In 1978, I was admitted to Harbin Institute of Technology

Chapter 231 The harsh conditions had to be accepted, and I have to thank Xie Wei for his harshness.

"Principal Zhang, no organization, no matter how it develops, can possibly be the best in the world in every aspect. And no multinational corporation in the world can dominate every field..."

Xie Wei said calmly.

The school is dissatisfied with the fact that the school-enterprise cooperation office has always been unwilling to invest in production.

In a market characterized by rampant growth, production is highly profitable. Schools, already short of funds, naturally want all profits to remain within the school.

Previously, Li Rui had suppressed the issue, preventing anyone in the school from mentioning it; now, Zhang Mingqiu is not as assertive as Li Rui, and is a nice guy who avoids the issue by playing the game, yet he still hasn't managed to get anyone to talk to Xie Wei about it.

"Huh? Foreign countries are different from us. They are profit-oriented and invest in order to make a profit."

Zhang Mingqiu didn't understand what Xie Wei meant by saying that.

"Indeed, international giants all pursue greater profits and aim to capture more market share, which is why they invest heavily in advanced technology research and development to ensure competitiveness. Technological research and development is one aspect, but manufacturing capability is equally important. If manufacturing capability lags behind, many things can be designed but cannot be manufactured... Take, for example, the J-9 fighter jet from Institute 611 before. Its performance specifications were repeatedly changed. Was it because they couldn't design it? And what about that WZ-122 prototype in the school's classified workshop..."

Designing is difficult.

Is it possible to manufacture?

"Are we supposed to build all the supporting factories ourselves? Putting aside the cost, just the materials and manpower alone would be enormous. And once those are resolved, can management keep up?"

“How much supporting infrastructure does each factory need? If we handle everything, we can retain profits, but what about the supporting industries? How many key defense projects, such as the WZ-122 and J-9, have failed because of inadequate supporting infrastructure?”

Zhang Mingqiu fell silent.

Matching package!

This was something he had never considered before.

"With a clear division of labor, everyone can continue to invest in their respective strengths and pursue specialization... The improvement of supporting facilities will further promote scientific research, since the various equipment needed for scientific research is also a product..."

Xie Wei was helpless.

The supporting issues seem simple, but explaining them clearly in just a few words is not an easy task.

Especially managers like Zhang Mingqiu who don't understand the market or economics.

"Whoo~"

Zhang Mingqiu let out a long breath, as if he understood.

It's as if I don't understand anything at all.

"But why did you take over Factory 14 from the school and set up your own sanitary napkin factory and fragrance production line?"

This is what Zhang Mingqiu is wondering about.

"For the sake of market competition, without patent protection, the core technology can only be kept in our own hands."

Seeing that Zhang Mingqiu was about to retort, Xie Wei hurriedly added, "Military products are different. Only when the supporting facilities keep up can our technology further develop. Take the integrated circuits of Factory 14 for example. Although we have designed more advanced ones, the process equipment, raw material supply, packaging technology, etc., all affect production, right? Can Factory 14 alone develop them?"

"No! Not to mention anything else, we can't even provide lithography machines..."

Zhang Mingqiu understood immediately.

If Factory 14 had to invest in the research and development of all the key core equipment it needed, how could it possibly develop?

"Pakistan wants the complete technology not only to build its own production capacity, avoid being held hostage, and save costs, but also to improve its own military industry and supporting facilities in these aspects..."

Uh?
Zhang Mingqiu looked at Xie Wei with suspicion.

The other person's thinking jumps around too quickly; I simply can't keep up.

Why are we talking about Pakistan again?

"Principal Li's intention is to cooperate with Pakistan, using this as an opportunity to expand the school's influence, and at the same time, to obtain research funding for some projects from Pakistan..."

"what do you mean?"

Zhang Mingqiu really didn't understand what Xie Wei was trying to say.

"The school should be prepared to receive Pakistani students."

"what?"

Zhang Mingqiu was even more astonished.

Is the school preparing to accept Pakistani students?
"Didn't you disagree with exporting technology to them?"

"The disagreement stems from a desire for greater profits. If they offer enough money, why can't we export? Rocket launchers aren't exactly core technology. Besides, they lack the production technology for fiberglass and high-energy explosives... Wouldn't they have to spend even more money importing them from China to support these components? As for high-energy explosives, that requires even more supporting equipment, and it would be difficult for them to build such facilities. We can export them..."

"..."

Zhang Mingqiu stared wide-eyed at Xie Wei.

