Restarting life in Siheyuan

Zhu Xuefeng has already walked out of the shadow of the failed negotiations. One has to adapt to the environment. In Hong Kong, his Dongsheng Company is still not influential enough. He originally wanted to expand his voice by providing employment for thousands of people, but who knew that others didn't give him any chance at all.

Now, if we leave the motorcycle assembly plant aside, the total number of employees of Dongsheng Company is less than 2,000, which is not too small. However, compared with Hong Kong's population of 3 million, its influence is indeed limited, and most industries are not Hong Kong's main development direction.

"By the way, arrange for someone to talk to the Beijing Machinery Factory about the materials for the precision equipment I showed you last night. If the negotiation fails, go to Germany and Fuso and buy them back as long as they meet my requirements. It seems that we have to build the motorcycle factory ourselves. The production capacity of the steel mill can only be given away to the Fuso people for free."

Zhu Xuefeng was speechless about Honda, which had stolen his technology. He really wanted to fly over, empty out the company's factory, and take revenge. It took him several days to suppress this impulse.

"Okay, there happens to be a reserved area in the industrial park where we can build a factory."

Wu Qianqian had this plan long ago and reserved some land at that time. She knew that other factories would be built one after another, so she decided to occupy the land first.

After returning to Clearwater Bay, the two men carefully considered the various aspects of collaboration involved in building a motorcycle factory. They finally planned to design the factory building next month and then start construction, aiming to have the equipment in place after the new year and launch the first batch of products by the middle of next year.

"We need to step up our relationship with the Hong Kong Polytechnic Institute (the predecessor of Hong Kong Polytechnic University). Since we are going to build cars, we need to recruit talents in this field as soon as possible."

Wu Qianqian advocated building her own factory at that time, so she specifically visited this school and paid attention to several laboratories with potential for cooperation. It was a pity that the plan was rejected. This time, she finally spoke up and said with confidence.

"Master, rest assured, leave all of this to me. There will be no problem. Besides, we set up scholarships for them last year. Our company has a good reputation in this school, so we will definitely be able to recruit people."

Seeing Wu Qianqian's confidence, Zhu Xuefeng smiled and said, "That's good. I will only provide the drawings and you can figure out the rest."

Wu Qianqian blushed all of a sudden, "Master, I just said that I'm still in contact with them, I didn't say I can help run the factory. This factory still needs someone to manage it, I can't do it, I don't understand this, it's too late to learn now."

Zhu Xuefeng stopped joking and gave a serious reminder.

"There must be a lot of talents like this in Hong Kong. We can use the money to recruit them. If they are not suitable, we can replace them. I don't have the time and energy to deal with this. The special steel and special cast iron we need can be purchased directly from the steel mill. If that doesn't work, we can purchase them from the steel mills in Guangzhou. This shouldn't be a problem for you, right?"

Wu Qianqian tilted her head and thought for a while, "This problem should not be a big one, but it would be great if we had our own steel plant. I always feel uneasy asking for help from others. Besides, if the shipyard really has a turnaround, we will need a lot of steel and cast iron. Shipyards, docks, motorcycles, and real estate companies all need a lot of them. According to the current domestic demand for steel, it may not be able to meet our needs."

The country is undergoing large-scale construction and development, and the demand for steel is constantly increasing. It is indeed impossible to export steel on a large scale, even if it is to earn foreign exchange. We cannot stop domestic development in order to earn foreign exchange. This would be putting the cart before the horse.

Therefore, Zhu Xuefeng was very satisfied with Wu Qianqian's analysis. "Although it is impossible for us to get involved in every industry, you are right this time. We originally planned to get steel from the autonomous region. Now the steel mills there have started production. Unfortunately, the port will not be solved in one or two years. If it doesn't work, we can import from South Asia."

Now, only Tata Company in South Asia exports a large amount of steel. Although Zhu Xuefeng does not want to deal with them, he has no choice. He cannot directly bring iron ore from Australia for smelting. The iron ore in Australia is of good quality, but few people are mining it now. That damn place is vast and sparsely populated, with no human habitation for hundreds of kilometers. It will take decades for real large-scale mining to take place.

