The unparalleled talent of the country started from Harbin Institute of Technology

November 20, 1987, Friday afternoon.

After school, Wang Junhong got into his father's car and headed straight for Yanjiagang Airport.

Their family is heading south for the winter today.

Okay, actually it was just a trip to the south, it can't really be considered spending the winter in the south.

Speaking of which, it is indeed very cold in Northeast China, with outdoor temperatures dropping to minus ten or twenty degrees Celsius. It will be even colder next month.

But the indoor environment is actually fine; there's heating, so it's not that cold.

However, even in Guangzhou, a city in the south, winters are really cold.

Especially at the end of December, when the Siberian cold wind blows in, no matter how many layers of thick blankets you cover yourself with, it will still be very cold.

More than a year later, Wang Junhong, Wang Junan, Li Rongrong, and Lu Yuening were all very excited to be on a plane again.

In fact, they had been looking forward to it since last week.

Their excitement reached its peak only when they boarded the plane.

For little kids, being able to get on an airplane is a victory.

The only ones who don't have a good impression of airplanes are Sisi, who is a few months old, and Wang Junkang, who is a little over one year old.

The distance from Harbin to Guangzhou is over 3,000 kilometers, making the flight time extremely long.

But even the longest period of time will eventually pass.

When I arrived at Baiyun Airport, it was already dark outside.

Flying is quite tiring, and the drive from Baiyun Airport to the lakeside villa in Tianhe takes more than an hour. When I got home, I was so tired that I fell asleep as soon as I hit the bed.

However, the troublesome things happen every day as scheduled.

Sisi is only a few months old, and she cries every few days, either because she's hungry or needs to poop. There's always something going on.

The world is quiet only when she is asleep.

The next day, Wang Junhong and his friends were woken up by the cold. Guangzhou in late November was a bit chilly, but not too cold.

It has that autumnal feel to it.

The children like to kick off their blankets while sleeping, so they woke up from the cold.

Wang Duoyu could only give them some medicine because they already had a slight cold.

I spent half the morning fussing around, and it felt like I hadn't accomplished anything at all before the time was gone.

At 11 a.m., Yuan Youlan ran over to find Wang Duoyu.

In the study, Yuan Youlan happily told Wang Duoyu that Yuexiu Company had made a total profit of US$2.58 billion during last month's stock market crash.

Wang Duoyu was stunned when he heard this.

"You guys didn't increase leverage, did you?"

Goodness, 2.58 billion US dollars, that's no small sum.

"Hehe, you guessed right, we did leverage, otherwise we wouldn't have made so much money."

Yuan Youlan was very pleased, and also took the initiative to explain that all of their funds in this batch were well hidden and had not been discovered.

Upon hearing this, Wang Duoyu smiled, nodded, and gave a thumbs-up, saying:
"Excellent, you did a great job."

"Americans are very prone to jealousy, so you have to be extra careful. If they find out that your Yuexiu company has made so much money, haha, they'll definitely take action themselves."

Yuan Youlan and his colleagues had roughly figured out what Americans liked to do.

Moreover, Yuan Youlan and his ilk were of different social standing and were more particular about not flaunting their wealth.

It was only Wang Duoyu; otherwise, Yuan Youlan wouldn't have uttered a single word to anyone else.

"By the way, do you know how much money they made in Beijing, Shanghai, Shenyang, and other places?" Wang Duoyu asked casually.

At the beginning of the month, Yuan Youlan and his colleagues visited Harbin Institute of Technology.

However, Wang Duoyu was staying in his hometown at the time and had no intention of meeting guests.

So Yuan Youlan and the others all left at that time.

"Professor Wang, they've probably already received news of your arrival. I guess Lao Xia and the others are probably on their way to Guangzhou. You can just ask them when you get there."

Upon hearing Yuan Youlan's words, Wang Duoyu felt utterly helpless.

"Could it be that Lao Kang and the others have also come?"

Old Kang is not Kang Yumin from Harbin, but Kang Zhiping from WLMQ.

As the top official in Harbin, Kang Yumin had personally come to Wang Duoyu a few days earlier, after Fang Li and the others left, to report on Harbin's actions during the US stock market crash last month.

Two companies in Harbin, namely Harbin Bank and Jianghai Securities, achieved a total profit of US$3.25 billion this time.

Like Yuan Youlan, Kang Yumin also trusted Wang Duoyu very much.

