Small experience, big wealth

Chapter 10 (1)
19. Broken houses make big money
Because my wife and I like to buy a house, people often ask us about buying a house. One of the secrets I tell them the most is: broken houses make a lot of money.

Many people were dumbfounded and dumbfounded after hearing this answer.

The first storefront house we bought was a very dilapidated house.

That house was recommended to my brother by a friend of my brother, and my brother happened to have just bought a house and had no money, so he gave this opportunity to me.The owner and I went to see the place, and we were immediately dumbfounded. It was indeed a dilapidated house: the ground was full of water, the depth of which was 15 centimeters, and the roof was still dripping. The walls are all peeled off due to damp, and a lot of green mildew has grown in some places. There is a pile of garbage like a hill at the door of the retail store, and this house is still a house without a house license. The owner of the house has a court judgment. .

It is such a house, 130 square meters, the asking price is 28 yuan, 2150 yuan per square meter, which is the same price as the residential building at that time.The house has been sold for two years, and no one has taken the bait. Why?Because I am worried that the property rights are not clear, and because I am worried that the house will not be repaired due to water leakage.

In fact, these worries are unnecessary. Whether the property rights are clear can be found at the real estate registration center, and it can be resolved in less than 20 minutes.Leaking in the house is not a problem. The reason why the floor is full of water is because no one lives in the house.There is a characteristic of the house, the more people live in it, the better it is, and the less people live in it, the more dilapidated it will be.Because no one lives in the house, it has been in disrepair for a long time, and it must be dilapidated.A 130-square-meter house does not cost more than 5000 yuan for waterproofing, and the investment for scraping and brushing latex paint does not exceed 1000 yuan. It costs at most 300 yuan to clean up the garbage at the door. This dilapidated house can be turned into an impeccable good house, only need to invest 6300 yuan.However, the price per square meter of this market house was more than 1000 yuan lower than that of the same grade of market house at that time, and the whole house was underestimated by 13 yuan.In other words, if you invest 6300 yuan, you can earn 13 yuan. This deal is simply too cost-effective.

So, after a period of fierce bargaining, we finally won this market house easily at a price of 27 yuan.It was basically the same as my budget. We invested a total of 6000 yuan to completely change the house. We operated this storehouse for two years and then sold it for 40 yuan.

Many things are like this.People often exaggerate the flaws of goods infinitely, so the prices of goods with flaws and those without flaws are very different.This is especially true for a commodity such as a house, because you cannot fully understand this commodity unless you use it, and it will be too late when you actually use it and discover the problem.Therefore, in order to be on the safe side, people often reduce the purchase risk by lowering the price. As a result, there is a large price difference between the second-hand house and the first-hand house, and there is a greater gap between the house with problems and the house without problems. poor price.So when you buy such a house, you will often find big leaks.

By the same token, when buying a new house, real estate agents often exaggerate the merits of the house too much.For example, fresh air, a view of the sea, convenient transportation, high greening rate in the community, complete fitness facilities, etc., can all become selling points, and each selling point will make the price rise unrealistically, so many real estate developers have learned the concept of hype. In fact, a random fashion concept can increase the price of a house by hundreds of yuan per square meter.

For the same reason, now businesses have learned to hype concepts, those who sell decorative materials are called nanomaterials, those who sell food are called green food and organic food, and those who sell cars are called new energy vehicles...the list goes on and on.

Business experience:
There is not much difference in value between old and new goods, but the price is very different. This is the trick to making money in second-hand goods.

Merchants need to learn a little bit about the hype of new concepts, and consumers need to be more rational in the face of new concepts.

In fact, a concept is a new thing, and speculating on concepts is actually taking advantage of people's nature of liking the new and loathing the old.

20. A friend who can't hang his wife on a tree, Xiaofen, opened a leisure club, which is a franchised chain store.The annual franchise fee is 1.5 yuan, and the head office is responsible for the training of all technologies, services, and store management, and the head office is also responsible for supplying all consumables.

Xiaofen is a fun-loving person, a hands-off shopkeeper, the kind of master who likes to talk and doesn't like to use hands, so she doesn't care about technology and service, and gives it to a distant relative of hers to go to the main store. Going to learn, including the recipes of various drinks, processing and production techniques are all handed over to this person she trusts the most, Xiaofen doesn't even bother to ask.

It's opened, and the first three kicks are really good. Xiaofen's friends also think that this girl's film is a material for doing business, and she has a lot of tricks.But after two months, she changed. She asked for leave every three days. Either her butt hurt or her stomach hurt. Either her hometown had something to do or her husband had something to do. She went there for three or four days. As soon as she left the store, there were many things that could not be supplied. No, Xiaofen doesn't even want to come back if she doesn't call.

