Those Years When I Was Forced to Top the Forbes List

Chapter 299 President Chen's October
(The previous chapter was under review and is still being unblocked; some content, including the fight scene at the factory gate, has been deleted, but the overall setting remains unchanged.)
On the 8th, Mr. Chen's schedule was rescheduled again.

Surprisingly, Terry Gou didn't make a fuss. He quietly went to the factory to prepare for the 10th National High-Tech Achievements Conference on October 12th.

When you reach this level, you already know when to back down.

Moreover, a simple internet search will reveal that Mr. Chen really did have something to do today.

my country's first market-oriented 3G industry fund was officially established.

Social Security Fund and Central Huijin Investment Ltd. join forces with private enterprises in a rare move, introducing a new variable into the 3G technology competition.

Promoting Independent Innovation: A 42 Billion Yuan 3G Special Fund Launched

In addition to these, there are:
Chinese mobile phone brand Singulato Technology releases teaser for new Kirin-powered product, to be unveiled in Shanghai in November.

"Dark Horse on the National Day Screen: Kirin Mobile Phone Ad Scores Over One Million Clicks Online, Mysterious November Launch Event Sparks Speculation"

The advertisements are generating buzz even before the product's release! Kirin phones are already a hot topic, and carriers may have already begun negotiations for 3G customized models.

On the first day after the holiday, many serious media outlets were reporting on these two events.

In addition, there are financial reports:
JD.com Raises $3500 Million in Series C Funding, Valuation Soars 18-Fold in One Month, Setting an Industry Record – Chen Xuebing's Lead Investment Triggers a Reassessment of the Value of the B2C Model by Investors

"E-commerce upstart's valuation leaps three levels: JD.com's Series C financing reveals a new logic for investment in China's internet industry."

National Day Financial Focus: JD.com's Lightning-Fast Fundraising Rewrites the Rules of the VC Game

On the first day after the holiday, all the news that had been brewing throughout the Golden Week was released. Open any portal website or media website and you'll see Chen Xuebing everywhere.

The Internet has memories.

Moreover, the memories of Chen Xuebing are still very fresh, and traces of him are everywhere.

Even that previous article from the Economic Daily was dug up, with netizens analyzing word by word the reporter's experience with the "mysterious phone."

Oh! So it was already reported!
The Economic Daily is truly amazing!

A simple search for the name "Chen Xuebing" will reveal major news from this month up to three months ago regarding the debate over domestic 3G development strategies.

You'll then realize how unwise it was for Foxconn to provoke this rival.

"That's just plain stupid!"

"Look at the intelligence you gave me! And look at the internet!!"

In his Foxconn Shenzhen office, Terry Gou pointed to a report document summarizing Singularity Technology's findings from the early morning of October 10nd, then pointed to the computer in front of him, and said this in a huff:
"You guys actually agreed to let me report him! You idiots!! Isn't one of you even sensible?"

The executives only dared to retort in their hearts.

Who can stay awake if they're woken up at 2 a.m.?
Anyone who makes others work overtime in the middle of the night is an idiot!
Another company in Silicon Valley, USA, that has recently been known for its employees working late into the night, has also gone mad.

On the evening of October 7th, Pacific Time, Steve Jobs, with his head tucked between his arms, looked at the email address provided by the Department of Justice and sighed deeply.

The inbox was flooded with a deluge of messages sent by Terry Gou's agents. Each email contained no text, only screenshots of news reports, yet they kept arriving one after another, practically taking over the entire inbox. The last email sent had the subject line "LOOK AT THIS!" in all capital letters.

There was still no text above, only a few photos of people blocking the entrance to the Foxconn factory, injured people in hospital wards, and a group of people acting suspiciously in the distance at the dock.

Finally, there's a picture of the still-open gate of the Singularity Technology factory. A lean security guard with his hat not quite straight stands under the gate, a cigarette between his fingers, looking at the camera with a hint of kingly disdain.