Therefore, he personally supervised the operation and issued orders to disperse funds and short the US stock market across the board.

This resulted in a total revenue of US$3.25 billion.

As of now, Wang Duoyu only knows about the revenue from Harbin and Guangzhou, while he is unaware of the revenue from other cities such as Beijing, Tianjin, Shanghai, Kunming, and Xiamen.

After chatting for a while, it was already noon.

Yuan Youlan stayed and had lunch on the island in the middle of the lake before leaving.

The future development of Guangzhou is now becoming clearer.

With the funds gained from the Plaza Accord two years ago and the US stock market crash this year, Guangzhou's public infrastructure services will be greatly improved.

Just now in the study, Yuan Youlan briefly outlined the general plans for Guangzhou.

The projects include bus routes, railway station construction, provincial highway construction, as well as fruit wholesale market construction and dock renovation plans.

In short, Guangzhou's basic infrastructure will gradually improve, driving the rapid development of Guangzhou's economy.

In the afternoon, Wang Duoyu was still taking a boat trip on the Pearl River, taking pictures and enjoying the scenery.

It was Sisi's first time on a boat, but she wasn't scared at all.

When the family had finished their fun and returned to the pier on the island in the middle of the lake, they found out that they had guests at home again.

Guan Chonggui, Pan Hongxu, Xia Huarong, Qiu Xianzhang, Qi Xingbang and others all came.

Also present were Jiang Weimin from Chengdu, Tie Zhenguo from Chongqing, and Du Beiping from Wuhan. Their group, including their entourage, numbered over twenty.

"Professor Wang, it's been a long time! You still look as young as ever!"

Upon meeting, Guan Chonggui and his group greeted each other warmly with smiles.

These people are all shrewd and know how to praise others in various ways. Even the little girl in Liu Xiaoli's arms was praised by them.

After a lively exchange of pleasantries, Wang Duoyu took the initiative to invite them inside to sit down and have some tea.

To be honest, it's not proper to have guests arrive when the host isn't home, and Xia Huarong and the others also realized they had done something wrong.

Therefore, the atmosphere of the conversation between the two parties was very good.

After sitting in the living room for a while, Wang Duoyu invited Guan Chonggui and the others to go into the study.

Two of them, Mu Xiaowu and his companion, arrived and stood at the door of the study to prevent Wang Junhong and his group from running over.

Although Wang Junhong and his group couldn't hear any news, these kids were used to being mischievous, so it was still necessary to take precautions.

Xia Huarong and his entourage did not follow them into the study.

Everyone found seats and began their casual conversation.

It was more of a meeting than a casual chat.

In Beijing, CITIC Securities and CICC International truly demonstrated their capabilities during this stock market crash.

why?
First, Wang Duoyu had predicted long ago that the US stock market crash would break out in the second half of this year, either in September or October.

Based on the accurate prediction of the Plaza Accord two years ago, both CITIC Securities and CICC have great confidence in Wang Duoyu's judgment.

Moreover, the plan that Lü Yangui and his team brought from Harbin, which was Wang Duoyu's short-selling plan for US stocks, was given to the heads of the two CITIC Securities companies.

As can be seen from the plan, Wang Duoyu's predictions were incredibly accurate.

Secondly, Beijing has a wealth of talent. For this short-selling of US stocks, both CITIC Securities and CICC sent a significant number of personnel.

In October of this year, starting from the 5th, the US stock market began to fluctuate.

All the data corroborated Wang Duoyu's prediction, which was completely accurate. As a result, the traders from the two CITIC Securities firms were extremely excited.

After a fierce short-selling battle, CITIC Securities demonstrated its formidable firepower, achieving a staggering total profit of US$1.88 billion.

CICC International was even more impressive, earning a whopping US$2.23 billion.

The two Beijing-based companies made a total profit of US$3.91 billion, making them the biggest winners in this stock market crash.

Shanghai Chengtou fought alone, but still earned 3.5 billion US dollars.

"Professor Wang, this time, three financial companies—Xiamen Securities, two trust companies under Bank of China, and the newly established Xiamen Bank—went overseas, and the total profit is US$2.25 billion."

Qiu Xianzhang said this.

After he finished speaking, enthusiastic applause rang out in the study.

After hearing this, Tie Zhenguo, Jiang Weimin, Du Beiping and others were filled with envy.

