Chapter 300: Mass Participation and Charitable Drought Relief
"They want to raise prices again?" Robinson's expression darkened the moment he heard the news.
The plastic bags they currently used already cost three times more than those used by Carrefour. Now, with the price increase, their costs would spike even further.
The red-haired woman explained, "The trade companies suspect that Changxing Industrial identified our bag supplier from Malaysia and deliberately restricted export quantities to them."
"What a headache." Robinson asked, "Can't we buy from another country?"
"I've already started checking other suppliers," the red-haired woman replied, "but the prices are similar. Unless we go through lower-tier resellers, there's no significant cost saving."
"Which would still raise our costs," Robinson concluded.
"Yes," she nodded. "No matter what, our costs will go up. The core issue is that Changxing Industrial is currently the only manufacturer of plastic bags in Hong Kong. If we bypass them and manufacture abroad, the production costs would be even higher."
"High or not, we still have to buy them," Robinson said. "Use every possible channel to secure enough plastic bags. We just need to hold out a little longer. Soon enough, others will enter the plastic bag market. Even if Yang Wendong manages to cut off raw materials locally, someone else overseas will eventually fill that gap."
Once a supermarket starts using plastic bags, it can't stop. If Yee Fung Supermarket were to stop offering bags—or worse, start charging for them—it would immediately lose customers. That's just basic logic.
"Understood. I'll buy a larger quantity now while it's still possible," the red-haired woman replied before taking her leave.
After she left, the blond man added, "There's something else. I noticed Carrefour has several extremely low-priced items."
"How low?" Robinson asked, intrigued.
"Their rice, eggs, and several vegetables are cheaper than at most wet markets."
"That cheap?" Robinson frowned, then mused aloud, "Could they be loss leaders? To attract traffic?"
"That's my guess," the blond man said. "These are staple foods, things every Chinese household buys."
Robinson nodded. "Alright, let's do a cost analysis of those items and compare it to ours."
October 1st
It wasn't a public holiday in Hong Kong, and Yang Wendong brought Bai Yushan with him to the Changxing Building.
"Be careful. Afterward, find a place to rest and read," Yang Wendong gently reminded her.
Though still in the early stages of her pregnancy, Bai Yushan's belly had already started to show due to carrying twins. Worse, her morning sickness was intense and ongoing, leaving her with little appetite. He had brought her out for a walk to help her feel better; staying home all day wasn't ideal for a pregnant woman either.
"Okay, I'll go relax over there," Bai Yushan said. "Maybe I'll head to the mall later."
"Alright, after I finish up, we'll go together," Yang Wendong nodded.
Half an hour later, having finished his documents, Yang Wendong accompanied Bai Yushan to the shopping mall downstairs. Because it was still early, they stopped by the Carrefour supermarket first.
"Mr. Yang Wendong," Liu Huayu greeted them promptly upon seeing his boss arrive.
"We're just walking around," Yang Wendong replied with a smile.
"Of course, feel free," Liu Huayu said, respectfully keeping his distance to allow the couple some privacy.
Over an hour later, Bai Yushan grew tired and went to rest upstairs. Yang Wendong then rejoined Liu Huayu.
"I saw people queuing up at the egg counter," Yang Wendong commented. "That because of our discount strategy?"
"Yes," Liu Huayu confirmed. "We've implemented a zero-profit policy on rice, flour, eggs, and tomatoes. That's why sales are so high."
"And the purchase limits are to get them to come more often?"
Liu Huayu chuckled. "Exactly. Each customer is limited per day. That way, they're more likely to return multiple times. Especially for staples like rice and flour—if someone hauls home twenty or thirty pounds, they're unlikely to buy anything else."
"Makes sense," Yang Wendong agreed.
"There's also the matter of supply," Liu Huayu added. "If we allowed unlimited purchases, we'd run out quickly. Take eggs, for example. Without limits, we wouldn't be able to meet demand. The same goes for rice and flour—they're heavy, and our warehouses can't stock that much at once."
"Are the eggs locally sourced?" Yang Wendong asked.
