The following discussion and analysis should be read in conjunction with the financial statements of Achison Inc., and the related notes included elsewhere in this statement. The historical financial data discussed below reflects the historical results and financial position of Achison Inc. In addition, this discussion and analysis contains forward looking statements and involves numerous risks and uncertainties, including those described under "Cautionary Note Regarding Forward-Looking Statement" and "Risk Factors". Actual results may differ materially from those contained in any forward looking statements.

Overview

Industry Environment

The businesses of the Corporation:

(1). Engaging in running the internet advertising net.

(2). Engaging in running vineyard, sell and store wines.

Engaging in running the internet advertising net:

(1). The website is http://dazhong368.com

(2). The website is a Chinese website, and it will service the Chinese communities in USA.

(3). Almost visitors are free to post their advertisements in our website, but they can increase the click rate for our website.

(4). Some customers will pay to publish their advertisement. This is our income resource of our internet advertising businesses.

Engaging in running vineyard, sell and store wines:

(1). We will be looking for one or more good vineyards to purchase.

(2). We will make a contract with a management service company, entrust them to manage our vineyards. Now, we don’t confirm which management service company we will choice to manage our vineyards.

(3). We will arrange wineries which will make wines for us. Now, we don’t confirm which factories we will choice to make wines for us.

(4). We will own our wines’ storages in our vineyards, to store our wines for long time.

(5). After we will get some license or permit which federal government or local governments request, then we will sell our wines in US market.

Describe the industry in which we are participating:

(1). The internet advertising market is huge market. The competition in the market is very intense, but there are more businesses opportunities and innovating opportunities in the internet market.

(2). A lot of grapes can be planted in some vineyards. Grapes are agricultural products. Grapes can be used to make wines. Wines can be sold in markets or be stored in its storages. If the wines won’t be damaged or go bad, almost its value can be increased year after year. Wines can be sold in the US market or the international market. Many factors can affect the price of wines.

The Corporation is engaging in selling wines in US market. the competitions are the price's competition of wines. The follow factors will impact the price of wines in US market:

(1). The type and age will impact the price of wines;

(2). The demand and supply relationship will impact the price of the wines;

(3). The expenses for custody and insured will impact the price of the wines.

The trends within industry which we are participating:

The supply-demand relationships, the aged, the quality and the markets will affect the price of wines. The price trends of wines is going up.

Set forth the timing and size of results of our efforts which will be necessary in order for us to be profitable:

In order for the Corporation to be profitable, we will study the supply-demand relationships, the products quality, the US market’s environment and the internationals market’s environment.

We anticipate that we can be profitable within 12 months after we will purchase our first vineyard.

Primary Sources of Revenues

The primary sources of revenues of the Corporation were the internet advertising service income and other incomes.

Primary Expenses

The primary expenses are the internet managing expenditure, the professional expenditure and the bank fees.

Components of Results of Operations

Revenue

The internet advertising service income: The primary incomes of the Corporation were internet advertising service income.

Cost of Revenue and Operating Expenses

Cost of revenue: The cost of revenue was the internet managing expenditure, the professional fees and the bank fees.

Professional expenditure: The professional expenses include the auditing fees, accounting fees and reporting service fees.

Results of Operations

Full Quarter

We discuss the financial condition, changes in financial condition and results of operations of the Corporation since July 1, 2019 to September 30, 2019.

Liquidity and Capital Resources

Our capital resources were the investment from the capital stock sold, the fund granted and the loan of owner and affiliates, and income from its operations.

Our Capital Resources sources were our internet advertising net and our cash and cash equivalents. Cash and cash equivalents were $141,312 as of September 30, 2019. 

Cash Provided by Operating Activities

$(16,795) cash was provided by operation activities as of September 30, 2019.

Off-Balance Sheet Arrangements

We did not have any off-balance sheet arrangements as of September 30, 2019.

Contractual Obligations

The Corporation didn't have any contractual obligations as of September 30, 2019.

Obligations or Liabilities

The total obligations or liabilities (including contingent obligations or liabilities) of the Corporation was $0 as of September 30, 2019.

Contingencies

The Corporation didn't have any contingencies as of September 30, 2019.

Material Favorable Impact on Net Revenues or Income

The Corporation didn't have any material favorable impact on net revenues or income as of September 30, 2019.

Inflation and Other Changes in Prices

The inflation and other changes in prices didn't impact the Corporation's net revenues and income from continuing operations.

(2). Technical Security Risk:

The technical security risk includes the internet hardware and software security, the internet running security, the data transaction security. Example for: the internet virus attack and the internet criminal can stop and damage the internet server. That the internet software will be destroyed, the data of the internet storage and delivery will be changed, cancelled, copied or used illegally can bring a gig lose to us.

(3). Management Risk:

Some lack of the human resource management and the operation management will be bring some risk to us.

2. Vineyard and Wines Risk:

(1). Risk for Purchasing Vineyards:

If will purchase an aged vineyard, we will invest a huge fund to remould the vineyard. If we will pay a higher price to purchase a vineyard, we will make a bigger lose.

(2). Vineyard Risk

If the management service company, which we will choice to service us, won’t provide a good service, some lose will be brought to us. If our vineyards will meet some natural damages, some huge risk will be brought to us. If the insurance company will compensate our damages, but their insurance premium will be increased.

(3). Wine Making Risk:

If the winery which we will choice to make wines for us, won’t provide a good service, or request a higher producing expense, then some lose will be brought to us.

(4). Wine Storage Risk:

If some wines will be damaged or go bad, then some lose will brought to us. If some natural damages or other damages will be happened, then some lose will be brought to us.

(5). Market Risk:

We will face an intense market competition. If we won’t sell part wine, our cash liquidity will be impacted.

3. Risk Factors for Purposes Other Than Trading:

(1). Our Lack of an Operating History

The Corporation lacks an operating history, lack the managing systems and lack the human resources, then the Corporation will be facing a lot of the difficult matters. The investors can't know the ability for running the business by the operating historical data, and the investor's risk will raise.

(2). Our Lack of Profitable Operations in Recent Periods

The Corporation lacks its profitable operation in recent periods. The Corporation lacks the profitable operating history, so the investors can't know the profitable ability of the Corporation by the profitable operating historical data, and the investor's risk will raise.

(3). Our Financial Position

The Corporation lacks capital for running its business. and the investor's risk will raise.

(4). Our lack of Sources of Additional Funding

The Corporation lacks the sources of additional funding. If the Corporation will lose continually, it will lose the ability for running its business, and the investor's risk will raise.