Xiaofen is a smart woman, and she understood that the little girl must think her salary is low, so her monthly salary increased from 1500 yuan to 2000 yuan.It's fine now, but it's been fine for 3 months. Three months later, the old trick was repeated.Xiaofen became annoyed, and her friends also felt annoyed when they saw it, and felt that this was not going to work.So Xiaofen sent an assistant to her distant relative, but this distant relative didn't teach the assistant at all. Who doesn't know the truth of "teaching the apprentice to starve the master to death"?As a result, Xiaofen's leisure club let her relative lead her by the nose. In less than half a year, this relative's monthly salary rose from 3 yuan to 1500 yuan.Xiaofen wanted to fire her, but there was no suitable replacement, and she also wanted to train a new one, but this relative found the slightest sign and gave Xiaofen a pick... So, the leisure club just dragged on and let this relative lead her. As they struggled forward, Xiaofen's leisure club finally disbanded after the relative's sudden resignation, and it lasted for about a year.

There is no substitute for key positions, key positions, and key technologies. This is a taboo for business managers.

The Coca-Cola Company of the United States is a multinational company with the most influential brand in the world.It is said that only two people master the core formula used by thousands of Coca-Cola canning factories around the world, and the company clearly stipulates that the two of them cannot take the same plane.

What is the purpose of this provision?It is because of the fear of a plane crash, the fear of a technological vacuum, and the prevention of the loss of the secret recipe.

The president of the United States is at the top of the pyramid of national administrative power. In the eyes of ordinary people, the vice president of the United States occupies a prominent position.However, this is not the case. In fact, the vice president of the United States is a position with no power.The United States' "Constitution" "tailor-made" two responsibilities for the vice president: one is that the vice president is the president of the Senate, but he has no voting rights, unless the two parties have the same number of votes; the other is that if the president is removed, or In the event of death, resignation, or inability to perform the duties of the President for some reason, the power of the President shall be transferred to the Vice President.In fact, this second duty is rather passive.In the history of the United States, a total of 8 vice presidents succeeded because "the heart of the president stopped beating while in office", and one succeeded because the president resigned.In the 80s, President Reagan needed more than ten hours of anesthesia for an operation, so Vice President Bush Sr. acted as president for 8 hours, creating a history in the United States where the vice president acted as president when the president’s heart was still beating. the first case of .Many Americans liken the vice president to the "fifth wheel on a wagon," the "spare tire."

Even the U.S. Constitution stipulates that under special circumstances, who will replace the vice president and the president if they die at the same time, etc., have made quite detailed regulations.Why?Just to avoid a power vacuum.

Business experience:
An enterprise is a "kingdom", and it is not enough to have only one king, but also a legitimate crown prince; the technical secrets of an enterprise are equivalent to the treasure of the kingdom, and the treasure map cannot be held in the hands of only one person.In fact, every key part should have a deputy, on the one hand to check and balance, on the other hand to prevent a vacuum.

There is a saying in China that is most appropriate: You cannot hang yourself on a tree.

21. The strategy of small companies Jack Ma, the founder of Alibaba, said: "The strategy of small companies is two words:

Survive and earn money. "In 1999, an Eton Mall was built in Dalian Old Zoo. It can be said that this is the most central place in Dalian. After discussing with my wife, I decided to rent a piece of land in this place to expand our business.

Why did you make such a decision?It turned out that as early as 1993, when the most popular Xingye decoration materials market in Dalian was just built, we rented two places. Because the market had just been built, we were worried that the business would not be good, and then we returned it. As a result, the market As soon as it opened for business, it became popular immediately, and the rent of the booth doubled. We regretted it too late.So this time the two of us decided to take a gamble in this place and rented 200 square meters for 8 yuan a year, hoping to extend our business tentacles to Dalian.

However, we still lost the bet.Due to the unreasonable setting of this market, the computer, electronics and other items in the mall are quite popular. The decoration materials part may be too close to the Xingye decoration materials market, which has been impacted to a certain extent. The operating conditions in the market have not been good. Our store is open every day. The amount is only a few hundred yuan, and in order to maintain the operation of our store, our daily expenditure exceeds the daily turnover.First of all, we rented a house for our employees not far from the market. It costs 1500 yuan a month, and the three meals a day for the employees is a considerable expense. Every day, my wife has to take a taxi to and from the Dalian Development Zone. Time, there is only payment every day, no profit, and if it is consumed in this way for a long time, the loss may be even greater.As soon as we calculated, we decided not to continue to persist, and we withdrew from that market in less than three months.I lost more than 3 yuan back and forth.

Later, we reflected on it, and there are still lessons to be learned.

First of all, the central position of the market is overly strengthened, and the forecast of the market prospect is not accurate enough.The market is so close to another very popular decoration materials market, and it has just opened, so it will be difficult to obtain a stable market share within three to five years.This was not expected at first.

(End of this chapter)