"Yes," Liu Huayu said. "I provided loans to several local poultry farmers so they could expand. In return, they sell all their eggs to us. That keeps our costs low and ensures a steady supply. Our customers benefit from cheap eggs—it's a win-win."
"Good," Yang Wendong said, nodding approvingly. "Hong Kong seriously lacks affordable meat. Eggs are the best and cheapest source of protein. Keep expanding local production."
In the early 1960s, Hong Kong's economy was stronger than five years prior. Most people weren't starving anymore, but nutrition was still limited. While there was enough staple food to go around, meat and fresh vegetables remained scarce.
For families on a tight budget, eggs were the most efficient way to consume protein.
"I'll continue working with more farmers," Liu Huayu promised.
Yang Wendong asked, "I also noticed the shelves of bottled water were empty."
"That's been selling better than eggs or rice," Liu Huayu explained. "It's pure drinking water, 10 liters per container. We started at 0.5 HKD per bottle, but demand was so high we've had to raise the price twice. It's now 1.2 HKD."
"Is Watsons unable to keep up with production?"
"Not exactly," Liu Huayu said. "Watsons has plenty of water and the facilities to purify it. The bottleneck is the plastic containers. Changxing Industrial is currently producing new molds just to meet demand."
Yang Wendong pondered for a moment and said, "Then start a bottle return program. Like how we used to do with glass soda bottles. Otherwise, we'll have water but no containers—it's a waste of time and resources. And customers who want to buy can't."
Hong Kong was experiencing a water crisis. But Watsons wasn't short on supply—not because they had government priority, but because Changxing Shipping had its own supply chain. As long as they could ship in water from the mainland, they had more flexibility.
Even though the city's pipes were managed by the Water Supplies Department, they still worked with Changxing to keep things flowing where business demanded.
That's why Changxing's offices and factories continued operating normally. Only newer construction projects might be affected.
"I'll post notices about bottle returns," Liu Huayu replied.
"Good. That benefits everyone," Yang Wendong said. "Otherwise, customers will be paying more for the container than for the water."
Even households that could afford to buy bottled water weren't made of money. Pure water was a high-frequency consumable. One or two days might be affordable, but several months would empty anyone's wallet.
Reducing waste—of plastic, water, and electricity—was good for business and for society.
"Understood, Mr. Yang Wendong," Liu Huayu said sincerely.
"How's the foot traffic at Yee Fung Supermarket these past few days?" asked Yang Wendong.
Liu Huayu replied, "It's gone down a bit. Our earlier impressions weren't wrong — their service quality is far below ours. I even conducted a secret survey. About 70% of people expressed a strong preference for us over them."
"Their mall employees won't change their habits overnight," Yang Wendong said with a slight smile.
Those who had previously worked as sales associates in Hongkong Land's luxury malls carried themselves with a natural arrogance. But supermarkets were fundamentally a working-class business — the environment demanded attentive, humble service. It wasn't something a property conglomerate could pick up overnight.
Liu Huayu nodded, "True. Still, over time, they'll probably catch up."
"That's for later," Yang Wendong waved it off. "Besides rice, flour, and eggs, start rotating discounts on other essential items. If we keep the same ones discounted too long, people will start thinking that's just the normal price."
People quickly grow used to handouts. If you give a poor family food, water, and even money day after day, they'll be grateful at first — but after a while, they'll come to expect it. Stop, and they might resent you instead.
Supermarket discounts worked the same way. Long-term price cuts turned into customer expectations. That's why rotating specials was the better approach.
"Understood," Liu Huayu agreed.
Later, after having a light lunch at Changxing Mall with Bai Yushan, they visited the Watsons beverage plant in North Point on Hong Kong Island.
Watsons' manager, Zhou Haoran, personally came to the gate to receive them.
"Mr. Yang Wendong," Zhou greeted politely.
"Old Zhou, I don't think you've met her yet?" Yang Wendong gestured to his wife.
"Nice to meet you, Mrs. Yang," Zhou Haoran quickly said.
"Hello, Mr. Zhou," Bai Yushan responded with grace.
"Let's go in," Yang Wendong said.
"This way, please," Zhou Haoran led them into a meeting room.
Glancing around the room, Yang Wendong asked, "Is this space new?"
