Chapter 350 Ambition (seeking the moon)(1/2)
It’s “Then, why can’t Republic merge with Wynn!”
When the voice fell, there was no ridicule on Mu Xiang's face, but he smiled kindly at Fan Xudong...
"because……"
After thinking for a moment, Fan Xudongfang spoke.
"I am confident that the merged Gonghe Chemical will become a huge chemical industry empire."
At this time, Fan Xudong already understood that if he wanted to persuade the company to accept his suggestion, he had to start from what they were interested in. For the company, what is the most interesting to them, and for ordinary businessmen, there is no doubt that it is
Money, but for a company, money is not necessarily the most important thing.
If money is the most important thing to the company, they will not provide technology to one company after another in the past two years, provide loans, or even provide technology to companies that compete directly with them, and when they transfer technology, they will not
The requirement for appropriate shareholding is very simple - to provide certain worker welfare protection.
Fan Xudong also talked with some friends in the company. The chairman has always wanted to build a company where people can work with dignity, so he implemented an apprenticeship training program in the company and every worker has insurance and pension. They
You can apply for affordable housing developed by the company, and women also enjoy maternity leave and special nursery rooms. The company has established employment conditions that are far more generous than those of ordinary railway companies.
Companies are not just companies. To a certain extent, at least in Longhai, while serving as public service providers, they also regard themselves as "governments". Perhaps it is for this reason that they will improve social welfare and
They tried every possible means to induce companies in Longhai to improve workers' welfare. Social welfare greatly increased labor prices, forcing factories to rely on emerging technologies for productivity.
The company has its "big ambitions".
"Chemical Industrial Empire!"
Mu Xiang's brows twitched slightly, and he seemed to be somewhat interested in Fan Xudong's statement.
"Manager Mu, look, these are some reports I prepared. I accidentally discovered this one. Six months ago, Republic Dyes began exporting nitric acid, smokeless gunpowder, NT**, phenol and
Picric acid**, according to the quotation of Republic Dyes, our price has certain advantages compared with British and French companies, but I don’t know why, but until now, we still have not been able to block the chemical products of foreign companies in our country and Asia.
Sales, what I know now is: If we don’t take advantage of the current opportunity to block the sales of chemical industrial products from European countries in Asia and even the Americas, then we must consider conducting a more costly war after the war.
business competition!"
"Enter a more costly business competition!"
Mu Xiang frowned slightly and repeated Fan Xudong's words.
"Yes, now, because the demand for chemical industrial products from the European participating countries has surged, chemical companies in various countries are producing at full capacity and are still unable to meet their needs. Under this contradiction between supply and demand, the prices of chemical industrial products are soaring·Enterprise
Profits surged accordingly. Taking the phenol produced by Republic Dyestuff as an example, the price surged five times in half a year, and the company's profits increased nearly seven times. Faced with such huge profits, chemical companies in various countries have expanded their production capacity, and at the same time, a large number of companies have transferred in.
Chemical production to meet market demand. However, once the war ends, there will inevitably be overcapacity. Chemical powerhouses such as Britain and Germany will inevitably dump at low prices to compete with our country's chemical companies. At that time, if our country's chemical companies
We cannot seize the current situation and try our best to seize market share in Asia and America. By then, the British and German chemical companies we will face will be able to monopolize the European and American markets and dump at low prices to suppress China's chemical industry!"
Fan Xudong's words surprised Mu Xiang. In his impression, Fan Xudong was not an expert in business, but he pointed it out this time. However, the company already had countermeasures for post-war dumping, so
It's tariff protection.
Seeing that Mu Xiang was still thinking, Fan Xudong immediately added.
"Indeed, Manager Mu, according to the speech made by the Economic and Strategic Envoy in Wuchang, if the Economic and Strategic Envoy becomes the Prime Minister, he can indeed implement tariff protection for my country's newly emerging industries including the chemical industry after the war by realizing tariff autonomy, but... …”
After a pause, Fan Xudong returned to the topic.//
"Unless we are willing to only control the Chinese market, we must consider the competition between British and German companies."
At this time, Fan Xudong was no longer just talking about the chemical industry, but also the competition in the entire business world.
When he said this, Mu Xiang realized that tariff protection only protected the domestic market. According to Zhiyuan's strategy of "exchanging industrial products for foreign exchange", China's industrial products must be exported. Only in this way can we exchange huge sums of money for them.
Foreign exchange is used to accelerate the industrialization of the country.
The basis of all this is to rely on the current "special wartime needs." The war has only broken out for seven months, but the profits of the companies affiliated to ** Company have exceeded the total of the past two years. Taking steel as an example, seven
The monthly price has doubled, which means that the profit has increased from 50% in the past to 1 now. Moreover, the price of steel is still soaring. According to the company's calculations, at the current soaring rate, by the end of the year, the steel company's production capacity will not only be
It can be doubled and the entire investment can be recovered.
It is based on such huge profits that the company will include the enterprises that were originally supposed to invest and build in the next two or three years into the construction schedule for this year and next. If this war goes according to Zhiyuan's prediction, if it continues for another three years, the company will definitely
The company can rely on its own strength to complete China's transformation into an industrial country, and can even obtain huge amounts of tens of billions of foreign exchange. With that money, the company can easily resist post-war dumping, and at the same time further improve the company's industrial system.
However, using funds to resist dumping is, to a certain extent, a tactic that kills eight hundred enemies and damages one thousand. But in the face of external pressure, sometimes this is the only way to do it.
"Indeed, with the company's financial resources, it can completely resist external dumping, but it cannot be changed by killing eight hundred enemies and losing one thousand. Manager Mu, isn't there a better way than this?"
