1988: Back to the human world for a few years

Chapter 61 What is the true meaning of investment and financing?

Yang Mo took another cigarette and lit it: "In fact, whether it is investment or financing, the focus is on the [capital], that's right... But in fact, the focus of this [capital] is on resources, not money... Professional investment agencies will not touch projects that have no ability to monetize resources... Similarly, investors who can only provide financial support but have no ability to effectively graft resources will not be accepted by smart investees!"

"To put it simply, the two are a combination of being well-matched and supporting each other, rather than a one-night stand just for the sake of money!"

"Let's go back to the list of companies you gave me before. Currently, only a few companies have potential resources that can be quickly converted into cash... Among them, this food processing factory is the most suitable... As long as it is operated properly, at most in one and a half months, the cyclical growth curve on the books of this food processing factory will be significantly bent, and it will be able to provide relatively satisfactory jobs by then!"

Zhang Wenshun was startled, and carefully considered the meaning of Yang Mo's words. After pondering for a while, he asked uncertainly, "Are you interested in the cold storage over there and the connection line to the coastal city?"

Unlike other industrial facilities, cold storage is definitely a rare thing in this era. You often have to use foreign exchange to buy a set of leftover ones in Europe and the United States. Even though Shandong has been importing large quantities of foreign production lines since the late 90s and upgrading local industrial industries at the same time, this situation did not improve until the mid-s.

With the cold storage, not only can the shelf life of the product be greatly extended, but the formula design and quality control also do not need to be passively upgraded, thus avoiding the investment of more funds and manpower. To a certain extent, as long as the lease right of this cold storage is opened, income can be generated immediately, and the income-generating potential is not small.

As for the relationship line leading to the coastal cities, although it is full of uncertainties, it can still attract many people to take the bait in this era - the population mobility and information mobility are already seriously insufficient these days, and there is no telling how many invisible mountain barriers there are in various places. If there is an extra line in the relatively economically active coastal cities, I guess everyone will be interested.

Seeing this guy find two bright spots at once, Yang Mo couldn't help but secretly nodded twice in approval - although due to the limitations of the times, this guy couldn't see more things, but the keen insight he showed at the moment was already better than many people.

After sighing once again that people in this era are not simple, Yang Mo shook his head: "That's not what I meant... No matter whether it's that medium-sized freezer or that so-called relationship line, let's not talk about how much direct value it has. Just based on their size, they don't have enough initiative to convert value, so they are not worth our attention!"

Doesn’t have the initiative to convert value?
Zhang Wenshun was stunned and frowned slightly... This kid seems to have a big appetite, so don't let him get into trouble!

Yang Mo seemed to see what the fat guy was thinking and smiled slightly: "Things like real estate investment always require bold assumptions and careful verification... No matter how good the idea is or how ambitious it is, if you can't even take the first step to implement it, you will just be laughed at by others."

As he spoke, Yang Mo put out his cigarette butt: "As I said before... Investing is equal to investing in people... The reason why I recommend this food processing factory as a target, in addition to the manager's personal connections, is that I value the people in that township enterprise more... To be precise, it is a few people in that village... These people are the starting point for us to open up new sales channels and start building the F2B2C model step by step!"

???

Some people in the village?
As if sensing something, Zhang Wenshun looked at him uncertainly: "So... the funds you applied for two days ago...?"

Yang Mo smiled, and his smile was very meaningful: "Yes, I asked someone to do a personal background check... I have to say that as locals, we have a natural advantage in this area... There are some real things that other people in the drilling company can't get so easily!"

Zhang Wenshun also smiled, and his smile was very relieved, as if he had breathed a sigh of relief.

Turning around, he took out a simple tea set and a can of Tieguanyin from the cabinet. The fat man brought the thermos, skillfully scalded the teacup, and put last year's autumn tea into the covered bowl: "Boy, tell me roughly, how do you plan to operate this?"

Hearing the words "tell me roughly", the fat man's fat face that looked like Maitreya Buddha became more and more pleasing to Yang Mo's eyes.

As a strong orchid fragrance wafted in his face, Yang Mo was greatly inspired. He pinched the bright yellow tea and drank it all in one gulp: "As we all know, when the per capita GDP of a region is less than 500 US dollars per year, their consumption demand is mainly rigid demand... But in fact, even rigid demand is also divided into levels;"

"Unfortunately, the GDP per capita in most areas of Qilu is only 283 US dollars per year... and this is the GDP value of the urban population. If the GDP value of the rural population is included, it will be even lower... coupled with the inherent consumption concept here, this leads to the rigid demand of these people being [rigid demand for survival]; that is, everything is based on the psychological expectation of not starving to death or freezing... This is also the reason why the food processing factory is having difficulties in operation. After all, a steamed bun for 2 cents can fill my stomach. Why should I buy your food just for the taste of meat? After all, you don't really eat meat!"

"But in fact, with the continuous inflation and economic liquidity in China for several years, the inherent consumption concept in Shandong has shown signs of thawing; as long as we preset the usage scenarios and open up sales channels, those products will not be difficult to sell... In fact, to put it bluntly, in this era, many times you can't just eat steamed bread if you want..."

"So based on the current situation, what are the semi-mandatory usage scenarios that we can set up based on the existing products of the food processing plant and the market within 100 kilometers? There must be only the following..."

"We all know that as the economic situation improves, the inherent, shrinking consumption concept is the biggest barrier to [rigid demand for survival]... As long as there is a way to break this barrier, then the matter is half done; then how to break this barrier without causing excessive disgust among consumers and gradually make it a common practice? That's how it should be done..."

“As long as we control the intensity, set a good example, and design an attractive profit-sharing cooperation model, these products that eventually take the form of TOC will quickly split and spread like a virus, and then sweep across cities…”

"Of course, in this process, we must make good assumptions and use our status as a central enterprise and our resource allocation capabilities to build business barriers in advance..."

For three hours, Zhang Wenshun listened to Yang Mo's general ideas carefully like a primary school student, and even took out a notebook to take notes. He didn't think there was anything wrong with doing so...

………………

Five hours later.

Yang Mo, who was talking until his mouth was dry, pushed open the iron gate of the small courtyard with a dizzy head, and a burst of laughter came from the courtyard.

Looking at a classmate named Tugou whose face had unexpectedly turned into a calico cat, and Miss Mu who was grinding wheat with her sleeves rolled up, Yang Mo rubbed his eyes, suspecting that he was hallucinating.

Damn,

This is……

what's the situation! ?

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PS: This book will be on the shelves tomorrow at noon. I don’t have any manuscripts on hand. Let’s see if I can get a small breakthrough.
(End of this chapter)