Starting with vegetable greenhouses in 1988

Chapter 310 Accident
In the office of the Wan'an Town Cannery, sunlight streamed through the windows and warmed the floor.

Li Zhe and Li Zhenguo sat around the sofa by the coffee table. Director Xie was brewing a pot of green tea with a kettle and skillfully poured a cup for each of them.

"Mr. Li, please have some tea." Factory Director Xie handed a teacup to Li Zhe, then sat down on the side of the sofa.

"Thank you." Li Zhe picked up his teacup, took a small sip, and then asked, "Director Xie, how many canned goods do you still have in your factory's warehouse?"

After a moment's thought, Director Xie replied, "We still have 30 tons of canned tomatoes, 160 tons of canned yellow peaches, and just over 4 tons of canned pickled cucumbers produced."

Li Zhe put down his teacup and said confidently, "With the experience gained in the first half of this year, we have expanded the planting scale of pickled cucumbers this time, and the production of canned pickled cucumbers should reach seventy tons."

Adding the existing canned tomatoes, we'll have exactly one hundred tons, just enough to fulfill the order for export to the Soviet Union.

As Director Xie listened, his Adam's apple bobbed, and a complex expression flashed across his eyes—if only their factory had secured the export order to the Soviet Union back then, they wouldn't have been forced to halt production due to unsold canned goods…

Li Zhe, oblivious to his thoughts, continued, "The production cycle for the pickled cucumber cans is less than a month. Will it be difficult to switch to producing eight-treasure porridge cans after a month?"

Li Zhenguo immediately replied, "It's not difficult. The existing sterilization tanks need to have their parameters adjusted, and I'll take care of that."

However, there are two things that need to be prepared in advance: First, some raw materials for production need to be ordered in advance, so Manager Jin needs to contact the suppliers as soon as possible.

In addition, some new equipment needs to be added, such as grain soaking tanks, multi-material mixing tanks, and pre-cooking equipment for lotus seeds and red beans. The filling equipment also needs to be replaced to adapt to the consistency of eight-treasure porridge, otherwise it will easily separate and clog the pipes.

Factory Director Xie then added, "I can figure out how to add new equipment. The cannery already has similar equipment, and we can rent it directly, but the rental price still needs to be negotiated with Factory Director Ma."

“No problem, as long as the equipment meets the performance standards and the price is reasonable, we can rent it.” Li Zhe agreed, then changed the subject with a smile and said, “At noon, my mother cooked eight-treasure porridge, and all the workers in the factory tried it. If the taste is not right, we will adjust it; if everyone is satisfied, we will continue to push forward the production of canned eight-treasure porridge.”

Upon hearing this, Director Xie frowned slightly, as if he had some concerns. He opened his mouth but did not speak immediately.

Li Zhe noticed his hesitation and pressed, "Director Xie, is there a problem?"

"General Manager Li, there aren't any major problems with production, the key issue is the sales of the canned goods." Factory Director Xie spoke slowly, his tone tinged with worry: "We already have 160 tons of canned yellow peaches piled up in our warehouse, and we still haven't found a sales channel, which has brought considerable financial pressure."

If we continue producing canned eight-treasure porridge, the inventory pressure will be even greater. Shouldn't we address the sales issue first?

He knew in his heart that the Wan'an Town Cannery had suffered a broken capital chain and had to shut down because of blocked sales channels and excessive stockpiling of canned goods. He was really afraid that a similar tragedy would happen again.

Li Zhe nodded in understanding: "Director Xie, I understand what you mean. Actually, the main reason I came here today is to talk to everyone about the domestic sales of canned goods. If you have any good ideas, please feel free to bring them up. Let's brainstorm and solve the problem together."

Upon hearing the words "domestic sales," Li Zhenguo frowned—the difficulty in selling canned goods is a common problem in the industry, and it is not easy to solve.

