Prev
Ch. 571 / 98958%
Next

Chapter 571: Earning Money with Dignity

~11 min read 2,116 words

Now, the potential of the domestic market is much greater than that of A-San. Plus, markets like A-San, Jiaozhi, and Eastern Europe are still stagnant pools. Whether in terms of population or industrial foundation, the country far exceeds these places. As long as it erupts, it will definitely be a huge market.

In the previous life, how giant companies around the world fought for the A-San market; next, the domestic computer, mobile phone, car, airplane, luxury goods, and other markets will also be fought over frantically. Even many "international" brands rely entirely on the domestic market to support them!

At that time, there will be no such thing as the domestic market needing them; it will be those giant companies that cannot do without the domestic market!

Furthermore, America, old Europe, and Japan are all upgrading their industries, constantly upgrading to high-end industries and financial industries. It is not that they want to upgrade, but that the situation forces them to.

In recent years, America and old Europe have been transferring large batches of industries such as chemicals, steel, automobiles, clothing, shoe factories, and electronics overseas on a large scale, ostensibly for the environment. In reality, the profits of these industries are too low relative to local salaries.

Even if it weren't for the environment, no one locally would be willing to do these low-wage, heavy-labor jobs. If the factories in these industries didn't move away, would the factory owners wait until they closed down, owed a pile of debt, and slept on the streets as homeless people?!

And wanting to transfer overseas is not just about finding a place and letting the locals do it. If it were really that simple, wouldn't it be much easier to move to Africa?

In reality, the places to move overseas need to have a certain industrial foundation so that they can form a supporting industrial chain, and public security cannot be too bad.

The local area must also have a large number of personnel with a certain level of basic education so that it is convenient to recruit workers. It is easy to learn after being recruited, so they can operate machines in the shortest time and start making money for those factory owners.

Looking at the world, currently, the only place that meets these conditions, apart from the mainland, is nowhere else. Previously, it was the Four Asian Tigers; they developed by relying on processing for America and old Europe.

But their size is limited, and they simply cannot fully absorb the industries transferred from America, England, Japan, and other places. Only the country has the opportunity.

If those factories are not transferred to the country for production, America and other places simply cannot find other suitable places.

The country has a huge market, enough users, and the ability to receive overseas industrial transfer to process for them. If those giant companies don't come to the country, do they want to be unable to think and go to Africa to count hyenas?!

"There is a saying in the country: 'The world is bustling, all for profit; the world is jostling, all for profit.'"

Similarly, there is a proverb in the West: "As long as there is 20% profit, it will make people restless; 50% profit is enough to make people take risks; 100% profit, the gallows cannot stop it; 300% profit, those people will sell the rope to hang themselves!"

Li Dongling leaned forward and stared at Dai Er with a smile. "As long as the mainland can bring enough returns to overseas companies, do you think a piece of Wassenaar Arrangement paper can stop those companies from coming to the mainland?!"

Dai Er's face turned pale, and he opened his mouth but couldn't say a word. He had worked on Wall Street and was too damn familiar with the style of those investment banks.

If there is really profit to be made, what Wassenaar Arrangement? Damn it, the American Federal Department of Justice is not even taken seriously by them.

Refer to America's Prohibition in the 1920s; the more alcohol was banned, the more it existed. Instead, it gave birth to the golden age of American gangs in history. How many powerful figures in America made a fortune relying on alcohol.

There was also the time when America tossed Toshiba. The reason given was that Toshiba colluded with Mao Xiong and sold precision machine tools to Mao Xiong. At that time, there was still the COCOM agreement.

The thing America brought out was aimed at Mao Xiong. As a result? Toshiba was dealt with, but Sweden, France, Italy, West Germany, and England didn't sell less advanced equipment to Mao Xiong.

Even America's own companies had lingering ties with Mao Xiong. Pepsi and Coke, during the Mao Xiong period, could sell tens of millions of liters in Mao Xiong every year. Pepsi even became Mao Xiong's national drink, and it was an exclusive business. It was simply too profitable.

As for why they could sell so much, of course, it was Mao Xiong playing a flashy operation, learning from America's Prohibition back then. As a result, alcohol was stopped on the surface, but damn it, they were addicted to Coke and still had to use foreign exchange to buy that thing, making Mao Xiong's already strained foreign exchange collapse even more thoroughly...

Even that famous rumor: a few years before Mao Xiong fell, because foreign exchange was not enough, in order to exchange for Coke, they didn't hesitate to use submarines, cruisers, frigates, destroyers, and heavy cargo ships to exchange for Coke with Pepsi.

Although these warships were old goods, Pepsi took most of them back and dismantled them to sell as scrap iron, but it also made Pepsi leap to possess the world's sixth-largest navy on paper.

And in Mao Xiong, those who could make warships to exchange for Coke were definitely powerful figures. If the Coke exchanged back didn't earn several times the profit, would they sell it?!

At that time, America and Mao Xiong were nominally still mortal enemies, but the two sides were doing business and earning money so happily.

Similarly, America couldn't stop its subordinates from flirting with Mao Xiong back then. Now that the mainland is really profitable, America probably can't even stop its own people. A large number of American companies are running to the mainland to build factories and invest!

