Technology invades the modern world

Chapter 209 Real Pandas Sweep Across Hong Kong

After returning home, I tossed and turned all night.

On the one hand, Hu Xiaoqing did not want to give up this opportunity, and on the other hand, he was also curious about where China's confidence came from.

Zhou Nan gave him three days to give her an answer.

This is also related to the fact that Chinese electronic products have fully proven themselves over the past five years.

He didn't get his hands on the panda calculator; he could only admire it in a magazine.

But he has Panda radios; he has original mainland versions at home and in the factory's R&D lab.

With rudimentary tools, the engineers at Universal Electronics even concluded that Chinese radios were superior to those from Japan in terms of performance and materials.

It was precisely because he had proven himself that Hu Xiaoqing did not want to give up this opportunity.

If they cooperate with China, China can indeed, as Zhou Nan said, make the British authorities in Hong Kong turn a blind eye to their actions.

He even dared to advertise it as a real panda.

The Chinese side not only has current cooperative projects, but also promises future cooperative projects, and has even made bigger promises to him.

That night, noticing his restless state, his wife's words brought him to his senses:
"Why are you thinking so much? It would be foolish not to do business. Whether it's the mainland or the island, what does it have to do with you?"
Since the mainland is willing to negotiate openly and individually, they must be confident they can resolve things.

This made Hu Xiaoqing determined to cooperate with China.

He thought about it later and realized that this was essentially an exclusive license.
Although China is not a liberal country, if China were, would it still be possible for him to obtain this exclusive operating license?
Three days later, in the office of the Hundred Flowers Society.

“Mr. Hu, I believe this will be the start of a pleasant collaboration,” Zhou Nan said, shaking hands after hearing the purpose of his visit.

In reality, there was still no choice.

If given a choice, China would prefer to slowly cultivate its own people.

Unfortunately, time is of the essence.

Hu Xiaoqing is one of the few businessmen in Hong Kong who can be considered to have a clean reputation.

As for imitating the panda's appearance, everyone did it, so it's as if nobody did it.

Someone like Yuan Jiawen would be executed in China. Even if China claims it's a franchise and autonomous decision-making, the Hundred Flowers Society wouldn't dare to associate with him.

Therefore, Hu Xiaoqing is actually the best candidate in the Baihua Society's priority list.

Therefore, Hu Xiaoqing's agreement to cooperate brought a sigh of relief to Zhou Nan.

Hu Xiaoqing smiled and said, "I also believe that our cooperation will be the beginning of a great success."

Zhou Nan continued, "Our products undergo rigorous testing and have an extremely low failure rate. We can provide technical training for your team, and simple repairs are no problem. For complex faults, we will provide spare parts and remote support."

Hu Xiaoqing knew that now that an agreement had been reached, the next step was to discuss the specifics of the cooperation. His tone was slightly tentative:

"I naturally trust the quality, after all, Panda radios have been sold all over the world."

I've already come up with an advertising slogan for Southeast Asia: "Wherever there are Chinese people, there are pandas."

The quality of the panda is beyond question, but what about the price?

Hu Xiaoqing asked.

This is both a test for the partner, namely China, and an action to gain a voice.

In any type of cooperation, there will be a struggle for power, and it is important who has the final say.

Hu Xiaoqing wanted to figure out whether China only wanted dividends or wanted to interfere in his business operations.

The extent of the benefits, the methods of cooperation, and his bottom line were all discussed and agreed upon little by little.

"Mr. Hu, you set the price. You've been in the industry for many years and know the rules of the game well."

The advertising slogan you just mentioned is excellent.

Wherever there are Chinese people, there are pandas.

We only want 70% of the profits; the remaining 30% is yours.

The profit here refers to 70% of the selling price of a genuine panda minus the cost price. The marketing costs, sales costs, and management costs are deducted from your 30%.

Our circuit board costs at least 30% less than those of neon manufacturers.

Hu Xiaoqing thought for a moment, "What is your production capacity?"

Zhou Nan said, "There is no upper limit. We can produce as much as you can sell."