Factory Director Xie cleared his throat, his tone tinged with embarrassment: "Although I wasn't in charge of sales at the Wan'an Town Cannery before, sales were a prominent issue at the time, and Factory Director Ma frequently organized meetings with the leadership to discuss it, so I have a fairly good understanding of the sales department's situation."

To be honest, our factory's experience in sales can't be considered successful..."

Li Zhe took out his pen, opened his notebook, and prepared to take notes. He said sincerely, "Director Xie, we're all feeling our way across the river. In terms of experience in canned food sales, I'm not as good as you. Please speak boldly and let us learn from you."

Factory Director Xie nodded and slowly recalled: "At that time, we mainly considered the sales issue from two directions. The first was the sales channels - after all, no matter how good the product is, if there are no channels, people will not be able to find a place to buy it. So this was our key focus at the time."

Specifically, it is divided into three channels:

The first type is state-run stores and supply and marketing cooperatives. We cooperated with state-run department stores, grocery stores, and supply and marketing cooperatives in Langfang to stock canned goods on their shelves. These channels are the main places where ordinary people shop and cover a wide range of people.

The second option is farmers' markets. We set up stalls in local farmers' markets and also wholesale canned goods to merchants in the markets, allowing us to sell directly to consumers and also distribute them to surrounding areas through the merchants.

The third type is food wholesalers. We wholesale canned goods to food wholesalers in various regions, hoping to leverage their sales networks to sell our products to shops and convenience stores in small and medium-sized cities and towns, thereby expanding our sales reach.

At that time, the factory specially organized eight salesmen, all of whom were quick-witted, eloquent, and capable of running around and talking. They went to these channels every day. To be honest, they had already worked very hard, but the results were not good.

Later, we analyzed the reasons and found that the core issue was insufficient brand awareness.

Take the supply and marketing cooperatives for example. We talked to them about free consignment sales—they would pay us back for whatever amount of goods they sold.

As a result, our canned goods sat on the shelves for a week without selling a single bottle. Eventually, they simply removed them from the shelves. Ultimately, it came down to the fact that our canned goods had too low brand recognition; ordinary people didn't accept them.

At this point, Factory Director Xie couldn't help but sigh softly, gather his thoughts, and continue, "We've also made some attempts to increase product awareness. For example, we participate in trade shows. No matter what kind of trade show it is, as long as we can set up a booth and display canned goods, we'll go, hoping to attract the attention of distributors and consumers."

In addition, we also collaborate with distributors to promote our products and services, such as discounts, buy-one-get-one-free offers, and prominent displays in stores, all in an effort to boost sales and brand awareness.

Overall, however, the results were not good, and the product's brand awareness remained low..."

His tone gradually lowered, tinged with frustration.

After quickly finishing his notes, Li Zhe turned to Li Zhenguo beside him and asked, "Second Uncle, you've worked at the Beijing Canned Food Factory for so many years. What are your thoughts on the sales channels?"

Li Zhenguo picked up the conversation and said, "I have an idea for increasing brand awareness: we can increase outdoor advertising. For example, we can put up posters and advertisements in crowded places such as main streets, bus stops, and train stations to highlight the brand and characteristics of canned goods and increase exposure."

Li Zhe pressed further, "Second Uncle, how effective were the outdoor advertisements?"

Li Zhenguo thought for a moment and answered truthfully, "I'm not too sure about that, since I'm not in charge of sales and haven't received any feedback on that."

Li Zhe immediately jotted it down in his notebook and smiled encouragingly, "That's a good idea, go on."

“Then let me talk about the distribution channels,” Li Zhenguo continued. “When I was at the Beijing Canned Food Factory, every year before the holidays, the factory would send people to visit various organizations and discuss cooperation with some large ones.”

For example, factories, schools, and government agencies use canned food as employee benefits or canteen ingredients, and do group purchase business.

Although the profit margin might be lower, the large volume makes up for it, and it also allows for the establishment of long-term partnerships.

