1850 American Gold Tycoon

Chapter 27
With the establishment of the Citizens' Committee, Liang Yao sounded the clarion call to fight back against Brannan and officially launched a counterattack.

Its catering, grocery store, tool repair, laundry and other industries settled in San Francisco almost at the same time.

At the same time, Liang Yao also published the news of the grand opening bargain on the "California Daily". All the shops Liang Yao opened in San Francisco will have a [-]% discount on all products, and the event will last for a week.

This is undoubtedly great news for the vast number of gold prospectors in California.

Almost all gold panning companies and groups sent people to the new store in San Francisco early to purchase supplies. For a while, the four stores and more than a dozen stalls opened by Liang Yao in San Francisco were surrounded by gold diggers.

Cai Mingsheng had to temporarily vacate the guest house as a temporary counter for selling gold panning tools.

Previously, Liang Yao had not sold gold panning tools in San Francisco in order to temporarily avoid Brannan's attack. Therefore, San Franciso did not have a counter or shop for selling gold panning tools, so he had to requisition the guest house for the time being.

Gold panning tools are Brannan's core business, and Liang Yaoran's intention to sell gold panning tools is also obvious. He wants to squeeze Brannan's big cake.In order to seize this piece of cake, Liang Yao took out all the gold digging tools that he had stockpiled and even used himself for the past four months.

Under Liang Yao's impact, Brannan's property in San Francisco was empty except for brothels and casinos, and no one cared about it.

The reason why brothels and casinos were not affected was because Liang Yao did not own these two industries.

The gold diggers are not stupid. For the same product, Liang Yao's price is already slightly lower than Brannan's. Now the price of the opening big bargain is cut in half, which is very attractive to them.

Gold diggers would rather line up for a whole day at Liang Yao's shops and stalls than buy a shop at Brannan's empty shops.

It had only been three days since Liang Yao made a bold move into San Francisco, and the shopkeepers under Brannan's banner couldn't sit still anymore. They all complained to Brannan and asked Brannan to come forward to save the crisis.

The once high-spirited Brannan began to look a little haggard, and in his early years, several strands of his hair turned gray overnight. This was the first time since he became the richest man in California that he felt hectic and helpless.

Liang Yao hit him hard and caught him off guard.

"Get out! Get out! You annoying bastards! Useless bastards! I need to be alone for a while!"

Brannan, who had hired gunmen to drive the rowdy shopkeepers out of the estate, was in a mess and needed to calm down.

Brannan covered his face with his hands and rubbed his sore eyes.

Whether his market share in San Francisco was squeezed by Liang Yao or not, the most difficult thing in his mind right now is not this.

It was Liang Yao who bought the land from those early immigrants before him.

Brannan's success today is largely due to his unique vision, always able to spot business opportunities one step ahead.For the first time since the gold rush, he was walking ahead of him with others, and he was the first to discover huge business opportunities.

Brannan regretted that he didn't pay attention to this potential competitor earlier and killed him in the cradle, but now that Liang Yao was full-fledged, it was too late to think about it.

After calming down, Brannan analyzed his own and his opponent's strengths and weaknesses.

Undoubtedly, Brannan's biggest advantage is that he has more financial resources than Liang Yao.

Liang Yao purchased a large amount of land. Although Brannan didn't know how much Liang Yao paid for the land, he was certain that Liang Yao's current cash flow must be very tight.

Maintaining the operation of the existing industry, rebuilding Sacramento, and seizing the market in San Francisco, any of which requires huge cash flow.

Liang Yao, aren't you going to fight a price war with me to seize my market?

Okay, then I'll fight with you!Let's see who among us can have the last laugh.

Brannan made up his mind to break the boat. As long as he wins this business contest, he will be able to force Liang Yao to submit. At that time, the coveted land in Liang Yao's hands will naturally be included in his pocket.

While fighting a price war with me, building a commercial street in San Francisco, Liang Yao, Liang Yao, you annoying guy is too conceited, so conceited that you don’t know how much you weigh.

"Third brother, Brannan has also reduced the price!"

Deng Wenshun galloped back to Sacramento from San Francisco non-stop, informed Liang Yao of the news, and handed Liang Yao the latest product price list.

Liang Yao looked at Brannan's pricing, and found that every item was slightly lower than his selling price. Obviously, Brannan's price reduction was a reaction to his entry into the San Francisco market.

"Finally Brannan has accepted."

Liang Yao was neither annoyed nor angry when he heard the news, but rather pleased.

He was afraid that Brannan would not accept the move!
Now that Brannan is hooked, the next thing to do is much easier. It is nothing more than fighting a price war with Brannan and draining Brannan's wealth bit by bit.

Of course, this is also an act of killing one thousand enemies and self-defeating eight hundred, and he also needs to suffer huge economic losses.

"The horseshoe is almost rotten. Go to my house and get a good horse. Take this letter to San Francisco and give it to Uncle Cai, and ask him to follow the instructions above. If there are similar things in the future, don't worry about it." Go back to Sacramento to report that he lowered the price and we will follow suit, remembering that our price will always be a little lower than Brannan’s.”

Liang Yao put away the pen, blew away the wet ink on the letter, put it in an envelope, and handed it to Deng Wenshun.

Jones can understand a little bit of Chinese now, and when he learned that Liang Yao was going to start a price war with Brannan, he stepped forward to persuade him.

"Boss, I have to remind you that our funds are very tight now. Although you have borrowed 5300 ounces of gold from Sartre and the Boston Company, our current inventory of gold is only 7200 ounces.

Our daily expenditures are astonishing. The construction of the San Francisco Commercial Street requires 367 ounces of gold per day for labor costs, 215 ounces of gold for building materials, and 530 ounces of gold per day to maintain the operation of the existing industries.

There is also the salary of your guard, which requires 45 ounces of gold per day. Of course, the salary of the guard is paid on a monthly basis, so you don't have to worry about it this month.

However, Mr. Sartre and the Boston Company's loan, we need to pay one cent of interest per month, which is not a small amount.

At present, the pricing of our products is just enough to recover the cost. If you insist on lowering the price, we will inevitably bear the loss. After a week, we will face the risk of breaking the capital chain, and you are likely to go bankrupt at that time.

Maybe the situation is not so bad, you still have land, which is a great wealth"

"Okay, okay, give me the report."

Liang Yao impatiently interrupted Sven, who was dropping his book bag, and checked the data on the report with a pipe in his mouth.

In order to fight the business war with Brannan, all the properties under it except the laundry room will be in a state of loss, and there will be no profit.

The laundry room can contribute 45 ounces of gold per day. Now the mine produces about 200 ounces of gold per day. This relatively stable income is only enough to cover the expenses of building materials.

What Jones said was right. If this continues, his capital chain will be broken in a week.

As for the land mentioned by Jones, he will definitely not sell it, and he will keep the land even if he goes bankrupt.Even if it is a last resort, he will not touch these lands.

"Brannan's financial resources are far stronger than yours. It is not difficult for Brannan to survive a week. If you want to fight a price war with Brannan, I hope you will think twice." Jones reminded.

　A book friend group has been established: 397266558, everyone is welcome to join the discussion!
　　
　
(End of this chapter)