Magic Industry Empire - 520. Chapter 520
More than half of the hot summer has passed without knowing it, and the time is about to enter September.
At this time in the first two years, it should happen to be the busiest stage for all the chambers of commerce that produce household magic machinery in Bangta City and the small chambers of commerce responsible for processing parts, because this period has always been a lot of household magic that is especially needed in the summer. The peak season for machinery sales.
However, the situation in Bangta City is different this year.
Like the leaves that were scorched by the hot summer sun and slumped softly on the branches, a large number of chambers of commerce that produce household magic machinery in Bangta City also appear weak and weak, and the energy to start construction is not as good as before. Several chambers of commerce have completely stopped continuing to produce household magic machinery.
As for the reason? It’s very simple. Naturally, no money can be made.
At first, when the new Lord Kamado announced the reform of commercial taxes and imposed additional taxes on magic machines, the chambers of commerce that produced magic machines in Bangta City felt that they had suffered a major blow, but they were still very optimistic. I feel that I can still make money, but the big deal is that the profit rate has dropped a bit. As long as I work for a while, I can naturally make money back.
However, in the past few months, the ruthless facts have told everyone that under the current commercial tax policy, it is almost impossible to make money by producing magic machinery, and it might be a loss.
So after several months of struggling, some chambers of commerce with low profit margins had no choice but to stop production to avoid further expanding losses.
And with the first, there is also the second.
In the past two months of summer, more than ten chambers of commerce producing magic machinery in Bangta City announced the suspension of production, and more chambers of commerce have entered the stage of production reduction. The suspension is only a few steps or even a step away.
Among all the chambers of commerce, the only exception is the New Flying Chamber of Commerce.
Other chambers of commerce have cut production or even ceased production, but the New Flying Chamber of Commerce unexpectedly not only did not completely move from Bangta City as everyone had initially guessed, but moved to the base of the New Flying Chamber of Commerce in the Duchy of Stantin. Instead, it was still in the Rainfall Valley. Several additional production lines have been added to each of the workshops, which will absorb the workers laid off by other chambers of commerce to reduce or even stop production, and start working in full force.
Because of the new production line and the skilled workers absorbed in other chambers of commerce, the new flying chamber of commerce has greatly increased the output of the most demanded magic fans, magic air conditioners, magic refrigerators, magic freezers and other household magic machinery in this summer.
And because of the lack of competition from these chambers of commerce in Bangta City, the New Flying Chamber of Commerce has also increased its sales of household magic machinery this summer.
In the first two months of summer, the new air conditioner alone sold more than 200,000 units, which was even more than twice the sales volume of the entire summer last year.
Counting other types of household magic machinery, the total sales volume of household magic machinery of the New Flying Chamber of Commerce this summer will be at least double that of last year.
Others were puzzled by the behavior of the New Flying Business Association at first, but then they suddenly realized it.
Other chambers of commerce may reduce their profit margins or even lose money due to the new commercial tax policy. However, the profit rate of Xinfei brand household magic machinery has always been extremely high. Even if it drops due to the new commercial tax policy, it can still make money from it. Lots of profits.
Calculated in this way, the Xinfei Chamber of Commerce is quite in line with the condition of relying on high production and high sales to make up for the losses caused by the new business tax policy.
However, this is not the envy of other chambers of commerce.
The reason why Xinfei Home Magic Machinery can maintain a good profit margin in this situation is because the price of Xinfei Home Magic Machinery is much higher than that of other brands of home magic machinery.
Although this has caused Xinfei brand home magic machinery to lose a lot of markets in the previous two years, under the current circumstances, it has made Xinfei brand home magic machinery still alive and competitive.
The reason why Xinfei home magic machinery is so expensive is that so many people can buy it. In addition to the fact that Xinfei home magic machinery is significantly better than other brands of home magic machinery in terms of performance and quality, it is also because of Xinfei. The Chamber of Commerce has been operating the Xinfei brand for so many years.
Because of the constant publicity of the Xinfei Chamber of Commerce, everyone agrees that Xinfei household magic machinery is the most high-end product among household magic machinery, and buying Xinfei household magic machinery is a high-grade and face-saving choice.
At this point, the gap between other brands of household magic machinery and Xinfei brand household magic machinery is even greater than the gap between the performance and quality of the products of the two sides.
So because of these two reasons, the New Flying Chamber of Commerce can still maintain high production and high sales this summer, but other chambers of commerce can only sigh.
