Losing Money to Be a Tycoon

Chapter 1033: 515 Game Festival

Early the next morning, Pei Qian arrived at the office after having his breakfast.

It was Friday, and tomorrow was the day of rest. Thus, he had to make arrangements for burning money as soon as possible.

After watching the news conference between Finger Games and Long Yu Corporation yesterday, Pei Qian spent only half an hour thinking of a counterattack plan.

In any case, Pei Qian was more proactive than anyone else when it came to spending money. The original procrastination problem disappeared immediately and was replaced with extremely high efficiency!

Pei Qian called Assistant Xin over because the plan involved many departments.

“This is the general plan for the ‘515 Game Festival’. Take a look and perfect it. Then, arrange for the relevant departments to do it.”

Pei Qian handed a document to Assistant Xin.

Assistant Xin took it and quickly scanned through it.

Her usually calm expression was also slightly shaken.

Assistant Xin asked, “Boss Pei, is this a measure to deal with Long Yu Corporation’s price war?”

Pei Qian nodded. “Yes, you can understand it that way.”

Assistant Xin hesitated for a moment before saying, “Boss Pei, I think I have to remind you that there is a certain risk in our capital chain if we follow this plan.”

“My idea is that this series of activities can be done, but it would be best to match it with some revenue activities. That would be safer.”

“Of course, it depends on your arrangements.”

Assistant Xin would not express her opinion under most circumstances. However, she felt that the plan this time was a little inappropriate, so she could not help but remind him.

Boss Pei’s proposal could be seen as a variant of the previous “1024 Digital Day”. However, the focus was different.

The previous 1024 Digital Day could be summarized in two words: ‘Big Bargain’. It would subsidize customers in various industries, burn money to generate popularity, and increase brand reputation. This chapt????r is updat????d by _Fir????.ɴet

However, 1024 Digital Day was mainly concentrated in physical industries. For example: Fish-Catching Take-Out’s food would be discounted and no delivery fees; using Upwind Logistics to send express deliveries could obtain a reduced delivery fee, and the commission for other express delivery companies would be cancelled; ROF Computer-Installation would be free of delivery and installation fees; it could also be randomly upgraded...

Subsequently, 1024 Digital Day was basically done according to this plan every year. However, some new content was added. For example, after obtaining an OTTO E1 cell phone, there was also a subsidy purchase during 1024 Digital Day.

Since the official platform had promised that E1 cell phones would not be reduced in price, they still bought it at the original price. However, they would give some gifts after buying it.

Another example would be the Deposit Fitness and Sloth Apartments. Customers could also obtain a certain amount of discounts by spending in these industries during 1024 Digital Day.

However, even if this 1024 Digital Day had changed before, its main focus was still on physical stores and digital products.

The ‘515 Game Festival’ that Boss Pei gave this time was to shift the focus of the promotional activities to games and related industries.

The specific rules were as follows.

The 515th Game Festival lasted a week, from May 15th to May 22nd.

During this period, anyone who played online games with their friends such as Ocean Stronghold and GOG would receive a gift bag every day and randomly obtain items from the game, including epic weapons, rare skins, and other items.

During this period, anyone who bought standalone games such as Repent and be Saved, Struggle, Mission and Choice had a chance of being exempted from paying.

They could accumulate online time in any Tengda Games. As long as one accumulated an hour per day, he would be able to obtain a random red packet. The lowest would be 0.1 yuan, and the highest would be 888 yuan. What’s more, it would not be given as a substitute currency but as cash!

Those who watched the GPL competition live-stream at Bunny Tail Live-Stream would receive gifts from the website. These gifts were all paid gifts. After rewarding the host, the host could receive real money.

There was a chance of winning a prize if one watched the competition live at the GPL. They could be exempted from the tickets on the spot, or they could obtain rare skins or limited figurines.

Another key point was that G1 cell phones and smart fitness drying racks had to be stocked up.

There were also some miscellaneous details, but that was the main point.

Assistant Xin could tell that these rules were obviously meant to deal with the price war between Finger Games and Long Yu Corporation.

At the press conference yesterday, Finger Games and Long Yu Corporation came aggressively. It was normal for Boss Pei to respond quickly.

However, there were two obvious problems with Boss Pei’s plan.

The first problem was that almost all of the activities had no threshold. What’s more, these activities were not preferential but free.

There was a huge difference between giving a discount and giving it for free!

Take the game for example. Whether it was the game itself or the skin and props in the game, if there was a discount, even if there was a 90% discount, the game company would still make money.

After all, it did not matter how many copies it sold after the game was developed. It was just the same code that had been copied and pasted countless times.

Thus, most games manufacturers would often engage in preferential activities. No matter how high the discount was, it was still profitable.

There was even a possibility that it would attract more gamers because of the high discount. On the contrary, it would earn more than the original price.

However, Boss Pei’s actions were not preferential but free!

There were no discounts or promotions at all. Instead, they would log in and deliver things or even cash directly!

On the other hand, giving props for free did not seem to cost much. However, the player who had intended to buy a certain prop had coincidentally been given this prop. This meant that he would not spend this sum of money anymore. It would still overdraft the future income of the game developers.