So, this kid had already sharpened his knife to an unparalleled edge, just waiting for Pakistan to deliver it to his doorstep?
"By the way, the school needs to be prepared. Since they are sending international students here to study, they need to consider all kinds of costs. The government subsidizes college students to cultivate talents for national development. If they are helping foreign countries cultivate talents, they should pay for it."

Xie Wei reminded Zhang Mingqiu.

Given his current status, even if he were to suggest that international students pay for their tuition and living expenses, no leader would take it seriously.

He certainly didn't want foreign students to not only study for free but also receive subsidies from the very beginning.

Everything has a cost.

"That's for sure! Our school isn't having an easy time either."

Zhang Mingqiu said with a resolute expression.

It's only schools that take advantage of others, not others taking advantage of schools.

Even international friends are not allowed!
"The Jiangbei factory should contact you later. Once the contract is signed, tell them not to leave yet. After the Pakistanis arrive, have them explain the production process..."

"what?"

How did we end up back at Jiangbei Machinery Factory?
guest House.

The small conference room was filled with smoke.

Ning Juntao, Tian Guirong, and others all looked worried and kept smoking.

The group had been discussing for quite some time.

However, no one complained that the school's conditions were too harsh, and similarly, no one suggested ceasing cooperation.

"Ah~"

Ning Juntao sighed, his face full of helplessness, "We can't give up on this cooperation. Even 5000 rocket launchers could keep the factory producing for several months..."

"Factory manager, we only brought 200 million."

Ma Yuan found it hard to accept.

But considering Zhang Mingqiu's attitude, he knew that he had no choice but to accept it.

The Jiangbei factory doesn't cooperate, but some factories do.

For more than a decade, domestic rocket launcher manufacturers have been producing rocket launchers at full capacity, and their stockpiles are probably enough to last through a world war.

56式40火、69式40火、70式62毫米反坦克火箭筒等，这些都是用于提升步兵火力的，满负荷生产了十多年后，库房都堆不下了。

These rocket launchers are now outdated.

Production was naturally reduced to the bare minimum.

Unless there are export orders, the relevant authorities are already considering cutting some of the production capacity and production lines for older rocket launchers. If production stops, specialized rocket launcher manufacturers like Jiangbei Factory will only see their production plans decrease further unless they develop a new generation of rocket launchers.

Even after teaching the monkeys a lesson on the southwestern border, the higher-ups did not increase the production orders for the Jiangbei factory. Last year, there was a production task of 2800 rocket launchers of various types, but this year it has dropped to 1200.

It's important to know that at its peak, Jiangbei Machinery Factory's production capacity was in the tens of thousands!
"Let's owe them for now. They should be able to accept that."

Ning Juntao sighed again.

"You owe? How much? For how long?"

Zhang Mingqiu was surprised by how accurate Xie Wei's calculations were when Ning Juntao and the others came to his office shortly after he returned.

They were somewhat reluctant when they heard the other party say that they would have to pay a portion of the membership fee upfront.

“Principal Zhang, you didn’t mention the 300 million yuan technology usage fee before. We prepared for 200 million yuan… Although the factory still has some funds, we need to prepare for production. You don’t want us to be unable to deliver to the customer on time after we reach a cooperation agreement because of insufficient production preparation, right?”

Ning Juntao directly used the excuse that he needed to prepare for production to incur the debt of one million.

They brought the two million; they never expected Harbin Institute of Technology to change the cooperation terms at the last minute.

"I see? Then wait a moment, let me ask the university-enterprise cooperation office, since this technology was invested in by the university-enterprise cooperation office..."

"Isn't the school-enterprise cooperation office under the school's jurisdiction?"

Ning Juntao looked at Zhang Mingqiu speechlessly. Couldn't he even come up with a more plausible reason for lying?
How can a supervisory unit not manage its subordinate units?

"Director Ning, our school has a rather unique situation..."

Zhang Mingqiu immediately explained the policies regarding the independent operation, self-investment, and self-financing of the school-enterprise office, and told the other party that this was a pilot project supported by the Ministry.

"You can do that? No wonder your school has developed so quickly!"

After listening, Ning Juntao instantly understood why Harbin Institute of Technology was able to produce these technologies.

Independently initiated project!

There's no need to apply to higher-level departments or go through various approval processes. As long as the person in charge proposes a project, they can start working on it directly, which is much faster than other organizations.

Operating independently, the school in charge cannot interfere with its operations. The distribution of profits is decided by the school-enterprise office, and the profits can be directly invested in subsequent research and development or expansion without the need for approval from higher authorities.

Self-financing goes without saying.

This is to prevent the money earned from being misappropriated by superiors.

