The car giant started by marrying the daughter of the king

Chapter 420: Hitchhiking, Purchasing Raw Materials

"You're right. If you're going to do it, then make it bigger."

"I have asked someone to sort out the equipment lists submitted by the various factories under the Machinery Industry Committee over the years."

"I plan to discuss with Polar Bear about purchasing all these equipment on loan."

"They are under great pressure from the economic downturn right now, so they should be very interested in such a large order."

Zhu Jiansheng is now becoming more and more confident about the third fire he has started.

He had a hunch that the Mechanical Industry Committee would not be the end of his future and he would have the opportunity to go further.

By then, it won’t just be one department that will be affected.

"Polar bears will certainly be very interested, and it's not surprising that they may even make some concessions in other areas because of this cooperation."

"Of course, a business that is done on the pole is not a business."

"It would be best if we could find an opportunity for Polar Bear to proactively offer us a loan to support our plan to purchase their equipment."

“This way, we can be more proactive.”

Jiang Hui further improved his plan.

During this period, there were already many problems within the polar bear community.

As long as China is willing to put in the effort, maybe just a few boxes of liquor would be enough to convince some people to offer help.

Anyway, considering this plan from the current perspective, it is good for polar bears no matter how you look at it.

The people on the Polar Bear side can come forward without any pressure to meet China's request for help.

He can even regard this as his political achievement.

"Your reminder is crucial. I will definitely ask the relevant personnel to pay attention to the way of cooperation when the time comes."

"Let the polar bear people take the initiative to bring it up. I think there will be no problem."

Zhu Jiansheng was naturally able to understand the possible views of all parties on this matter.

I provide you with loans, and you use the loans to purchase my products.

This type of cooperation model is not new.

In the past, many Western countries have been very skilled in this tactic.

Polar bears have also carried out similar cooperation with many countries.

Now that China is willing to stretch its neck out to be slaughtered by them, there will absolutely be no resistance.

The other party is probably still worried that the loan amount from China is not enough.

"Dad, I think that in the next few years, if you just follow up on the three recent proposals, it will be enough for you to gain a firm foothold in the Mechanical Industry Committee."

"Let your superiors give you the highest praise."

Jiang Hui was also worried that after Zhu Jiansheng took office, he would continue to make other moves besides these three things.

The more you do, the more you make mistakes.

This is absolutely correct.

Don't rush to do anything you are not sure of.

A few big moves against polar bears are enough to keep us busy and enjoy the dividends, and that is enough.

Let other people take care of the rest.

"Okay, I understand."

"Until these three proposals are properly implemented, I won't bother with anything else."

Zhu Jiansheng listened to the advice.

He has no sons.

Jiang Hui, his student and son-in-law, is his successor.

……

After Jiang Hui told Zhu Jiansheng about the "three fires", he naturally didn't want to miss the opportunity on the BMW Group side.

As the parent company of the group, BMW Technology is registered in Hong Kong City, so it is actually quite convenient to expand its business in Polar Bear.

In the past two years, as the polar bear economy has encountered some difficulties, their cooperation with the United States has gradually increased.

In fact, although the polar bears and America have always been at loggerheads, their business cooperation has never stopped.

For example, Coca-Cola has had business in polar bears over the years.

It makes perfect sense for BMW Technology to open a branch in Polar Bear under the pretext of developing its automotive business.

After all, Land Rover's products are now sold in many countries around the world.

I guess there are some people on the Polar Bear side who know the information about Land Rover cars.

Even their car factories are interested in cooperating with Land Rover.

"Director, I support you opening a branch in Polar Bear."

"But the market there is quite special. It may not be easy for our models to open up business in a short period of time."

Fang Huihui has always known that Jiang Hui attaches great importance to the international automotive business.

Today, BMW Group's export sales are much higher than its domestic sales.

So when he heard Jiang Hui say that he wanted to open a branch in Polar Bear, he didn't find it strange at all.

BMW Group has branches in Europe, the Middle East and other places, so it is normal to have another Polar Bear branch.

"It's okay, just take it step by step."

"First, we need to set up the organizational structure, open separate branches in several major cities of Polar Bear, and arrange some trustworthy people to take the lead."