In the study of the villa in Repulse Bay, Zhu Xuefeng had been talking for a long time with the visiting Mr. Hu. Wu Qianqian was serving tea on the side, taking notes from time to time, but not interrupting. She obviously put herself in the position of a secretary, which made Hu Yuhang feel a little uneasy. Wu Qianqian's position was very clear. In the past two months, Hong Kong's major newspapers, tabloids and television had been reporting that she was the president and CEO of China Eastern Airlines and controlled many large companies, but now she was serving herself and the man in front of her.

He was also impressed by the knowledge of the young man in front of him. It seemed that there was nothing he didn't know about the electronics industry. From the principles and characteristics of components to the production and manufacturing links, he seemed to know it all. What was even more surprising was his judgment on the development direction of the electronics industry.

"Mr. Hu, please have some tea. You're welcome. Let's continue discussing the development prospects of the electronics industry."

Mr. Hu is not too old, about thirty-five or thirty-six, which is an age full of energy. Unfortunately, he must have been a little discouraged by Sony's price increase strategy. He looks unhealthy, but his eyes are still determined.

Sony's price increase caught these small processing factories off guard. Their profits were not high to begin with, and their hard-earned original accumulation was interrupted by Sony's restrictive measures. Other electronics factories in Fuso were even more determined. They did not provide components at all, and purchasing from Europe resulted in even less guaranteed profits.

Mr. Hu and his partners' idea was to carry out primitive accumulation first and then go deeper into the front end of the electronics industry. Now their plan has been completely disrupted. Fortunately, Dongsheng Company extended an olive branch in time. Miss Wu's vision for the electronics industry also made Mr. Hu and his partners excited. It turned out that Dongsheng Company's appetite was much bigger than theirs and it thought further.

Assembling radios does require little investment and has a high output, but there is no other way. Once the price of raw materials goes up, these small factories that only process materials supplied by other companies will have no room to exist. Dongsheng Company has provided a way out, and Dongsheng's development plan for the electronics industry is also in line with Mr. Hu's wishes, which led to this meeting.

Mr. Hu was very strict with himself. His suit showed that he attached great importance to this meeting. He should have good self-control as he remained calm during the communication.

"Mr. Hu, I have said everything I need to say. I am optimistic about the development of the electronics industry. Our company is also preparing to expand in this field. Qianqian has talked to you about this. I wonder if you still have any concerns."

Mr. Hu's name is Hu Yuhang. He is obviously a businessman, but he looks more like a researcher. He wears gold-rimmed glasses, has a clean mouth, and a thin body. He has the temperament that is more in line with that of a professor at a mainland university.

He learned electronic technology in his early years and stayed in North America for a few years. He gained a lot of experience and worked in radio assembly for two years. He still had the demeanor of a scholarly businessman.

"Mr. Zhu, I am very much looking forward to what you said becoming a reality. If it can be realized, it will definitely be a great cause. I have to admit that your foresight makes us somewhat unable to keep up with your thinking."

Zhu Xuefeng just smiled and did not interrupt Hu Yuhang. He knew the future development direction very well. He could recall the production details and process requirements of many basic components with his eyes closed. He also knew clearly where the breakthrough points of key technologies were. Although he did not understand all the technologies, he was more than capable of pointing out the direction.

"Mr. Zhu, I agree with your idea of ​​continuing to strengthen research in the application field and forcing the development of the front-end basic electronic components industry. After accumulating certain technology and funds, we will choose the right time to enter a certain field. In fact, my partners and I originally thought so, but our capital is too small and the initial accumulation takes too long. Moreover, as you know, we are in big trouble now, but we have also trained some people in this industry, so basic design and research can still be carried out."

"You are a caring person. I have heard that you have a passionate ideal of serving the country through industry. This is also the prerequisite for our company to contact you. Facts have proved that you are doing a good job. If you can cooperate with Dongsheng Company and join forces, I firmly believe that what we have just envisioned will come true."

