The rise of a great power: starting with military industry

Chapter 832 Dilemma (asking for monthly ticket)

Panshan Group Headquarters.

Liu Tao was holding the teacup and drinking tea.

Li Weimin was reporting the situation to Liu Tao, and his expression was very serious.

"Mr. Liu, Gree Home Appliances Group is now subject to the European and American Anti-Dumping Act. If this issue is not resolved, Gree Home Appliances Group will not be able to develop further." Li Weimin said in a deep voice, "At present, Zhu Jianghong does not know how to deal with this matter."

China Gree Home Appliances Group, which is affiliated to China Southwest Industrial Group Corporation, specializes in the research and development and production of home appliances.

From small items like electric fans, hair dryers, and electric kettles to large items like TVs, refrigerators, air conditioners, washing machines, etc.

There are more than 20 major home appliances.

China Gree Home Appliances Group is the absolute leading enterprise in China's home appliance field and a giant in the world's home appliance field.

Since its establishment, China Gree Home Appliances Group has developed very rapidly.

It provides a one-stop service including research and development, production, sales, and after-sales service. It has 15 production bases across the country, 40 brands, more than 100 subsidiaries, and over 15 employees.

China Gree Home Appliances Group has the technology, the industrial scale advantages, and the labor cost advantages.

Compared with the high prices of those old-fashioned home appliance manufacturers in the international market, China Gree Home Appliances Group has a very obvious cost advantage.

Gree does not have an international technological advantage, its labor and other manufacturing costs are high, and its aesthetics, performance, and energy saving are lagging behind. Faced with Gree's fierce momentum, international home appliance manufacturers have found it difficult to resist and have been scattered over the past decade.

At least hundreds of home appliance manufacturers have gone bankrupt in the past decade.

Products with the same price as Gree's home appliances cannot match Gree's product performance; products with the same performance as Gree's home appliances are much more expensive than Gree's.

This makes it difficult for international home appliance manufacturers to compete with Gree.

In the end, they will be subject to the anti-dumping laws of European and American countries just like the strong Chinese companies!
China Gree Home Appliances Group is not the first company under Panshan Group to encounter the anti-dumping laws of European and American countries. The first company to encounter the anti-dumping laws of European and American countries is Kinglong Computer.

Liu Tao took a sip of tea and felt calm. As early as when Kinglong Computer encountered the anti-dumping laws of European and American countries, Liu Tao was mentally prepared for this.

Free market, free trade, fair competition, market regulation, etc., these are just things made up by Europe and the United States to fool people.

It's funny that some people actually take it seriously.

What’s even more ridiculous is that these people are often university professors and industry experts.

I have to say, this is sad.

He has been cheated and doesn't even know it.

He is the type of person who is sold out and still helps others count money.

To be honest, these people are either stupid or evil!

There is no such thing as true fairness and freedom. In the final analysis, this is just an excuse for others to seize your market when they have an advantage.

"Tell Zhu Jianghong not to be too anxious and let the legal department handle the lawsuit." Liu Tao said slowly.

"How can I not be anxious? This accounts for the bulk of our revenue. If they do this, will it be useful to sue them?" Li Weimin smiled bitterly.

China Gree Home Appliances Group has an annual turnover of more than 2500 billion yuan, most of which is exported.

And more importantly, the turnover is still growing.

China Gree Home Appliances Group has very competitive products and high brand value.

In Li Weimin's opinion, since others have used this trick, there is no way he can win the lawsuit.

Liu Tao smiled faintly and said, "Whether we can win the lawsuit is one thing, and whether to fight it is another. We must make our attitude clear."

Liu Tao naturally knew that simply filing a lawsuit was useless.

But the lawsuit still has to go on.

Your attitude must be made clear, and then we can talk about it later.

If you don't make your attitude clear, people will think you are weak and can be bullied, and treat you as cattle and sheep that can be slaughtered at will. As for solving the problem, of course, it should be discussed in private.

"At the same time, you must also remember that the export market cannot just focus on the European and American markets. Southeast Asia, South Asia, the Middle East, Africa, and Latin America are all markets as well. Even if people cannot afford air conditioners, they can at least afford fans. You must actively expand markets in these regions." Liu Tao took this opportunity to reprimand Li Weimin.

It was too easy to make money by exporting to the European, American and Japanese markets, so we looked down on other places.

But you have to know that as long as you can make money, you can't be picky.

Besides, the market always needs to be cultivated, and it is impossible to always pick up ready-made ones.

Liu Tao is not afraid of the difficulties he is facing now.

Because time is on their side, they can outlast the European and American home appliance manufacturers by just hanging on.

The fundamental reason why European and American home appliance manufacturers are in their current predicament is not because of their competitor, Gree Home Appliances. Before the emergence of Gree Home Appliances, they were still beaten by Japanese home appliances.

Ultimately, it is the high labor costs and short working hours in Europe and the United States, the fact that young people do not want to work in factories, and energy and other issues make these home appliance manufacturers in Europe and the United States simply uncompetitive.

If they only sell in their own area, the unit price will be very high, which will cause inflation. If they want to sell abroad, their products will not be competitive at all compared with Gree.

In other words, European and American home appliance manufacturers are actually in a desperate situation.

The current commotion is nothing but a last-ditch struggle.

Liu Tao can survive with them for ten years, but the question is, can they survive for ten years?
Totally impossible!
Going bankrupt or being acquired by them is their only way out.

Over the years, China Gree Home Appliances Group has acquired many brands. Many of these brands may appear to be European, American or Japanese brands at first glance, but in fact, they are actually owned by China Gree Home Appliances Group.

Besides, if Liu Tao wants to avoid this, he has another way, which is to use Laos and Cambodia as a bathtub, put a brand on it and continue to do business, but it will be a little more troublesome.

Of course, this incident also made Liu Tao realize that the impact of Bush Sr.'s failure to be re-elected had caused the situation in the United States to get out of control.

There is no need to wait until January for Clinton to officially take office.

Otherwise, the incident with Gree Appliances would not be so abrupt.

"Tell Zhu Jianghong to sue them in a big way and don't be afraid of spending money," said Liu Tao.

If we have to fight the lawsuit, it doesn't matter if it takes a year or two.

We also need to do public relations in the media and put pressure on some people.

He believed that this kind of thing would not last long.

Because in Europe and the United States, Gree home appliances are not all owned by Gree itself, but mainly by dealers. Those dealers invest a lot of money to set up exclusive stores and chain stores. Now that Europe and the United States are doing this, the interests of these dealers will be damaged.

These dealers may not be significant individually, but once they unite, their power is considerable.

Besides, it’s not like he doesn’t have countermeasures.

His countermeasures will also cause headaches for Europe and the United States.

The European currency crisis just passed not long ago.

The United States currently has a trade surplus with China. If this really happens, it will be a headache for the United States itself.

Liu Tao was mentally prepared for the increasing number of things that happened over the years.

Even canned fruits and canned meat are subject to anti-dumping laws, as are shoes, socks, etc., not to mention home appliances with higher added value.

It's just the shipbuilding industry, as orders are placed by shipping companies and shipyards. Otherwise, China's shipyards might also encounter anti-dumping laws.

Afterwards, Liu Tao asked his secretary to come in and call the head of the legal department over.

Over the years, Panshan Group has established a fairly large legal team.

As the saying goes, "Train your troops for a thousand days and deploy them for a moment" refers to this time.

(End of this chapter)