"We will sell two Land Rover products first, and then consider other products later."

"I will not set any rigid requirements on how much I can sell in the next three years."

“As long as the business is going on normally, that’s fine.”

Jiang Hui went to Polar Bear to open a branch, not just to sell cars.

Of course, the polar bear market in the future is still worthy of BMW Group's attention, but not now.

For polar bears at this time, what they need most is not various heavy industrial products, but food and light industrial products.

Various heavy industry-related products are what they have always wanted to export.

“If we just want to build the framework first, is it enough to have one branch company? There is no need to set up companies in various cities?”

Fang Huihui clearly felt that Jiang Hui's attitude seemed a little different this time.

This was the first time that branches were set up in all major cities in a country.

You know, even in China, the BMW Group doesn't do this.

It feels weird.

"No, a branch company must be set up in every reused city. Each branch company must have at least a dozen employees to ensure that the company can operate normally."

"And we also need to find ways to cooperate with some local companies and make them our partners."

"How many cars I can sell is not what I care about most now. What I care about most is how many companies or influential people I can cooperate with."

Jiang Hui said so, and Fang Huihui is not stupid, so she must know that there are other purposes behind this matter.

She didn't beat around the bush and asked directly, "Boss Jiang, this time we set up a branch in Polar Bear, do we have other businesses that need to be expanded?"

"Like getting some information or something?"

Although her company is a Hong Kong enterprise, Fang Huihui is naturally very clear about the actual situation.

She was also well aware of Jiang Hui's father-in-law's promotion.

So subconsciously, she wondered if Jiang Hui had taken on some special tasks in the country, which was why he had to open so many branches in Polar Bear.

"Don't think too much about it. It's not true."

"Our business in Polar Bear this time is purely commercial, and everything must be carried out in accordance with the law and regulations."

"When the time comes, you will need to bring a group of people who are well versed in international law and polar bear laws and regulations."

"We must have people in each of our branches who are well-versed in local laws and local financial rules."

Jiang Hui would definitely not tell Fang Huihui all of his arrangements. After all, some of the things behind them were too unbelievable.

But people have to know the basic information, otherwise it would be funny if they go in the wrong direction when doing things.

"The business environment over there isn't very good. If we simply go there to develop our business, I don't think it will be very smooth."

Fang Huihui said a little worriedly.

Polar Bear follows a planned economy, so it is certainly not easy for BMW Technology to expand its business cooperation in the past.

"After our branch was established, our main task was to find a way to obtain a loan of rubles from a local financial institution, and then purchase equipment and raw materials from Polar Bear."

"Your group has a relatively large demand for various special steels, aluminum alloys, and automotive steel plates."

"There is also a huge demand for various chemical materials such as polyethylene and polypropylene."

"As for various lathes, milling machines, grinders and other machine tool products, that goes without saying."

"As long as we can get enough rubles in loans, we will use them all to purchase these equipment and raw materials from Polar Bear."

"For polar bears who want to change the domestic economic situation as quickly as possible, there will definitely be financial institutions willing to cooperate with us in this regard."

Jiang Hui began to assign specific tasks to the branch.

He must take advantage of this wave of dividends from the devaluation of the ruble.

As long as they take a big bite, the BMW Group's future development and growth will have a much stronger foundation.

By then, it is not impossible for the BMW Group to become the largest industrial enterprise in China.

……

"Director, the various raw materials from Polar Bear may not have a cost advantage compared to the prices in the domestic plan."

"The accuracy of their equipment is still somewhat different from that of high-end products from Germany and Japan." "Something big happened in Japan recently. It was revealed that Toshiba sold a nine-axis five-link CNC milling machine to Polar Bear."

"Americans are very dissatisfied with this matter, and many people at Toshiba have been severely punished."

"It is said that the noise level of the original nuclear submarine of the polar bear is relatively high. As long as it is deployed, the United States will be able to detect it."

"But after using the high-end machine tools provided by Japan to process the propeller blades, the noise of the nuclear submarine dropped significantly."

"This fully demonstrates that Japanese machine tools are much more advanced than polar bears in the field of high-end technology."

