A century-old wealthy family that rose from Shanghai

Three months later.

At Kai Tak Airport, Hong Kong Airlines welcomed the delivery of two Boeing 707s. Attendees included not only Chan Kwong-leung, Chairman of the Global Group, and Chan Kwong-chung, General Manager, but also Sanders, a representative from HSBC, both of which hold a 50% stake in Hong Kong Airlines. In addition, Governor of Hong Kong, John P. Clarke, and some celebrities also attended the Boeing 707 delivery ceremony.

The Boeing 707, capable of carrying 219 passengers, was exceptionally large, making many people realize that passenger planes could be so big.

At the scene, Perry asked, "I heard that Hong Kong Airlines was the first overseas airline to use the Boeing 707 aircraft?"

At this point, Boeing's representative, John, said, "Yes, Your Excellency. We are very grateful for Mr. Chan's support of Boeing, so after they placed their order, we specifically squeezed two aircraft out of Pan Am's order for Hong Kong Airlines. Currently, many airlines in the United States have put the Boeing 707 into service, but Hong Kong Airlines is indeed the first airline outside the United States to use the Boeing 707."

At this point, the United States represents power.

Although the Boeing 707 only made its first commercial flight last year, and Pan Am only began commercial operation this year (1959), it undoubtedly inspires great confidence.

At this moment, Swire Airlines' Schjok showed a complex mix of regret on his face.

Under the leadership of the Worldwide Group, Hong Kong Airlines has actually made some good changes in the past two years; if these two Boeing 707 aircraft are also successful, then Hong Kong will have two successful airlines.

At this time, Perry was naturally very supportive of Hong Kong Airlines, saying, "Hong Kong Airlines has made great changes in the past two years, and I hope it can gradually improve and become one of the representatives of Hong Kong Airlines."

Everyone applauded.

Even some British representatives who were dissatisfied could only keep their grievances to themselves.

In order to acquire Hong Kong Airlines, Chan Kwong-leung not only had his British brother Chan Kwong-chung represent him, but also enlisted former British Prime Minister Winston Churchill to support him, in order to circumvent the Hong Kong British government's regulations that Hong Kong Airlines belonged to British citizens.

Of course, Chen Guangliang's behavior was not unseemly; even though his younger brother was a British citizen, he still gave up half of his shares to HSBC.

In the past two years, Chen Guangliang has made only two decisions at Hong Kong Airlines:
First, Hong Kong Airlines adopts an Asian-style uniform, without emphasizing Hong Kong characteristics. For example, Japanese airline flight attendants wear kimonos, and Korean airline flight attendants wear imitation Hanfu (traditional Han clothing). Hong Kong Airlines, on the other hand, has modern flight attendant uniforms, including stockings and high heels. More importantly, Hong Kong Airlines recruits flight attendants from Japan, South Korea, and Hong Kong, allowing them to adapt to the language and other needs of customers from different regions.

Secondly, they purchased these two Boeing 707s to compete with Japanese and Taiwanese airlines for customers.

Later, two Boeing 707s officially entered commercial flight, with pilots who had already received training in the United States. The routes they joined were Tokyo, Japan, and Taiwan, as these were the routes with the highest passenger traffic.

After the meeting, Hong Kong Airlines held a board and management meeting.

At the meeting, Chen Guangliang looked at the room full of British managers. He, his brother Chen Guangcong, and a Chinese executive were the only ones present, and he didn't have any particular thoughts.

British management talent can also be utilized by him, including many foreign talents who have joined the four major group companies.

Then, Chen Guangliang said:

"While developing the aviation industry, Hong Kong Airlines can also develop related industries to achieve greater scale. Although Swire and Jardine Matheson have already taken the lead in Hong Kong's aircraft maintenance companies, there are still industries that Hong Kong Airlines can develop. First, there is airline food and beverage. If passengers can enjoy delicious food on the plane, it will undoubtedly be a pleasant journey. Second, there is airport service. With the increase in passenger traffic at Kai Tak Airport, there is an urgent need to improve the quality of service, and Hong Kong Airlines can enter into security, ground handling and other businesses."

"Malak?"

When Hong Kong Airlines CEO Mike met Chen Guangliang's imposing gaze, he quickly nodded in agreement.

"Bruce?"

The vice president nodded quickly.

Chen Guangliang then said, "Alright, I need to see the report in two weeks. You can't refuse."

The matter was settled so easily.

Sandas couldn't help but marvel at Chen Guangliang's immense influence.

In Hong Kong, the HSBC conglomerate's influence is already lower than that of the four major conglomerates led by the Chan Kwong-leung family. Even if HSBC wanted to do something shady, it would have to consider Chan Kwong-leung's global influence and unfathomable wealth.

