America: My Time

Chapter 18 Persuasion
Chapter Eighteen: Persuasion
Smith believed John should now settle down, accumulate capital and experience, and thoroughly reorganize the businesses he controlled to lay a more solid foundation for future expansion. John's ideas were exactly the opposite of his father's; he felt he had to accelerate the pace of expansion.

Time waits for no one, and I don't have much time left. There are many people who want to build a media group, and Redstone and Murdoch are among the best. I've already fallen behind in development, so I must hurry up and catch up with them!

“Father, Legendary Entertainment is still very weak right now. We don’t have enough funds. Relying solely on music and publishing can’t support the group’s development. At most, we can only expand in our respective markets. Therefore, we must rely on film. Film is the foundation of Legendary Entertainment Group. Acquiring a film company is a must!” John said firmly, without a trace of hesitation in his eyes!
“John, your ambitions are too great, exceeding your control. Even if you acquire a small film studio, can that make up for Legendary Entertainment’s shortcomings? There are plenty of films that lose money every year. It’s irresponsible of you to pin your hopes on the film industry!”

“Father, I understand. I believe in my abilities, and even if I fail, it won't matter. At most, I'll just lose some money, which won't harm Legendary Entertainment. I still think the acquisition of the film studio is imperative!”

“John, you can actually develop from a different perspective. Since Legendary Entertainment doesn’t have enough funds to expand, why not go public and raise funds, and use the power of capital to complete your expansion!”

In Smith's view, going public was a good option for Legendary Entertainment. With the success of its records and publishing, it could raise funds in the capital market without having to bear all the pressure itself. This is actually a normal practice for capital.

"No, now is not the time to raise funds, and even if we do, it won't bring in much capital. After all, Legend Entertainment is too small, and once we raise funds, many things will be out of our control. What I want is a Legend Entertainment that I can completely control, not a listed company!"

“John, have you thought about this problem? Although you've founded so many companies, you don't have many employees in your home country. This is very detrimental to your public image. If someone seizes the opportunity, it will bring you huge trouble. If possible, it would be better to add more positions in the game world to improve your reputation. The employee issue is a double-edged sword, so you need to handle it carefully!”

"I've thought about this issue, but I don't think we can compromise because of the character design. There are too many problems with opening a factory locally. Rather than creating jobs in the production process, it's better to create jobs in the sales process. That's the best choice. If something goes wrong in the production process, the trouble will be too great, while the sales process is much less harmful to the company. Right now, Japanese manga is booming, and anime is accelerating. Toys will follow suit, and we'll need a lot of manpower in sales!"

At this moment, Smith also thought of the toy company in Taiwan, where he had personally applied for the toy patents. "John, you own quite a few companies: a toy company, a game company, Phoenix Comics, animation, a publishing house, a music company, a software company, and now you want to expand into film. Do you have the energy to manage all of them? From now on, you won't be able to get any more support from the family; you'll have to shoulder everything yourself!"

“I understand, but I still want to try. Just as you said, Father, I am still young. I can afford to fail. So what if I fail once or twice, or even fail completely? I am young and can withstand failure. If I’m going to do something, I will do it the best. In the early stages of Legend Entertainment’s development, I do not want to be influenced by external forces at any stage, and I will not give the enemy a chance to scheme against me!” John once again expressed his determination and said he would not give up!

"Alright, since you insist, I'll help you get it done. I hope you won't rush things. The software company is manageable; it's already established itself. As long as we don't make any major mistakes, there shouldn't be too many problems. It's an emerging industry with great potential. As for the film and entertainment industry, I hope you'll be cautious. Hollywood giants aren't just for show; don't make any moves without absolute certainty! With the game company, you need to accelerate development. Without enough games, even the best game console is useless. Games are the key; it won't work if you're the only one making games!"

"The game company is fine; they have a well-developed plan. As long as they recruit enough people, game development won't be a problem. If they lack manpower, they can cooperate with the software company in the short term, sharing resources. It's not a big deal!" Although John said this, he wouldn't do it unless absolutely necessary, otherwise the two companies would be associated, which would be very detrimental to their future development. Regarding the software company, John wasn't as nonchalant. After his falling out with Apple, he planned to seize the Windows patent. With the office software patent and the Windows patent in hand, no matter how personal computers develop or how the market changes, he could maintain control. As the saying goes, "With patents in hand, I own the market."

However, no matter how fast a software company develops, it cannot provide itself with enough funding. After all, the current computer market is still too small, while the game market is different; games are its source of funding.

The game console manufacturing project must be completed as soon as possible. Time waits for no one, and I don't have much time to waste. If I don't have enough game consoles and games when summer comes, I will miss the peak sales season and it will also affect my future plans.

The London gold market will reach its lowest point of the year in June, with gold prices plummeting to a mere 296 per ounce. Then, in September, gold prices will surge to 481 per ounce! I must complete all preparations before the gold market changes, make arrangements with all relevant companies, and fully commit to this gold futures battle! With the information I possess, as long as I prepare in advance, I can definitely make a fortune in the gold futures market.

All of this is inseparable from my father's help. I don't have the ability to manage the market now, and a child's influence is pitifully small. Even if there were enough traders, it wouldn't necessarily go smoothly. I don't have the prestige to make them obey my every word!
"Father, at the end of May, I need to trade on the London futures market. I would like to ask you to help me sign a confidentiality agreement with the securities company and help me complete this trading!" Although it's a bit early to say this now, I need to discuss it with my father in advance to prevent any unexpected situations.
"At the end of May, you're trading futures in London. Is all the money you've saved up for this operation? Although I don't know what you're planning, I hope you've thought it through. The futures market isn't as simple as you think. Your small amount of capital won't even make a ripple in the futures market. A slight misstep could wipe you out!" As a father, Smith advised John to be careful, reminding him that entering the market is risky.
John nodded and said, "I understand. I still want to try and see if my judgment is right or wrong. If I fail, it will prove that my calculations of the financial market are insufficient and I need to accumulate more experience. If I succeed, it will accelerate my initial capital accumulation!"

Upon hearing John's idea, Smith and Anna pondered. Although they were somewhat prepared and had some guesses about how these funds would be used, and they had expected John to take action in the financial market, they never imagined it would be futures!

“John, this is not difficult for you, but before we begin, I would like to hear your thoughts on what you want to do with those futures contracts!”

"I want to trade gold futures. Since the beginning of last year, gold has been falling from $600 per ounce to $400 at the beginning of this year, and it's still falling. I believe it won't be long before it falls even more, and may even break through the $300 mark. This is not the true value of gold. Once it hits the bottom, it will rebound. So I want to try my luck and go long when it's at the bottom! Shorting is risky, while going long is relatively less risky. As long as it falls below the $300 mark, I can take action. Even with 20x leverage, my capital is negligible and won't cause much of a change in the market!"

A mere tens of millions of dollars is indeed insignificant in the gold futures market. As long as you can act quickly and complete your plan before others are prepared, you will not be blocked and the risk is much smaller!

(End of this chapter)