Boiling Sheep and Water Cloud Pavilion

Chen Pingsheng took Gao Hu to inspect the store location he had chosen.

The first store was inside a major shopping mall in Shijingshan. High-end malls naturally had the highest foot traffic. However, the competition was fierce—securing a foothold in such a mall was no easy feat.

"500 square meters, annual rent of 1.2 million."

Chen Pingsheng led them to the fourth floor. Nowadays, most large shopping malls were following Wanda's "waterfall model."

The so-called waterfall model was simple—it concentrated the most popular businesses, such as restaurants and cinemas, on the highest floors. After consumers finished spending upstairs, the foot traffic would naturally flow downward, benefiting retail stores like clothing and electronics.

He wasn't an expert in store design, so Gao Hu would handle the details.

However, he suggested hiring the best design team to craft a cohesive aesthetic for their flagship store. Future branches could then replicate this design for brand consistency.

This was a capital game, after all—standardization was key.

Gao Hu said, "Old Chen, leave the store to me. Don't worry. But if you have any thoughts, let me know."

"Alright."

Chen Pingsheng gathered everyone together, casually picked a spot, and sat down.

He said, "I might not be an expert in hotpot restaurant operations, but there are a few key points I need to emphasize."

"First, in my view, future traditional storefronts will primarily adopt a shareholder model. That means ownership won't be limited to just the boss—store management will also hold significant shares."

"Second, our hotpot restaurant will be called Boiling Sheep Hotpot City. The name is simple and memorable. The biggest difference between Boiling Sheep and traditional hotpot chains is that it will be integrated with the media resources of our company, Tengying Entertainment."

"In other words, it will never lack exposure."

"Once exposure is guaranteed, what becomes the most important factor? In my opinion, it's pricing."

"Most customers come for affordability, not for so-called 'touching service experiences' or embarrassing birthday dances. Personally, I find those things a bit awkward."

"Therefore, Boiling Sheep must ensure that at least 95% of customers are satisfied with the pricing. The key principle is simple—high quality at low prices."

"The third and most crucial point—flavor. It must be excellent."

"In summary, Boiling Sheep will compete on three main fronts:

1. Never lacking traffic

2. High quality at low prices

3. Unmatched taste

Beyond these, there's only one internal standard—our wages must exceed the industry average by 30% to 100%."

"Salary adjustments will be based on store revenue. Customers are our teachers and mirrors—we must constantly identify and improve upon our weaknesses."

With these words, he had already made his stance clear.

From the very start, Boiling Sheep was set up as a shareholder-based company, with store management holding independent dividend shares—just like his Tengsheng Fruit business.

Secondly, pricing was paramount—customers always cared most about cost. A restaurant that offers both affordability and great taste would never lack customers, no matter the industry.

The third point was just as critical—never expect an employee earning 3,000 yuan to provide 5,000 yuan worth of service.

Any boss who thinks that way hasn't figured out how to run a business.

Trying to profit by squeezing employee wages was nothing but short-sighted.

Chen Pingsheng's approach was simple: Pay 8,000 yuan, expect 7,000 yuan worth of service.

A happy workforce leads to better service.

High wages were the foundation of high standards.

Without competitive salaries, all discussions about management were meaningless.

He also planned to provide top-tier accommodation for employees.

If they weren't comfortable where they lived, how could they work happily?

Human nature was simple—when a boss genuinely cared for his employees, they would, in turn, care for the business.

This was the key to creating a positive cycle.

With these standards set, it was up to Gao Hu to implement them.

For this first store, he personally invested 2 million yuan, while Gao Hu held a 25% stake.

There was still a long way to go—renovations, researching local tastes, training, supply chain logistics…

He wouldn't micromanage. Every task had its specialist.

Once the store opened, he would focus on continuous improvement.

---

Meanwhile, on the other side—

His wife, Song Yanxi, was already actively searching for a store location in the Second Ring Road. He tagged along.

It was worth mentioning—when it came to beauty and skincare, wealthy women spent like there was no bottom line.

That's why the beauty industry was so insanely profitable. As long as customer acquisition was secured, success was almost guaranteed.

The second beauty salon would follow a high-end private club model, with an estimated investment of 6 to 8 million yuan.

The planned area was between 600 to 1,000 square meters.

In reality, the actual service rooms wouldn't need that much space. Most of the area would be dedicated to leisure and socializing—

For example, clients could drop by for coffee, listen to live piano performances, or attend exclusive celebrity events.

The goal was to cater to their indulgent lifestyles.

Every single detail had to be top-tier—from the toilet paper in the restrooms to the chandeliers on the ceiling—everything had to be high-end.

Song Yanxi was fully committed to this endeavor.

Unlike Boiling Sheep, the high-end beauty business couldn't operate on a low-cost model.

Because for wealthy women, if you don't overcharge them, they'll think your products don't work.

If it's too cheap, it won't match their status.

With this mindset in play, a product worth 1,000 yuan could easily be sold for 100,000 yuan.

The beauty salon was a must-win business for Chen Pingsheng.

Why? Because it was too profitable.

With a gross profit margin exceeding 90%, the numbers were staggering.

Compared to Boiling Sheep, he saw Water Cloud Pavilion as his true long-term cash cow.

So, he put in the effort, working side by side with his wife.

Salaries were extremely competitive.

A senior beauty therapist would start with a base salary of 12,000 yuan.

For top-tier A-level therapists capable of making sales, the base salary would be 18,000 yuan.

Customer consultants, responsible for client files and sales, would start at 20,000 yuan.

As for store managers like Zhou Chun, their salaries ranged from 300,000 to 500,000 yuan annually—plus a 10-15% profit share.

But there was a catch—managers had to bring their own teams.

Coming in alone and expecting top pay? That was pure fantasy.

A competent store manager would naturally have a loyal team.

If no one followed them, they were obviously not a good leader.

His hiring standards were simple and direct.

High salaries attract high-caliber talent.

With beauty profits this high, paying employees a few thousand yuan would be inhumane.

This time, Chen Pingsheng planned to establish Water Cloud Pavilion near the China World Trade Center.

Wealthy clients were abundant there, and his company, Tengying Entertainment, was also based in the area.

Of course, competition was fierce.

But high-end beauty salons didn't compete with random roadside parlors.

Their real competitors were exclusive private salons—

The kind that catered to women who never checked price tags and could buy out an entire store on a whim.