Go back in time and be a chaebol

Chapter 1604: Bleeding Da Piaoliang (Second update, please subscribe)

Eliminate Boeing!

On the surface, this seems absolutely wishful thinking, because the United States will definitely support Boeing to ensure that the U.S. aviation industry is not destroyed.

But after entering the 1970s, Boeing did not have an easy time.

Shortly after the Boeing 747 went into production, sales were very poor. With the end of the Vietnam War, Boeing, which used to be an important member of the military-industrial group, also lost the war dividends.

The civilian market was sluggish, and there was no demand in the military market. Boeing was almost on the verge of bankruptcy. This was the era when Boeing accounted for half of Seattle's economy, and there was no Amazon or Starbucks. Some people put up a large sign on the streets of Seattle: "The last person to leave Seattle, please turn off the lights", implying that Boeing was finished, and Seattle was finished too.

However, Boeing soon came back to life with the 747.

As the largest aircraft in the world, the Boeing 747 has become the face of many airlines and even countries, flying exclusively on key routes.

The Boeing 747 put Boeing on the throne of the civil aviation world, and Boeing has since gone from victory to victory until Airbus emerged as a dark horse.

However, this is not important. What is important is that when Boeing first rose to prominence with the 747, the market did not recognize this aircraft.

If there is an aircraft that is more fuel-efficient and has a similar passenger capacity, will those airlines still choose Boeing?
Therefore, it is completely meaningless to avoid Boeing and compete with him with the same product.

Only by using better products can Boeing be forced into a desperate situation!

"Your Excellency, this..."

Zhang Zeyuan thought for a moment and said:
"The most critical question is still Washington... Will Washington just sit there and watch Boeing go down the drain?"

Then, he said:
"Although I don't know what Washington's attitude will be, if AVIC needs assistance in the face of life and death, I will definitely support providing it with assistance. After all, AVIC is the backbone of our industry, and any responsible government will not condone it to go to desperate situations."

"You are absolutely right. Washington will certainly not sit idly by and watch Boeing go bankrupt."

Nodding, Li Yian chuckled and said:
"But this is not important. What is important is to grab market share. After Boeing is hit hard, what is the point of Washington's support?"

The competition between countries has always been a long process. During this long competition, the attack is ongoing, and through the continuous accumulation of victories, strategic victory can eventually be achieved.

Now...it's just pushing Boeing into a dead end!

This requires patience and time, both of which Li Yian has in abundance, and neither does Borneo Aerospace Industries.

"Sir, you mean to bleed slowly, right?"

"Yes, they will slowly bleed Boeing, severely damage it with one aircraft, and then further squeeze out the market. In the end, they may not give up the market, but they will definitely lose their dominant position in the market. Over time, Boeing will go from a goose that lays golden eggs to an old hen that lays no eggs. In the end, even if Washington helps them with aid, they can only barely maintain their operations and will no longer be able to put pressure on us like they do now."

Just like General Motors in another world, after the new century, General Motors, which was still big and immortal, relied on the aid from Washington to maintain its status as a big and immortal company, but that was all.

"Great but not dead..."

Li Yian smiled and said:

"If we can achieve this goal, we can basically occupy a major share of the aviation manufacturing industry, and there are other opportunities in the aviation industry!"

Looking at the rejected report in front of him, Li Yian thought of another business - disassembly!
"Other opportunities?"

"Yes, aircraft dismantling is also a very good market..."

This reminded me of a news story I had read before - after retiring, China Southern Airlines' A380 flew to the Mojave Aircraft Cemetery in the United States. It is not only an important base for American aerospace repair and maintenance, but has also provided professional and mature aircraft storage and disassembly services to major airline customers around the world for many years.

When an airplane reaches its scrap age, just like the car we buy, it needs to be dismantled at a designated location and cannot be dismantled privately.

This requires the aircraft to be dismantled in an aircraft graveyard, and there are only five such aircraft graveyards in the world.

The Mojave Aircraft Cemetery is the world's largest, most comprehensive and professional storage site for retired aircraft, and was designated by the International Air Traffic Control Association as a storage site for retired aircraft.

"Aircraft also have a lifespan. Right now, it seems that there is no such business! Now the dismantling is done in a barbaric and rough manner, directly dismantling the aircraft and melting it into aluminum. So, we can establish a modern dismantling process."