Take Ping An Bank for example. It is tied to the other three major Chen family conglomerates and has a powerful backer, making it unshakeable by HSBC.

Of course, HSBC is much larger than Ping An Bank; moreover, HSBC also has influence in the UK and Europe.

On the weekend, Chen Guangliang's father-in-law, Yan Zhiduo, came to visit with his brother-in-law, Yan Zuhe, and others.

Yan Zhiduo, sitting on the sofa, sighed and said, "We have to thank our son-in-law. Otherwise, we would have had to sell the stocks at a loss last year, which would have resulted in a loss of at least four or five million Hong Kong dollars. Now, not only have we broken even, but we've also made a considerable profit on paper."

This stock market downturn began in the second half of 1957, reaching its lowest point in the first half of 1958, with losses amounting to about half. Yan Zuhe had borrowed money to invest in stocks and almost lost everything.

Although it was Yan Renmei's private savings that she lent out, without Chen Guangliang's guidance, the Yan family would likely have suffered significant losses; not only did they lose four or five million in the stock market, but they also had to sell their real estate at bargain prices.

Chen Guangliang laughed and said, "You learn from your mistakes. As long as you don't invest with debt, those stocks will actually bring considerable returns if you consider long-term investment. In the United States, Wall Street calls this 'value investing,' which I also highly recommend."

Yan Zhiduo asked curiously, "Are all those stocks good things?"

Chen Guangliang said, "It's absolutely a great product, much better than investing in a bank."

Although Yan Zuhe was adventurous in his investments, the stocks he chose were mostly 'franchise' companies, such as CLP Power and HK Electric, which were naturally good stocks.

Yan Zhi nodded and said, "Well, then there's no need to sell them all; some can remain in the trust company."

The 'Yan Family Trust Fund' is supervised and advised by Ping An Bank, and Yan Zhiduo is currently in charge of it personally. After his death, his two sons and descendants will receive a certain amount of living expenses every month, which will be enough for the family to prosper for a long time.

This trust fund owns prime properties in two buildings: one at 10 Ice House Street and another in Mong Kok, both of which are currently under construction. The funds are partly financed by loans from Ping An Bank, with repayments made through rental income from the trust fund.

Later, Yan Zuhe handed Yan Renmei a check, which was the money he had borrowed.

"There's interest too?"

Yan Zuhe quickly replied, "Yes, there's always interest on loans, and I've made quite a bit of money from stocks."

When it was at its lowest point, it fell to less than 50%, so he naturally lost four or five million; now it has not only risen to the peak of 1957, but also exceeded it by a lot, so he has made a profit of nearly ten million.

"Don't leave anything behind; get up from where you fell."

Yan Renmei couldn't bear it in the end. Her own brother was stripped of all his rights and could only enjoy a portion of the trust fund. Her other half-brother, on the other hand, was running a successful factory. Although her husband helped him, he was now the owner of a factory with at least several hundred employees.

Yan Zuhe was somewhat tempted, but still said, "Assisting Father in managing the trust fund is also a good idea!"

Seeing his mother's intentions and his uncle's reluctance, Chen Wenjie stepped forward. "Uncle, how about we invest some capital and partner with our Cheung Kong Group to develop real estate?"

Upon hearing this, Yan Zuhe withdrew the check and did not accept it, nor did he accept Yan Renmei's offer.

"Of course we want to do it, after all, cooperating with Cheung Kong is a great learning opportunity."

For a long time, the Yan Zhiduo family's real estate company has mainly focused on investing in real estate, rather than engaging in residential development.

Hearing his nephew's words, how could Yan Zuhe not be tempted?

Chen Wenjie smiled and said, "Then let's talk in the office later."

Yan Zuhe nodded quickly.

He understood that his nephew was afraid of embarrassing him, so he arranged another time.

In reality, Chen Guangliang had no interest in these matters and was busy chatting with Yan Zhiduo.

Of course, Chen Guangliang was quite satisfied with his eldest son's actions.

Although Yan Zuhe failed, investing is essentially a gamble, and he is not an idle person. If he doesn't have his own career because of this, then he will truly become a "second-generation lazy rich kid".

Now, with the money, he can buy some land with Cheung Kong Holdings, develop and sell pre-sale apartments, make some money, and then make a comeback.

A trust fund is merely a safeguard for a family, not a business for each member.

That day, the Yan family returned home laden with spoils.

The following day, Chen Guangliang summoned several advisors from Ping An Bank, including Ye Ximing, Xia Gaoxiang, Zhang Shounian, and Du Weifan.

