Step by step, a gentle breeze leads to a smooth path

Chapter 150 Ten Thousand Whys

"Mingxiang, good quality at a low price, have you learned this idiom? In business, integrity comes first. You must not inflate prices or deceive customers. Only by offering genuine products at fair prices can your business last."

Think about it, a bucket costs 3 yuan to buy, and we can sell it for 5 yuan because the 3 yuan price is for wholesale, while the 5 yuan covers our transportation costs, labor costs, and damage costs. If we buy it in the market for 5.5 yuan, we're giving away 5 yuan, so the buckets sell very quickly. Do you think we could sell them if we bought them for 8 yuan each?

“If they didn’t know the market price, they should still be able to sell it,” Song Mingxiang thought for a moment.

“You’re right, they can sell it even without knowing the price. But, Mingxiang, have you considered what impact it would have on us if they knew the price?”

Song Mingxiang paused, "Oh, you won't buy anything from us anymore? Why?"

"Yes, not only have they stopped buying from us, but word has spread, and many people are no longer buying from us. Our reputation for dishonesty will also spread, which will affect whatever we do in the future."

"Brother Nan, is it really that serious?"

"Of course, that's why integrity comes first, and being a good person comes before doing anything! Look at our dad, he's been in business for so long, and his bamboo products are recognized for miles around. Why is that?"

“I know, he always says that the goods are genuine and the prices are fair.”

"Yes, that's the secret to our family's success in business."

"Brother Nan, last time when we sold back scratchers, didn't you say you'd use the power of numbers? They were only nine cents each, less than a dollar. Why are so many things priced in round numbers this time?"

"Mingxiang, I have to praise you, you've become more observant and thoughtful. This time, most of the items are necessities, so we used whole numbers to show that we have a solid foundation and that the goods are genuine with no room for negotiation. Using numbers that are too 'close to the line' feels dishonest."

"Oh, that makes sense. Brother Nan, you know how malls sometimes have promotions, like buy-one-get-one-free or something? Can we do that too, giving away slightly worn items?"

"Can't!"

"Why? It doesn't affect its use, just like that bucket, it was only slightly damaged."

“Mingxiang, the items we send must be in good condition. They can be small and inexpensive, but we can’t send damaged items. If we do, customers will think we’re not sincere and that we’re just trying to sell out our products. That would change the meaning of ‘sending’ and we’d rather not send anything at all.”

"Then... can we get a discount on those worn-out ones?"

“I don’t think that will work either. Everyone has the mentality of getting a good deal. If this happens, some people will focus on those items, since they don’t affect the use and are cheap. Once word gets out, more people will misunderstand that our products are cheap because there’s something wrong with them. Some people will nitpick and find fault even with perfectly good products, and then you won’t be able to explain yourself.”

"How could that be? A good one is a good one, right? They can't possibly damage it on the spot." Song Mingxiang was puzzled.

"Hehehe, Mingxiang, look at this porcelain rice bowl. Would you say it's good or flawed?"

Song Mingxiang picked up the rice bowl and examined it carefully. "There are no chips on the rim, and no cracks inside. Good."

"You say it's good, but some people say it has a flaw. Turn the bowl over and see if there's a small bump on the bottom?"

"Huh? This is considered a flaw?"

"Yes, those who are particular about things think that this knot shouldn't exist at all, and they're not wrong. So, can we argue with them?"

Mingxiang was furious. "Ugh! Doing business is so hard! So... should we just throw all this stuff away?"

"Why throw away usable items? We don't need that many ourselves. We can explain the situation and give them to people we know, or even send them to nursing homes. They won't be picky. Of course, we also need to find ways to pack them well during transportation."

"Brother Nan, didn't you guys discuss a promotional event? When exactly is it going to happen? What are the details?"