Cooperation mainly involves authorized prices, profit margins, and future prospects. Exclusive cooperation means that there will be at least US$2 billion in profits. If it is traded overseas, it can successfully avoid corporate income tax. Fuguo Energy has already planned this way, and they have offshore subsidiaries.

As for profit margin, it is not that the higher the demand, the better. For example, high-end models require 100 million batteries, and Fuguo Energy's net profit can reach 35%; while mid- and low-end models require 200 million batteries, but the net profit is only 10%. Just like Apple sells less than Samsung, but the profit is the same as if it is completely better.

From the perspective of profit, Samsung is at a disadvantage unless they are willing to purchase Fuguo Energy's batteries at high prices or work hard on authorization fees. However, Apple, which is in the advantage of cooperation, is rich and powerful. Once an agreement is reached on price negotiations, they can sign an agreement in minutes.

From the perspective of the future, Samsung Electronics' downward trend has also attracted the attention of the company. The current high demand is false. If it fails in a day, fans will shift one after another. What's more, Samsung's high-end models don't have many tricks. On the contrary, Apple and Apple fans have a very firm belief.

Listening to these analysis, Meng Qian also pondered it in his mind.

Putting aside his preferences, his goal is to choose the most suitable partner among the two companies, namely: the one that can bring the most profitable to the company. Therefore, all verbal analysis and prospect prediction are also auxiliary means. The specific depends on how the two parties discuss and how the details are discussed.

The company's senior management and department heads are all busy.

Meng Qian himself has not yet started his job personally. As the boss of the company, it is impossible to do everything by himself, but it is related to the "money prospect", so he has to keep a close eye on it. Assistant Liang Tao reports on the progress of the negotiations every day, the price of both parties, etc., and Meng Qian usually talks with Zong Yan.

A few days later, Samsung invited another interview.

The interview was located in a business club. The senior executives and translators from both sides were present. A large group of people were wearing suits and tie, which was very stylish and grand. First, they introduced each other politely, and then they sat down. The waiter wearing cheongsams took tea to warm up the opening.

Mr. Zhang of Samsung spoke: "I'm glad that Mr. Meng was invited to meet. We hope to achieve a win-win situation in this high-level negotiation."

The translation retells the words of this Korean.

After hearing this, Meng Qian smiled and said, "Yes, win-win."

Mr. Zhang looked at the young man and smiled: "To be honest, Samsung is definitely the highest in the world in terms of battery demand, and the sum of the second and third places is not as good as us. If we join forces, the demand in the future will definitely exceed 350 million."

Behind Meng Qian's smile, he was quickly calculating that according to the company's expected single-block cost, the average price of 25 US dollars is supplying 350 million yuan, which means that at least US$8.7 billion in annual turnover is generated, and the RMB is about 54 billion, which is a very considerable profit.

But Meng Qian was not blinded by the numbers. He said bluntly: "I know Samsung's high demand for batteries, but the problem is still the same. Your pricing for mid-to-high-end does not meet our company's psychological expectations. Compared with Apple, their quotations are very satisfying to us."

Mr. Zhang smiled: "It is true that due to the different product positioning, our average price will be lower than that of Apple, but on the other hand, Samsung's high-end models have huge room for development. If you add your company's battery technology to take away Apple's high-end market, wouldn't it be easy?"

"In terms of high-end mobile phone batteries, we are willing to purchase at prices equivalent to Apple or even higher than them, and ensure that the number of models we need in the future is as high as we produce. Gentlemen, Apple's sales in China are huge, but small screens and short standby have always been criticized, and users will sooner or later become tired."

Meng Qian whispered with Zong Yan beside him and said solemnly: "Our positioning of high-end models is US$35, with an annual demand of at least 100 million yuan. In terms of other models, the average price must reach more than US$25. This is the bottom line of our company, gentlemen?"

According to the discussions between Meng Qian and Zong Yan, the business is expected to exceed US$8.5 billion. The quotation is reasonable at the high end, but the low end will cause Samsung to lose a lot... As soon as this psychological price came out, the other party immediately started to talk about it. There were too many controversies and the translation could not follow suit.