"I want everyone to create a 'Safety Index' that reflects the Hong Kong stock market. We will select 30 stocks from the Hong Kong-listed stocks, each representing a different industry theme, and use the rise and fall of these stocks to reflect the situation of the Hong Kong stock market."

Upon hearing this, everyone immediately became very interested.

Ping An Bank is now undergoing a second-generation management transition, with Zhang Shounian succeeding Ye Ximing as the group's vice president, who is also the de facto head of the group. Meanwhile, senior executives from Hong Kong or Guangdong are also taking the stage.

Ye Ximing spoke first: "This idea! With the rapid growth of Hong Kong's economy, the stock market has also become very hot, especially this year. Since the beginning of the year, many stocks have reached new historical highs. Ping An Bank's creation of the 'Ping An Index' will not only benefit the Hong Kong securities market and investors, but also serve as a way to enhance our bank's reputation."

Everyone agreed, and the matter was thus settled.

Everyone present today, regardless of who they are, is a seasoned banker with formal training; their abilities are far superior to those of self-taught individuals like He Shanheng.

Therefore, fabricating a 'safety index' is a given.

However, after Hong Kong Airlines adopted the Boeing 707 for its Tokyo and Taiwan routes, it immediately became popular among travelers between the three regions. Furthermore, Hong Kong Airlines' provision of meals further solidified its position as a top choice for travelers.

The Hong Kong British government implemented a reciprocal system of "one route, one airline". For example, on the route to Tokyo, Hong Kong was operated by Hong Kong Airlines, while Japan could only send one airline, namely Japan Airlines.

Therefore, on a single air route, it is essentially a competition between two airlines from different locations.

So, which airline offers the best service, whose flights are the most comfortable, and whose flights are the most punctual? These are all reasons why customers have limited choices.

After Hong Kong Airlines adopted the Boeing 707, it immediately established an advantage on routes to Tokyo and Taiwan.

As Japan Airlines operates two of its most important routes in Asia (the other being Taipei, both of which were opened in 1954), Japan Airlines quickly convened a meeting to address this situation.

"We are already lagging behind on the Hong Kong route, and we cannot sit idly by and wait for our demise!" shouted Ichiro Koizumi, president of the company, at the meeting.

Japan Airlines flight attendants provide service while kneeling, which exemplifies the excellence of the Japanese service industry.

However, Hong Kong Airlines' service is also excellent, and it embodies the 'Asian spirit,' abandoning local characteristics, which makes it more suitable for a diverse range of customers.

"They chose the Boeing 707, which greatly increased passenger capacity," said senior executive Yasui Kameo. "We can only reverse this situation if we immediately purchase Boeing 707s."

A senior executive objected, saying, "It's still uncertain whether the Boeing 707's technology is mature. Not to mention, most of the current Boeing 707 orders are from American airlines; moreover, even if we get the orders, the Hong Kong route isn't the most important."

Ichiro Koizumi said, "No, the Hong Kong route is very important! The Boeing 707 is a product of the American company Boeing. American products are certainly not like British products (referring to the Comet aircraft). I believe it will be very stable."

Subsequently, everyone unanimously agreed to purchase the Boeing 707!

Hong Kong Airlines' success on the Tokyo and Taipei routes has boosted Hong Kong's aviation industry and drawn cheers from Hong Kong citizens.

Hong Kong Airlines' popularity soared overnight.

Cathay Pacific.

Schjork convened a management meeting and said, "Purchasing the Boeing 707 is a topic of discussion for Cathay Pacific. Although this aircraft only entered commercial operation this year, its excellent performance and passenger capacity are exactly what Cathay Pacific needs."

This statement was met with approval from many high-level officials.

Although Cathay Pacific and Hong Kong Airlines operate different routes, Cathay Pacific has more routes (Singapore, Malaysia, Australia, Europe, and the Americas), so it certainly cannot lose to Hong Kong Airlines in terms of routes.

"We bought four aircraft at once, which greatly enhances our competitiveness on the routes."

"Yes, four aircraft will be procured."

Soon, everyone reached an agreement, just like an 'arms race'.

At this point, a senior executive said, "Hong Kong Airlines recently established an airline food and catering company. We cannot let them dominate this field; we must join immediately."

Upon hearing this, Schjok immediately said, "Yes, Chan Kwong-leung's ambitions are quite large. It may seem like just a small airline food and catering company, but once he gets the franchise, we won't have a chance to enter the market. So, we need to set up this project team immediately, and on the other hand, we need to communicate with Kai Tak Airport. We absolutely cannot allow Hong Kong Airlines to dominate this field. After all, we are the largest local airline in Hong Kong."

"it is good"

Cathay Pacific employees aren't stupid; they all know that although this industry is still in its infancy, they can see its potential. (End of Chapter)