No wonder they can't compete with Harbin Institute of Technology for projects. While they haven't applied for projects from their superiors, Harbin Institute of Technology has already started research. Once they have some results, they go to their superiors. Who will their superiors support?
"Owe 1 million? You agree to all the other conditions? Since you agree to all the other conditions, let's just owe this 1 million for now, and deduct it directly from the payment for the goods later."

Xie Wei was surprised that Zhang Mingqiu would call him to inquire.

Xie Wei was not surprised that Jiangbei Machinery Factory accepted such harsh conditions.

After hanging up the phone, Xie Wei dialed Wang Zheng's number and asked him to come over.

He had no intention of contacting the people from Jiangbei Machinery Factory.

"They agreed to such harsh conditions?"

When Wang Zheng arrived at Xie Wei's office and heard the conditions Xie Wei stated, his eyes widened in disbelief.

Isn't it a bit too dark?

"Your expression revealed your true thoughts. Was it shady? Principal Li originally agreed to a 37% profit split with them, but what was their attitude after the military tested the samples? The risks and rewards are equal, especially in terms of investment."

Even though Xie Wei knew that Wang Zheng was not suitable to be the head of the school-enterprise office, he still gave him pointers whenever he had the chance.

When there's no one else available, choose the tallest among the short.

"Get the contract ready today. After signing, let them familiarize themselves with the production workshop and understand the processes. It's very likely that the Pakistani side will request to visit their production factory..."

"The order wasn't placed by a Thai company?"

Wang Zheng was puzzled.

Thailand placed an order for 5000 rocket launchers, and after Pakistan inquired about the availability of production technology, there was no further news.

How did it become a visit to a production factory by Pakistanis?

"We need to value Pakistan as a client; many future projects will depend on them. Although the civilian products sector under the university's enterprise-enterprise cooperation office is not currently within our scope of cooperation, we can still reach out to them..."

"..."

Xie Wei never gives up on any opportunity to expand the market.

"Pakistan is poor to begin with, and given their domestic situation, is it really worth paying attention to?"

Wang Zheng still held Pakistan in some contempt, considering it both poor and demanding.

"Even the poorest customer can provide business! The market is expanded little by little. For example, don't they need our calculators, daily chemical products, etc., in their domestic market?"

Xie Wei didn't mention sanitary napkins.

As Wang Zheng said, the situation in Pakistan is different from that in China. Expanding the sanitary napkin market there will likely be very difficult, as they haven't even captured much of the domestic market yet.

Currently, not all supply and marketing cooperatives and department stores in Northeast China can sell sanitary napkins—production capacity is insufficient, and a large portion of sanitary napkins are exported to earn foreign exchange, competing for market share with rapidly entering Japanese and other companies in the south.

"alright."

Wang Zheng didn't say anything more.

At Xie Wei's request, the earliest contract between the school and Huadu Oil and Fat Chemical Plant was used as a sample. The profit-sharing ratio was changed, some clauses were added, and Ning Juntao and others were asked to sign it directly.

"Isn't the funding allocated to us directly from the Precision Machinery Import and Export Corporation? Or is it allocated by the Ministry?"

When Ning Juntao realized that the collaboration would require funding from Harbin Institute of Technology, he immediately sensed something was wrong.

If that's the case, they won't have any initiative in future collaborations!
"Our order! Pakistan pays the agent in foreign currency, and the agent naturally has to pay the school."

Wang Zheng was puzzled. What was the problem?
"What if we get the export orders ourselves?"

Ma Yuan asked through gritted teeth.

The technology was provided by Harbin Institute of Technology. I wonder if they will demand that it be allocated in the same way later?
What's the point then?

"Isn't there a supplementary clause? Since it's a collaboration, you paid a 300 million yuan technology usage fee. The technology related to the disposable rocket launcher is jointly owned by both parties. The school will not take a share of the technology revenue from orders you obtain yourself; similarly, the school will not receive a share of the technology revenue from new products developed using our technology, as long as the school is not involved..."

Wang Zheng explained to the group of people whose expressions were not good.

"really?"

Ning Juntao immediately became excited.

If that's the case, then the other party's conditions don't seem harsh at all.

The others also got excited; this was the best news they had heard since arriving at Harbin Institute of Technology.

"The contract is right here!"

Wang Zheng looked at their reactions with utter contempt.

Xie Wei's approach was to give a slap on the wrist and then offer a sweet treat, which made the other party extremely grateful, completely forgetting that the school had taken the majority of the profits in the first place.

The other party would be even less aware that, apart from the business negotiated by Jiangbei Machinery Factory itself, Harbin Institute of Technology receives a technology share from other domestic agents for these orders, although the share is much lower, with a large portion of the profits going to the import and export agents.

(End of this chapter)