This simply does not shift according to personal will. Cutting off someone's path to wealth is like killing their parents. When a host of companies from America, old Europe, Japan, etc., all run to the mainland, no matter what agreement it is, it is just a piece of waste paper!

Whoever dares to stop them from earning US dollars in the mainland is an enemy of those giant companies. Even the Federal President can have his brain opened; anyway, it's not the first or second time.

"For the chip production base built by Dongxin, I hope Walden can invest. What Dongxin needs is not just Walden's US dollars."

"It needs Walden even more to guarantee for Dongxin's chip factory in America, lobby the American Trade Commission, the Federal Department of Justice, and other agencies and departments, and purchase necessary technology and equipment for Dongxin's chip factory to produce chips in America and overseas!"

Li Dongling made it clear that he wanted Walden to be a double agent, acting as an insider for Dongxin in America, lobbying and doing public relations for Dongxin Semiconductor in America, and then purchasing equipment, technology, etc., for producing chips.

Of course, "double agent" was too ugly, so Li Dongling embellished Walden. "Walden International will become a pioneer in the domestic chip industry. In the future, companies like Intel and AMD will also follow Walden International's footsteps and come to the country to build chip factories."

"As a pioneer, Walden will also eat the dividends of a pioneer, just like Walden's investment in Little Swan opened the door to investing in state-owned factories!"

"In the future, once the domestic chip market demand erupts, as a local chip factory, Dongxin's chip production base will receive huge orders."

"In addition, Walden will also become an ally of Dongling High-Tech. In the future, Walden will also have the right to invest in projects of Dongling High-Tech and its subsidiaries!"

Li Dongling had already opened the conditions. Whether to accept or not depended on Walden itself. He even gave conditions that were not conditions, that is, if Dongxin's chip production base really lost money, Dongling High-Tech would also take out other projects to compensate Walden.

This kind of thing would not be said on the table. People in the world of business all understand this routine. The world of business is not about fighting and killing, but about human relationships and sophistication. Especially when reaching a certain level, when both sides have status and position, sometimes owing someone a favor is more important than how much money is earned; favors are sometimes harder to repay!

"Clap, clap, clap!"

Chen Zuhan watched Li Dongling applaud. "The outside world rumors that General Manager Li has excellent vision. I have finally seen it today!"

You must know that Walden came over today as an investor. Theoretically, they were in an advantageous position in the negotiation, and it should be Dongxin begging Walden to invest.

But now? Li Dongling, in a few words, changed the offensive and defensive positions, turning it into: if Walden didn't invest in Dongxin's chip production base, it was short-sighted, a person not worth working with, and would probably regret it for life. Li Dongling was letting Dongxin earn money with dignity.

For a fool who couldn't even see the general trend, was there any need for cooperation? Was he qualified to be an ally of Dongling High-Tech?

Looking at Dai Er, who was confused and doubted what he had learned in the past ten years, one could see how much influence Li Dongling's words had just now.

The key was that Li Dongling wasn't fooling people; it was more like he was speaking with certainty, which made people feel even more uncomfortable. Clearly, what Dai Er said just now was that Dongxin was useless, but now it seemed that Dongxin had all the advantages. Could this not make him doubt life?

"Walden is willing to invest in Dongxin's chip factory because I am also optimistic about the mainland chip market!" Chen Zuhan looked at Li Dongling and said. "But this project is too big, and Walden cannot eat it alone. We need to find some partners and seek investment banks like Gao Sheng to invest together with Walden!"

Previously, the projects Walden International invested in were in the tens of millions of US dollars, generally between two million and ten million, and the return cycle was about ten years. Compared to the internet, the returns were too slow.

On one hand, the investment was large; on the other hand, Chen Zuhan wanted to pull Gao Sheng into the water, which was actually to reduce risk. Gao Sheng' background and strength in America were much stronger than Walden's.

Even if they were double agents, if the sky fell, Gao Sheng would be in front, and it wouldn't fall on Walden...

Li Dongling nodded to Wu Xinyi, and the latter said, "The total investment for the Dongxin chip production factory is expected to be about 420 million US dollars. Currently, there are five major investors tentatively decided: Dongling High-Tech, Dongxin Semiconductor, Hanxi State Investment, Walden, and Gao Sheng!"

"If Gao Sheng is willing to join the investment, then the five major investors will invest a total of 420 million US dollars in the Dongxin Hanxi chip production factory, and each of the five major investors will nominate one person to enter the board of directors."

"Among them, Dongxin Semiconductor, as the parent company, holds 51% of the equity of the Dongxin Hanxi chip factory, and the other four major investors each hold 12.25%!"

According to this equity, Dongxin Semiconductor and Dongling High-Tech, combined, hold 63% of the equity, which is the absolute majority shareholder.

Hanxi State Investment is basically on the side of Dongxin Semiconductor. In terms of equity, there is no need to worry about losing power. In the short term, having a major shareholder means there is no need to worry about factional struggles.

But a chip factory is very money-burning. If they continue to look for financiers to invest in the future, the equity will change. By the time they finally go public, the equity of the major shareholders will probably be diluted, and it is not impossible for them to exit halfway. ===== CHAPTER 572 =====

◈

End of Chapter

Prev
Ch. 571 / 98958%
Next
Prev
Ch. 571 / 98958%
Next