I am a master in India

Chapter 235: Open Plank Road

Chapter 235: Open Plank Road
"Boss, then why did we spend millions of dollars to buy NEC's production line?" Ashish asked, puzzled.

"Because this is the technology we need to build up for the next few years; LCD TVs are something we need to consider ten years from now."

“Oh,” Ashish suddenly realized, “so black and white television is the first step!”

"That's right. The University of Tokyo has a mature black and white television production line, so their prices must be cheaper than the Japanese's."

A 14-inch color television can cost as much as 20,000 rupees in India, while the price of a new 21-inch color television is more than double that.

This is still a "cheap" product produced by a local assembly plant. If it were an imported TV from Sony or Panasonic, it would be normal for the price to double.

How many Indian families can afford to spend 20,000 rupees on a color television? Probably not even a million.

The market is too small; Suer Electric Appliances wouldn't have much of an advantage if it tried to squeeze in now.

They ultimately lack experience, and it will take them at least two or three years to fully grasp NEC's technology.

Ron was unwilling to wait in vain, let alone invest two million dollars.

Black and white televisions are much cheaper, costing less than 10,000 rupees.

This is not unbearable for most families in Mumbai.

A cost-effective approach is more affordable, which is Suer Electric's forte.

However, things need to move quickly. As policies become more relaxed, other domestic electronics manufacturers in India are also seeking to localize television production.

As far as he knows, the two brands, Videocon and Onida, have been making a lot of moves recently.

They used to be an assembly plant, but they assembled loose parts, which didn't involve much technology.

It's basically the model LG wanted to play: all parts are imported from abroad, and finished products are shipped from factories in India.

The only difference is that Videocon and Onida are allowed to put their own brand on their products.

But without a doubt, the profit margin on this type of television is extremely low, with the lion's share going to foreign manufacturers.

If India fully opens its borders, or if a strong domestic competitor emerges, then bankruptcy is inevitable for them.

Lacking advantages in technology and cost, defeat was inevitable.

These two brands have recognized this and are now in negotiations with foreign companies to introduce real technology.

Suer Electric needs to be fast, at least faster than its two competitors.

Looking at the world, which country has the most efficient and quickest workers?
Of course it's the University of Tokyo! The speed of China's development is renowned worldwide.

“You personally lead the team to find a manufacturer willing to sell us the entire production line. As long as the technology is mature, the price is negotiable; we'll buy it in US dollars.”

"Boss, can they really get TVs sorted out there?" Ashish was a little skeptical. In his mind, East Asia University was not as good as India University.

“It’s 94 now, not 49,” Ron chuckled. “I’m sure their technology is more than enough for India.”

"So what's our bottom line?"

"$50, and we also promised them that the picture tubes and circuit boards would initially be sourced from Dongda University. The production line for the core components will be discussed later."

Ashish gasped; he could already sense his boss's growing ambition.

This is a factory that is being prepared for construction, including core components, and will be a complete television factory.

“I know what to do,” Ashish thought to himself.

"If there are any problems during the negotiations, feel free to call me via satellite phone."

Ron plans to have Ashish set off in the next couple of days, the sooner the better.

He also had to thank the Japanese for reminding him that his hometown had long been adept at using black and white televisions.

The entire industrial chain has been established, including some of the most critical components.

The reason he felt comfortable purchasing the production line from Dongda University was because he knew there were no risks in the supply chain.

India doesn't have the capability to produce picture tubes and circuit boards, but Tokyo University can.

It's better to buy than to build; let's do that for now.

Ron provided Ashish's team with translators, technical experts, and various other personnel.

With the prestigious Sur campus, top talents from the University of Mumbai and the Indian Institute of Technology are flocking to submit their resumes.

That vast construction site, with its ever-rising concrete framework, is proof of our strength.

Running a business requires a low profile, and Ron doesn't mind if Kavia brags about herself a few more times in the newspapers.

Ashish had barely left when NEC's negotiation team returned to Japan satisfied to report back.

Very good, a two-pronged approach.

He wanted both color and black-and-white televisions.

"You haven't been coming to see us much lately, have you?"

"As you know, Suer Electric is in talks with the Japanese for cooperation. Those short guys have a lot on their minds."

“Wow, a Japanese person.” Mary raised an eyebrow, her expression one of disdain.

"Did they offend you?" Ron asked, somewhat puzzled.

"Yes, but it didn't last long," she chuckled.

"Okay, I knew it." Ron shrugged. The relationship between the bear and the little guy wasn't exactly good.

“We’ll discuss this in detail after Director Chopra finishes filming this scene,” Mary said, staring at the film studio in the distance.

Today we're filming the finale of "Before the Storm," and Chopra has a habit of destroying the set at the end of the film.

The enormous set before them, which cost a whopping 800 million rupees, was now to be burned down.

Just imagine how exciting it would be! Not only was Ron curious, but many Mumbai officials also came to watch the spectacle.

