Real estate profit comes too easy

Source: Internet
Author: User
Foreign trade profits are falling year in, real estate is getting more and more money "in recent years, corporate capital to the real estate has become the norm, almost all enterprises are cast, the difference is only in size. After all, it's too easy to get money. Enterprises are inherently profit-driven, since the most profitable to do real estate, it can not require enterprises to withdraw from the real estate industry.  "Frankly," said the chairman of a public company. This is a textile started business, over the years, made a brand, made the scale. But in recent years, companies have invested a lot of energy in real estate development. "The reality is that deposits actually have negative interest rates and the money supply is plentiful." In this case, the people can only rely on the purchase of real estate to achieve the value of the currency, which led to high property prices. Only macro-policy can change the tendency of enterprises to invest desperately in real estate. "The chairman believes that when the textile industry to achieve a certain period of time, the development of enterprises bottlenecks with the present." Foreign trade export situation more and more tight, can not further expand the scale, the profit is falling every year, to continue to develop very difficult; energy-saving emission reduction requirements are increasingly high, several production lines due to wear a "high consumption" hat, facing the relocation.  Reality is in front of you: either converting or shrinking. The century-old textile and garment enterprises stride into the property market, there are two reasons: first, the enterprise has accumulated good social reputation over the years, with the local government to establish a good relationship, the Government has repeatedly expressed the hope that the enterprise to participate in real estate development and construction.  Second, the stock market financing volume, the bank also repeatedly door-to-door contact initiative lending, money is very well-off. A few years down, the reality is more proof of the right choice of enterprises.  In the recently announced report, the company's real estate profits have far exceeded the profits from the main industry, real estate development has become the company's most important source of profits.  "Input less than 100 million yuan, two years profit of more than 100 million yuan" This is a Zhejiang Ningbo production of high-end auto parts business, customers cover all the large and medium auto enterprises, and in the United States opened the auto parts chain, profit and product competitiveness are quite good. In 2006, the enterprise began to "Test water" real estate, something happened. "An entrepreneur friend repeatedly mobilized us to do real estate, together to participate in development, a start to help them to solve the capital mentality, into the industry." A small real estate development down, I found that the profit is too amazing, investment less than 100 million yuan, two years after the profit has more than 100 million yuan! Enterprises to work harder, how hard business can not achieve such a profit margin. In real estate, profits come too easily. We don't make this the main business, but this is a good profit growth point.  The head of the business said.  The risk of enterprise innovation is big, the property market profit lures the huge profit of the building city to tempt some enterprises that did not develop real estate plan, let them dilemma. Our company has been known for its innovation since its inception. Over the past few years, output has largely doubled annually until the 2008 international financial crisis. "Shaoxing, a public company in Zhejiang Province, said," corporate distraction to do something else, will be in the capital chain, operating. But now we are in the middle of a conflict, manufacturing profits are thin, innovation risk is big, if there is another piece of business can provide substantial profits, we have no reason not to do. There is nothing wrong with walking on more than one leg.  "he said. Innovation risk is the boss's biggest distress. They spent 3 years investing more than 60 million yuan to test a supercharger. "has been innovating, but the stakes are very high. Just like that more than 60 million yuan, not necessarily can produce the result, in case of not come out, this sum of money is ruined, but if put into real estate, not only can reduce the risk greatly, and can reap the huge profits. "2008 years ago, the enterprise saw the enterprises around to invest in real estate harvest quite abundant, resist temptation, set up a project department ready to enter the real estate." But as the financial crisis spread, they contracted the front and concentrated on the main business.  Now, with corporate capital conditions improving, the company has begun to fret about not investing in the property market. People's Daily (September 17, 2010, 10 edition)

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