The Grandmother in the Siheyuan

Chapter 396 Inspiration
Liu Hua tapped the table: "I don't know if you understand, but I want to tell you that scientific development is not achieved overnight, nor is industrial development. When all preparations are complete, we will make rapid progress. That will be called a natural outcome. If we are still at the lowest point now, looking at the highest point, and then say that we want to climb up in one step, that is called being overly ambitious."

The chief engineer said with a troubled expression, "I'll have someone do market research right away, but market research takes time. Our biggest problem right now is that we don't have enough time."

Liu Hua smiled and said, "Then I'll have to teach you a clever trick."

"In the United States, Japan, and even us, there is an association called the Machine Tool Association," Liu Hua said with a smile. "These associations release a report every year to summarize the work of the previous year. From these summaries, we can see a lot, such as the development trend of machine tools and the mainstream of the market."

The chief engineer stood up abruptly: "Hey you, get me the reports from the machine tool associations of all the major industrialized countries in the world right now. If you don't have them, find them through the foreign affairs department."

The first report that came to us was naturally from our country's machine tool association. Pointing to the detailed data in the report, Liu Hua said with a smile, "Look, look, this is the most detailed market research. It shows which machine tools sell well and which don't, and what kind of machine tools we need. It's all very clear."

"It's so convenient, it saves us a lot of trouble."

"Don't try to take shortcuts, or you'll easily run into trouble." Liu Hua shook his head: "This only shows the direction of machine tool development. How to operate and use machine tools, you still have to ask the workers. We design machine tools for them to use in the end, and they have to conform to their habits. If you design a machine tool that caters to the market, but it is inconvenient for workers to use and their work efficiency is not high, the factory will not buy it in the end."

On the first day of the project initiation meeting, no technical details were discussed; Liu Hua simply gave them a general interpretation of the report.

After Liu Hua's explanation, these people suddenly realized that the report, which was written in a vague and official style, contained so many practical truths.

After two days of brainstorming and discussion, everyone unanimously decided on what kind of machine tool Shenyang Machine Tool Group (SMTG) will produce in the next two years.

The chief engineer looked at the detailed design report of the machine tool and shook his head: "I didn't expect that the final machine tool would be like this. The technical content is not high, and our factory's technical strength is fully capable of meeting the requirements."

“It’s like being in a completely different field. You’re designers, you don’t understand the market.” Liu Hua shook his head: “But if you ignore the market and design on your own, you’re just reinventing the wheel.”

After working at Shenyang Machine Tool Plant for half a month, Liu Hua helped arrange all the design work.

The chief engineer remarked with emotion, "As expected of someone who has served as deputy chief engineer for several national-level projects, I am truly humbled by this work assignment."

On the day the project proposal was officially approved, the leaders of Shenyang Machine Tool Group invited Liu Hua to drink again. However, this time no one dared to force him to drink. The person who was forced to drink last time and ended up in the hospital has not yet recovered.

"Engineer Liu, thank you so much, thank you so much." The factory manager said excitedly, holding Liu Hua's hand, "Without your guidance, we would be stuck in this vicious cycle forever, unable to extricate ourselves."

Liu Hua humbly said, "What I say may not be correct. Whether it works or not, we'll have to see how the market tests it."

"After seeing the report, I discussed it with the marketing department, and it's very feasible." The factory manager sighed, "If only we had grasped this spirit earlier, we wouldn't be sitting in the warehouse with so many machine tools that we can't sell."

"is it a lot?"

"There are too many. There are backlogs every year, and some machine tools were even produced ten years ago."

"We need to figure out a way to sell it."

The factory manager shook his head: "There's no market for it. Even if the price is dirt cheap, people won't buy it. They'll just treat it as garbage because they don't have anywhere to put it."

"The market can always be developed with hard work."

The factory manager's eyes lit up: "Engineer Liu, now that you're running a business, you must have some experience in market development. Could you give us some inspiration?" Liu Hua nodded: "Then I'll say a few words."

While they were still at the table, a dozen or so people suddenly started clapping.

Liu Hua took a sip of his drink: "You guys are too closed-minded. You couldn't resist the invasion of Western companies when making machine tools, so you feel that you are very backward."

"Of course, if we hadn't fallen behind, this product wouldn't be unsellable."

Liu Hua shook his head: "You need to understand the whole world. There are only so many industrialized countries in the world. Don't think that foreigners are so great. There are many countries in the world that can't even produce a woven bag."

"You mean you want us to develop overseas markets?"

Liu Hua nodded: "South America is America's private territory, and those countries aren't that poor, so forget about it. Africa and the Middle East are a treasure trove."

"What do you mean?"

The factory manager felt like he was about to develop a brain, but his scalp was itchy, and he couldn't figure out why.

Liu Hua asked with a smile, "Do you know Peshawar?"

The factory manager, who frequently reads newspapers, roughly knew that this was a provincial capital of Pakistan.

"I've heard of it, but what does it have to do with Peshawar?"

"This place is famous for its gun manufacturing."

The internet is not very developed yet, so there are some things that most people don't know about.

"The guns manufactured here are basically shaped bit by bit using very old machine tools," Liu Hua said with a smile. "The machine tools they use are probably from before World War II."

"You mean, we'll sell the machine tools over there?"

Liu Hua nodded: "I'm just trying to inspire your thinking. In many places in the Middle East and Africa, there is also a demand for industrial manufacturing. It's just that there are only a few countries that want to buy machine tools. Machine tools from the US, Japan, and Europe are too expensive. These places simply cannot afford them."

The factory manager suddenly realized: "Our machine tools are sturdy, durable, and inexpensive, which perfectly meets the needs of the local market."

Liu Hua clapped his hands: "Got an idea now? There's no way for people to make money outside of their understanding. Once you understand this world, you'll find that there are markets everywhere."

The factory manager smiled and said, "I understand. I will recruit a group of sales personnel to go to impoverished places like Africa and the Middle East to promote our products."

“Let’s do a comprehensive project,” Liu Hua said with a smile. “There are also wealthy people in those places. They want to make more money to help build up the infrastructure. They won’t be stingy with money and gold.”

(End of this chapter)