Chopra, in his early forties, is tall, energetic, and wears his signature baseball cap on set.

It wasn't because he liked sports; it was purely to cover up his slightly thinning hair.

He held the microphone and yelled at the crew, warning them that they had to get it right in one take because the set could only be burned once.

To be honest, the environment here isn't great. It's late April now, and the weather is hot. The microorganisms in the water near the film studio are rotting and decomposing, constantly emitting a strong stench.

Chopra and the crew worked here for over a month, trying to control the water, fog, and wind to their ideal state, until they were so saturated with the stench that no amount of showering could completely remove it.

The smell of gasoline wafted in the wind from time to time; it was fuel from an explosion, a full 750 liters of gasoline.

After confirming that all the camera positions were set up, Chopra shouted into the microphone, "Action!"

Boom! The specially constructed ten-story-high shed was engulfed by a raging pillar of fire.

The explosion caused rubble and ash to fall like rain, which was then blown into people's eyes by the wind, and the crew members scattered.

Because Chopra was too close, the force of the explosion sent him flying backward.

Tense exclamations came from the loudspeakers, and soon commands came from the studio's loudspeakers.

"Quick, get some ice! The director's butt's injured!"

Ron laughed heartily, and then pulled Mary and the others by the hand and ran up the hillside next to the artificial lake.

The fire was so big that even from this distance, you could hear the gas pipes on set bursting one after another.

People standing on the hillside can clearly see flames of various colors shooting up from all directions.

Various burning props fell from the sky and set the ground ablaze, creating a spectacular scene.

The panicked crew members ran in all directions, trying to extinguish the flames.

Several officials and their wives who had come to join the fun stopped running up the mountain, turned around, and watched with a hint of schadenfreude.

Such a grand spectacle was a rare sight, and even Ron exclaimed how thrilling it was.

After the situation was somewhat under control, Ron took Mary and the others back to the film studio.

Chopra, limping and clutching his backside, was talking to the photographer, seemingly concerned about whether the shot had been captured.

“Do you need me to take a look at you? I’m a doctor,” Ron joked.

"No thanks, I'd rather have a nurse come and see you," Chopra said curtly, waving his hand dismissively.

His baseball cap was gone, his sparse hair was covered with bits of ash, and he had an ice pack pressed against his buttocks with one hand, looking completely disheveled.

Only after he confirmed that the last shot had been perfectly recorded did he wave goodbye to indicate that filming was over.

Cheers erupted on set, and the crew members hugged and celebrated.

"How's it going?" Ron asked him.

"what?"

"About the record."

“Oh, of course!” Chopra exclaimed with delight. “T-Series has already signed a contract with us, at the same price as before.”

“That’s great. What about Nadim from that band?” Ron didn’t personally inquire about such a minor character.

"He came up to me the very next day and touched my feet in a salute," Chopra laughed.

“These people are just bullies who prey on the weak.” Ron wasn’t surprised at all.

“It wasn’t just him, even Salem called me and said: We’re all brothers, I’m sorry for offending you before.”

"The police in Mumbai have a long way to go."

"Brother, to be honest, you're more useful than the Mumbai police."

"It's just a coincidence; Mumbai does have good police."

Speaking of which, when should we bring Aijie back? He can't keep being sidelined.

"By the way, when is the movie coming out?" Ron asked casually.

"Around July, the remaining two months will be used for post-processing."

"Okay, I'm really looking forward to the finished product."

With the contract worth 300 million rupees secured, a profit of 50 million rupees is practically guaranteed.

Ron certainly wanted more; if the movie was a box office hit, he would have more confidence to invest in Sueer Park.

To facilitate the upcoming television production line, he even temporarily halted the progress of the office building project and focused all his efforts on the construction of the factory.

At most one month, once the infrastructure such as water and electricity is in place, the production line can be brought over and started.

NEC has given a preliminary response, and in principle, they have agreed to the cooperation.

The specific details will be finalized in the upcoming negotiations.

As Ron had expected, they demanded that all key components of televisions manufactured in India, including picture tubes and integrated circuits, be imported from Japan.

In addition, the televisions produced must have the NEC logo, and of course, the Suer Electric logo can also appear at the same time.

Life is tough; they want not only profits but also a good reputation.

The cost of a television set is mainly concentrated in a few core components. If all of them were imported, it would mean that the bulk of the profits would go to Japanese manufacturers.

Then, for every television set produced here in India that is sold, 40% of the profit goes to NEC.

Suer Electric Appliances was essentially exploited twice by them, earning only hard-earned money.

If things go wrong, NEC might be able to take advantage of their momentum later.

As more and more televisions are sold, NEC's reputation will gradually spread in India, since their logo is on them.

When the time is right, it's not impossible for them to kick Suer Electric aside and create their own brand.

OEM manufacturers really don't have a future.

However, Ron still agreed to their request, saying the same thing again: keep them calm first.

Just then, Ashish, who was on a business trip at the University of Tokyo, also brought good news.

(End of this chapter)

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