“Those other guys don’t need to envy us.” Heinze sighed deeply as he looked at the last month’s financial statement that Sebas had just transferred to him. “Although our production and sales this year have almost doubled last year’s, but if you count it, last month’s profit was only a mere 130,000 gold coins, even less than one-third of the same period last year. This is really… ”
Kennard on the side wrinkled two thick eyebrows almost erect, staring at Xu Yi, whose expression on the opposite side was calm, with puzzlement in his heart.
Xu Yi told him two months ago that he could allow those guys to suck the blood of the New Flying Merchants Association at will, as long as they can’t suck the new Flying Merchants Association, he felt a little wrong.
In the past two months, seeing the effect of Xu Yi’s designated decision with his own eyes, he felt extremely puzzled.
If Xu Yi had expected this situation a long time ago, and at that time decided to expand the production scale of the new flying chamber of commerce, and now re-occupy most of the household magic machinery market in the entire kingdom, then Kennard I have to express my deep admiration for Xu Yi’s foresight in my heart.
But he and Xu Yi have been together for so long, but he knows very well that what Xu Yi cares most is not how far the New Flying Merchants Association can develop, but more concerned about the extent to which the entire magic industry system can be formed and what scale it develops.
At present, all the chambers of commerce related to the magic industry in Bangta City except for the opening of the new flying chamber of commerce have been tossed to death by the new business tax policy and a series of targeted policies promulgated by the Camadu City Lord. This is by no means Xu Yi hopes. Things to see.
“Could it be that the president has changed now? Isn’t he fighting for his ideals anymore and becoming a person who only values his own interests?” Kennard guessed in his heart.
Although he is very clear in his heart that such a choice is what a qualified businessman should make, but it is Xu Yi, who was not a qualified businessman at all before, that is full of fascinating charm, even he is known by all. The people have always been evaluated as extremely arrogant people, and they are willing to be Xu Yi’s subordinates, just trying their best to work for him for more than two years.
Kennard was staring at Xu Yi to guess what Xu Yi thought in his heart, but Xu Yi’s eyes flicked across the faces of everyone in the meeting room. He laughed when he saw everyone frowning.
“Well, I think everyone already understands the dilemma facing the Chamber of Commerce now?”
Everyone looked at each other, sighed and nodded together.
Ankato, the head of the household magic machinery department, smiled bitterly: “Sir President, to be honest, I never thought that our household magic machinery department will have a time when we haven’t earned one hundred thousand gold coins in the whole month. This is really… …Makes me feel too useless.”
“It’s none of your business.” Naru, the director of the steel mill on the side, snorted: “If it wasn’t the new idiot city owner who came up with such a damn business tax policy, how could our Chamber of Commerce only take a month? Earn such a small amount of money. Damn! The two steel mills under my control actually lost money last month! This is a shame!”
Ankato glanced at him sympathetically: “That can’t be helped. Many chambers of commerce have stopped production, and the demand for just now has been greatly reduced. In addition, the Lord of Kamado also has to pay because the proportion of dwarf workers in the steel plant is too high. What the hell is the security tax, it’s not bad if you don’t lose too much.”
“Safety shit!” Naaru said angrily. “What’s wrong with the number of dwarf workers in the factory? Why is it not safe? This is all the damn Kamadu’s discrimination against our dwarves! I’m going to sue him to the Kingdom Interracial Administration!”
“Wake up, Naaru. The Alien Race Management Office has rarely even issued labor certificates, basically it doesn’t matter. I see, maybe sooner or later it will issue a rule that does not allow alien races to enter the Human Chamber of Commerce. I’m working now.” Amrode, the director of the Yege Plastics Processing Plant who attended the meeting on the other side, sighed. “Your steel plant has only been compulsorily levied a security tax, but our plastic processing plant has already been forced to close, or it will be handed over to human management.”
“By the way, when it comes to this, what do you plan to do in the end? Do you really close the factory?” Naaru asked curiously.
“No, we plan to move to the Duchy of Stantin. In addition to us, the fertilizer factory opened by the Moonshade tribe also plans to move with us. Anyway, the home of the Moonshade tribe is in the Duchy of Stantin.” Amrode replied. .
Naru frowned and turned to Xu Yi: “Guild President, I said that those of you human beings are idiots. After driving us away, what good will it do for them?”
Xu Yi shrugged: “You should ask them about this. Okay, now that everyone understands the current plight of the Chamber of Commerce, then I will announce one thing, and everyone shouldn’t be surprised.”
Hearing this sentence, everyone in the conference room couldn’t help but pick their eyes.
Naaru asked immediately: “Mr. President, are you going to announce that our chamber of commerce has officially shut down?”
“Why then?” Xu Yi shook his head. “The thing I want to announce is…I have applied to the Kingdom Council of Nobles to formally resign as a Viscount.”
“what?”
An exclamation immediately sounded in the conference room.
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