This photo, though taken over 10,000 kilometers away, successfully conveyed a certain provocation to him: even if you, Steve Jobs, came, you would have to register.

He felt a chill run down his spine from the security guard's stare and his stomach started to hurt.

He knew without translation that the message these photos conveyed was "Big trouble".

He never visited China in his life. In 1985, he received an invitation from China, but canceled it due to conflicts with then-CEO Sculley, being preoccupied with power struggles, and the then-COCOM computer embargo.

The other party's current barbaric behavior, which even a large workforce like Foxconn cannot handle, aligns with his long-held views on socialist countries and has even shaken his resolve regarding the acquisition strategy.

At that moment, his COO and acting CEO Tim Cook called.

“Steve, I’ve contacted the middleman. Mr. Xu Zhijun from Huawei has helped us get in touch with Chen Xuebing and has conveyed some of our questions about the Kirin phone.”

"What?" Jobs frowned and slammed his hand on the table. "How could you tell that barbarian about the phone? That's our secret! You should only talk about touchscreens!"

"No, no, no, I didn't reveal anything. It was Mr. Xu who said he was familiar with the phone that Singularity Technology made that led us to discuss that topic. He also relayed this information to us."

“Okay.” Jobs’ expression relaxed slightly. “What was his response?”

"Chen said he would invite you to China and would answer your questions."

Cook's words immediately triggered Jobs's sensitive nerves.

He immediately shook his head: "No, no, no, I'm not comfortable with this kind of visit. I should stay in the lab during this time. Tim, you go there."

He didn't want to communicate with these barbarians face to face. What if he got detained in China and couldn't come back?
Cook seemed unfazed by the trip to China, but still expressed concern: "However, he didn't invite me, and he explicitly stated that he was speaking with the 'founder.'"

"Founder".

Cook reiterated the word "Founder".

“I’m not going,” Jobs said firmly.

Cook sighed.

Steve was as stubborn as a child in some ways, and as timid as a child in others.

Abandoned by his biological mother at a young age, Steve grew up in the home of his adoptive parents. He is cautious and insecure in many ways.

“I have a solution,” Cook said. “There’s an international high-tech electronics conference in Shenzhen in three days, with high-level Chinese leaders in attendance. It’s very safe. We can arrange for you and your negotiation team to go to Shenzhen to attend the conference. There’s an international airport there; you just need to transfer. The whole process is very safe.”

Cook said "very safe" twice.

Jobs felt a sense of relief, but then reiterated with a serious and fierce expression, "I've said it before, I have a job!"

If he compromises like this, it will seem as if he is not going because he is afraid of "insecurity".

Cook had a keen understanding of the essence of his conversation, so he patiently guided him: "But this job is both important and irreplaceable, isn't it? And you are the irreplaceable person to go to China. I will arrange a tight schedule to ensure that you return as soon as possible to take charge of this important work here."

Jobs' brow unfurrowed, revealing a relieved smile: "Okay, Tim, you're also an important and indispensable person."

"of course."

On October 9th, Chen Xuebing finally finished all the matters in Beijing and set off from Beijing back to Shenzhen in a good mood.

All investment matters have been taken care of.

I spoke with the State-owned Assets Supervision and Administration Commission of Beijing about BOE's future development, as well as its subsequent investment and exit strategies.

The cooperation terms between the social security fund and Central Huijin were finalized and a contract was signed. Kan Zhidong then began to travel around, discussing social financing with several banks.

News came from Xu Zhijun's side: Steve Jobs will attend the Shenzhen High-Tech Fair.

The long-planned strategy is being realized step by step.

He landed in Shenzhen at 2 PM and boarded a Coaster bus that came to pick him up. Ren Ying and Lu Weibing were both on the bus.

Chen Xuebing looked around with some surprise as he got into the car.

"Wow, you've changed cars. The configuration is quite luxurious."

Lu Weibing chuckled: "You said you wanted us to reform into a group company. This car was made according to the configuration of the head office. We bought three. I wanted to ask you about the matter of providing cars for company leaders."