Chengdu, Chongqing, and Wuhan were the three companies that finally got on board before the last Louvre Agreement, and they participated in the small financial meeting convened by Wang Duoyu.

Since the Plaza Accord, leaders like Tie Zhenguo within the system have kept a book by their bedside: The Rise of a Great Power.

This book is not just about economics; it also covers many other aspects.

The author of this book is Wang Duoyu.

Although Wang Duoyu is a mathematics professor, he is more of a scientific research expert in science and engineering than an economics and finance expert.

However, the book "The Rise of Great Powers" has already established Wang Duoyu's status in the economic field, not to mention that he is also the founder of Want Want Group, and the companies affiliated with Harbin Institute of Technology are all closely related to him.

More importantly, Wang Duoyu made accurate predictions about the Plaza Accord and the Louvre Accord.

Since the meeting at the end of 1978, the basic strategy of taking economic development as the center has been established.

Therefore, Tie Zhenguo and his colleagues are now doing everything they can to learn about policies and strategies related to economic development.

Instead of loudly advertising to attract foreign investment, it's better to actively make money, build roads, and promote economic development.

To be rich, build roads first.

This is a very simple truth.

Unfortunately, Chengdu, Chongqing, and Wuhan are all several steps behind Shanghai and Guangzhou.

So when they heard that cities like Beijing, Xiamen, and Shanghai were making so much money, Tie Zhenguo and the others were incredibly envious.

Next up is Qi Xingbang. Kunming has actually made quite a bit of progress during this stock market crash.

They borrowed $200 million and leveraged their funds with other financing institutions, resulting in a staggering total profit of $1.85 billion for Kunming this time.

To date, all of these cities have generated significantly higher profits than the Lotte Group.

If Lotte Group had been willing to invest more funds back then, even without leveraging, things would be much better now.

Pity!
"With so much money flowing through your pockets, are you sure no one has noticed?"

After Qi Xingbang finished speaking, just as the applause was gradually subsiding, Wang Duoyu suddenly asked a serious question.

Guan Chonggui and the others shook their heads, indicating that there would be no problem.

They are professionals when it comes to hiding these funds.

The total profits from just a few cities, including Guangzhou, Beijing, Shanghai, Xiamen, and Kunming, have already exceeded 10 billion US dollars.

Tens of billions of US dollars is no small sum. If no relevant measures had been taken in advance, something bad would have happened by now.

After all, today is already November 20th, and a month has passed since Black Monday last month.

Although when the stock market crash broke out, the American giants certainly wouldn't pay attention to those who took advantage of the situation, such as Bridgewater Associates.

But now that it's happened, some organizations will definitely start investigating.

Even if the investigation doesn't yield any results, if any clues are revealed, they can still be traced back to the source.

Bridgewater Associates is alright, because it's a US-based hedge fund with deep pockets and a complex web of connections.

But for other organizations, it's not so easy.

According to the information Wang Duoyu currently has, in this stock market crash, apart from the money lost due to stock market losses, the actual losses in the United States alone amount to at least 300 billion US dollars.

Soros' Quantum Fund did indeed take a loss, and Buffett also took a small loss, but not much.

The biggest losers are companies like the Magellan Fund, because they have absolutely no recourse.

Of these losses, Maple Leaf Holdings earned US$23.7 billion, while individual investors like Wang Jianchao earned US$1 billion to 2 billion.

In addition, Bridgewater Associates and other institutions also made some money, and the rest was earned by other retail investors.

The stock market is simple: either buy on the rise or sell on the fall.

If someone predicts a price increase, they will definitely chase the price and go long.

Conversely, some people will predict a drop and will inevitably sell short.

So while the face value of the stock did indeed evaporate by more than two trillion US dollars, the actual loss was certainly not that much.

The money that evaporated was actually a false prosperity, a 'bubble' inflated by the bull market in the United States over the past half-century.

Retail investors' money is difficult to track, and cannot be tracked.

However, if it's an overseas organization, then it's necessary to investigate it to some extent, such as whether it has engaged in tax evasion or other irregularities.

The IRS is no pushover; there's nothing they're incapable of doing.
"Okay, if you can be sure you haven't been caught and haven't given anything away, then that's fine!"

Wang Duoyu nodded and said.

Xia Huarong echoed:
"Professor Wang, please rest assured, we will definitely not be discovered. You have repeatedly reminded us of this, so we know this very well."