"I was thinking of relocating," Zhou Haoran explained. "Since we'll be introducing the canning line for soft drinks, we're considering buying a new piece of land for a larger plant. That way we can move the existing equipment and operations without disruptions."
Yang Wendong nodded, "That's probably for the best. These buildings are too old anyway. Tearing them down would halt production, so moving elsewhere might be smarter."
Buying land, even if just industrial plots, was always a long-term investment. Whether or not prices dipped in '66 didn't matter — over time, they'd surely rise.
Zhou Haoran added, "There's also the noise issue. The canning line requires sheet metal stamping equipment, which is extremely loud. There are many residential buildings nearby. That'll be a problem."
"What tonnage are the presses?" Yang Wendong asked.
"Eighty tons," Zhou Haoran answered. "Each press produces 120 aluminum can pieces at a time. I've seen one in operation — the vibration and noise are intense."
"Then relocate the plant," Yang Wendong agreed. "When will the equipment arrive?"
"It's a custom order," Zhou said. "The manufacturer needs two months to build it. Shipping and setup will take us into mid-February next year."
"Half a year? That works. We'll have time to purchase land and finish construction," Yang Wendong said.
"That's what I thought," Zhou Haoran nodded. "Considering the group's long-term strategy and the possibility of exporting beverages, I'm planning to purchase a larger plot this time."
"Fine by me," Yang Wendong agreed.
"Should we stay on Hong Kong Island or move to Kowloon?" Zhou asked.
"Let's stay on the Island for now. Beverage production needs skilled technicians, and most of them live here," Yang Wendong replied.
In his long-term plan, high-margin businesses like beverage production were better suited to Hong Kong Island — not just for talent, but for strategic real estate positioning. It was better to scatter assets than over-concentrate in Kowloon, where he might risk saturating the market with too much industrial land.
"Got it," Zhou said.
Yang Wendong continued, "When I was at Carrefour this morning, your bottled water sold out. Liu Huayu said the problem was with the plastic containers?"
"Yes," Zhou replied. "We're running short on containers, but we've already ordered new molds. Production should ramp up soon."
"I've already instructed Carrefour to launch a bottle return program," Yang Wendong said. "That should free up supply. I need you to accelerate water production. This is both a business opportunity and a way to help people during the drought."
Selling bottled water in the middle of a drought could seem like price gouging, but it was a practical solution. At least people with some disposable income wouldn't need to spend hours in line — freeing up the queues for those who truly needed free water.
"Understood. We can produce a lot of water quickly. I'll also order more equipment — they can be locally manufactured," Zhou Haoran promised.
Yang Wendong added, "Also, I want all of our subsidiaries to participate in drought relief. The simplest way is to donate a portion of sales revenue toward water transport and distribution."
"You mean we tie donations to purchases?" Zhou asked immediately.
"Exactly," Yang Wendong nodded. "Let everyone feel they're contributing. Carrefour and Watsons beverages will be the focus of the campaign."
Changxing Group had many consumer brands, but most were focused on exports — like Post-it Notes and luggage — and couldn't participate. Only Carrefour and Watsons had strong domestic operations in Hong Kong and were visible enough to make this kind of charity campaign effective.
"How much should we donate?" Zhou asked.
"Half a percent of total beverage sales revenue," Yang Wendong said. "Beverage margins are decent. Carrefour will have a lower figure."
"No problem. I'll remit the funds directly to the Changxing Charity Foundation," Zhou said.
"The foundation will also provide transparency reports," Yang Wendong noted. "You'll be able to track how the money is spent."
The Changxing Charity Foundation accepted public donations. For small contributions, they didn't issue individual reports, but for large or designated funds, they provided detailed receipts and outcome summaries.
From the start, Yang Wendong had made integrity the foundation's core principle. He wanted to use the charity not just to help people, but also to cement his own public legacy. Fraud or embezzlement was strictly forbidden.
Zhou Haoran nodded, "Understood. We'll support this fully."
Yang Wendong smiled slightly. This wasn't just a PR stunt — it was a genuine effort to help people. And by tying every purchase to charity, he'd found a way to involve the entire community in drought relief.
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