My American magical life
Chapter 880 - 880 57 The Wind Rises at Nanhua 8_5

880: Chapter 57: The Wind Rises at Nanhua 8_5 880: Chapter 57: The Wind Rises at Nanhua 8_5 Xiao Cao doesn’t understand the relationship between President Cheng and Zhao Hongjin, she dares not to, so the girl continued talking about other matters.

“The third thing is our GMV data; February’s GMV was 300 million, but considering returns, it was actually only 240 million.

The data for the first three weeks of March is also out, selling 400 million in three weeks.

President Cheng, I, President Yang, and President Dong are all a bit scared; this growth rate is too frightening.”

Working in short video MCN really makes money; the selling model is simple enough, but the simpler models are actually the best to replicate.

Once replicability is up, the more internet celebrities sign up, the more money comes in.

“400 million, haha, sounds bustling, but the profit is just 10 million, what are you afraid of?”

Xiao Cao observes cautiously, daring not to say more.

Shanhaiguan’s advertising brought in 400 million in sales, but the profit was only 10 million; there’s definitely something wrong with that.

Where’s the problem?

The training costs and operational costs of Shanhaiguan internet celebrities!

The former, President Cheng established a dedicated company for tough payments, but the payee is not the internet celebrities themselves, but Shanhaiguan.

The latter, President Cheng just rented an entire building outside Egret Island for 60 million….

So the profit is only 10 million?

Stop joking, 400 million in sales, all high-profit items, commissions per order go up to at least fifty percent!

All in all, after dividing the spoils with the tax authorities, the remaining money, internet celebrities take forty percent, the company takes sixty percent, Shanhaiguan’s net profit after operating expenses is nearly 100 million.

That’s why ordinary people should not empathize with capitalists; President Cheng almost didn’t run Shanhaiguan into a loss!

Why is Sun Dongxin diligently toiling for President Cheng, arranging his top confidant to take the lead for President Cheng?

Because President Cheng has potential, and more importantly, because President Cheng helps him make money.

If Shanhaiguan can maintain this scale of profit, it has a future brighter than Dongxin!

In the blue sea era of short videos, Shanhaiguan’s model, combined with President Cheng’s informational advantage, is akin to a royal flush.

If valued at a PE ratio of twenty times, Shanhaiguan is worth at least 10 billion right now.

If President Cheng dares to apply some financial magic, the valuation could even go up to 20 billion.

You know, just a few months ago, when short videos didn’t show the business prospects they do now, Shanhaiguan was valued at less than 100 million during financing.

Unfortunately, doing MCN is a middleman business, in this blue sea era, Shanhaiguan’s profits will be very objective, but this will not last too long.

Once MCN starts making more money, competitors will increase, and upstream and downstream will start to raise prices, all forces working together, squeezing the profits.

That’s Hua Country for you, full of competitive people; without a monopoly on resources, no one can eat alone.

This is also why President Cheng wants to operate his own platform; in MCN business, the limit is too restricted.

Cross-border e-commerce isn’t a great business, but it’s a very valuable track; differentiated small e-commerce platforms were very promising 20 years ago.

“President Cheng, we are afraid of disappointing your trust.

This morning we just confirmed, Shanhaiguan experienced its first corruption incident in the purchasing department.

There’s a product selection manager who took 80,000 in kickbacks from suppliers.

Although the amount is not large, we fear this is just the cockroach we found, and there may be many more undiscovered.”

Cheng Daqi sighed; Shanhaiguan now has over 400 employees excluding signed internet celebrities.

400 people, almost meeting the basic standard for a big company’s disease.

This is not necessarily a bad thing.

“Embezzlement, over 30,000, send them inside.”

“It’s a woman, and she’s been pregnant for two months already.”

Cao Yueyue’s voice is almost mechanically calm and steady, she doesn’t want her own boss to develop a bias against female employees because of this incident.

Cheng Daqi sensed the issue and asked.

“How did you know she took the kickback?”

Cao Yueyue was somewhat bewildered as she answered.

“Someone sent an anonymous email to report it to me, I followed up on the report’s clues, arranged for someone to contact the supplier, and thus verified it.”

Cheng Daqi’s expression turned more serious.

“Did President Dong tell you to report this to me?

Or someone else?”

Xiao Cao is not Geweil, she has come to understand that she has been manipulated!

“President Dong said, the report mail was sent to me, I was following up on this matter, so it’s just right for me to report to you.”

Dong Zecheng is washing his hands of this, any way, the product selection department just happens to be the department that every senior manager has a bit of control over, and the report letter was also sent to Cao Yueyue, he has no problems doing this.

“Old Dong, oh Old Dong, he’s very clever!”

Cheng Daqi smiled and dialed Yang Yuan’s phone, also thoughtfully putting Xiao Cao on speaker.

“Old Yang, still in Huadu?”

“Yeah, wanted to see you, someone else will handle the stuff over there, come back soon.”

“Xiao Cao caught a product selection manager who took a kickback, did you know about it?”

“I am thinking, since the product selection manager is in pregnancy, Xiao Cao lacks experience in handling this, Old Dong is busy with branch office affairs, thought I would ask you to step in, have a talk with this person.”

“Resign on her own, return the kickback to the supplier.”

“Okay, um, I understand, don’t have reservations, I fully support you.”

After hanging up, Cheng Daqi personally poured Xiao Cao a cup of tea.

“You see, you’re now worth the target of secret arrows, although not serious, but…

don’t frown, it’s a good thing!”

Previously, MAS also had a similar situation, however that was a sporadic American special case, black, female, pregnant, drug issues, really complicated.

But the incident at Shanhaiguan is obviously not sporadic, product selection department taking kickbacks, definitely not just one or two, but the anonymous mail was only sent to Cao Yueyue, the person reported is also a woman, that’s interesting.

There’s definitely someone behind this, the motive probably is to see Xiao Cao fail.

If Xiao Cao were not iron-hearted, this would be a huge issue.

“A good thing?”

Cao Yueyue doesn’t quite understand Cheng Daqi’s thought process.

“Of course, this indicates your hard work is being noticed, not being envied is mediocrity, hahaha.”