"We hope you can continue to guide us next time so we can make more money abroad."

Haha!

Financial means are a way of reaping wealth, which is equivalent to robbery, because they do not create any wealth, but rather take the wealth that belongs to others from their pockets.

This is completely different from economic trade where money is exchanged for goods.

Even in economic and trade matters, the Americans aren't so willing, let alone financial means.
Guan Chonggui, Xia Huarong, and Qiu Xianzhang certainly understood this principle, so even if they wanted to make money, they would definitely hide their funds and prioritize their own safety.

Wang Duoyu heard this and shook his head:

"Such opportunities are not many. The current opportunities are in Japanese real estate and the stock market!"

"There's still a chance to make money in this market. Starting next month, the Japanese stock market will be among the first to recover to pre-crash levels and continue to rise. This is your last chance."

"The year after next, in 1989, will be a very crucial year."

In the original timeline's history, many things happened in this year.

For example, the UK economy is sluggish, and the Nikkei index has climbed to a record high of 38915.87.

Upon hearing this, Xia Huarong and the others' eyes lit up.

Since it's an opportunity, they'll definitely be very willing to wait and see.

However, this time the planning process will take longer.

Therefore, it will cost more money.

Looting Japan is completely different from looting the United States.

Due to historical reasons, we always pay more attention to Japan.

After Wang Duoyu finished speaking, everyone discussed it for a while before it was Tie Zhenguo and the others' turn to report.

Cities that recently entered the stock market, such as Wuhan, Chongqing, and Chengdu, generally saw modest profits during this crash, with the highest returns not even matching those of Wang Jianchao's financial company.

Of course, Lotte Group has become a complete joke this time. Whether it's Liu Deben, Lü Gongliang, or Fang Li and their leaders, they all missed an opportunity due to their excessive conservatism.

I wonder if they knew the profits of companies like CITIC Securities. If they did, their expressions at the time must have been quite interesting.
Unfortunately, Wang Duo would never see this scene again, and he didn't want to stay with Fang Li and the others any longer.

After we finished chatting, it was already dinnertime.

Guan Chonggui and his group did not stay for dinner. Instead, Yuan Youlan, the host, invited everyone to have dinner together at the Swan Hotel.

Tong Jianwei also appeared.

Wang Duoyu also went along and had a simple meal with everyone.

This group of people respected Wang Duoyu a lot and were very willing to listen to his advice.

Actually, they wanted to replicate Yuan Youlan's previous strategies for attracting foreign investment, but unfortunately, they couldn't do it.

Peugeot, Nissan, Toyota and other car brands are willing to set up joint venture car factories in Guangzhou because Guangzhou has unique geographical advantages. It is the southern gateway of China, the starting point of the ancient Maritime Silk Road, and the birthplace of the Thirteen Factories.

What do other cities like Chongqing and Chengdu have to compare with Guangzhou?
It's not that cities like Chongqing are incapable, but rather that in the early stages of reform and opening up, Guangzhou's advantages were indeed more pronounced.

Even Harbin, a city with few advantages, and a winter that lasts for half a year, could easily be considered one of the least economically developed provincial capitals.

But Harbin is precisely because of Harbin Institute of Technology that it has become the city with the best economic development in China.

The most crucial thing is the precipitous lead.

Wang Duoyu did not offer any strategies or suggestions to cities like Chongqing regarding these aspects.

Industrial products include bicycles, cars, motorcycles, televisions, refrigerators, air conditioners, computers, mobile phones, ships, steel, and so on, as well as petroleum, grain, and minerals.

How to carry out development depends on the authorities, like Guan Chonggui, to formulate strategies tailored to local characteristics and advantages.

Relying on Wang Duoyu is an unrealistic and unhealthy idea.

Kang Yumin and his team were able to win without lifting a finger because Wang Duoyu was originally from this place.

Over the next few days, Wang Duoyu wandered around Guangzhou at his leisure.

In late November, the temperature in Guangzhou is neither very low nor very high.

The lingering heat of late summer appears intermittently, only to be driven away by the cold Siberian winds.

After catching a minor cold, Wang Junhong and the other kids are much better now.

Before they knew it, it was the last day of November, and Wang Junhong should be going back to school.

The day he was sent away, the little guy cried his eyes out.

He doesn't even want to fly on his favorite plane anymore.