"Oh, you've got money now?"

Chen Xuebing is not opposed to this. Company cars are nothing new for Qidian, and this is included in the benefits package. He has never mentioned it and has set an example by not changing his car, hoping that everyone will maintain the spirit of the early days.

At this stage, it is no longer appropriate to use the term "startup" to explain the singularity.

"We've got some money!" Lu Weibing said with a hint of excitement. "Our market cooperation with Spreadtrum started in July, and especially in September, profits skyrocketed! The profit per chip reached $3, and we sold 7 million chips in just one month! Shanghai also has a tax rebate policy, so we only need to pay 12% VAT! After taxes, the profit is almost 960 million! 23% of that goes to us, which is 4700 million! Adding the sales from the previous two months, Spreadtrum paid us 6000 million in one go!"

"Oh." Chen Xuebing nodded, focusing on something else: "Then there are still three months from October to December. Qidian will almost be able to turn a profit this fiscal year."

“Yes! It can be counted as the year of preparation for listing!” Lu Weibing was already full of confidence in Qidian’s listing.

"This year we will also build a factory and conduct pre-production. We need to improve the financial system, pay attention to the impact of capital expenditures and depreciation on net profit, ensure that we remain profitable, and avoid any blunders."

Chen Xuebing nodded as he spoke, then returned to the topic: "So, what kind of car do you want to buy?"

Lu Weibing was immediately stumped.

Before asking the question, the boss said "maintain profitability," so what else can we say?
"How about I ask if buying a car will affect the profit deduction?" he asked cautiously.

"It won't affect anything," Ren Ying immediately shook her head.

Chen Xuebing also laughed and said, "The car purchase expenditure is treated as a fixed asset acquisition cost, and 20% will only be deducted after one year. It's depreciated over five years. You, as the boss, should learn more about finance!"

"Yes," Lu Weibing replied, convinced.

He observed Chen Laoda's daily life in Shenzhen, noting that Chen spent his free time reading books and researching materials to learn. To date, Chen has never experienced prolonged stagnation in technical communication, and his business acumen is ahead of everyone else. This has played a very important role in the development of Qidian.

In the tech industry, money and attitude alone aren't enough. Many people are afraid to take responsibility, so you need a leader with strong opinions who can communicate effectively and guide the way. Chen's progress is clearly visible; he's becoming increasingly adept at handling technological communication, a quality that many senior executives greatly admire.

"So all the company's board members will buy an A6? And the rest will buy a Passat?" Lu Weibing probed.

Chen Xuebing laughed when he heard this.

"My living standards are not the company's upper limit, why would I buy an A6? Besides, it's my private car."

After a moment's hesitation, he continued:

"Buy a Mercedes. I saw your eyes light up when you saw the Mercedes at Spreadtrum when you came to Shanghai. I'll get you an S600L. For the other senior executives, start with an S350 and work your way down. We won't have exclusive cars for middle management. We'll buy a few Audis and Passats for everyone to share. We can be more flexible with the cars for official receptions. When we have big clients in the future, we'll consider their preferences."

Lu Weibing's eyes widened in disbelief.

The S600L, no less than 300 million RMB after taxes and fees!
The last time he went to Shanghai, the Mercedes-Benz official car from Spreadtrum was just an S350!

Even the S350 costs over a million.

"This is too expensive! Even the head office leaders haven't paid for it yet."

Chen Xuebing waved his hand: "I stole money from all over the world to use for your science and technology work, so let's make the salaries higher. Our salaries have to be so high that everyone envies us in order to attract talent. Every year at the annual meeting, Boss Guo, who works in human resources, draws dozens of Mercedes-Benz and BMW cars and a million-dollar cash prize. We can't be any worse off."

Upon hearing this, Lu Weibing perked up: "I heard you told Factory Director Qi to poach people at will, and even said you'd give him orders. Factory Director Qi has been pulling out all the stops and poached about a thousand people. Are we really going to become an OEM manufacturer?"