Fan Xudong's rhetorical question made Mu Xiang's expression become extremely solemn. He cast his gaze out the window, and after thinking for a moment, he rhetorically asked.
"Why, does Mingjun have any good ideas?"
"Manager Mu, let me give you an example. Take the British company Benemen as an example. It has been monopolizing the soda ash market in China and Japan. After the war, its output was limited and it had to give priority to meeting domestic demand. Therefore, Japan's soda ash market supply
Affected, Wynn took this opportunity to enter the Japanese market and obtained 30% of the market share. In China, we obtained 758. However, now for Benemen Company, they are facing a sudden surge in the domestic market.
market, but it is undeniable that after the war, it is bound to make a comeback. Seeing that China’s own alkali-making enterprises have succeeded, they will not be willing to share the market with us. According to normal market rules, they will mobilize a team of
Large quantities of soda ash are dumped in the Asian market at low prices in an attempt to squeeze out Wynn."
"Um!"
Mu Xiang nodded. As a businessman, he would do the same thing if it were him.
"It's common sense."
“However, there is a huge gap in strength between Wynn Company and Bu Nei Men Company, and it is obvious that they cannot compete head-on.
If Wynn Company also lowers its price to sell its products, it won’t take long before Wynn Company loses all its strength. If it doesn’t lower its price, its products cannot be sold, its funds cannot be recovered, and production cannot proceed. It won’t take long for Wynn Company to go bankrupt!”
Fan Xudong only used Wynn as an example. Although Wynn now has the reputation of "China's second largest chemical company", it is far from being compared with Bu Nemen Company.
"This means killing eight hundred enemies and losing one thousand!"
While talking to himself, Mu Xiang's expression became more serious. Apart from tariff protection, the only way to deal with low-price dumping for the war was through bidding competition. This method was actually a competition to see who could win.
Whoever has more money can support them in the competition, and this competition means that the wealth accumulated during the war will be quickly lost in the process.
Therefore, compared with this, the company is more willing to put its hope in Zhiyuan's assumption of office as Prime Minister to implement tariff protection by taking back tariff rights to avoid low-price dumping from other countries.
"But, why, can't we change our thinking?"
Change your thinking?
Fan Xudong's words made Mu Xiang look at him. What should he think of differently?
"Competing to lower prices is to face the enemy head-on. In the Thirty-six Strategies, isn't it about surrounding Wei and rescuing Zhao?"
"Surround Wei and rescue Zhao?"
Frowning slightly, Mu Xiang murmured these four words and poured a cup of tea for Fan Xudong himself.
"——Come and have some tea first!"
At the same time, he took the opportunity to think about Fan Xudong's idea of besieging Wei and rescuing Zhao.
And drinking tea.
When he arrived, Fan Xudong glanced at his watch. It was a quarter to five o'clock. Since entering this office, he had been talking to Mu Xiang for almost two hours, and he was constantly steering the topic in the direction he needed.
.
"Still taking the Benemen Company as an example, as we all know, around the world, British and German companies in the chemical industry have monopolized more than 70% of the market!"
When giving examples, Fan Xudong still uses the industry he is most familiar with.
"Due to domestic demand and production capacity, the number of chemical products such as dyes that Benemen Company can export to the Americas is not very large. It can be said that the entire United States and the American market are definitely out of stock..."
"American market?"
Fan Xudong's words had already aroused a strong interest in Mu Xiang. Although he had some doubts in his heart, he did not interrupt his speech.
"Manager Mu, take phenol as an example. Phenol is a product of coal tar, and Britain's coal chemical technology is the world's leading, so 70% of the world's phenol is mostly imported from Britain. After Britain and Germany declared war, the British Parliament ordered the expropriation
Most of the domestic phenol is used to make trinitrophenol, which is picric acid**. The phenol exported to the United States suddenly decreased significantly..."
When he heard about phenol, Mu Xiang's lips slightly raised, and the reduction was 7%. When Fan Xudong explained, he said in his heart that the company had already started producing phenol before the war, and also purchased it in the international market.
Nearly 10,000 tons of phenol, due to the British expropriation, directly caused the supply and demand laws of the world phenol market to take effect. The price of phenol surged upwards. In August last year, it was 10 cents per pound, and in February this year, it rose to "".
, the company earned a net profit of more than ten million US dollars, and that money was turned into heavy machinery and equipment. Those equipment were ordered before the war. According to the current surge in steel prices, by the end of the year, the steel equipment alone will be worth
Almost equivalent to the original payment.
"The domestic supply of phenol in the United States has directly led to a long-term increase in phenol prices. At the same time, some companies have begun to try to build their own phenol synthesis plants. In addition to traditional chemical companies such as DuPont, Thomas Edison. In order to manufacture phonograph records
·Phenol is also needed, so he also plans to set up factories, but these companies will not start production until the end of the year."
When Mu Xiang nodded in agreement again and again poured a cup of tea for Fan Xudong, he glanced at him.
"But when the market in the United States is tight, what is being sold for the two thousand tons of phenol produced by Republic Dyestuffs every month?"
Fan Xudong suddenly changed the topic and asked:
"Before, I read an old newspaper. In the third year of the Republic of China, China imported one thousand tons of picric acid** from Britain!"
While putting down the tea cup, Fan Xudong cast his eyes on Mu Xiang.
"But in January of the fourth year of the Republic of China, we exported 1,500 tons of picric acid ** to the UK! Two thousand tons of phenol! It turns out that all the phenol we produced was sold to the British to make **!"
To be continued...