Because his parents didn't go back to Harbin with him; he went back alone.

This is too miserable!
The day after Wang Junhong left, Wang Meili, Wang Meihe, Zheng Baoyin and the others also returned from abroad.

This time, they all gathered in Guangzhou for a senior management meeting at the Want Want Group headquarters.

Inside the conference room, Wang Duoyu sat in the main seat, listening to Reinhard Monroe's report.

This person is the head of quantum technology and also the person in charge of the Want Want Group's acquisition of Mercedes-Benz.

The parent company of Quantum Technology is a financial institution in Great Britain, and the outside world cannot find out who the real shareholder of this institution is.

More than 20 companies have invested in acquiring Daimler-Benz, and Quantum Technology is just one of the companies holding shares in it.

According to Reinhard's report, Daimler-Benz is indeed in a very healthy financial position. However, the company has invested in many sectors through joint ventures or acquisitions, including aviation, power engineering, financial services, and computer software.

This includes companies such as Dornier, AEG, and Airbus.

Last year, Mercedes-Benz sold over 60 passenger cars and 42 trucks and cars. In terms of total sales, Mercedes-Benz ranked fourth in the world, behind only General Motors, Ford, and Chrysler.

Upon hearing Reinhard's report, Wang Duoyu nodded from time to time, indicating that he was listening attentively.

In fact, as early as 1977, Mercedes-Benz was already the fourth largest car seller in the world.

The reason why Germany has not been able to surpass Chrysler in recent years is largely due to the state of the German economy.

Most importantly, the Mark appreciated so much that Mercedes-Benz exports plummeted.

Conversely, GM, Ford, and Chrysler are all American car brands, and with the depreciation of the dollar, these three companies are naturally among the biggest beneficiaries.

After Reinhard finished his report, Wang Duoyu finally spoke:

"First of all, we will not allow President Edward Lucret to resign. He can continue to serve as president of Daimler AG, but any joint ventures or acquisitions involving $50 million or more must be approved in advance."

Edward Ruth is a troublemaker; if used properly, the benefits outweigh the drawbacks.

There is no doubt that Daimler-Benz is a true German car company.

Even though it has now been acquired by Wang Duoyu, he will not reveal his identity as the behind-the-scenes shareholder.

Not only should it not be made public, but it also needs to be better hidden, because once it is made public, the disadvantages outweigh the advantages.

The path of becoming an integrated technology group is certainly not suitable for Duchi Bank, as they do not have that much capital.

But for Wang Duoyu, it would be perfect.

With Daimler-Benz leading the charge, it is entirely possible to acquire numerous car brands, airlines, and so on.

For example, BMW and Audi could also be acquired, thus unifying the market.

To be honest, if Daimler-Benz were to acquire both BMW and Audi, it could even surpass General Motors to become the world's number one automaker in terms of sales.

So, Edward Ruth, this troublemaker, if used properly, can have endless uses.

However, we must restrict him, otherwise this bastard might do something reckless.

"Secondly, we should have Daimler-Benz send a negotiation team to Harbin to establish a joint venture automobile company, reduce costs and increase efficiency, and break the current deadlock!"

clap clap clap!
Upon hearing Wang Duoyu mention this point, Reinhard and the others applauded.

They all understood this point, because the difficulties that Mercedes-Benz is currently facing still exist.

Reducing costs and increasing efficiency is a necessary step.

The depreciation of the US dollar, but the appreciation of the German mark, means that the profit margin for every car produced in Germany will be significantly reduced when it is exported globally, simply because the costs are indeed very high.

Previously, Mercedes-Benz would definitely not have been interested in establishing a joint venture car factory in China.

But things are different now. The major shareholder has spoken, so we have to carry it out, and we have to do it quickly.

The low cost of living, low labor costs, and low RMB exchange rate in Harbin make producing a Mercedes-Benz extremely inexpensive.

With the major shareholder speaking up, even Edward Ruth had no choice but to submit.

"Finally, that's about promoting small cars and microcars."

When Wang Duoyu mentioned this, Reinhard and the others were a little confused.

"Professor, car sales are already very high, and the stock market crash has just passed. Is it really appropriate to produce more cars and launch new microcars and small cars at this time?"

Reinhard is very knowledgeable about automobiles; otherwise, he wouldn't have been in charge of this acquisition of Daimler.

