Category: Money Tips Date: 2006-05-25
I have selected the company's investment portfolio, are in its industry in which the "big boss", and if the boss does not choose her second child, if the boss with her second child you could not tell, I would do under the circumstances an appropriate amount of ratio.
A business has been done industry-wide boss in itself telling, and its competitive advantage in the industry is very clear grasp of the pricing of its products at any time may occur due to product price increases the profit upgrade windfall. The fate of the majority of such enterprises have already mastered in their own hands.
Of course I am referring to the industry leader not only refers to the firm's turnover, total profit and other financial indicators, but rather combined with its brand image, growth, etc. to make a comprehensive analysis of judgments. Can also be simply that they are all I think that the best companies in the industry (the most profitable companies) such as: China Merchants Bank, it is not the most profitable companies in the industry, but its financial indicators, such as profitability, bad debts rate is the best in the industry, if the buying bank shares, I would choose China Merchants Bank.
Maotai, Wuliangye the length of each of the two companies, I could not tell boss with her second child, it will combine a few. If the stocks to buy milk, I also will only choose Yili and Mengniu, if you choose medicine unit, I will Yunnanbaiyao, Tong Ren Tang in to the election.
Of course, their products in the industry has monopoly company, I would choose. If Ma Ying-lung, and its products in the market share of hemorrhoids ointment over 40%; G daughter, gynecology daughter first piece of the market share; G Rebecca, wigs products market share first.
Why should I choose the oldest child in the existence of the industry enterprises to invest in industry occurs because only the boss can there be monopoly profits, otherwise, the industry is still in the stage of intense competition. Such as the current home appliance industry, you simply can not determine who is the industry leader, when the industry in general would not be a better gross margin, then it will not be a high certainty of profit. I would not choose to buy such companies.
Last week I went to the Sichuan Province Qingcheng playing music at the local farmers a person, room and board all-inclusive one-month, pay 600 yuan, the price in Europe and thus can only eat a few bowl of noodles. Henan Rebecca, I understand the situation the company is the company's monthly wages for skilled workers only 800 yuan, cheap, low-cost, that is, the competitiveness of Chinese enterprises. As long as I have a choice to buy a clear competitive industries leading enterprises, and in the next few years, firmly holding it, and my destiny with these leading enterprises in the development of sync, I believe there will be a good income. My basic conclusion such as China's consumer high, wages are higher (up to and the level of China Taiwan or South Korea), then, may I sell these companies is a time when the stock.
(The author is an experienced investor, this does not mean that newspaper point of view)
