Reborn in America: Starting as a California Resident
Chapter 47 The Tragedy of the Little People
Subsequently, the two teams engaged in an in-depth and detailed discussion.
Many details were finalized, such as the cost pricing of the arcade machines, the timing of profit distribution, and the duration of the company's exclusive agency rights in specific regions.
The joint venture to be established in the future will not only have exclusive agency rights in Hong Kong and Southeast Asia for two years, but will also be able to purchase sci-fi arcade products at a 50% discount.
If the performance is good after two years, the company will have priority to renew the contract.
These conditions have truly created a win-win situation for both parties.
Taking the two arcade machines currently on the market as examples, their normal price is HK$9999.
The joint venture only needs to pay HK$5000 to take delivery of the goods, which greatly reduces the initial financial pressure on Sun Yee On.
Once the other party receives the goods, they only need to sell them quickly to immediately obtain a considerable cash flow, thus putting the company into a positive cycle of cooperation.
Of course, since Henry dared to propose such a cooperation model, he had already put himself in an invincible position.
In the late 1970s, the cost of Hong Kong game consoles was less than HK$3,000.
Even though Henry was sold at half price, production costs were fully covered when it was shipped.
The subsequent dividends from the joint venture will all be net profits.
With a little more effort, and by bringing it to the capital market...
As for whether Sun Yee On will encounter sales difficulties and poor performance?
Ha ha!
All I can say is that you've come to a very naive view of organized crime!
Not to mention the locations where arcade machines are placed, they are naturally under their control;
Even if they don't, they have enough means to ensure that their arcade machines can be successfully rolled out in the market.
After all, in those days, the underworld and the legitimate world were often intertwined.
With the final batch of details confirmed, both legal teams began their intensive work.
The original verbal agreement was transformed into a legally binding written document, word by word.
As the last signature was made, soft applause rang out in the conference room.
clap clap clap!
"Mr. Getty, it's a pleasure doing business with you."
"Mr. Xiang, it's a pleasure doing business with you."
--------
The following week, the joint venture between Sci-Fi Arcade and Sun Yee On – "Sci-Fi Arcade" – was officially unveiled.
Sun Yee On then launched a large-scale market preparation campaign, quickly deploying the first batch of two thousand arcade machines to major entertainment venues in Hong Kong.
It fully leverages its vast ground network and strong market influence, going beyond traditional arcade game halls.
This has led to the widespread availability of arcade machines in every corner of the city—from bustling cinemas and bars to large shopping malls, and even some inconspicuous small shops.
Soon after the new game was released, news about it spread like wildfire, and many children flocked to these venues, which were packed every day, earning tens of thousands of Hong Kong dollars daily.
They gathered around the flashing machines, watching curiously as tiny squares on the screens fell, rotated, and disappeared.
People were captivated by the simple yet magical game mechanics of "American Blocks," and exclaimed in amazement.
At the same time, Pac-Man has also attracted a large number of players with its unique maze-chasing gameplay, especially those who seek a relaxed and fun experience.
Both adults and children showed great enthusiasm for these two games.
This craze has not only attracted a large number of gamers, but has also led more and more entertainment venues to see business opportunities and introduce these popular game machines in an attempt to get a share of the pie.
According to rough estimates, a single arcade machine priced at HK$9,999 can generate a net daily income of HK$600-800.
Such a rate of return on investment means that the cost can be recovered in just half a month;
Every coin that was inserted afterward was like a fortune obtained from a hen that lays golden eggs.
Therefore, whenever a new arcade machine from Kexin Arcade arrives, the scene can only be described as a "buying frenzy".
Some arcades with ties to organized crime groups have even gone to great lengths over a few machines.
It can be said that the success of the sci-fi arcade game far exceeded everyone's expectations.
In response to the surge in market demand, Sun Yee On had to urgently place additional orders, while Sci-Fi Arcade worked day and night to produce the machines to ensure that the strong market demand could be met in a timely manner.
However, amidst this fervor, some are happy while others are sad.
Huang Long, the owner of Huanglong Arcade, a well-known arcade on Hong Kong Island, was sitting in his office at this moment, filled with rage.
"What? A sci-fi arcade game is already on the market?"
"And it's even represented by the Sun Yee On triad?"
"How is this possible?"
"Xiang Huayan and I have already reached an agreement!"
"How could he just walk past me?"
Huang Long was filled with anger and disbelief.
Ever since he asked Xiang Huayan to help him make the connection, he has been looking forward to the phone call every day informing him of his meeting with Henry.
Unexpectedly, he has received no response to this day.
Just as he was beginning to realize that something was wrong, his underlings finally brought him bad news—the sci-fi arcade game was selling like hotcakes and was exclusively distributed by the Sun Yee On triad.
All of this shocked and saddened him; he had actually been betrayed by his own "backer."
Huang Long's emotions reached their peak; he realized that he had missed a huge business opportunity.
To make matters worse, he personally handed this opportunity to the Sun Yee On triad.
He was so excited by the thought that he had originally hoped to expand his business through a collaboration with science fiction arcade games that he could hardly contain his emotions.
He roared to the sky, sweeping the documents off the table, his heart filled with resentment and regret.
"Hey? Mr. Xiang, is it convenient for us to meet one more time?"
Ultimately, anger overcame fear, and Huang Long dialed Xiang Huayan's phone number again.
His voice sounded unusually tense and urgent on the phone, his fingers gripping the receiver tightly, as if trying to draw courage from it.
There was a few seconds of silence on the other end of the phone, followed by Xiang Huayan's deep and calm voice: "Okay, I'm at a bar in Wan Chai, come over."
"it is good."
The Wan Chai bar was a business owned by one of Xiang Huayan's lovers; he liked to go there to relax whenever he had free time.
Huang Long also had several private conversations with the other party there.
He put down the receiver and immediately summoned his trusted subordinate, Shark Head, ordering him to bring a dozen or so loyal henchmen to accompany him.
"Huang Long, what do you want to say?"
Fifteen minutes later, Huang Long arrived at the Wan Chai bar.
Xiang Huayan sat in the largest private room of the bar, with a glass of whiskey in front of him.
Upon seeing Huang Long enter, he nodded slightly, gesturing for the other to sit down, and then went straight to the point.
Huang Long looked down at his toes and gently sat down on the sofa next to him, trying to make his voice sound calm: "Xiang Sheng, about the sci-fi arcade game... I want to know why they chose the Sun Yee On as the exclusive agent instead of following our previous agreement."
Xiang Huayan smiled slightly upon hearing this, as if he had expected him to ask this question.
"Huanglong, in business there are no permanent friends, only permanent interests."
I must consider the Sun Yee On triad, and I must also consider myself.
He gently swirled the wine in his glass and continued, "When you first asked me for help, I told you that it might not work out."
The sci-fi arcade side has its own plans; they've their eyes on the resources and market capabilities of the Sun Yee On triad.
The deal between us was just a possibility, and they ultimately chose the most profitable path.
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