Although it is unclear why Mr. Hu remained unknown in the electronics industry in later generations, Zhu Xuefeng still admired his courage to risk everything to enter the electronics industry for his ideals. It is also possible that the Sony crisis completely wiped him out in the long river of history. This time is different.

"You go on, it's okay, we are just talking and communicating, don't treat it as a business negotiation."

Hu Yuhang had an illusion that he was not communicating with a young big boss, but rather with an elder in the electronics industry. The other party was always giving guidance, while he seemed like a junior, always learning from experience and lessons. This is what it means to be the wise first. He was very surprised why the young boss had such a clear understanding of the electronics industry, as if the development of the next few decades was all in his mind. He calmed himself, drove away the weird thoughts, and reorganized his words.

"Mr. Zhu, I have some understanding of these household appliances you mentioned. In recent years, I have spent most of my energy on expanding the market and designing new products. It was only after listening to Miss Wu's advice that I made a special investigation into Hong Kong's electrical appliance industry. To be honest, for us, the investment is too large and we are not able to get involved. Without Dongsheng Company's intervention, we would not be able to get involved in the manufacturing of these household appliances." This is also the reason why Hu Yuhang and his friends chose Sony to process radios, with small investment and fast output.

"Mr. Hu, I don't know if you have heard that the technology in the electronics industry is developing very rapidly. There will be a technological innovation every once in a while. Companies that want to rely on Fuso and continue to engage in processing imported materials will not go far. Competition will only become more and more fierce. Many processing plants will go bankrupt for various reasons, and finally they can only rely on Sony, the source. This crisis is a typical example."

Hu Yuhang understood this point well, but he had no background in the component industry, and he lacked the financial resources and technology. Mr. Zhu's words made him confused. He hadn't heard that he was going to enter the basic component industry immediately, but now he was mentioning this again. Did Dongsheng Company want to get involved in the production of basic components now?
"You want to invest in the production of transistors and other basic components?"

Hu Yuhang was knowledgeable. He originally wanted to enter this industry, so he traveled thousands of miles to North America and stayed there for several years. However, the more he learned, the more discouraged he became. This investment was simply not something he could hope for. Unwilling to give up, he found a few more friends and decided to start with the simple. This is how he ended up with a radio factory that represented Sony electronic components and did processing for it.

"No, no, no, we don't have the ability to get involved in this business right now. There are too many aspects involved. Maybe what I said has caused you to misunderstand. My original intention is to rely on these component manufacturers to speed up the research and development of our own new products. We can't just limit ourselves to simple processing of supplied materials."

"But, Mr. Zhu, the radios we produce are indeed simply developed and designed. Although the several electrical appliances you just described are indeed much more complicated, in the final analysis, we still have to rely on these factories and cannot get rid of our dependence on them. As long as they put a chokehold on us, it will be the same in the future."

Hu Yuhang has suffered greatly this time. Deeper development can indeed have a certain inhibitory effect on this situation, but it is still impossible to fundamentally get rid of this unfavorable situation.

"Mr. Hu, you are overthinking it. If a product is completely dependent on one manufacturer like it is now, there is really no way. What if I choose different products and involve many manufacturers? Even a factory like Sony cannot produce all the components of the products produced? Will they be unable to strangle us and can only cooperate passively? They can't produce the products we design by themselves, so what can they use to compete with us? Besides, I think Qianqian should have talked to you about our goal of turning to the domestic market. When the time comes to cooperate with the domestic market, these will no longer be a problem."

Mr. Hu had certainly heard that Dongsheng Company had turned its attention to domestic cooperation, but he was not clear about the progress at hand, nor was he clear about the current development status of the domestic electronics industry. Domestic communication with the outside world is still very unsmooth, and it is difficult to achieve timely technical exchanges. The Canton Fair is an important display window, but unfortunately, as a processing plant, Hu Yuhang has no purchasing needs and has never participated.

“Can it be done in China now?”

"Of course, they did it before. This time they even released a new product according to our company's requirements. I'll show it to you."