Meng Qian took a sip of tea and said to his side: "Have you calculated the profit?"

Zong Yan said: "Only high-end models have higher profits, while mid- and low-end models will lower prices, but we cannot lower quality, otherwise we will ruin our brand."

"I understand." Meng Qian doesn't like to be low-end. You have to ensure quality and take into account both the price, and the result can only reduce your own profits.

A few minutes later, Mr. Zhang seemed to have made an idea: "We will report it to Samsung headquarters truthfully for further discussions."

"No problem." Meng Qian didn't expect the negotiation to be completed all at once.

"Back to the second question, we have objections to the exclusive cooperation price that your company hopes to do." Mr. Zhang said again.

This area is a net profit for the company, and Meng Qian attaches great importance to it: "Let me say that, the bottom line we can accept is US$2.5 billion, which is not appropriate if it is low."

Mr. Zhang didn't get entangled with the issue of price: "I can understand the cost of exclusive cooperation, but I want to confirm that your company gives you three years, right?"

"To be precise, it was three years after the production stabilized." Meng Qian said.

"According to our internal channel information, Apple is conducting research on new batteries. After gaining your technology, it may be possible to achieve new breakthroughs in three years. From a long-term perspective, if you cooperate with Apple, it will be short-term."

What's wrong? Meng Qian's eyes turned to his think tank, and Zong Yan pondered: "I don't know."

Mr. Zhang saw the other party’s doubts and immediately said: “We Samsung are willing to extend the cooperation period with legal contracts, with a fixed demand volume of more than five years to ensure the profits of both of us. Even if Apple’s technology makes breakthroughs in the future, you will already occupy half of the market.”

Meng Qian asked directly: "So you plan?"

Mr. Zhang said: "We are willing to cooperate exclusively for 5 years at a cooperation price of US$2.5 billion, and the annual demand is at least more than 300 million batteries."

Meng Qian thought about it, but did not reply exactly: "We will consider it."

Mr. Zhang smiled and said, "Looking forward to Mr.'s response."

...

The preliminary result of the negotiations is that according to the previous agreement, a business of $8.5 billion is expected to be traded annually, plus $2.5 billion for five years. If agreed, a large amount of cash will be received and a huge revenue will be generated every year, making it easy to become a world battery giant.

But Meng Qian was still suspicious.

In terms of operating income, cooperation with Samsung will definitely surpass Apple, but the problem is still the same: What about the profit?

The profits of high-end batteries can be guaranteed, but in the middle and low-end, because of the nature of polymer batteries, it is very difficult for Fuguo Energy to lower costs, otherwise it will not be a new type of battery. The single-block cost is 60, and after counting the tariffs, the profit is limited.

On the other hand, Zong Yan also began to investigate the new Apple battery.

He brought the answer: "Not only Apple, Samsung, Panasonic and other companies are studying new batteries. It can be said that when we work with either party, they will not stop studying their own new technologies to get rid of our overly expensive products."

"All are the same cunning." Meng Qian has also experienced it before.

"It's because of commercial use." Zong Yan was not surprised at all. "Samsung itself is also developing graphene batteries. Graphene-coated lithium batteries are not easy to break through."

Meng Qian understood: "It's all bad ambitions, and it's estimated that patent lawsuits will be indispensable in the future."

Zong Yan said again: "Samsung's Korean CEO will have a phone talk with us tomorrow afternoon."

"I know." Meng Qian wrote it down and had to talk with a higher official.

The next afternoon, Meng Qian chatted with the other party about international calls.

But the actual business discussion is still very different from what Meng Qian expected. He originally fantasized about waving the monopoly and the big stick. Both parties had to bow their heads obediently, and then take the three wins of happiness, that is, both companies collect protection fees and then cooperate to achieve the most perfect ending.

Unfortunately, there is little perfection in business. Samsung may accept this kind of "peace talks", but Apple will not agree. They just believe that they are exclusive. Its strong capital reserves can always be maintained at a higher level than Samsung, making it difficult for Fuguo Energy to abandon them.

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Chapter completed!