But while the other party may be knowledgeable about cars, they may not understand the future of automobiles.

Wang Duoyu immediately said with a smile:
"Six years ago, Daimler-Benz launched the 190. Wasn't that a microcar?"

Three years ago, Daimler-Benz and our First Automobile Works began cooperating in Changchun to produce the 230E in CKD (Completely Knocked Down) form.

"Therefore, small cars and microcars are not without a market; on the contrary, it is a trend."

Wang Duoyu then explained the current global economic situation and the policies of some countries.

Firstly, in the original timeline, Daimler-Benz and Swatch jointly created the Smart brand.

As is well known, the Smart car brand is actually an ultra-compact car.

This car is very small and also very inexpensive.

Not to mention the stock market crash, even going back a few years, there have been oil crises, economic crises, and so on, plunging the global automotive industry into crisis.

Why were Japanese car brands like Toyota so popular in the United States in the 1980s?

Firstly, because Toyota cars are all small-displacement vehicles, and secondly, because they are inexpensive.

In the 1970s, the U.S. government issued a policy requiring all car brands sold in the United States to reduce average fuel consumption or face fines.

The then-president of Daimler-Benz once said: "It's a stupid policy by the Americans."

This would cause manufacturers that produce vehicles in the Mini segment to produce models with higher fuel consumption.

If all manufacturers are forced to produce these fuel-efficient products, what if consumers don't buy them?
Therefore, the then-CEO of Daimler-Benz told reporters that the US policy seriously violated the principles of free trade and free competition.

Afterwards, the policy was indeed implemented.

At the time, American automakers such as General Motors, Ford, and Chrysler did indeed face this problem and had to reduce average fuel consumption to overcome the difficulties.

In contrast, Daimler-Benz simply increased the production of diesel vehicles and passed on the fines to consumers.

Simply because the market has a high acceptance of Mercedes-Benz cars.

Especially luxury cars, everyone likes these large-displacement cars.

After all, the rich will always be the rich. Even if they experience an economic crisis, it only affects a portion of them. Many others may also be affected by the economic crisis, but they have money in their pockets, and that's enough for them.

After entering the 1980s, Mercedes-Benz did indeed change its mindset and no longer rejected so-called small-displacement microcars and the like.

"Daimler-Benz should not only focus on luxury cars, but also explore new market segments."

"Every year, many people do buy Mercedes-Benz luxury cars, and we also have many customers for heavy trucks; our market share is indeed very high."

"However, Mercedes-Benz has virtually no market share in the mid-size car, small car, microcar, and compact car markets."

Wang Duoyu's words made everyone fall into deep thought.

The 190 is the prototype of the future Mercedes-Benz C-Class, and Wang Duoyu's idea is to finalize this car now and make it available to global consumers.

Given the current situation, consumers will certainly be more cautious when choosing a car.

If Daimler-Benz wants to increase revenue and profits, it must find ways to explore new markets.

With the stock market crash just over, the sales of luxury cars will inevitably be affected to some extent, which is understandable, because that's the nature of the market.

However, if there are mid-size cars with lower engine displacements that can still make a good impression, then consumers will definitely not refuse such cars.

After explaining, Wang Duoyu stopped rambling on about the topic and continued:

"In addition, we also need Phoenix International's help to continue negotiations with BMW and Audi regarding the acquisition."

Upon hearing this, Wang Meili couldn't help but say:

"Wouldn't this be too risky? Besides, we just acquired Mercedes-Benz, and if we immediately target BMW and Audi, our financial pressure will be enormous."

Although Want Want Group made 23.7 billion US dollars during the stock market crash, it has also been shorting the US dollar.

However, the acquisition of Daimler alone cost $5.85 billion, and an additional commission of over $100 million had to be paid to Phoenix International. Now, with the acquisition of BMW and Audi, the total cost of acquiring automobiles will be at least $10 billion.

A minimum of 10 billion US dollars!

This is no joke!
On the other hand, Mercedes-Benz, BMW, and Audi are all luxury car brands and are competitors to each other.

Since they've already acquired Mercedes, there's no need to acquire BMW and Audi as well, right?
"And what about you? What do you think?" Upon hearing this, Wang Duoyu smiled and looked at Zheng Baoyin, Reinhard, Li Efra, and the others.

Zheng Baoyin was about to speak when his uncle spoke first:

"Don't try to fool me with nice words, tell me your own opinions."