All in all, they were burning money to buy popularity. There was basically no way to recover their health. The popularity that they burned might not be able to convert into income in a short period of time. Many people would even get too good for free and disperse their desire to spend.

The second question was, why did Boss Pei specifically emphasize that G1 cell phones should be prepared with the smart fitness drying rack? What did this have to do with the event for the 515 Games Festival?

At the end of the day, these two problems were actually one problem: the pressure on money!

Assistant Xin knew the company’s financial situation very well. Even though Tengda Corporation had always been rich, they had invested a huge sum of money into Mission and Choice recently. They had not been able to recuperate it for the time being. Then, Chi Xing Workspace had invested a huge sum of money. Coupled with the expenses of the artificial intelligence laboratory and other projects, the company did not have as much funds as before.

The subsidies for this ‘515 Game Festival’ were all real money. They could not even hit tens of millions of yuan. It would probably cost hundreds of millions. If they added cell phones and smart fitness drying racks, the amount of money needed would be even more terrifying.

Even though Tengda’s various industries were still generating profits, this was akin to dancing on the edge of a knife. It was easy for problems to arise before the funds were fully transferred.

What’s more, if Finger Games and Long Yu Corporation held a news conference and burned more money, would Tengda follow them or not?

Even though he could think of a way to resolve this risk, there was only one sentence: There was no need.

They were burning money anyway. If they could burn money steadily, why take the risk?

Therefore, Assistant Xin could not help but mention that she hoped that it could be arranged according to the operations. It would be safer to replenish blood while giving blood transfusions.

Pei Qian smiled. “Accompanying operations? Of course not!”

“What is a ‘holiday’? The meaning of a holiday is to celebrate and be happy. To organize many marketing activities, is that a holiday for customers or a way for us to earn money from their pockets?”

“Normally, we can do preferential activities, but in the ‘515 Game Festival’ and ‘1024 Digital Day’, what we have to do is to completely subsidize and give back to our customers. We have to spend our own money to give our customers 100% real benefits!”

“If we secretly organize operations and subsidize while earning money, it would go against the original intention of this holiday. This so-called ‘holiday’ would not be able to obtain the high recognition of customers. In the end, it would only become a ‘big promotion’ that ordinary businessmen often have. No one would remember it.”

“Wouldn’t that be like penny wise and pound foolish?”

“You don’t have to worry about money at all.

“Tengda’s various industries are still earning money. There are ways to solve even if there are some problems with funds. For example... can’t we just sell buildings?”

Pei Qian’s wishful thinking had long been resounding.

Of course, he knew that this set of combinations would put a lot of pressure on Tengda’s funds. However, the problem was that if there was no pressure on Tengda’s funds, he would be under a lot of pressure during settlement!

When others were calculating these problems, they would subconsciously give a little more advance.

For example, there was a hundred million yuan in the company’s account. At most, he would only dare to spend sixty million yuan. At the very least, he would leave forty million yuan for emergencies.

What if something urgent happened that required money?

However, when Pei Qian considered the problems, he would always take it more seriously.

There was 100 million yuan in the company’s account. He had to spend 130 million yuan.

That was because the facts had already proven that Tengda Corporation’s ability to earn money for no reason was too strong. They had just spent a hundred million yuan. Perhaps Tengda Corporation had already earned another fifty million yuan!

Thus, Pei Qian had given them enough advance.

As for the risks, it was just a lack of funds. Some activities were stuck in the pipeline and could not be carried out.

However, this risk was nothing to Pei Qian. That was because he had bought a few buildings for Sloth Apartments previously. These buildings had all risen in value.

According to the System’s rules, fixed assets were equivalent to a huge reservoir. When Pei Qian had too much System Funds, he could quickly spend them by buying buildings. When Pei Qian had insufficient System Funds, he could sell these buildings and turn them back into funds.

The only problem was that if he bought too many buildings, it might cause the System Funds to take up too much of the fixed assets and reduce his Personal Wealth.

If selling one or two buildings could lower the risk, why not?

What’s more, Pei Qian had a backup plan. It was the mysterious reward for this cycle of the System: Consuming one’s Personal Wealth could increase a certain industry’s share of profits. The ratio was 1: 100, and the highest expenditure was 100,000.

In other words, if he could not finish burning all the money, Pei Qian would grit his teeth and spend a hundred thousand yuan. Then, he would increase the ten million yuan profit margin for a certain industry in an instant. He would give it all away for nothing.

The ten million yuan was a pure concession for no reason. The System would not stop it even if it was given to customers in cash.

At the moment, Pei Qian had not used this rule.

That was a hundred thousand yuan. If he could spend all the System Funds without using this rule, why would he need to pay out of his own pocket?

The current money-burning policies were all within the scope of the System’s permissions. As Tengda Corporation was facing external competition, it was normal to be forced to burn some System Funds as retaliation. The System thought that this was a reasonable action after the dynamic evaluation.

In other words, if Finger Games and Long Yu Corporation did not burn money to compete, the system would not have approved an activity like the 515 Game Festival.

That was why Pei Qian was so grateful to Eric. Eric was giving him timely help!

In fact, Pei Qian could not wait to see Eric burn more money. That was because the more money Eric burned, the more money the System would allow Pei Qian to burn. On top of that, the ten million yuan would be given to him for no reason. Boss Pei was going to incur losses this time!