“This is something we can try.” Li Zhe looked at the notes in his notebook and said thoughtfully, “I think expanding sales channels and increasing brand awareness are the right directions, and the suggestions you just made are also very good.”

The previous efforts were probably ineffective because the publicity was insufficient and failed to achieve the goal of 'breaking out of the circle'.

As long as the promotional efforts are sufficient and sales increase, a virtuous cycle will be formed, and the sales of canned goods will naturally improve.

Factory Director Xie agreed, saying, "President Li, you're absolutely right! I also think it was because the publicity wasn't strong enough, but we really couldn't think of any other way at the time."

After thinking for a while, Li Zhe said, "Actually, we can try advertising through local media. For example, we can place ads on Langfang TV and radio stations, and produce short commercials or radio scripts to introduce the taste, quality, and price of the canned goods."

Television and radio have wide reach and strong advertising power, which can also make consumers feel that the company is legitimate and the brand is reliable, making it easier for them to trust the company.

Factory Director Xie's eyes lit up, and he slammed his hand on the table, exclaiming excitedly, "My God, what a brilliant idea! How come I never thought of that!"

He wasn't deliberately flattering him—advertising awareness was just emerging in this era, and there weren't many companies willing to advertise on radio and television, especially the cannery in the town. Even fewer people could think of and implement this method; it was indeed a relatively novel marketing approach.

Li Zhenguo calmly reminded him, "This method is indeed good, but advertising on radio and television will probably be quite expensive, won't it?" Li Zhe pondered for a moment and said, "Let's contact the radio and television stations later and test the waters first. As long as it works well, we can't skimp on advertising!"

The three then discussed the issues of canned food promotion and sales channels for a while.

Director Xie suggested hiring a few experienced sales staff from the original cannery to help "Good Taste" company distribute its products. Li Zhe immediately agreed, thinking it was a practical solution.

Just then, a commotion broke out outside the office.

The four of them had almost finished their discussion. Li Zhe got up and stretched, then said with a smile, "Is the eight-treasure porridge ready? Let's go down and have a taste."

The four walked out of the office building, but did not see the scene of workers sitting around eating eight-treasure porridge that they had imagined—the noise came from the factory gate.

A group of people were gathered at the factory gate, clamoring to enter, but were stopped at the gate by the gatekeeper, Grandpa Zhang.

Grandpa Zhang raised his voice and asked, "What are you all doing making such a racket?"

From the crowd, a man stepped forward and said, "Old Zhang, it's me, Ma Guobin! It's only been a short time, and you don't even recognize me?"

Others greeted him, some calling him "Uncle Zhang" and others "Grandpa Zhang".

Grandpa Zhang glanced closer and saw that the people gathered at the entrance were all former employees of the Wan'an Town Cannery.

He frowned, his tone serious: "Old Ma, what exactly are you trying to do? Don't you know the factory is in production right now?"

Ma Guobin quickly replied, "I know, I know, we're just here to help with the work!"

Grandpa Zhang, however, wouldn't have it and waved him away, saying, "Go away, don't mess around! There are workers in the factory, we don't need your help."

Someone in the crowd immediately complained in a low voice, "We're factory employees too, why can't we come in?"

"That's right, we're all from the same factory, why do they get to work while we have to stay home and starve?"

"I heard that the employees working at 'Good Taste' are paid more than before, and they also get monthly benefits. They can't possibly eat all the food! Look at us, we're almost starving!"

Complaints rose and fell, and Grandpa Zhang was also a bit of a headache. He could only hold the door shut to prevent them from going in.

Just then, Factory Director Xie walked over and shouted sternly, "What are you doing? What do you think you're doing? Have you gone too far? Let's see who dares to cause trouble, step forward!"

He had served in the military, and his speech and reprimands carried a sharp and imposing aura, instantly silencing the crowd at the entrance.

Factory Director Xie pointed at Ma Guobin, who was in charge, and questioned, "Ma Guobin, tell me, what exactly do you want?"