"It is very convenient for us to purchase equipment from Japan now. Is there no need to go to the polar bears?"

After Fang Huihui said this, Jiang Hui also remembered that the machine tool incident of Toshiba Corporation in Japan broke out this year.

This happened several years ago, but it was only now that it was finally investigated and officially exposed.

But this will not affect his decision.

"You are right. Polar Bear's technology is indeed lagging behind in terms of high-end CNC machine tools."

"Their electronics industry is taking a completely different path from the West."

"In the early years, it was unclear which of the two paths was better, but after the 1980s, the trend was already very clear."

"The development of integrated circuits is an irresistible trend, and polar bears are completely behind in this regard."

"How can CNC machine tools develop well if we still have to look after those electronic tube circuits every day?"

"However, their technological advantages are still very obvious when it comes to ordinary traditional machine tools."

"For example, the performance of traditional lathes, grinders, punching machines and other products is still remarkable."

"Especially in terms of large-tonnage stamping presses and forging presses, Polar Bear has some unique features of its own."

"We are currently developing large-displacement engines, which also require some large-tonnage die-casting machines and forging machines."

"This time we can consider purchasing the equipment from Polar Bear."

"As for the price issue you mentioned, we need to take a longer-term view."

Jiang Hui thought about it and felt that he had to put forward the idea of ​​​​devaluing the ruble exchange rate, otherwise his decision would be quite strange.

"Based on the current exchange rate of 0.6 rubles to one dollar, it is indeed not cost-effective to spend dollars to purchase equipment and raw materials from polar bears."

"So I didn't plan to go that route, and instead chose to borrow rubles from a local bank and use the rubles to buy the equipment."

"One of the key points is that the loan contract must clearly state that the loan is in rubles and the repayment is also in rubles."

"Because I think the polar bear's ruble will depreciate significantly in the future."

"Once that happens, the actual dollars we have to pay back will be much less."

If BMW Technology wants to transfer funds from Gangcheng to Polar Bear for repayment, it must first transfer US dollars and then convert them into rubles to repay the loan.

However, as long as the ruble depreciates, any operation will be easy.

"Boss Jiang, although the polar bears have had some economic problems in recent years, their military strength is still very strong."

"They won't allow the ruble to depreciate significantly, right?"

Fang Huihui could naturally understand the profit of this business when the ruble depreciated.

But the prerequisite is that the ruble can really depreciate significantly, otherwise it will be meaningless.

"You can pay more attention to the news about polar bears in the future. Their problems are much more serious than we thought."

"Polar bears certainly don't want the ruble to depreciate significantly, but some things won't happen just because you don't want them to."

"And the recent Red Square incident has also made many countries see clearly the military strength of polar bears, which is actually not as strong as everyone thinks."

"In recent years, polar bears have consumed a lot of manpower and resources in Argentina."

"But due to the United States and China's assistance to the Afghan guerrillas, the polar bears suffered huge losses."

"Ultimately, they may not be able to continue in Afghanistan."

"Once this goes downhill, no one can easily stop it."

"The ruble will depreciate. That's inevitable. The only difference is how much it will depreciate."

"For us, as long as the exchange rate of one dollar to the ruble increases from 0.6 to more than 1, there will basically be no loss in this matter."

“If the depreciation is bigger, that’s our profit.”

"In extreme cases, the rubles we borrowed will probably be worthless in the end."

"Our equipment and raw materials are almost dirt cheap."

Jiang Hui half-jokingly told what was bound to happen in the future.

Since he had said so much, Fang Huihui naturally would not refute it anymore.

After all, what Jiang Hui said was not completely unreasonable.

If this trend continues, the benefits will be huge.

Taking some appropriate risks seems to be completely acceptable.

"Mr. Jiang, if we develop the business of the Polar Bear Branch based on this logic, then I think the various subsequent loan contracts will be affected."

"The repayment period must be set carefully, and it is best to set it after three years."

"After all, even if the ruble is going to depreciate, it will take time. It's impossible to suddenly make it happen now."

"And polar bears will definitely react to the depreciation of the ruble."

"A lean camel is bigger than a horse, and some reaction from the polar bears will certainly prevent the ruble from falling further."

