"I want a TV. I have a job, here’s my down payment," a man handed his work ID and some dollars to the staff.
The staff quickly processed his request, and the man happily carried a TV out of the door.
Another person stepped forward, showed his military ID and work proof, and the staff directly processed his loan. This former soldier took away a TV without spending a penny.
Michael and Hardy drove to the bank. When Michael saw the bustling scene, he was stunned.
"Hardy, you were right. People’s enthusiasm for buying is really high," Michael exclaimed.
"It looks like our inventory probably won’t last three days. What should we do next?" Michael furrowed his brow.
Hardy smiled. "It’s simple. For those who can’t buy it this time, let them apply for loans in advance, leave their addresses, and when the TVs are produced, we can deliver them directly to their homes if they’re in the New York area. If they’re too far away, we can call them to come pick them up."
On the first day, the eight bank branches handled more than 1,500 transactions. Half of the TVs were sold. The second day was even more intense, by the afternoon, the remaining 1,500 units were all sold out.
After hearing the report, Michael murmured, "I thought we could last three days, but we didn’t even make it through two."
At this moment, Michael was just excited.
Soon, the bank received news that many customers who hadn’t bought a TV were now stuck at the bank, saying there weren’t enough TVs and they also wanted one.
Previously, Hardy had given Michael an idea, and Michael calmly began to implement it, letting the bank continue processing loan business and telling customers to wait for the TVs to be produced. The activity would continue.
Those customers stuck in the bank finally calmed down, continuing to apply for loans. Since there was no interest, waiting a few more days was no big deal.
In the factory office, Michael, Professor Ward, and Hardy, the three shareholders, were all there, listening to the manager’s sales report.
After the sales manager finished reporting the current situation, the three bosses were very happy.
Michael smiled and said, "Our previous inventory of 3,000 units has been sold out, and the bank has processed more than 2,000 reserved loans today. The activity hasn’t stopped, I believe future orders will continue to come in."
"Our TV’s production cost is $58, the wholesale price is $85, and our profit per unit is $27. Although we have to pay interest, advertising fees, and possible bad debts in the future due to these direct loan sales, our selling price is $127. Overall, our profit margin is much higher than wholesale."
"With an annual production of 40,000 units, the original profit was 1.08 million, and now the profit can be increased to about 1.6 million." Michael said and looked at Hardy. ᴛhis chapter is ᴜpdated by novel⦿fire.net
"Hardy, your idea not only greatly increased our sales, but also increased our profits by more than 30%. I have to say that you are the most powerful sales genius I have ever seen."
"We are partners. I have half of the company’s shares. The company’s profits are equivalent to my profits." Hardy said.
Michael continued, "Hardy, I plan to expand production. Our TV sales are so good, and there are large loan contracts with the bank. We can use the contracts as collateral to borrow some money from the bank."
"My idea is to directly start the production line for 17-inch TVs. I’ve calculated with Professor Ward, a set of 17-inch TV production lines costs about $800,000 with an annual output of about 20,000 units. I’m planning to start two production lines directly, with an annual output of 40,000. Then our scale can reach 80,000 units. What do you think?"
Hardy knew Michael wouldn’t be able to resist expanding production. This was almost a common trait among all entrepreneurs.
"I agree," Hardy said.
Hardy knew that TV represented the future direction of entertainment. This business wouldn’t become outdated for at least several decades. It would be hard to lose money.
With Michael’s enthusiasm so high, how could Hardy possibly stop him?
The old Godfather received a call from the deputy mayor of New York City.
"Vito, I saw in the newspapers that ’N.Y.T’ TV and Citibank are launching an installment loan service. That ’N.Y.T’ TV factory is your son’s business, right?"
"Yes, my youngest son. He started this business after returning from the army."
"They have a policy offering more favorable terms to Veterans, right? Zero down payment for the TV and repayment in 12 installments with no interest?" the deputy mayor asked.
"Yes, Michael and his partner are both veterans, so they offer better terms to soldiers" the old Godfather replied.
The deputy mayor sighed and said, "Vito, we’ve just come out of the war. The veterans have given a lot for this country and should be taken care of."
"I plan to promote the TV factory’s initiative, this is a kind of praise and encouragement for them as well as thanking the veterans who gave a lot to this country for their service. What do you think?"
"Of course, I believe the veterans will be very happy to hear this news."
"Then I will let the newspaper publish a report tomorrow, saying that this event is held with the support of the New York City government. What do you think?"
"No problem at all. I’ll talk to my son. I’m sure he’ll be very willing."
"Alright, Vito. We’ll talk again when there’s a chance."
"Sure, we’ll talk again."
After hanging up the phone, the old godfather smiled. He understood these politicians well. Recently, the newspapers mentioned that a congressman proposed that veterans who sacrificed a lot in this war should be taken care of by the country.
Although the funding request was not approved by Congress, public opinion strongly agreed with the idea and suggested that local governments should have appropriate care policies for veterans.
This is political correctness.
Just when they were struggling to find an opportunity, seeing the TV factory’s beneficial move for the veterans, these politicians immediately jumped on board.
But this only benefits the TV factory, with no downside.
And he could gain a favor in return.
This kind of favor will have to be repaid in the future. When he needs something and calls the other party, it will be hard for them to refuse.
Actually, these things are trivial to the old godfather. What makes him happiest now is his son’s success.
He felt gratified by his son’s achievement.