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Chapter 350 Ambition(1/2)

"Then, why can't Republic merge with Wynn!"

When the voice fell, there was no mockery on Mu Xiangyue's face, but she smiled kindly at Fan Xudong.

"because……"

After thinking for a moment, Fan Xudongfang spoke.

"I am confident that the merged Gonghe Chemical will be turned into a huge chemical industry empire."

At this time, Fan Xudong has understood that if he wants to persuade the company to accept his suggestion, he must start from what they are interested in. For the company, what is of most interest 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 pensions. 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 Xiangyue's brows twitched slightly, and she seemed to be somewhat interested in Fan Xudong's statement.

"Manager Mu, look, these are some reports I prepared, and I accidentally discovered this one. Six months ago, Republic Dyes began exporting nitric acid, smokeless gunpowder, explosives, phenol and picric acid to the United Kingdom, France, and Russia.

Explosives, according to the quotation of Republic Dyestuffs, our prices have certain advantages compared with those of British and French companies, but I don’t know why, but until now, we have still not been able to block the sales of chemical products by foreign companies in our country and Asia. Now

What I know is: If we do not use the current opportunity to block the sales of chemical industrial products from European countries in Asia and even the Americas, then we must consider a more costly commercial competition after the war.

!”

"Enter a more costly business competition!"

Mu Xiangyue 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. Enterprises

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 compete with our country's chemical companies with low-price dumping. 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 the Americas. By then, the British and German chemical companies we will face will be able to monopolize the European and American markets, dump at low prices, and suppress our country's chemical industry!"

Fan Xudong's words surprised Mu Xiangyue. 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.

That is tariff protection.

Seeing that Mu Xiangyue 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 slight 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 no longer just mentioned the chemical industry, but also mentioned the competition in the entire business world. When he said this, Mu Xiangyue realized that tariff protection only protected the domestic market, and according to Zhiyuan's regulations

According to the "exchange industrial products for foreign exchange" strategy, China's industrial products must be exported. Only in this way can it exchange for huge amounts of foreign exchange, which can be used to accelerate the country's industrialization.

The basis of all this is to rely on the current "special wartime needs." The war has only started seven months ago, but the profits of the companies owned by * Company have exceeded the total of the past two years. Taking steel as an example, seven months

Prices have doubled during the period, which means that profits have increased from 50% in the past to 150% now. Moreover, steel prices are 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 be able to

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 killing eight hundred enemies and losing one thousand oneself cannot be changed. Manager Mu, isn't there a better way than this?"

Fan Xudong's rhetorical question made Mu Xiangyue's expression become extremely solemn. He cast his gaze out the window, and after thinking for a moment, he asked in return.

"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 restricted 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 75%. However, now for Benemen Company, they are facing a sudden surge.

domestic market, but it is undeniable that after the war, it will definitely come back. Seeing that China’s own alkali-making enterprises have succeeded, they will definitely not be willing to share the market with us. According to normal market rules, they will mobilize

A large amount of soda ash was dumped in the Asian market at low prices in an attempt to squeeze out Wynn."

"Um!"

Mu Xiangyue nodded. As a businessman, he would do the same thing if it were him.

"This is common sense."

"However, there is a huge difference in strength between Wynn Company and Bu Nei Men Company, and it is obviously impossible to compete head-on with them. If Wynn Company also sells products at a lower price, it will not take long before the strength is completely lost; if the price is not lowered, the products cannot be sold, and the funds will be lost.

It cannot be recovered, production cannot be carried out, and it won’t take long for Wynn Company to go bankrupt!”

Fan Xudong will only use Wynn as an example. Although Wynn now has the reputation of "China's second largest chemical company", it is far from being comparable to Bu Nemen Company.

"This means killing eight hundred enemies and losing one thousand!"

While talking to himself, Mu Xiangyue's expression became more serious. Apart from tariff protection, the only way to dump war at low prices was through bidding competition.

Whoever has more money can be supported 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 Xiangyue look at him and ask him to change his mind.

"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?"

With her brows slightly furrowed, Mu Xiangyue murmured these four words and poured a cup of tea for Fan Xudong herself.

"——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.

While drinking tea, Fan Xudong glanced at his watch. It was a quarter to five. Since entering this office, he had been talking to Mu Xiangyue for almost two hours, and he was constantly changing the subject towards what he wanted.

Lead in the required direction.

"Still taking Benemen Company as an example. As we all know, British and German companies in the chemical industry have monopolized more than 70% of the market worldwide!"

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 Xiangyue. 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 explosive. The phenol exported to the United States suddenly decreased significantly..."

Hearing phenol, Mu Xiangyue's lips raised slightly, and the reduction was 75%. When Fan Xudong explained, he said in his heart that the company had already started producing phenol before the war, and was also purchasing it in the international market.

Nearly 10,000 tons of phenol were purchased. Due to the British expropriation, the supply and demand laws of the world phenol market were directly affected. The price of phenol surged upwards. In August last year, it was 10 cents per pound, and in February this year it rose to 1.25 US dollars. It can be said that

From this alone, the company earned more than 10 million US dollars in net profit, and that money was turned into heavy machinery and equipment. Those equipment were ordered before the war. With the current surge in steel prices, by the end of the year, those equipment orders will be

It's steel, and it's almost equivalent to the original payment.

"The domestic supply of phenol in the United States has directly led to a long-term increase in the price of phenol. 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

, also needs phenol, so he also plans to set up factories, but these companies will eventually have to wait until the end of the year to put into production."

When Mu Xiangyue 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,

"I once read an old newspaper before. In the third year of the Republic of China, China imported one thousand tons of picric acid explosives from Britain!"

While putting down the tea cup, Fan Xudong cast his eyes on Mu Xiangyue.

"But in January of the fourth year of the Republic of China, we exported 1,500 tons of picric acid explosives to the UK! Two thousand tons of phenol! It turns out that all the phenol we produced was sold to the British to make explosives!"

"The profits from dynamite are huge!"
To be continued...
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