“There should be a process of pulling and pushing in the middle.”

"By appropriately extending the repayment period, we can minimize our risks."

Since she has chosen to support Jiang Hui's approach, Fang Huihui naturally needs to consider the business arrangements from a business perspective.

Although you will need to pay more interest if you extend the repayment period, as long as the interest payment time is set together with the final repayment time, the actual cost you will need to pay will likely be very small.

Of course, all this is based on the assumption that the ruble will really depreciate, and depreciate significantly. Otherwise, it will probably be a waste of time.

"Your reminder is correct. We don't want loans shorter than three years."

"If you want to borrow money, you should borrow for more than three years, or even five or six years."

"Of course, if the loan period is too long, there will be many variables to face in the future."

"We're basically heading towards a three to six year range."

Jiang Hui arranged the repayment time of the loan based on the timing of Polar Bear's reorganization, thinking that he would repay the loans around 1992 and get things settled.

Otherwise, when the polar bear sees that BMW Technology has taken such a huge advantage, it might cause some trouble.

Around 1992, the polar bears must have been in chaos as well.

BMW Technology has every chance to resolve these issues smoothly.

"Then I understand. I will hire a professional agency in Hong Kong City to help implement the branch as soon as possible."

"When the time comes, I will go to Polar Bear in person and develop business in major cities."

Fang Huihui's execution ability is still very good, and Jiang Hui is relatively confident in her.

Now that the general direction is in place, Jiang Hui doesn't need to worry so much about the details for the time being.

Anyway, it will take a few years for the polar bears to see major changes. Now, as long as we work towards purchasing equipment and raw materials with loaned rubles, no matter what equipment we buy, it will be pure profit.

The specific equipment list and raw material information can be coordinated by the purchasing department.

Jiang Hui just needs to take a look at the results of the efforts of the Polar Bear Branch regularly.

……

"Smith, has China had too much contact with polar bears during this period?"

As the ambassador of the United States, Woodcock is very concerned about what is happening in China.

In particular, the relationship with polar bears is the focus of America's attention.

In the past two years, the United States has paid close attention to various events happening within the Polar Bear Organization, collected a lot of intelligence, and has a large number of personnel dedicated to analyzing this intelligence and providing reference opinions.

Woodcock has also read some relevant analysis reports.

Against this backdrop, America's contacts with polar bears have increased significantly, and the amount of trade has risen significantly.

But this does not mean that Woodcock hopes to see the relationship between China and the other side become closer.

Why has America been willing to sell all kinds of advanced equipment and products to China over the years?
Isn't it because they want to drag China into putting pressure on the other side?
For example, the cooperation between the two sides in Argentina has brought great pressure to the polar bears.

The Hongying 5 individual air defense missile imitated by China and the Stinger individual air defense missile currently in service in the United States form a high-low combination, posing a huge threat to the Polar Bear's aircraft in Afghanistan.

In recent years, at least more than 100 Polar Bear fighters, bombers, helicopters and transport planes have been shot down by missiles in Afghanistan.

As for the various 40 rocket launchers, guns and ammunition provided as aid, they are too numerous to count.

In order to transport these guns and ammunition, America even spent a huge amount of money to purchase more than 10,000 mules from China.

These mules are much more powerful than cars in Afghanistan's special terrain.

Thanks to the cooperation with the United States, some of China's military factories are doing well and have survived the most difficult years in the context of reform.

Everything is based on the conflict between China and the polar bear.

If this situation changes, Woodcock feels that he also needs to make some new suggestions to the country.

"The contacts between the two sides are indeed quite frequent. Almost every day someone goes to the Polar Bear Embassy to discuss things."

"But according to some information I got, they are mainly discussing some business cooperation."

"You also know that China has always been short of foreign exchange. Even if they want to import various equipment and products from us, they are unable to do so."

"But if you want to do some business transactions with polar bears, you don't necessarily need to use the U.S. dollar."

Smith is not just a bunch of idiots.

Having been in China for so many years, he has a relatively good understanding of many situations here, and he also has many informants of his own to help collect intelligence.

Otherwise, he would not have been promoted step by step and now has become the counselor of the embassy.

(End of this chapter)