Zhu Xuefeng took out an exquisite radio, which was extremely beautiful in appearance, small and exquisite, but the sound quality was clearer, and even the antenna was extremely beautiful.

"This is a sample we produced using new components. What do you think? It's much better than Sony's current ones, right? You can open the battery cover and take a look. Even the battery inside is newly developed. The power and usage time are more than three times that of ordinary batteries. It can also be recharged multiple times. The charging frequency in front should be able to reach 3,200 times, which is more than enough."

After more than a year, domestic research and development has made great progress. The performance of some components has exceeded Zhu Xuefeng's expectations. Even the battery research, which has been dormant for a long time, has made great progress. Now the research on small rechargeable batteries has been successful. The two No. 5 batteries used in this radio are the latest achievement.

Hu Yuhang's eyes sparkled as he stared at the radio in front of him, muttering to himself.

"It's so beautiful! It completely outshines my daily radio. Hahahahahaha, is the technology in our country so advanced now? It's amazing!"

It can be seen that Hu Yuhang is genuinely excited about the progress of the country. Zhu Xuefeng is very satisfied. As expected, his passion is still there and he can still be proud of the motherland. People like this must be taken down.

"Mr. Zhu, as far as I know, domestic electronics factories didn't seem to have this level before. Last year, I took apart the radio in Shanghai and tested the components inside. The performance was not as good as Sony's."

Hu Yuhang calmed down quickly. This effect was beyond his understanding, and he couldn't help but ask questions.

Faced with Hu Yuhang's doubts, Zhu Xuefeng did not hide anything and explained with a smile.

"Over the past year or so, China has also made rapid progress, and many research groups have been formed to tackle this problem. You may not know how many talented people there are in China, but as long as they want, there is nothing they can't do. The radio in front of you, including the battery, is all newly developed in China. This is a fact and also the heritage of a country."

"Yes, China is a great country with many talented people and smart people. These things should not be difficult for them."

Hu Yuhang was distracted for a moment, and Zhu Xuefeng noticed it. Since the time was right, he asked in a formal manner.

"Mr. Hu, excuse me, I want to ask you a very personal question, is that okay?"

Hu Yuhang turned his attention away from the exquisite radio in surprise, sat up straight, and looked very formal. "Ask."

"I want to ask, do you consider yourself a Hong Konger, a Britisher, or a Chinese?"

Hu Yuhang didn't expect this to be a question. He thought it was an invitation to join, and suddenly became very serious. "Although I am a Hong Konger now, I am a Chinese. My ancestors have been Chinese for generations, and this will not change for my descendants."

"Well said. Since we are all Chinese, why don't we take the initiative to strengthen our ties with the mainland? With the motherland as our backing, Sony's little tricks are nothing."

"Yes, but unfortunately we can't contact the mainland. I suggested visiting the radio factory in Shanghai, but there was no response at all."

It seems that Hu Yuhang really thought about finding a substitute in China, and finally had to turn to Europe. Zhu Xuefeng was very satisfied with Hu Yuhang's identity confession just now.

"As you can see, our Dongsheng Company now has a very good cooperative relationship with the electronics factories in the mainland. Our new generation of radios has been finalized and is ready for mass production. We have replaced all the components of Sony. Although the cost is a little higher now, you are also an expert. It is reasonable for me to sell radios of this quality at a higher price."

"That's reasonable. As long as the quality is good and the appearance is classic, it will be sold out even if it's several times more expensive. That's how white people are. If you sell it too cheap, they won't even look at it."

Zhu Xuefeng also has a deep understanding of this point. Among Bai Lao's selection criteria, price is not the first priority. High-end, luxurious, expensive, rare, quality, etc. are all ranked before price.

"Mr. Hu, it seems that you have a good understanding of the European and North American markets. As I said before, Dongsheng Company has decided to rely on the motherland to develop the Hong Kong electronics industry and let the domestic and Hong Kong electronics grow together. Are you interested in adding a pound?"

(End of this chapter)