop that Gu Qingqing realized, "Isn't that the same tone my dad uses when he talks to me?"

Could he be trying to take advantage of me on purpose? That seems unlikely; but why does this Mr. Tan, despite his young age, speak with such an air of superiority? Are all business people like this?
However, this Boss Tan is indeed quite capable. He started his own company at a young age and even bought a car. Gu Qingqing didn't know how much that Volkswagen cost, but cars at that time were not cheap, costing at least tens of thousands.

Moreover, this boss was quite easy to talk to and didn't have that arrogant feeling.

"Should we let our parents open an online store too? What would be good to sell?"

Although Boss Tan just denied his idea of ​​opening an online store with small accessories, he implied that an online store is possible, as his family mainly relies on rent collection and his parents have nothing to do.

Running an online store can not only generate income, but also give parents something to do.

"I'll call my parents as soon as I get back to the dorm. Yeah, that's decided!"

After Gu Qingqing left, Tan Jincheng sat aimlessly in the coffee shop for a while, watching people come and go outside the window, feeling the holiday atmosphere. The new year had arrived!

As a reborn individual, Tan Jincheng feels lonely. While others enjoy the holiday atmosphere, Tan Jincheng feels somewhat out of place.

The company also gave everyone a day off today. Zhang Xupeng originally planned to have a dinner party, but Tan Jincheng declined on the grounds of filming, so the three of them went to have dinner together.

With the internet underdeveloped and society not as stable as one might imagine, Tan Jincheng seemed to have no interests other than making money and playing football.

As for women? Tan Jincheng hadn't thought about those issues yet. He was only 19 years old, and it was too early to talk about them.

Tan Jincheng insisted on filming today for the same reason; only work could numb his inner loneliness.

2004 passed just like that. In that year, Tan Jincheng made considerable gains, got back on his feet, and his inner unease disappeared.

Since its establishment in early October, Jinpeng Trading has achieved remarkable results in just three months. After returning from the Canton Fair, it has placed five orders totaling US$18.75 this year.

Converted to RMB, the turnover exceeded 150 million yuan. It is not considered outstanding among trading companies, but it is quite good to have achieved this result in less than three months.

After figuring out the process, the profit margin is also quite good. Taking into account tax refunds, the net profit of all orders can reach over 40%.

In other words, Jinpeng Trading earned more than 60 yuan in those three months, making Tan Jincheng a genuine millionaire.

Regarding taxes, aside from normal company expenses and salaries for himself and Zhang Xupeng, Tan Jincheng didn't deliberately engage in any tax avoidance activities. Buying a car was a normal need and couldn't be considered taking advantage of the government.

Having been reborn, there's absolutely no need for me to engage in any underhanded tax practices; it's simply not worth it.

As for the foreign trade industry, not only the country, but also Ningbo itself has many supportive policies. Just do business honestly and take on business.

If the company continues to grow and expand its own business, these issues will become a stain on Tan Jincheng's reputation, and things will become difficult to explain later.

Currently, the biggest problem for Jinpeng Trading is the production capacity limitation of its contract manufacturers. Since most of these contract manufacturers are small family workshops with only a few dozen employees each, their production capacity is greatly limited.

This means that even if there are large orders, Tan Jincheng doesn't dare to accept them, unless the delivery time is very long, which is definitely impossible.

In 2005, in addition to continuing to develop clients, Tan Jincheng's first priority was to solve the issue of OEM production capacity.

Operating with light assets and transferring the risk to the contract manufacturer is certainly the best way for a trading company to operate, but it also means increased risk, as not all clients are in a position of power.

Large contract manufacturers still have considerable strength, just like Foxconn in the mobile phone industry. They don't even bother with ordinary orders, and the same is true in the apparel industry.

If Jinpeng Trading were to build its own factory, it could indeed solve the production capacity problem of the contract manufacturer, but it does not have that capability at present. The land required for a factory is beyond what Tan Jincheng can afford.

How can we balance these issues?
After thinking for a long time, Tan Jincheng felt it was still necessary to persuade Zhang Haiping to continue expanding production capacity and recruiting workers.

Currently, Jinpeng Trading has partnered with three OEM factories. Among the three, only Zhang Haiping seems to have the strength and capability in terms of both the age of the owner and his decisiveness.

Younger bosses are always full of drive and ambition.

"It's time to go back." Putting down his cup, Tan Jincheng murmured to himself.

To be honest, it's a bit inconvenient to come here, but there's no other way. There are many schools here, so you can find a lot of cheap labor. The textile college has a large number of students who are currently employed or have graduated from the fashion design major.

Other universities, such as Ningbo University, also have the talent they need, unlike Beicang University, which only has Ningbo Vocational College, and there aren't many majors that match its graduates' needs.

Ningbo Vocational College offers many majors that serve the local machinery manufacturing industry, such as mold design and machining.

In 2004, when the average monthly salary was only 2000 yuan, a mold designer could earn around 5000 to 8000 yuan, and many earned over 10,000 yuan a month, making it a high-paying profession.

In terms of wages alone, we live in a very polarized era; skilled workers earn high incomes, while migrant workers earn extremely low incomes. So even for jobs that require a certain level of skill, such as sewing machine operators and bricklayers, the income is not high.

In summary, this was an era that highly respected technology and academic qualifications. Although there are still many high-paying industries in later generations, you should know that prices back then cannot be compared with those today.

With a monthly income, Li Yanning can afford to buy two square meters of housing; even Li Jinglan's monthly salary is enough to buy one square meter of housing.

They were just ordinary people among millions of others, people that ordinary people in later generations wouldn't even dare to imagine.

(End of this chapter)