Return to 88: Starting from Marrying My Sister-in-law

The night in the hillside of Shenzhen settles down after the noisy banquet.

The sea breeze, carrying a salty, damp scent, drifted through the open glass doors of the terrace, dispelling the lingering smells of alcohol and perfume inside, but it could not dispel the turbulent emotions churning in Zhang Ruimin's heart.

Lu Yang's cautionary words about the "great way" and the "lesser way," the "technique" and the "core" were like a boulder thrown into a deep pool, stirring up a thousand waves in his mind, echoing repeatedly, and resounding loudly.

At this moment, he had returned to the luxurious room that Lu Yang had arranged for him.

Outside the huge floor-to-ceiling windows, the harbor night view remained dazzling yet tranquil; inside, however, only the heavy pacing of his own footsteps could be heard.

“100% domestically made…from screws to chips…” Zhang Ruimin muttered to himself, his fingers unconsciously tapping on the cold glass window.

By the first half of the dinner, the excitement brought by the ingenious idea of ​​the "sweet potato washing machine" had cooled down and been replaced by a deeper and more urgent sense of mission.

Lu Yang's gaze, the "unquestionable and unwavering light" shining in his deep eyes, pierced through his inherent mindset as a business leader like a searchlight.

"Yes... Functional innovation is clever, it's icing on the cake. Without core technology, it's ultimately just a rootless plant, a castle in the air!"

He suddenly stopped and turned to look at the center of the room.

On the coffee table, the "Strategic Symbiotic Framework Agreement" with which the preliminary agreement had been signed lay quietly. At this moment, in his eyes, it had become heavier than ever before, and its significance had transcended simple channel cooperation and capital alliance.

This agreement may be Haier's ticket to becoming a "world-class great company"!

Lu Yang, this young leader of the century, not only paved the way for Haier in terms of channels, but also pointed out the direction for Haier for the next twenty years with the sharpest vision: independent core technology and functional innovation as a supplement!

An unprecedented mix of passion and pressure surged into his heart, keeping him wide awake.

He strode to the bedside, grabbed the landline phone, and without hesitation dialed the dedicated line to the Haier Brothers headquarters in Qingdao. His voice was slightly hoarse with excitement, yet it carried an undeniable decisiveness:
"It's me, Zhang Ruimin."

"Listen up, immediately notify the head of the R&D center, the director of the product planning department, and Mr. Wang from the strategic investment department. We'll have an emergency conference call in half an hour!"

"...Yes, it's 1 a.m. Shenzhen time now!"

He took a deep breath, quickly processing Lu Yang's advice and his own decision in his mind:
"The conference has only one theme: Haier's technological strategic transformation for the next ten years!"
Two-pronged approach: First, short-term blitzes!
Immediately launch the "Big Sweet Potato Cleaning" function project. The core of it is the "coarse/fine drain pipe switching" technology that General Manager Lu mentioned. The project name will be "Big Sweet Potato Series"!
The marketing department should get involved as well, and we should put this name into use!

In addition, feasibility studies for niche categories such as "butter churn washing machine" and "lobster washing machine" were immediately launched, with the design department first producing conceptual designs!
I want to see the engineering prototype of the 'Big Sweet Potato' within three months!

These are what will help us generate revenue and build momentum!

He paused, his tone suddenly becoming more solemn, as if declaring a weighty mission:
"Secondly, the core of long-term investment!"

Code name... let's call it 'Project Rock'!
I will personally take command!

Target: four major appliances: washing machine, refrigerator, air conditioner, and color TV.

Core components: compressor, motor, control chip, display panel!
Give me a list, and I'll go through them one by one!

The goal is to achieve 100% domestic substitution!
Don't be afraid of spending money, don't be afraid of the time it takes!

This is the foundation for Haier's future ability to truly stand tall!
I need to assemble the most elite R&D team and establish a special task force. Tomorrow... no, before dawn today, I need to see a preliminary team list and budget requirements framework!
Remember, this is the lifeline of Haier for the next twenty years!

……

2 points in the early hours.

Even after hanging up the phone, Zhang Ruimin was still filled with emotion.

He walked to the window and looked once again at the deep night sky and the brightly lit city of Shenzhen.

The agreement is just a framework. The east wind is ready, but whether it can truly set sail and go far depends on the next crucial step: implementation!

As previously agreed upon with President Lu.

The next two days.

Right there at the Century Building, the negotiation team led by Wei Shu, president of the Century Group, will engage in a fierce battle with the Haier Brothers team over the specific terms of the framework agreement.

The AB share structure, the depth of joint technology research, the valuation of equity investment and payment methods... every detail will profoundly affect how much support and resources the "Rock Solid Plan" can obtain from the Century System.

At the same time, he keenly realized that the news of Century's strategic alliance with Haier Brothers was probably already brewing in the undercurrents of the capital market.

Just don't know.