Moreover, whatever your needs are, whatever products you think have good sales prospects, that's the kind of products we can manufacture.

Clearly, Zhou Nan's words made Hu Xiaoqing realize that China had positioned itself as an electronics industry giant like Sony, producing whatever the other wanted.

If that's the case, then 70% of Huaguo's net profit is a reasonable price.

Considering that China has already ceded the right to cooperate to him, and that China needs to appease the British Hong Kong side, he might even profit from this share of the profits.

“I have no objection,” Hu Xiaoqing said. “The price is tempting, but to open up the market for new products, promotion is essential.”

My plan is to first place advertisements in major newspapers and magazines in Hong Kong.

Zhou Nan nodded and said, "It's all up to you, as long as you don't openly admit that this is a mainland panda."

Others may speculate and label us, and we are well aware that this is true, but you and your employees cannot admit it in public.

do you know? "

Hu Xiaoqing's question also carried a probing element, as he was curious about the extent to which China could cover up the issue.

This answer was clearly satisfactory to him.

Drawing clear lines and telling yourself what you can and cannot do is far better than having a vague sense of self-control.

Both parties engaged in more detailed discussions regarding the cooperation details, the location of goods delivery, and the profit-sharing method, among other things.

Finally, Zhou Nan smiled and said, "We will prepare the contract as soon as possible for you to review. However, the contract will definitely not be signed with Baihua Society. A company will sign it with you."

Hu Xiaoqing stood up and shook hands: "I look forward to a pleasant cooperation. I believe that Hong Kong Panda will definitely become a globally renowned brand and sell very well worldwide!"

The negotiations concluded in a friendly and professional atmosphere. As Hu Xiaoqing left the Baihua Society, a fighting spirit ignited within him.

He knew that this was not just a collaboration, but an opportunity to change the fate of Global Electronics.

For Zhou Nan and China, this agreement marks the first step for the mainland's electronics industry toward the international market.

To truly enter the international market.

Although China is not very knowledgeable about business operations, especially when it comes to international markets.

China currently lacks experience in this area.

But they understand the underlying logic.

They understand simple principles like not putting all your eggs in one basket.

Furthermore, the Chinese side is well aware that such an exorbitant price as five thousand US dollars cannot sustain them for long.

Covetous competitors will soon launch similar products. Even if they can't master LED display technology in the short term, they can still make portable electronic calculators, just not as small as those made in China.

But the purchase price in China is five thousand US dollars, and they can negotiate the price down to two thousand, or even one thousand.

By then, having lost its monopoly advantage, will GM still offer a price of $5,000?

Besides, let alone other competitors, wouldn't GE itself be interested in their technology? Wouldn't they be able to decipher it?

Area 51 has many PhDs who studied in America and don't have a good impression of General Electric, formerly known as Edison Electric. Everyone knows that cooperating with General Electric has a bit of a "betrayal" feel to it.

Therefore, they need to seize this opportunity and do everything possible to strengthen themselves.

One of their strategies is to develop their brand using Hong Kong as an anchor point, and to develop the so-called Hong Kong Panda, which the public may think is a pirated product, but is actually an authentic product.

The negotiations with GM also included this part.

Regardless of technological advancements, the electronic calculators provided by China will see their prices decrease by 10% annually, and America needs to help China mitigate security risks.

To put it bluntly, regardless of whether you can decipher this technology, I will lower the price, and you have to help us sell our goods from Hong Kong to the whole world.

Influenced by the port's standardization and the impending full-scale Baiyue War, American Capital, having known this in advance, had already begun to operate in Hong Kong.

Originally, the branches of major American banks could be counted on one hand, and after searching around, only the predecessor of Citibank had some reputation.

Now, leading banks such as JPMorgan, Chase Manhattan, and American Bank have all established a presence in Hong Kong.

This is a direct manifestation of the spread of American influence in Hong Kong.

Finance is the tentacles of power; it can penetrate into every aspect of life.

American banks are financially powerful, and the American military procures goods from Hong Kong. Partnering with American banks will give you a better chance of securing orders.

