Back in 1978, I was admitted to Northwestern Polytechnical University.

Chapter 71 We don't just sell airplanes, we sell services too!
When Qin Liang first introduced the aircraft, he boasted a lot about it, adding all sorts of advanced Western technologies. But when it came to the final negotiations, it was still the version produced by Factory 132. This kind of aircraft is not worth that much money!
The plane has been purchased; the only remaining issue is the price!
Everyone present was stunned. They immediately slashed the price to an extreme low.
"We've calculated it, and your production costs are roughly this much. We've been good friends for many years, so you can't make money off us, can you?"

How to do?
Everyone's eyes turned to Qin Liang.

"Mr. Shafik, would you prefer the Soviet model or the Western model?"

"What do you mean?"

“That’s right, just as you calculated. If we only consider production costs, our J-7 is indeed only worth one and a half million US dollars. If you only intend to spend this much money, then it’s a one-off deal.” Qin Liang said, “After the fighter jets are delivered to you, we won’t care about anything else. By the way, this price is also the FOB price. We are only responsible for delivering it to the port for you. The specific shipping is not our concern.”

The price of fighter jets is not transparent. It's not like buying a cabbage, cutting it up, and cooking it. After a fighter jet is purchased, it needs to be used for more than ten or even several decades. During this period, various vulnerable parts of the fighter jet need to be replaced, and the aircraft also needs mid-term overhauls, etc. All of these cost money!

In later generations, the French sold the Rafale fighter jet for more than the F-35 stealth fighter, relying on this very argument.

In the 1980s, Dongfang relied on dumping low prices. Although weapons and equipment were sold, they were sold at rock-bottom prices, one-off deals. The lack of subsequent maintenance and upkeep led to many problems with the equipment, leaving a bad impression on many customers.

"What about the Western model?"

“If it’s the Western model, it includes a whole set of services. For example, after the aircraft arrives in your hands, our factory will send a dedicated working group to live at your base. No matter what problems the aircraft has, our staff will arrive at the scene as soon as possible to provide technical guidance. At the same time, we will also pass on our maintenance experience to you, just like we did with the landing gear last time.”

Qin Liang continued speaking at length: "The purchase of the aircraft is just the beginning. The subsequent use will consume even more enormous funds. We're selling these services as a package for $1.5 million, but the money we save you will definitely be more than two $1.5 million..."

Old Tu nodded repeatedly, "That's right, that's it!"

In the East, the cheapest resource is manpower! Even if we send a hundred people, how much would it cost? Using these people to exchange for a service fee of one and a half million US dollars is absolutely worthwhile!
Qin Liang still has a solution!
Shafik frowned: "Is this the Western model?"

"Yes, Mr. Shafik, your side has already aligned itself with the West. Don't you understand the Western model?"

"No, no, the plane is only worth $155, but the service fee is $1.5 million. It's not worth it. Since we bought your plane, this service should be given to us for free!"

"Mr. Shafik, the Suez Canal..."

Hearing Qin Liang bring this up again, Shafik blushed: "This is different. We didn't ask for the plane for free; we just asked for the service for free!"

"Isn't what the Suez Canal charges just a service fee?"

“How about this, we can accept a price of three million dollars, but that price must include a backup engine,” Mubarak said.

“Alright, Mr. Mubarak, since you've put it that way, then we'll proceed according to your plan.” Old Tu nodded.

Adding an extra engine doesn't cost much; the domestic production cost is only about 200,000 RMB. Using it to exchange for 1.5 million USD is absolutely worth it!
"At this price, you also have to be responsible for transportation!"

"That's natural."

"Okay, next let's talk about issues such as breach of contract compensation..."

Everyone's gaze turned to Qin Liang again. "Yes, this is also international practice. If we cannot deliver on time, we will compensate for the losses. If your party does not make timely payment after signing the contract, it will be considered a breach of contract on your part, and you will need to compensate for the losses. We have already drafted the contract, and the clauses concerning compensation are on pages twelve to sixteen."

So many pages of text, written in great detail!

Everyone breathed a sigh of relief.

"Okay, please bring the contract over, let us take a look."

A dozen minutes later, Shafiq put down the contract: "Your contract is very detailed and fair, so we will not make any changes. Sign this contract; this is our government's authorization letter."

They were dumbfounded when they saw the authorization letter bearing the national emblem that the other party produced.

We don't have any!
The power of attorney needs to be processed by the relevant departments in China. Going back to China now would take several days of back-and-forth travel, and it wouldn't be fast enough to go through the embassy!
How to do?
Cold sweat suddenly broke out on Mr. Liu's back.

Just then, Qin Liang spoke up: "Mr. Liu, do you have something with the national emblem and your name on it in your pocket?"

what?
Mr. Liu reached into his pocket and found it: the seating card from the last state banquet! This outfit is only worn on important occasions. After the last state banquet, he put the seating card in his pocket and didn't take it out.

"Ladies and gentlemen, this is my authorization letter."

Looking at the seat cards bearing the national emblem and names, the Egyptians were somewhat suspicious. "Is this your authorization letter?"

However... this was their first collaboration, and they had never seen what the authorization letter from the East looked like, so they didn't delve into it further.

The camera clicked away, taking pictures of two people signing autographs. They had smiles on their faces, and their hands were busy scribbling away with pens...

Sign, exchange, sign again, then hold up the contract, shake hands...

A round of enthusiastic applause erupted, and the $120 million contract was signed!

China Eastern Aviation Industry pioneered the first path in foreign trade!

The initial payment of US$2700 million will be exchanged within a month. For the East, which only has a few hundred million US dollars in foreign exchange reserves, this amount of foreign exchange is of great significance!
In the evening, the Egyptian side hosted a banquet for the Eastern delegation. After much drinking and conversation, when they returned to the hotel, it was already past 10 p.m. There, they saw embassy staff waiting anxiously.

"Xiao Liu, what's wrong?"

"Gentlemen, Pakistan has heard that we sold a batch of fighter jets to Egypt, and they are very interested, so they would like to invite us to Pakistan to give them a presentation."

This is double happiness! Everyone's eyes lit up.

(End of this chapter)