What kind of impact will this have on the alliance of Li Zekai, Lianxiang, and Dazhong, who are eyeing it covetously?
Oh, and there's also Hong Kong. The financial markets have been abuzz lately. It's said that this Mr. Lu is secretly competing with George Soros of the Quantum Fund. He dares to provoke even such an international financial giant.

A complex smile appeared on Zhang Ruimin's lips. This young ally saw far more than just Haier; he saw the tumultuous wave of upgrading China's entire manufacturing industry, and he himself was being pushed to the crest of that wave.

A soft knock sounded at the door, followed by the efficient voice of Wei Shu, assistant to the president of Century Group: "President Zhang, are you resting? Our President Wei has some preliminary ideas regarding the negotiation details that will begin tomorrow and would like to discuss the schedule with you..."

……

The morning sunlight in Shenzhen, sharp and distinctly different from the sea breeze of the previous night, pierced through the floor-to-ceiling windows of the conference room on the top floor of the Century Building, dividing the large mahogany table into areas of interwoven light and shadow.

The air was filled with the rich aroma of coffee and a lingering smell of paper ink, replacing the lingering scents of alcohol and perfume from the previous night, but creating a more somber and tense atmosphere that seemed ready to erupt at any moment.

Zhang Ruimin sat in the center of one side of the long table, his eyes sharp as an eagle's. Gone was the surging passion of the previous night; replaced by the composure and focus of a helmsman facing raging waves.

Behind him is Haier's core think tank.

Everyone is like a taut bowstring.

Opposite them, Wei Shu, president of Century Group, sat in the main seat, dressed in a well-tailored dark women's suit, exuding a calm and composed aura.

She was surrounded by a carefully selected "iron triangle": a senior general counsel with gray hair and sharp eyes, scrutinizing the terms of the agreement word by word; a financial expert wearing gold-rimmed glasses, whose fingers flew across the calculator; and an engineer representative with a focused expression and an intimate knowledge of the technical parameters.

This luxurious conference room has become a battlefield, a silent war where every inch of ground is fiercely contested.

"Mr. Zhang, did you get a good rest last night?" Wei Shu spoke first, her voice clear and professional, with a perfectly polite smile on her lips, but her gaze went straight to the point, "Time is precious, so let's get straight to the point. Regarding the specific details of the 'Strategic Symbiosis Framework Agreement,' our group has several core concerns that need to be clarified first."

She gestured to the legal director.

The latter immediately pushed a document with key points highlighted to the center of the table, his voice steady yet carrying undeniable weight: "First, regarding the A/B share structure design, Mr. Lu Yang, as the founder and soul of Century Electrical Plaza, must ensure absolute control over strategic direction and major decisions. We insist that the voting rights of Century Group's shares and the voting rights of Haier Brothers' Class B shares be in a 3:1 ratio. This is the bottom line, and if new shareholders join in the future, this plan will continue to be used."

He sat behind Zhang Ruimin.

Mr. Wang, the head of Haier's strategic investment department, immediately chimed in, his tone equally firm: "Mr. Wei, Director Chen, Haier's investment is a strategic investment, not a financial one. We need to have a veto power over key matters concerning the joint venture's major development, especially those involving Haier's brand rights and the direction of technology investment. An absolute 3:1 ratio puts us in a completely passive position, which is inconsistent with the concept of a 'symbiotic relationship'."

The atmosphere instantly tensed up, and the calculator in the financial expert's hand made a crisp click of keys, as if keeping time for this silent struggle.

Zhang Ruimin did not immediately express his opinion. He picked up the tea in front of him and took a sip. The eyes of Lu Yang last night, which shone with an "unquestionable and firm light," seemed to reappear before his eyes.

He knew that in Lu Yang's theory of "the Great Way," control was the rudder that ensured the "Great Way" did not deviate from its course.

But as the helmsman of Haier, this giant ship, he must also secure enough space and a safety margin for Haier.

He put down his teacup, his voice low but clear enough to drown out subtle noises: "The design of voting rights needs to reflect the essence of 'strategic symbiosis.' We understand Mr. Lu's considerations, but checks and balances do not equal loss of control. What Haier needs is protection at the core points of interest. A detailed list and clear definition are needed for which voting mechanism applies to which specific matters. This is not a simple matter of proportion, but rather the wisdom of rule design."

Wei Shu nodded slightly, seemingly expecting Zhang Ruimin's response: "Mr. Zhang is right. We can refine the specific list of matters later, but the principle must be clear: the strategic control of Century Group cannot be shaken."

Zhang Ruimin nodded slightly after hearing this.

The implication is that the shareholding structure of A and B rights will remain unchanged, as will the 3:1 voting rights. However, in matters involving core interests related to Haier, Century Group promises that Haier will have a "veto power" as a check and balance.

Both sides were relatively satisfied with the result.

"Since Mr. Zhang has no objections, let's move on to the second topic."

Wei Shu then shifted the focus to a more sensitive area: "Technology co-development clauses."

She paused slightly, her gaze sweeping over the tense face of the Haier technical expert, and her tone became more serious: "The 'Rock Solid Plan' that you, Mr. Zhang, are preparing to launch involves the 100% domestic substitution of core components such as compressors, motors, control chips, and display panels. This is Haier's 'long-term core' and 'lifeline'."