Upon hearing this, Zheng Baoyin immediately fell silent; he needed to think it over.

Reinhard pondered for a moment, then said:

"Professor, I think acquiring BMW and Audi is a very good decision."

The reason is simple: with the appreciation of the mark, both BMW and Audi, like Mercedes-Benz, have seen a significant decrease in their competitiveness in the international market, resulting in a sharp decline in profits.

At the same time, the stock market is currently in a crash, which presents a perfect opportunity for acquisitions.

If we don't acquire them now, it will be even more difficult to acquire them after the stock market crash when BMW and other companies have recovered and their financial pressure is not so severe.

"Well, that makes sense."

Wang Duoyu nodded and said so, and everyone applauded.

However, Wang Meili just pursed her lips, thinking that acquiring it now would require a lot of money and was not worthwhile.

In her view, there are many investment opportunities now, and investing in Japan or oil are both excellent choices.

Because her ninth brother had said before that Japan would reach the peak of its economic bubble in 1989.

Now that the stock market crash has just passed, it's a perfect time to buy Japanese stocks or real estate at rock-bottom prices.

Conversely, if the funds originally intended for investing in the Japanese stock market were used to acquire BMW and Audi, these two automakers would not be able to generate the same substantial profits as buying into the Japanese stock market at its lowest point.

Now or never!

If we don't acquire BMW and Audi now, then we can acquire them in a few years; it's the same thing.

Furthermore, if we make another acquisition in a year or two, we might have more funds available then, making the acquisition much easier.

Her concerns were not unfounded, but she knew nothing about how the funds would be used.

Zheng Baoyin and Li Efra also expressed their opinions, each with their own different starting points.

Some people agree, while others disagree.

However, even those who supported Wang Duoyu, such as Reinhard, did not understand his intentions in acquiring BMW and Audi.

"Let me tell you why I'm acquiring BMW and Audi now."

Wang Duoyu took a sip of cool boiled water, then smiled faintly and said:

"First, as Reinhard just said, this is a great opportunity. With BMW and Audi facing internal and external troubles, coupled with a poor market environment, we can definitely get a great deal by acquiring them at this time."

"Furthermore, we just acquired Daimler-Benz, and soon after, we acquired BMW and Audi, practically taking over the German luxury car brands."

"We won't even need to proactively disclose this information to reporters; the media will automatically report on it for us."

"This will greatly help stimulate sales of Mercedes-Benz, BMW, and Audi."

Isn't it great that someone else is helping with advertising and marketing for free?

Of course, that's a very good thing!

Secondly, Wang Duoyu refuted his sister's point of view.

Why must you use your own money to acquire another car company?
Don't you understand the principle of using four ounces to move a thousand pounds?
Furthermore, more than twenty companies, including Quantum Technology, have just acquired Daimler-Benz, and they can also use these assets as collateral for loans to obtain funds.

Alternatively, leveraged buyouts could be used to acquire both BMW and Audi.

A leveraged buyout is a financial strategy that uses a small amount of free capital to acquire a target company through extensive borrowing, and relies on the acquired company's future earnings or assets as collateral to repay the debt.

This is a perfect example of using minimal force to achieve maximum effect!

Of course, if that's the case, it would probably require registering several more financial companies in Germany to better acquire BMW and Audi.

If not, it would be easy for someone to cause trouble for you.

"Brother, are you saying that we can acquire BMW and Audi without using much of our own capital?"

Wang Meili was very surprised, and her brother nodded:
"Yes, I've told you before that finance is a very complex subject. You need to be good at utilizing it and know how to leverage external forces."

"Besides that, there's a stock market crash right now, and many banks' lending business is also declining sharply. If we give these banks money now, do you think they'll be grateful?"

"We can even obtain our own funds by mortgaging a portion of our Daimler-Benz shares."

"Bank money is money you might as well use, and it won't be a waste to use it."

While maintaining cash flow is crucial for business development, it's not ideal to operate without any debt.

After all, inflation is inevitable. Borrowing money from the future to expand one's business empire will not be a problem as long as the company's debt-to-income ratio remains below 30%.

Even in the event of a financial crisis such as a stock market crash, we can easily weather such risks.

"Aren't BMW and Audi competitors of Mercedes-Benz? What is our purpose in acquiring them?"

P.S.: Happy Labor Day everyone! (End of Chapter)