Chapter 139: Direction of Development

Nanmingshi City, Huakun Group Headquarters.

The moment Lu Kun stepped into his office, Sun Bowen came rushing in right behind him.

“Boss, this is…” Sun Bowen, still catching his breath, hurriedly handed over a stack of documents, beginning to explain.

“Hey, Old Sun, can’t you let me rest a bit first? I just got back, and you’re already greeting me with this huge pile of files. Isn’t that a bit much?” Lu Kun shrugged off his suit jacket and hung it on the rack, teasing the panting Sun Bowen in front of him.

“Boss, this is an emergency, isn’t it? You still want to take it easy?” Sun Bowen retorted anxiously.

“What’s the matter? Does it have to be this urgent?” Lu Kun asked, puzzled.

“Have you forgotten? Without your signature, the Finance Department has no authority to disburse salaries or any income to our employees,” Sun Bowen said, shaking the report in his hands, his face full of distress.

“Oh, I totally forgot about that,” Lu Kun slapped his forehead, looking frustrated.

In truth, Lu Kun hadn’t forgotten at all.

As his business expanded rapidly, it became impossible to manage every detail personally.

To prevent any decline in his influence and authority within the group, Lu Kun had always strictly controlled personnel, finances, and development strategies.

“Actually, the middle and upper management aren’t panicking; everyone knows you were on a business trip.

The main issue now is the frontline employees. Their incomes are modest; most rely on their salaries just to put food on the table and don’t have much savings…

Our company has always paid salaries on time, but this time, payments are over a week late…” Sun Bowen hesitated.

“Hm,” Lu Kun responded softly.

The frontline workers of Huakun Group—whether stock clerks, sales staff, or logistics coordinators—due to long hours and physical demands, end each day utterly exhausted.

Talking about lofty ideals or painting grand futures isn’t as effective as paying their wages on time or giving them a reasonable raise to boost their enthusiasm.

Discussions about visions, futures, and company blueprints should be directed more at the management level.

For them, the company’s prospects and their personal career paths matter greatly.

Their incomes are already substantial, but their ambitions are boundless.

When a company is flourishing, it may satisfy these desires, but during downturns, if it cannot, morale dissipates and the organization fractures.

Therefore, engaging management in conversations about ideals and prospects is essential—year after year, month after month, day after day.

Lu Kun sat back down, picked up the phone, and dialed.

“Boss, what are you doing?” Sun Bowen asked, puzzled.

“You said the frontline workers haven’t been paid yet, right?

I’ll call the Finance Manager now and have him release the salaries to those without objections among the frontline staff first.

For those with issues, their pay and the management’s income reports will come to me for review before final decisions.

If all is clear, I’ll instruct Finance to strive to pay all wages and bonuses within three days,” Lu Kun explained, glancing at Sun Bowen.

“Hello, please have the Finance Manager take the call…”

...

“Take a seat. Whatever it is, take your time explaining,” Lu Kun said, putting down the phone and motioning to the chair opposite him as Sun Bowen lingered nearby.

...

“There’s another very important matter. Currently, in Angui’s retail market, Huakun Group has nearly secured dominance, with only one remaining prefecture-level city left to conquer before achieving a complete monopoly.

Boss, what do you think about our next expansion direction?” Sun Bowen carefully probed.

Huakun Group’s growth had reached a bottleneck; expansion was inevitable to continue growing.

But internally, no consensus had formed on which path to take.

Conservative voices advised deepening their foothold in Angui’s retail terminals, taking advantage of the loosening restrictions from higher-ups.

More aggressive factions advocated moving eastward to the coastal regions, where fierce competition awaited, to capture a larger slice of the retail market.

Some even suggested venturing into Guizhou or other areas.

“Well?” Lu Kun pondered briefly, deciding to first gauge the prevailing sentiment among the majority of management. “What are your opinions?”

“We can’t unify our views,” Sun Bowen smiled wryly, then added, “But most of the management believes we should make a strong push into Guangdong, to capture that market with its immense consumption power and potential.”

“Hmm,” Lu Kun murmured subtly, then fell silent.

Everyone knew Guangdong’s retail market was in a league far beyond that of Angui Province.

Even capturing one-third of Guangdong’s retail market would fatten Huakun considerably.

But that was a dream better left unpursued in reality.

Later this year, a swarm of Hong Kong-funded sharks would flood into the mainland like predators sensing blood.

Major Hong Kong-backed supermarket chains had already carved up their “territories,” and Guangdong’s retail market was seen as their prize.

If Huakun directly confronted them, it would be battered badly.

Hoping to dominate the Guangdong retail market as Huakun had in Angui was sheer fantasy.

It was neither practical nor feasible.

As early as 1984, Baijia Supermarket opened its first branch in Guangdong, becoming the first Hong Kong-funded retailer to enter the mainland, and had since deeply cultivated the market.

Numerous smaller and less successful Hong Kong supermarkets, seeing Baijia thrive, followed suit, crossing over to the mainland.

Between the latter half of this year and the economic policy-setting tour next year, most Hong Kong supermarket chains would begin large-scale expansion into the mainland market.

If Huakun hoped to claim a share, it would inevitably clash with them.

Even if Huakun established a foothold in Guangdong, maintaining its market share would be difficult.

Huakun’s capital strength paled in comparison to those Hong Kong-funded sharks.

If forced into a price war, Huakun would suffer grievous wounds.

Most critically, Huakun had almost no political groundwork laid in Guangdong.

A reckless push into Guangdong’s retail market would be unwise.

In China, businessmen who focus solely on business matters without considering political factors are bound to fail.

There are plenty of such cautionary tales; Nian Guangjiu is a typical example.