We respect Haier's independent control over such core technologies.

The agreement needs to clearly define that the research and development results, patents, and derivative intellectual property rights of such core technologies belong exclusively to Haier Brothers, and Century Group does not seek to directly share the results or ownership.

The conference room fell silent instantly, with only the faint hum of the air conditioner vents breaking the silence.

The head of Haier's R&D department clenched his fist tightly under the table.

This is exactly what they are most worried about. Century Group only offers verbal support for Haier's future development and has no intention of investing much real money. Otherwise, why would they voluntarily declare that they will not seek to directly share R&D results and technology ownership?
Mr. Wei.

Zhang Ruimin's voice remained steady, but his eyes were sharp as knives: "'The value of a symbiote' lies in deep collaboration."

The 'Rock Solid Project' involves huge investments, a long period of time, and extremely high risks.

If Century Group, as a strategic partner, only enjoys the benefits of distribution channels while standing idly by or even explicitly cutting ties with the research and development of core technologies that support future competitiveness, what is the true meaning of this "symbiosis"?

He leaned forward slightly, releasing immense pressure, “We demand that the agreement clearly specify Century Group’s resource support terms for the ‘Rock Solid Project’!”

This includes, but is not limited to: prioritizing the provision of low-interest or interest-free R&D loans, opening up sales data from Century Electrical Plaza to support product iteration and optimization, and sharing some upstream supply chain resources in accordance with commercial confidentiality principles!

In consideration, Century Group can enjoy priority purchasing rights and most favorable purchase prices for core components produced by the 'Rock Solid Plan' within the Century system; however, as you said, Haier must firmly control the intellectual property rights.

The financial expert behind Wei Shu finally couldn't help but interject, speaking rapidly: "Mr. Zhang, as you said, resource support can be discussed, but it needs to be quantified! The amount, interest rate, and term of low-interest loans, as well as the scope and boundaries of data sharing, can also be discussed, but they all need to be rigorously evaluated. However, I am very curious, as an investor, our Century Group has taken out 7.11 million yuan in real money to invest in your Haier company, Mr. Zhang. So what is your sincerity?"

As soon as the financial expert finished speaking, the conference room fell into a deathly silence, as if even the hum of the air conditioner had been frozen.

The head of Haier's R&D team had a grim face, his fingers clenched into fists under the table.

The Century Group's 7.11 million yuan investment became a bargaining chip, clearly implying that Haier was demanding too much resource support but lacking sincerity.

Zhang Ruimin's gaze swept over Wei Shu's calm face. The latter's eyes were as still as an ancient well, yet they exuded an invisible pressure.

He took a deep breath, the wake-up call from Lu Yang's "Great Way" theory from the previous night echoing in his mind: symbiosis requires mutual benefit, not unilateral demands.

"Mr. Wang, please calm down."

Zhang Ruimin raised his hand to stop the rebuttal from the head of Haier's strategic investment department behind him. His voice was low but penetrating the entire room, "President Wei, Director Chen, I understand your company's position. Century's investment of real money is a sign of trust, and Haier will naturally repay it."

He paused, slowed his speech, and spoke with great care, each word carefully weighed. "In this way, we will make concessions on joint technology research. Haier must exclusively own the intellectual property rights to core patents. This is the lifeline and cannot be shared. However, in other areas, Haier is willing to share the intellectual property rights with Century for some non-core patents, share the risks of R&D results, and share the market dividends."

Wei Shu raised an eyebrow slightly. The financial expert behind the gold-rimmed glasses was already taking notes rapidly, while the general counsel pushed the document aside and whispered, "This requires a more detailed definition of the boundaries between 'core' and 'non-core'."

Zhang Ruimin nodded: "The list can be finalized later. Now, let's talk about the resource support your company has promised, such as loan amounts and data sharing. Haier is waiting for a solution to quantify these expressions of 'sincerity'."

The atmosphere in the conference room eased slightly, and amidst the aroma of coffee, a new round of competition quietly began.

The finance personnel from both sides immediately took sides and engaged in a fierce professional debate regarding valuation models, assessment methods, payment methods, cash ratios, and details of technology valuation.

Numbers and terms collided fiercely in the air.

Legal and technical personnel also joined in, arguing their case on details such as the wording of the clauses, the scope of definitions, and the disclaimers.

The meeting room was filled with heated arguments, and the air seemed to be on fire.

Just then, Wei Shu's phone screen on the table lit up silently, and a message from the group's public relations director popped up.

She glanced at it quickly, her pupils contracting almost imperceptibly before returning to calm, but the fingertips tapping the table betrayed a hint of seriousness.

The message is only one line long:
"The news has leaked! Unusual activity has occurred in the Hong Kong market. PCCW, Lianxiang, and Dazhong Alliance held an emergency closed-door meeting. Lianxiang's Hong Kong stock price plummeted during trading." (End of Chapter)