“Modernized dismantling?”

“Yes, it is modern dismantling. When the aircraft is ready to be dismantled, a professional team will start working and separate the aircraft into different parts. Valuable parts such as engines, avionics systems, and even seats and interiors will be carefully removed.

Especially the engine, which is the most valuable part of the aircraft. As the life of the engine gets longer and longer, when the aircraft is phased out, the life of the engine may still be considerable, so it will also have a high value in the second-hand market. "

While talking about the dismantling business, Li Yian also mentioned "industry barriers".

Three hundred and sixty lines, the best.

Every industry has its winners, and where there are winners there are losers. It is almost impossible for there to be winners all the time.

How do you ensure that you are always a winner?
"We can achieve this goal by setting up industry barriers. For example, we can set up a certification agency for the aircraft dismantling industry. Only parts that have passed the certification of the agency can flow into the second-hand aircraft market. Otherwise, even at a very low price, outsiders would not dare to risk their lives to buy them.

In this way, even if the dismantled parts from some countries meet their requirements, their dismantled parts will not be able to enter the market.

We can use these technical barriers to prevent other countries from becoming the rule-makers in the field of aircraft disassembly.”

Zhang Zeyuan immediately thought of issues such as the formulation of jet aircraft standards, which were all based on the standards set by the SEA Aviation Administration. The reason was simple: SEA was the first to launch jet passenger aircraft and put them on the market, so the market standards were of course set by SEA.

"Sir, this is the greatest advantage of your first-mover advantage!"

Li Yian nodded and said.

“Yes, the biggest advantage of the first-mover advantage is to set standards, and the same is true in the aircraft dismantling industry. Of course, this industry is very complicated. There is a whole industry chain of storing aircraft, dismantling aircraft and trading parts.

This is not something that can be solved by simply finding a piece of flat land. It relies more on our advanced capabilities in aeronautical engineering, technical maintenance and material science.”

After thinking for a while, Zhang Zeyuan said:
"Sir, where should this dismantling center be located?"

“Musandam!”

Li Yian said without hesitation:
"The environment of the dismantling center is very important. The aircraft dismantling site requires a large flat space to store multiple aircraft and facilitate the movement and dismantling of aircraft. Then, there must be a dry climate.

This reduces the risk of rust and corrosion on metal parts of the aircraft, especially for aircraft that may be stored for long periods of time before being dismantled.”

In another world, the American aircraft graveyard is in the desert. The most suitable place in the sea is Musandam.

Originally, Li Yian only had a general supportive attitude towards the airlines' desire to build an aviation hub there, but now, after linking the two together, his attitude has changed and he has given full support.

After all, what he saw was not only the commercial benefits, but also the long-term benefits.

"Musandam has very little annual rainfall, and airlines will build it into an aviation hub in the future. In this way, it is not only convenient for transportation, but also close to major aviation centers and supply chains, which is convenient for future maintenance. In these aspects, there is no place more suitable than there, and..."

Li Yian smiled and said:

“Establishing an aircraft dismantling industry locally can not only bring in hundreds of millions of dollars in revenue each year, but also provide tens of thousands of jobs. From this point of view, it is very beneficial to the next development of Musonda.

After all, in addition to the consumer entertainment industry, Musandam still needs some industrial pillars. Well, the aircraft dismantling industry can almost be regarded as a pillar industry."

In fact, Li Yian has always been troubled by the development of overseas territories with a lease period of only 99 years. How can he make those lands his own forever?

The best way is to ensure that the local population are all our own people, develop industries, increase the population, and make the land our own.

In this way, even after 99 years, there will be no impact.

As long as the local people are all our own people, after the 99-year lease, it will be a matter of ownership voting.

Finally, they will definitely choose sea!

However, if you want to increase the local population, you must have suitable industries. If there are no suitable industries, how can the overseas territories attract people to work and live locally?

Now, although the aircraft dismantling industry cannot be said to be a lucrative industry, it can provide tens of thousands of jobs and drive tens of thousands of jobs. Even at the national level, it is very considerable. As for Musandam, it is naturally a pillar industry.

With this pillar industry, in the future, at least hundreds of thousands of people can be attracted to immigrate there and settle down there.

And then, the only question is... where will the immigrants come from?
(End of this chapter)