Therefore, America’s influence in Hong Kong has been rising rapidly in recent years.

For the Morgan family behind General Motors, China's demands were a piece of cake.

With the Suez Canal dispute as a precedent, the American Empire didn't take England seriously at all.

For China, seeking help from America was also a matter of avoiding trouble and not wanting to cause a rift. Otherwise, Hong Kong would also be a valuable asset for China, even in this day and age.

As June arrived, the weather gradually became hot. After another trip by ship back to New York, Section Chief Zhang had a relatively long period of rest.

He didn't bring back any intelligence this time.

To be precise, they didn't bring any information about Hakuba.

But he is the eyes of China, and he needs to bring back his observations from his global shipping business.

From his perspective, due to the standardization of maritime transport, Hong Kong was among the first ports to be transformed, so it was clear that Hong Kong was rapidly prospering.

Currently, in terms of throughput alone, Hong Kong is already on par with Japan's Yokosuka Port.

Furthermore, due to the promotion of automated equipment and international shipping standards, more and more ships prefer to transit through Hong Kong.

Singapore's port is also under development, and once Singapore is transformed, Hong Kong will only become more bustling.

These observations will be written into reports and sent to the mainland.

Of course, in addition to this, he also had a special letter, written by Chen Jingrun to Hua Luogeng, which he brought back with him.

The letter essentially stated that he had made a breakthrough in the field of Goldbach's Conjecture, successfully solving the problem of 1+2 and being only one step away from the final 1+1. He also expressed that he had not let down the country's nurturing during his time at the Goldbach Problem Seminar at the Chinese Academy of Sciences.

Finally, Chen Jingrun lamented the fickle nature of fate, saying that despite his remarkable achievements, he was unable to establish himself as a renowned Chinese scientist.

He also asked Hua Luogeng whether his work should be published under the name of Chen Jingrun or Chen Dehui.

Therefore, for Section Chief Zhang, this trip back to Hong Kong was just an ordinary round trip.

On the second day of his rest in Hong Kong, he took a stroll along Nathan Road, as usual.

It turned out that a Panda Electronics store had opened on the main road of Nathan Road.

The large panda sign makes it instantly recognizable.

He was shocked.

I've only been sailing for a month, and the mainland has already invaded Hong Kong?

He went closer and saw that it was indeed no different from the mainland pandas he knew.

The black and white panda model is even divided into nearly 10 models based on function, whether it is portable or for home use, and sound quality.

This surprised Section Chief Zhang.

"Sir, are you interested in our products? Would you like me to continue introducing them?" the salesperson asked politely.

Section Chief Zhang waved his hand: "I'll go and find out somewhere else."

The salesperson smiled and nodded, saying, "Okay, you can compare them as you like. There are several other electronics stores on this street that sell German and Japanese products. I believe that after comparing them, you will ultimately choose Panda."

Section Chief Zhang nodded slightly, then turned and left.

He carefully gathered intelligence and inquired around before finding out what had happened.

It turns out that a Hong Kong businessman named Hu Xiaoqing founded the Hong Kong Panda brand.

This brand caused a huge sensation in Hong Kong as soon as it was launched.

Because it's good quality and inexpensive.

There are many radios on the market that imitate pandas, but they are quite different from those that have flowed into Hong Kong from the mainland through various channels.

Even people in Hong Kong know that pandas are good, and they know that China's electronics industry seems to be quite good, with some strength.

As a result, Hu Xiaoqing put up a sign in the very center of Nathan Road in Hong Kong and placed advertisements in major newspapers.

"Wherever there are Chinese people, there are pandas."

"Panda Electronics, a global leader"

"Your next choice might just be a domestic product."

These advertisements, once launched, were indeed of leading quality at the time.

For only 80% of the price of Japanese goods, you can enjoy the same quality as Japanese goods, which is far superior to the fake pandas on the market.

It's no exaggeration to say that Panda Radio became an instant hit.

This also explains why Section Chief Zhang saw so many people at Panda Electronics on Nathan Road.

There are many reds.

