Mixed in 1980

Chapter 153 What a profit!
“Is there a market for the Awakening Age in Hong Kong?”

Chen Fan was unsure about Zeng Ali's question: "How do you know if you don't try? Don't you think this is interesting?"

Zeng Ali blinked and nodded slightly.

It is indeed very interesting. The British devils are in charge over there. Will the release of "Awakening Age" make them furious?

This is also very challenging because the environment is different. Although "Awakening Age" is a hot seller in mainland China, readers in Hong Kong may not necessarily accept it.

To accomplish this, some other means may be needed.

But inexplicably, Zeng Ali had confidence in Chen Fan. Even though "The Matrix" had an even worse start, it still became a bestseller.

After packing their luggage, the group headed for the airport early the next morning. They were accompanied by five people from the research group, led by Professor Cao Weidong, a well-mannered man in his forties.

The remaining four are his graduate students.

"Professor Cao, sorry to have kept you waiting!"

Chen Fan quickly stepped forward to say hello. Having worked with the research group for two semesters, they were all very familiar with each other and there was no sense of strangeness.

Cao Weidong smiled and said teasingly: "Okay, don't be polite, you are the boss from now on, and we are just slaves to you."

"What you said is true. When you come to Hong Kong, you are a distinguished guest. Who dares to neglect you?" Chen Fan was annoyed. He was not welcome in the research group.

The main thing is that they don't do anything themselves, but always find things for them to do. No one likes that.

"Then it's up to you to arrange." Cao Weidong nodded with a smile.

This guy likes to treat people like beasts of burden, but he is really particular about his work. When he comes to the research group, he either brings tea, snacks, or seasonal fruits, and he rarely comes empty-handed.

Chen Fan said that he would arrange the trip to Hong Kong, and everyone believed him. This turned out to be true. The plane landed in Hong Kong, and as soon as we got out of the airport, there were people outside to greet us.

It's two women!
The one with short hair, named Li Hongying, is a shareholder of the publishing house and has the aura of a strong woman; the one with long hair, named Qiu Wenxin, is the general manager of the publishing house and is dressed in a professional suit and looks quite capable.

After chatting, everyone carried their luggage and boarded a minibus. Soon they entered a residential area and were arranged to stay in a luxurious three-bedroom apartment.

The house is equipped with color TV, fan, refrigerator, air conditioner, washing machine, etc., and various foods, drinks and beer are prepared in the refrigerator.

It can be seen that Chen Fan's arrangements were very thoughtful.

"Professor Cao, you guys take a break first. We'll go out for dinner in half an hour. I live in the house opposite. If you need anything, just call me."

After giving instructions, Chen Fan turned around and went to the house opposite. This time he came mainly to do some business, which would take a long time. Chen Fan didn't want to trouble Li Hongying, so he asked Qiu Wenxin to rent a house.

This place is also close to the company. You can reach the publishing house in just a few minutes by walking downstairs.

The house also has three bedrooms. Chen Fan and Xu Jinqiu sleep in the master bedroom, while Zeng Ali and Zhao Yuanyuan each have a guest bedroom. It is quite spacious.

"Mr. Qiu, after dinner, take Professor Cao and the others to go shopping. Change their clothes and buy a few more sets for each person. Pick out famous brands."

Clothes make the man, and saddles make the horse. When you come to Hong Kong for business, your attire is still very important.

The members of the research team entered the company in the name of economic consultants. If they were dressed casually and met people who flattered the powerful and looked down on the weak, they would probably not be taken seriously.

"Okay, Mr. Chen!" Qiu Wenxin agreed quickly.

At this moment, she was filled with a sense of crisis. Li Hongying had already mentioned to her that the publishing house would implement a rotating president system in the future.

Although she didn't understand what was going on, it definitely had an impact on her work. Li Hongying also poached two people from other publishing houses, both of whom will serve as rotating presidents.

Qiu Wenxin is most worried now that Chen Fan will kill her and let her go.

Seeing Qiu Wenxin's worry, Chen Fan did not explain. It was better to let her worry for a while so that she would not think that the publishing house was doing well and have inappropriate thoughts.

Chen Fan boiled the water, brewed a pot of hot tea, and poured it for everyone: "Mr. Qiu, please introduce the current situation of the publishing house."

Qiu Wenxin sat up straight and reported seriously.

Since the successful release of "The Matrix", the publishing house has developed rapidly and the number of employees has exceeded one hundred.

The publishing house currently has three major projects, among which "The Matrix" is the largest and most profitable.

"The Matrix" mainly sold in Hong Kong. The first part sold 120 million copies, and the second part sold 115 million copies. Local distribution also had the highest rate of return, with an overall profit of about 15%.

With a price of HK$25 per copy, the first two films of "The Matrix" earned as much as HK$881 million in Hong Kong.

This is the publisher’s profit.

Chen Fan also receives royalties, which is 10% according to the agreement. He earns HK$2.5 for every copy sold, which adds up to HK$587 million.

After deducting 17% of the royalties, the net income is HK$487 million, which has been deposited into a personal account.

As for overseas distribution, copyrights are basically sold in the form of a buyout. If you still want to share royalties, with the current statistical and regulatory capabilities, you probably won't get much money.

To put it bluntly, if someone wants to cheat and settle accounts, it will be impossible to trace them. Even if you can trace them, it will be difficult to protect your rights in someone else's territory.

