Hong Kong 1980: The Savage Era

Chapter 213 213 [Ambition]

If we can achieve mutual exchange of trade between these regions, even if we cannot occupy 1% of the market share, the profits will be very considerable, no less than that of a medium-sized real estate company.

"Manager Zhang, how is the Americas that you are responsible for going?" Luo Qihong asked Zhang Zuyao.

Trade in the Americas has some foundation, and it should be easier to operate than in the Southeast Asian and East Asian markets, and progress faster.

Unexpectedly, Zhang Zuyao's face didn't look good. He hesitated for a moment and said, "The market sales in America are not very good. Many sellers only purchase in small quantities. I also sent people to do a survey. The reason is that Americans prefer Superman and comic toys, and are not very interested in the toys we sell."

"But I have already invested all the advertising money I had in advance, and I believe there will be some changes next month."

"Well! I heard that the American market is in short supply of high-end electronic products such as record players and video recorders. Since the sales of toys are not good, you can start in this area. There is no need to stick to toys." Luo Qihong does not have so much time to wait for sales to open up before reaping the profits.

Zhang Zuyao pondered for a moment and said, "These things have been monopolized by certain trading companies. It is difficult for us to occupy the market share, and it is easy to offend those people."

"There are many electronics companies in Hong Kong that make record players and video recorders. We can't get brand-name products, but we can get some unknown brands at a more favorable price," Luo Qihong pointed out.

"Most of the off-brand goods have quality issues. If we encounter a wave of returns, our losses could be huge," Zhang Zuyao said with embarrassment.

"Hmph! Then we won't provide warranty. Tell those sellers that the goods cannot be returned. This is the disadvantage of cheap goods." Luo Qihong seemed to be obsessed with money.

"This has a very bad impact on the company's reputation and may affect the sales of other products of the company," said Zhang Zuyao.

"Then you can also set up an American company and let it sell these inferior goods. If there are any problems, just abandon this company." Luo Qihong said unhappily, "When signing the contract, you must state those conditions."

"Manager Yan, how is the European market?" Luo Qihong no longer wanted to talk nonsense with Zhang Zuoyao, so he turned around and asked Yan Guantong.

Yan Guantong glanced at Zhang Zuyao, who looked unhappy, and then reported, "The sales in the European market are good. The profit in the first month was close to 5 million Hong Kong dollars. The profit in the second month also increased to nearly 5 million yuan."

"Okay, it seems that the European market still has potential. Then your next job is to collect the pillar products of European countries, and then sell medium and low-quality products to other places. We will not get the high-quality products."

"Yes, boss! I will recruit people to conduct investigation immediately." Yan Guantong said.

Everyone discussed their respective difficulties, and it was not until 5:4 in the afternoon that the four people left Luo Qihong's office tiredly.

During this process, Luo Qihong once reminded Wen Jiatao to focus on the trade of clothing, vehicles and other industries in the mainland market, and perhaps expand some markets to lay the foundation for future trade business.

However, Wen Jiatao did not seem to care much, believing that the mainland's economy had just developed and it was difficult to provide a market. For example, the populous Southeast Asian market could not compare with the economically developed Korean and Japanese markets.

However, Luo Qihong saw that the implication was to remind Wen Jiatao that if he did not pay attention to the mainland market, Luo Qihong could find another manager to be responsible for the trade work in the mainland market.

As soon as these words came out, other managers were eager to try, hoping to have another market. Moreover, since Luo Qihong attached so much importance to it, they could take the opportunity to ask for some "preferential policies".

No matter how small a mosquito is, it is still meat.

If one day, a mosquito suddenly grows into an elephant, wouldn’t that be a huge win?

Seeing that others were vying for the market, Wen Jiatao naturally would not give it up, so he promised Luo Qihong that he would definitely develop the mainland market and use low-cost ready-made clothes as a breakthrough. Soon, Luo Qihong received a report on the situation of Hong Kong industry submitted by his subordinates, which was quite detailed.

There are 1237 textile and garment companies, including dozens of companies like Nanyang Cotton Mill, with an export value of more than 3 billion yuan, and 967 electronic manufacturing companies with an export value of more than 2 billion yuan.
For example, Aimego, owned by Liu Luanxiong, is just a medium-sized enterprise, and Nengda Technology, owned by the Zhuang family, is also a medium-sized company. This shows the prosperity of Hong Kong's industry.

Although Hong Kong's electronics industry at that time was limited to the assembly and manufacture of simple products such as radios, tape recorders, electronic watches, and calculators, many companies had already begun to transform and set their sights on advanced electronic products such as multi-layer circuit boards, advanced communication equipment, and audio equipment.

Luo Qihong wants to package these products and sell them to the US and European markets. However, Hong Kong's current electronic products are still not as good as those from South Korea and Japan. However, they can first occupy the low-end electronic product market and then move towards the mid- to high-end market.

He wondered if he could take advantage of this prosperous period to enter Hong Kong's electronics industry and become a high-tech tycoon in the future.

Soon, he rejected this idea because the competition in the electronics field was fierce. It would be difficult for him to build an electronics empire with his current financial resources. Moreover, his energy was limited and his main businesses were still in the four areas of energy, investment, trade and real estate.

Except for energy and gas, the other three aspects are of average scale and still need vigorous development and huge funds.

If he adds an electronics industry, he is worried that it will not be big enough and will affect the development and expansion of other industries.

After all, you can't bite off more than you can chew, so it's better to focus on your current industry.

And as long as he has sufficient funds, he can use the funds to acquire a medium-sized, potential electronic manufacturing company, and then slowly grow and develop it.

After thinking it through, Luo Qihong let out a long sigh, "Don't be greedy! Greed leads to poverty!"

When I got off work in the evening and returned to my residence in Ulsan Garden in the Mid-Levels, Lin Ya was cooking dinner and Luo Zegui was helping her. The couple were chatting and making eye contact, looking very happy.

When Luo Qixing saw Luo Qihong coming back, he hurried into the room and took out a stack of documents.

"Ah Hong, these are the information of the printing company. Please come and help me choose one." Luo Qixing had an awkward smile on his face. He felt that Luo Qihong had been busy at the company all day, and it seemed a bit too much for him to help him when he came home.

Luo Qihong signaled his elder brother to put down the documents, and he picked up one and started to read it.

"Brother, what kind of printing company do you want?" Luo Qihong asked casually.

It can be said that it is not necessarily possible to find a company that meets the conditions.

Luo Qixing was silent for a while, and after thinking it through, he answered, "It doesn't need to be too big. A medium-sized to small company with a market value of about 1 million yuan will do. If the scale of the acquired company is too large, I'm worried that it will become the main player, and it will also increase the company's debt and cause operational difficulties."

"But after I looked through the information, it seems that there are not many companies that meet my requirements. It is difficult to successfully acquire companies that meet my requirements."

The acquisition of a non-listed company is difficult and must be approved by the major shareholders. Otherwise, it is easy for the acquisition to fail and be in a stalemate, like food stuck in the throat when a person is swallowing.

The funds are stuck in the acquisition, which means that no profit can be made, but if the funds are sold, there may be losses.

This situation was extremely uncomfortable and Luo Qixing could not bear it, so he asked Luo Qihong to help him choose. This way he could have an explanation and easily get support.

(End of this chapter)