Chapter 21 "Wealth Boys" in small and medium-sized cities

Mr. Chang, a Wenzhou businessman, lost hundreds of thousands of dollars in his coal investment in 2009.But less than three months after this incident, some friends saw him busy in the real estate market in Qionghai. My friend saw that Mr. Chang was in good spirits and showed no signs of being hit by the investment failure, so he couldn't help but joked: "You are so cute. Even if the coal mine you invested in was merged and reorganized, you would even get discouraged and even quarrel with others." I didn’t have any time left, so I rushed to Hainan to pan for gold.” Mr. Chang's behavior is indeed unbelievable in the eyes of ordinary people.Isn't it his own money that he lost when the investment failed?Normal people's thinking, if such a major event happens, it will take at least a few months to suffer, or find a theory from the relevant department.How did he come out of the shadows so quickly and immediately choose a new investment project?

This is Wenzhou Wenzhou spirit. Carnegie warns us: Don't cry over spilled milk, don't feel sorry for what has happened.The same goes for investing.After an investment fails, instead of suffering depression and decadence, it is better to immediately choose the next investment project that is sure to make money, at least to minimize the previous losses. Which investment project is sure to make money?People in Wenzhou believe that investing capital in small and medium-sized cities is a wise choice. Take the property market as an example. In 2003, Wenzhou real estate speculators were booming, and there was a large amount of Wenzhou capital in the real estate markets of first-tier cities such as Beijing and Shanghai.As the state continues to regulate the real estate market, Wenzhou businessmen also regulate their real estate investment funds in first-tier cities.By 2007, many Wenzhou businessmen had stopped investing in first-tier cities.If the outflow of capital is still in the real estate market, a considerable part of it will be integrated into second- and third-tier cities such as Chengdu, Xiamen, Wuhan, and Xi'an.Because these cities, before the introduction of the latest national policy, belonged to the "vacuum" zone of regulation, and it was also the zone where Wenzhou businessmen got the most lucrative profits.

There is a popular "opportunity theory in second- and third-tier cities" among Wenzhou businessmen, that is, whether it is real estate speculation or other projects, these small and medium-sized cities have much more opportunities than big cities.This conclusion is based on the following three investment strategies of Wenzhou people: 1. The best market for shoes is where no one wears shoes. There is such a classic case in the marketing world: A multinational company wanted to develop the market of an island country, so it sent two inspection teams to investigate the market. The first expedition returned and reported that no one in the island nation had the habit of wearing shoes, so it was suggested that the market should be abandoned.

The second expedition team came back and reported that none of the residents on the island wore shoes, nor did they sell shoes, indicating that there was a huge market vacancy here, and suggested that the company ship shoes in large quantities. Whenever this case is mentioned, people are often impressed by the unique perspective of the second expedition team.In fact, this kind of perspective is the most common trick in the eyes of Wenzhou people.This is their most common method - to occupy a blank market and look for a market without competition.Investing in small and medium-sized cities is just a specific use of this method.

It is generally believed that there are more opportunities in big cities.Everyone thought this way and rushed to invest. As a result, the market in big cities soon became saturated.If you are invited to reluctantly squeeze in, you will only share a share with more people, and you will only get a meager profit. If you are less lucky, you may lose your money.After all, the competition in big cities is too fierce, and the end is even more cruel. Moreover, the market in big cities is saturated, and only by making our products more outstanding can we grab the market.This means that investors need to spend more investment costs to improve the details of the investment and improve various services.

For example, if you want to open a cosmetics chain store in Shanghai, where petty bourgeoisie is strong, you will not only need to pay more rent, but also give more creative advertisements, and even provide some special services.In short, you must try to make your store very unique, so that consumers may be attracted to it, because there are too many similar stores, and there is no reason for customers to come to your store. But if the same store is opened in a prefecture-level city, the situation is completely different.Although the flow of people will be less, it is very likely that this store is the only one in the local area. As long as people need it, people will choose this store without special promotion or special services.

That's the difference.Investing in first-tier cities, the pressure of competition and the need for continuous improvement of services, all of which force investors to spend more investment costs and spend more thoughts on operating investment projects, so that it is possible to obtain a small cup in the capital-flushing market soup.And for the same investment in second- and third-tier cities, as long as you find the gaps in the market and invest money in it with confidence, you can make huge profits with little effort. Second, the amount of information in small and medium-sized cities is relatively small, and people have no more requirements for the market.

There are often scenes like this in TV dramas: If a vain person wants to show his dignity, the usual method is to show off that the things he uses come from famous places. "Did you see this dress? I bought it at a French clothing fair!" "This mobile phone chain is very individual? You really have a good eye! It comes from the Potala Palace, and it is said that Dalai VIII touched it!" "You also think these shoes are very good? Don't scold you, I bought them from a century-old store in London, where the British royal family often shop." ... In fact, those who have been to the French clothing exhibition know that the dress can only be called second-rate goods at best; for Lhasa people, the kind of mobile phone chain with Buddha nature is everywhere; You can go shopping at that "hundred-year-old store".The reason why the vain people proudly display these things is to tell those who have never seen the world that I know more than you.The reason why those audiences will envy and praise is because they have no chance to see the colorful world outside, so even if they see an ordinary product from a "famous" area, they feel very good.As everyone knows, if they personally went to those so-called "famous" areas, they might not be surprised when they saw these items again.