"Director Xie, we've been on holiday since last October, almost a year now, and our families are practically starving." Ma Guobin said, his voice tinged with resentment, his neck stiff.
“We just want to find some work in the factory. We’re all employees of the same factory, so why do they get work and wages and benefits while we have to suffer poverty and hunger?”

Factory Director Xie sneered: "Don't pretend to be aggrieved! When General Manager Li came to rent the production line, he made it very clear that the factory has a total of four production lines, and he only needs to rent two."

Furthermore, they said at the time that they would give priority to hiring our factory's long-term employees. Not only did I hear that, but everyone present should remember it.

What about you? What did you say at the time?

Factory Director Xie asked and answered himself: "You think the benefits of private companies are not good, you look down on 'Good Taste' company, and you even don't want the factory to rent the production line to General Manager Li, is that what you said?"

Later, when 'Good Taste' was hiring, you didn't even apply. Now you regret it? What were you thinking before?!

Ma Guobin's face flushed red and then turned pale. He pleaded in a low voice, "Director Xie, I was too naive. I've thought it through now. I want to sign up for work. Is that alright?"

"No, it's too late!" Factory Director Xie snorted and continued, "You were all there when General Manager Li rented the factory building. He paid a hefty rent. Doesn't the factory pay you every month? Isn't it nice to stay home and collect your wages?"

These words, once spoken, caused an uproar among the workers at the door, who began shouting all at once:

"General Manager Li paid a lot of money for renting the production line, but he only gives us ten yuan a month, which is not enough at all!"

"I heard that the rent paid by Li Zhe was misappropriated by the management!"

"Some people say that the cannery is a town-run enterprise, and the town government takes the lion's share of the rent, leaving very little!"

"The factory owed a lot of money to its suppliers, and those suppliers took a large cut of the profits!"

Ultimately, these people felt they received too little money and envied the employees working at "Good Taste"—who not only had wages but also benefits, and were told there were overtime subsidies. That's why they came to the factory to cause trouble and wanted to join "Good Taste".

After listening to the conversation, Director Xie roughly understood the whole story and said earnestly, "I understand everyone's thoughts and difficulties."

But as you know, 'Good Taste' has only rented two production lines, and we have enough workers now, so we can't hire more for the time being.

You all go back first. I promise you all that if 'Good Taste' expands its production scale in the future, I will recommend you to General Manager Li immediately.

Furthermore, this is the first time, and I hope it will be the last—anyone who dares to cause trouble at the factory again, no matter who they are, will not be hired!

He added sternly, "Alright, everyone disperse!"

Director Xie's words still carried some authority, and with his guarantee, the workers, though unwilling, knew he was telling the truth and could only leave in small groups.

"Old Zhang, keep a close watch and don't let outsiders in..." Director Xie gave a few instructions to the gatekeeper, Old Zhang, before turning back to the office building.

Although Li Zhe hadn't shown himself, he had heard the whole story. When he saw Director Xie return, he said, "Director Xie, thank you for your hard work."

"It's all what I should do," Factory Director Xie said with a smile, waving his hand.

Li Zhenguo suddenly spoke up: "Aren't we planning to hire a few salespeople? Since these people want to find work, why don't we pick a few suitable ones from among them?"

Factory Director Xie immediately shook his head: "No, even if there are suitable candidates, we can't hire them now. Otherwise, they'll think 'making trouble is useful,' and they'll come and cause trouble every few days, which we can't handle."

Li Zhenguo suddenly realized and nodded, saying, "You're right, I was oversimplifying things." Before, he was just an ordinary worker at the Beijing Cannery, and he lacked management experience.

Factory Director Xie then turned to Li Zhe and reported, "General Manager Li, regarding the sales staff, I plan to privately contact a few veteran employees in the factory and find some reliable people with sales experience."

I'll let you know once I've found it.

“Okay.” Li Zhe nodded, satisfied with Factory Director Xie’s response.

(End of this chapter)