It would be better to buy it out.

Just like Hong Kong movies, when the copyright is sold to overseas, they basically do not participate in the box office dividend, and are all sold out.

At this point, Qiu Wenxin took out a report that detailed the partners in each country and region, as well as the copyright price. The population base, number of readers, and book prices are all different in different regions, and the price difference is also very large. In general, the income is still very considerable.

The copyright income of the first part of "The Matrix" was relatively low, but it still earned 300 million US dollars. The price of the second part has risen to 500 million US dollars.

Chen Fan didn't know how to comment on this part of the income.

It’s not a small amount, but it’s not that small either. The two films together cost 800 million US dollars, which is undoubtedly a huge sum of money in those days.

But if you say it's high, it's just that. After all, it is distributed globally, and this is the income of the publishing house, not the income of the writer himself.

Compared with the income of later best-selling authors, it is probably just a fraction.

According to the agreement between Chen Fan and the publishing house, he can get 20% of the profits from overseas distribution, which is 160 million US dollars. After deducting the royalties, he will receive 132 million US dollars, equivalent to 660 million Hong Kong dollars, which has also been deposited into his personal account.

Chen Fan put down the report, took out a cigarette and lit it.

The publishing house is stable in Hong Kong, but when the books are distributed overseas, the bulk of the profits are still taken away by overseas distributors.

If you want to capture more profits, you must expand overseas and establish publishing houses.

After taking a few puffs, Chen Fan looked at Li Hongying and said, "Sister Ying, do you think the publishing house should stick to the Hong Kong market or go abroad?"

Hearing this, Li Hongying was stunned.

I quickly understood what Chen Fan meant. Going out is certainly a good thing, but it is not an easy thing to do. If you are not careful, you will lose everything.

The fastest way to go global is to acquire a publishing house. Not to mention how much it will cost, the operation after the acquisition is also a big problem.

To support a publishing house, you have to sign books everywhere to keep it going. You can't just sell Chen Fan's books after the acquisition, right? That won't be enough to support a publishing house.

However, Li Hongying was not happy about the bulk of the profits being taken away. She thought for a while and said, "Let's find a pilot area and try it out. Which area do you think is suitable?"

"The United States!" Chen Fan said without hesitation.

In the future, when I write novels with big IPs, the main markets will still be Europe and the United States. If I can gain a foothold in the US market, the profits I will get will be huge.

After thinking for a while, he added, "I'll come up with a plan later, but there's no rush. I just need to complete the acquisition before my next book comes out."

"Then make a plan first."

Li Hongying hummed and looked at Qiu Wenxin: "Mr. Qiu, please continue the introduction."

Qiu Wenxin nodded and introduced the company's second project, which was a project involving five writers recruited from the mainland to engage in borderline literature.

It must be said that this project was indeed a success.

Although there has not been any big hit, each book has sold more than 30 copies. So far, three books have been released, and the total sales have exceeded one million.

The book is priced at HK$15. After deducting operating costs, the net profit is about 10%. The company earns up to HK$150 million, which has formed a very stable profit point.

In addition to that, there is the third project, in which we signed some works by new writers. Overall, we are basically breaking even, but we can support some people.

Chen Fan is very satisfied with the current situation of the publishing house, and even feels surprised. After all, at the beginning, he did not expect the publishing house to make so much money.

After the chat, Chen Fan took out The Awakening Age and said, "It will be difficult to distribute this book in Hong Kong. Take it back and have a look, and then come up with a promotion plan."

"Okay, Mr. Chen!"

Qiu Wenxin took the book and put it carefully into her bag. At this time, the three girls had packed their luggage and walked out. Chen Fan suggested going out for dinner first.

Chen Fan was absolutely willing to spend money on this. He directly entertained the research team at the Peninsula Hotel. After the meal, he asked Qiu Wenxin to take the research team shopping to buy equipment.

Get your hair done too!
After returning home, Xu Jinqiu made a pot of tea and said, "You should be more restrained. Qiu Wenxin is always trembling in front of you, afraid of saying the wrong thing."

"We can't stay in charge of the company for a long time. If we can't convince people with virtue, we can only use intimidation to prevent them from having any wrong thoughts."

Chen Fan stretched and drank a sip of hot tea. "It will be fine once the rotating president system is implemented. With power dispersed and mutual supervision, and Sister Ying watching over us, there won't be any big chaos."

Xu Jinqiu nodded and said no more.

If you don’t understand, don’t get involved!
This is what she has always insisted on. There is no need for the couple to get involved in their careers, because it is not worth it to have disputes over career matters and disrupt the relationship between the couple.

"How can I be like you? You're scary no matter where you sit." Zhao Yuanyuan sat over and stared at Chen Fan curiously.

This person is not usually like this.

Whether at home or at school, he is easy to get along with, and sometimes even shameless. But when he arrives at the publishing house, he is like a different person.

Chen Fan glanced at her and laughed.

You are a cute little girl, learning this? I'm afraid you won't be able to succeed in your next life.

After thinking for a while, Chen Fan looked at Zeng Ali and said, "It's useless to learn from me. You might as well learn from my elder sister. Look at what she does outside. Just follow her example."

"What am I like outside?" Zeng Ali gritted his teeth.

PS: The first update is here. It’s the end of the month. Do you guys still have tickets? Please help!
(End of this chapter)