Wenzhou people are keen to invest in small and medium-sized cities, which is based on people's psychology. Despite the advanced information in modern society, small and medium-sized cities are less prosperous and less abundant than first-tier big cities after all.Items that are commonplace in big cities are likely to be rare items when they land in small and medium-sized cities, and their value will rise immediately.Moreover, consumers in small places have no special requirements for these "rare things", and they feel good about themselves if they can have them.But if these "rare things" are in a metropolis with a lot of goods, it will be completely different. Not only will the sense of superiority be immediately compared with better products, but they will also be picked and picked by consumers, and they will only choose better products. OK

In the early 1990s, supermarkets were still a novelty for Chinese people. They were usually only found in well-known domestic cities such as Beijing, Shanghai, and Guangdong, and even ordinary provincial capitals were rare.For example, the first supermarket in Shenyang appeared in 1997.Wen Shang and Wen Youcai saw this blank spot in the market, and took out their old capital to open a large supermarket.Due to the lack of funds, he chose a third-tier city as his base at that time, and he did what he said. From selecting shops to purchasing goods and then displaying goods, Wen Youcai's "Youcai" supermarket was ready in no time.

On the day of the opening, many people didn't know what a supermarket was, and they went there out of curiosity, and took shopping in the supermarket as a fashion.However, people quickly discovered the benefits of going to the supermarket for shopping, and shopping in the supermarket has gradually become a daily necessity of the local people.As a result, Wen Youcai's supermarket recovered its investment cost in less than half a year of operation, and made a profit of several million that year. Soon, more investors realized the importance of supermarkets to people's lives, and more people began to invest in supermarkets. The items in supermarkets were more complete and the prices were cheaper.People no longer choose "Youcai Supermarket" alone when shopping, but which supermarket is closest to them and the shopping is more affordable.In this situation, Wen Youcai immediately withdrew from the competition, even though the "Youcai Supermarket" had already become quite large and well-known in the local area.But he didn't miss his victory at all. Instead, he transferred the "Youcai Supermarket" without hesitation, and then ran to a county with the money to reopen a "Youcai Supermarket". Talking about this decision, Wen Youcai said: "People in the county are even more curious about supermarkets, and mine is still the first one. People don't care too much about the price or the distance from their home. After all, the convenience of shopping is what they like most. .” Others said that the bigger the business, the more they looked for opportunities in big cities.Wen Youcai, on the other hand, took profits from small towns. Although it seemed unreasonable, he effectively avoided competition and catered to people's consumption psychology, so he also made a lot of money. Third, the market in small and medium cities is easier to conquer. The most profitable markets are obviously those that no one else has set foot in. Although the first person to invest in such a market may face great risks, if successful, he will also have greater profits. ——This is the coexistence of opportunities and risks that all investors know. Whoever invests in such a project will attract everyone's attention. The reputation of Wenzhou people who dare to take risks is slowly spreading in this way. However, Wenzhou people's risk-taking is based on "precise investment vision", not simply grabbing the first place, let alone recklessness.Investment in small and medium-sized cities is the use of this strategy by Wenzhou people. For example, Wenzhou people seized the Panzhihua market.Panzhihua was originally just a heavy industrial base, backed by mountains and very hidden. Most investors would not take the initiative to choose this place, but Wenzhou people did not dislike it. Some Wenzhou businessmen even migrated from Kunming to the remote Panzhihua. On what basis did Wenzhou people invest in Panzhihua?One of the Wenzhou merchants who invested in Wenzhou Mall said: "We like closed places. The more closed the city is, the more opportunities we have. Because it is closed, there is no mature business environment like Beijing and Shanghai, so we have a lot less Competition. On the other hand, Sichuan has a large population and a large consumer market. For example, Anshan Iron and Steel alone has more than 200,000 employees, plus hundreds of thousands of local residents and tens of thousands of floating population. Taken together, there is no competition Such a good business environment and a huge market are simply God-given to us. I must not miss such a good investment environment.” "There is no mature business environment like Beijing and Shanghai", this sentence is the focus, and it is also a characteristic of small and medium-sized cities. People tend to think that big cities are convenient, the environment is mature, and everything is easy to use.But in the eyes of Wenzhou people, these mature business environments require “payment” before moving in. While enjoying the convenient services, you also invest in this part of the enjoyment fee first.Although small and medium-sized cities do not have such a convenient investment environment, investors do not have to pay this fee, which virtually reduces investment costs. More importantly, actively investing in an immature environment is actually investing in a blank spot in the market.When there was no Wenzhou Mall in Panzhihua, the first batch of investors who participated in the construction of Wenzhou Mall were not only the first to make profits, but usually the ones who made the most profits, because the first person to grab the market is often easy to grab the big ones. Yes, a good market. The world's shipping tycoon Onassis said: "Go to places that others think are unpopular, and you will make untold money." Small and medium-sized cities, usually places that investors despise, are unpopular, and Wenzhou people are in this unpopular field Make a lot of money.