Panda radios are not only popular in Hong Kong, but also in Southeast Asia.

Hu Xiaoqing has been signing up for orders non-stop lately.

The popularity of Panda Electronics has also sparked heated discussions in the media.

After all, your name is quite sensitive.

Imitation may not carry much risk, but openly using the panda logo is somewhat of an infringement.

Everyone's waiting to see the Hundred Flowers Society deal with you.

To their surprise, the Hundred Flowers Society pretended not to see the matter.

Some people even saw what appeared to be employees of the Baihua Society entering Hu Xiaoqing's private residence.

Hong Kong's geographical location is inherently sensitive, and both now and sixty years from now, it will be home to all sorts of people.

There are many different opinions among the people.

Many people speculate that Hu Xiaoqing is collaborating with China, and that this product is made in China.

The Hong Kong branches of the Hong Kong Times and New Life Daily, which receive direct funding from a certain island, are speaking out directly.

They publicly questioned whether this was a product made in mainland China.

They demanded that Hong Kong authorities conduct a rigorous review.

The matter caused an uproar.

The truth of the matter itself has piqued public curiosity, and the hidden signals behind it have sparked endless speculation.

The information hidden beneath the surface is far more compelling than the collaboration between Baihua Society and Hu Xiaoqing.

"Those damned Chinese, now they actually want to steal our market!" Hugh Barton, the head of Jardine Matheson, was furious.

The market is only so big; if you eat more, they'll eat less.

Sony's formal institutionalization in Hong Kong did not occur until 1973. Currently, Sony's business in Hong Kong is handled by Wing Tai Hong and Jardine Matheson, primarily Jardine Matheson.

Jardine Matheson not only represented Sony, but also other Japanese and English companies in Hong Kong.

It was clear that their business had been severely impacted, with large quantities of goods piling up in their warehouses.

These goods can't be sold in Hong Kong, and they can't be sold in Southeast Asia either.

The market is showing clear signs of saturation.

“I think we need to lower the price,” Li Ka-shing reminded him.

The failure to win the battle for port standardization did not affect Li Ka-shing's position at Jardine Matheson.

Instead, his business expanded from a simple plastics factory to the radio industry, primarily transistor radios.

During the collaboration, many of the suggestions made by Li Ka-shing were highly appreciated by Jardine Matheson and the upstream neon manufacturers.

When selling neon components to Hong Kong, you can't sell the best quality products; you have to sell the second-best. This is especially true for Hong Kong manufacturers that counterfeit Panda products; you have to sell them inferior components.

why?
The goal was to leave consumers with the impression that, apart from the design itself, Panda was of poor quality.

Li Ka-shing explained this by saying: "Pandas are not our competitors now, but what about the future? If China wants to do business abroad in the future, the reputation of pandas damaged by our counterfeit pandas may be irreparable even if China puts in several times the effort."

His suggestion was adopted by the Japanese side.

So, does that mean Hong Kong radio factories can't produce radios of the same quality as Panda? Of course not. Panda radios are all from two years ago. The problem is that the Japanese side blocked them from making radios at the source.

Even Li Ka-shing's radio factory was the most despicable, because he made his fortune in a plastics factory, and he deliberately made panda-shaped radios with very exquisite appearances but very unreliable internal components.

The plan was about to succeed, but unexpectedly, just over two years later, real pandas landed in Hong Kong.

Hu Xiaoqing's timely publicity and the implementation of the problematic "half-price replacement within one year" strategy represent a groundbreaking innovation in this era.

It immediately crushed the other manufacturers.

Li Ka-shing's own warehouse alone has more than five million Hong Kong dollars worth of counterfeit Panda radios stockpiled.

"On the one hand, we have to lower the price, and on the other hand, we need to find someone to set a trap and damage the reputation of pandas."

Otherwise, we should give up on the field of transistor radios.

With China as his backer, Hu Xiaoqing's capital is certainly much greater than ours.

However, in the business world, brute force alone is not enough.

After he finished speaking, Hugh Barton revealed a sinister smile: "Lee, tell me your plan."

(End of this chapter)