Since they are reborn, they must be supported by the school beauties.

Chapter 70 Triple Profits [1300 Monthly Tickets Plus]

When Chen Cheng asked about the advertisement on the car door, the driver pressed the meter and said with some emotion: "I plan to sell the car and the documents together. I will never do this business again."

Chen Cheng asked: "Why? Is this business not profitable?"

The driver smacked his lips and said, "Well, it's not that I don't make money. It's mainly because I own a Xiali and I haven't been driving it for many years."

Chen Cheng asked puzzledly: "Your car is quite new, it can at least be driven for a few more years, right?"

The driver lamented, "I had originally thought of driving my car for a few more years, until it wore out, to earn some extra money so I could buy a new one. But the city recently mandated that all taxis must be replaced with Peugeots by the end of the year. I couldn't afford a replacement, so I decided to quit."

Chen Cheng suddenly remembered that Peugeot was a car produced locally in Jiangcheng and was also one of the largest manufacturing industries in the area.

The city requires local taxis to replace their cars with Peugeots in order to support local industry. Many cities with automobile industries have similar requirements, which is quite common.

However, Chen Cheng's focus is not here.

So he asked again: "How much can you sell this indicator for now?"

The driver sighed and said, "The quota is only about 50,000 now."

More than 50,000?
Chen Cheng was indeed a little surprised.

In his previous life, he had never paid attention to the price of taxi indicators during this period.

However, he remembered clearly in his previous life that the taxi quota in Jiangcheng suddenly skyrocketed in October.

Because the index price rose so quickly, the whole city was paying close attention to the increase in the index, and local media were also reporting on it.

Chen Cheng remembered reading a report at the time that said the number of taxis in Jiangcheng exceeded 200,000 in just over a month.

The reason why the index price skyrocketed was that a group of speculators from Wenzhou suddenly came after the National Day.

They specialize in speculating on taxi quotas. Whenever they arrive in a city, they pool their funds to buy a large number of quotas, drive up the prices, and then sell them off.

There is a special feature of taxi indicators, that is, there is an upper limit on the number of taxis planned in each city. Once this upper limit is exceeded, in principle, no new car procedures will be approved.

Therefore, when these speculators enter a city, they will buy up all the circulating indicators on the market in one go. As they continue to buy indicators, the market price of the indicators will naturally rise.

When the index price rises and the locals start to panic buy, they will sell the high-priced indexes they acquired at low prices to make a profit, letting the locals take over at high prices, and then they will move to the next city.

This kind of gameplay is similar to that of a real estate speculation group.

It’s just that their capital volume is not as large as that of the real estate speculation groups, so they are not as famous among the people.

However, there is huge profit margin here.

In some cities, a taxi quota can even be sold for hundreds of thousands of yuan, and once the quota price is raised, it is generally unlikely to fall back.

However, the taxi quota market in Jiangcheng from 2002 to 2003 was extremely dramatic.

Chen Cheng remembered many reports that in just a few months, the market suddenly rose and then plummeted, eventually causing many speculators to fail in Jiangcheng.

As I recall, the price of indicators soared at the beginning, but from the end of this year to the beginning of next year, two black swan events greatly affected the price of taxi indicators.

First, in order to better clean up illegal motorcycle taxis and tricycles, Jiangcheng City suddenly introduced a new policy near the end of the year, reducing the starting taxi fare from 8 yuan for the first three kilometers to 3 yuan for the first kilometer. This lowered the threshold for taxi drivers and reduced their income, which naturally greatly reduced the value of the indicators.
Another factor was the panic caused by SARS, which gradually spread in early 2003 and reached its peak in April and May. At that time, everyone was in danger, and public transportation was greatly affected. Taxis also suffered a huge impact. The streets were full of taxis with no work, and the price of taxi indexes plummeted again.

In just a few months, the index price rose from 50,000 to more than 200,000, and then plummeted all the way, and finally the unit price plummeted to 30,000 yuan, a sharp drop.

Chen Cheng knew full well that those two black swan events would surely recur. However, as long as he operated properly, buying before the market took off and selling before it peaked, he could easily triple his profits in 40 to 50 days.

Chen Cheng was a little moved.

He thought about the details the driver had just mentioned, so he asked him, "Master, there are still more than three months until the end of the year. Are many cars as anxious to sell as you are?"

"Correct."

The driver nodded. "A lot of cars need to be replaced, otherwise they won't be able to drive on the road next year. Some people who don't want to replace their cars or can't afford to do so are selling their quotas right now, but there aren't many buyers, so everyone is trying to lower the price. Basically, the price drops by a few hundred yuan every day, but they still can't sell it."

At this point, the driver complained: "I know of a taxi company that owns 40 vehicles. They all need to be replaced by the end of the year, but the boss can't afford the money, so he wants to sell the entire company. To sell quickly, the boss keeps the price even lower, making it harder for us to sell."

Chen Cheng followed the driver's words and sighed, "He wants to sell all 40 indicators in one package. The unit price must be much lower to have a chance, right?"

The driver sighed, "He's quoted a price of 50,000 yuan each, but he still can't sell them. Mainly because no one can afford them. Forty quotas cost two million yuan, and he still has forty cars. Even if they're approaching the eight-year scrapping deadline, each one will cost several thousand yuan, which adds up to two or three hundred thousand yuan."

"And whoever buys this company will have to spend five million to buy forty Peugeots by the end of the year. That's a total of seven or eight million."

Chen Cheng's eyes lit up.

For a company with forty indicators, the entire project will only cost a little over two million.

However, if you hold the company with these forty indicators, you can sell it for seven or eight million by the end of November.

He had seen how the people of Wencheng did this kind of business. Generally, they concentrated their efforts to take over everything, accepting all comers, and raising the price while purchasing.

So, this means that if I can take over such a taxi company, I can sell it in mid-to-late November.

Even if there is a discount if it is sold in a package, with forty indicators, it can't be less than seven million, right?

That's a profit margin of five million.

Moreover, it only takes more than a month to get the money.

What a great opportunity!

Chen Cheng couldn't help but feel a little itchy.

Unfortunately, he simply didn't have that much capital.

Besides, he didn't think he could raise so much money.

However, even though I can't raise that much, as long as I can raise a few hundred thousand, I can still give it a try.

After all, he had a deep memory of the trend in his previous life. As long as he took over a car, he would make three times the profit. If he took over seven or eight cars, he could make one million.

He secretly thought that Su Zisan, Shen Luning, Lu Youyou, and even Yan Ruoxuan beside him should all be relatively wealthy.

It shouldn't be such a big deal if I shamelessly ask them to lend me a few hundred thousand, right?
However, there is one detail he has not confirmed.

So I asked the driver, "Master, if you don't change your car before the end of this year, will you not be allowed to drive next year, or will your permit be invalidated?"

The driver casually said: "When you change the car, you can go on the road. The quota will not be invalidated. This is clearly stated in the relevant documents."

He then sighed, "It's no use. I don't have the money to replace it this year. If I'm not allowed to open it next year and I can't make any money, I'll have even less money to replace it. So I have to sell it quickly this year, otherwise the price will definitely be lower next year."

(End of this chapter)