Foxconn has a huge market value. If they get going, they'll become a giant in this sector alone.

Chen Xuebing immediately denied it: "No way."

He was just saying that out of anger. On the other hand, he was just looking for an excuse to poach some experienced managers and workers from Foxconn because his own factory was short of staff.

If Singularity really becomes an OEM manufacturer, it will be difficult to formulate future welfare policies.

With his accumulated technical talent and policy support, replacing Foxconn would not be difficult for him.

Just put your conscience away.

It's not that Foxconn is particularly heartless, but the contract manufacturing industry is designed for young people with low to medium education levels, and everyone is desperately exploiting human resources.

Foxconn, for example, was recently exposed as a "sweatshop," where employees were not provided with chairs and had to work standing up for 8 hours a day. The production line was pulled by airplane (at high speed), and the military-style management was very strict, putting a lot of pressure on the employees.

It's all about manpower; training everyone to be a highly efficient machine.

The salary isn't low, but it's not high either; these days, you can earn a little over a thousand yuan.

This is too cruel for the employee policies that Chen Xuebing expected.

But to compete with Foxconn, one must be equally ruthless.

These days, almost all of Foxconn's production lines are in mainland China, employing 400,000 to 500,000 people. With such a large workforce, it's hard to guarantee that nothing will go wrong.

This public pressure is something that Terry Gou can handle, but mainland companies cannot. Take Huawei, for example. When he went to negotiate, one of his employees had just passed away. It seems that he had an underlying health condition that suddenly occurred at work. But because Huawei always had overtime, they were criticized by the public, which even caused Ren Zhengfei to be hospitalized.

“These factories need people to work in order to solve the employment pressure. Given China’s labor demand, if Foxconn doesn’t do it, someone else will. But we don’t need to do it. It’s too much of a burden, too many disputes, and it would put a huge strain on the company’s image.”

"The income is also very low. Each machine only earns a few dozen yuan, with a net profit of 2%-3%. It all depends on people to fill the scale."

"I asked Lao Qi to recruit a lot of people in order to alleviate the production pressure, reduce everyone's workload, increase production capacity, and control quality. But this is only to manage our own production. As for finding orders for him, it's just to make up for some idle capacity during the time. When there are no orders of our own, we will produce for others at low prices, just enough to support the workers and machines."

Chen Xuebing explained slowly.

"Oh ho ho, then Old Qi will be disappointed," Lu Weibing laughed.

“What’s there to be disappointed about, he’s just a factory manager? You’re the one who’s disappointed, aren’t you?” Chen Xuebing said with a half-smile. “Don’t be greedy, it won’t do us any good. We are destined to have a lot of employees, but most of them will be in R&D, sales, quality control, downstream supply chain and production line. We need to leave some food for everyone, and even have to exchange profits for high standards. Qidian wants to become a leading enterprise.”

"clear."

Through regular and effective communication with the chairman, Lu Weibing's direction became clearer, and he also learned a lot about perspective.

Ren Ying listened attentively and noticed that Chen Xuebing had finished speaking, so she handed him the documents in her hand.

"These are excerpts from some of Terry Gou's public speeches in recent years and a brief history of Foxconn's development. He knows you're back today and just called to ask if we should arrange a meeting."

Whenever there was a meeting with an important person, Ren Ying would collect some information about that person and give it to Chen Xuebing.

Chen Xuebing picked it up and casually flipped through it.

"The media should make way for business development."

"Politics is politics, and business is business."

The rest are attacks on competitors, such as BYD and Flextronics.

Not that arrogant.

Compared to the rampant rhetoric of later generations, the current approach is relatively restrained.

Of course, there's no need to take those words to heart.

This person is just an actor.

During the period of dependence on the mainland, they made a fortune in silence. Once they became arrogant, they started to speak rashly. When the United States beckoned, they cooperated to transfer their industrial chains to India and the United States. As a result, they found that they would lose money, but they could still shamelessly return to the mainland.

The lower limit of the slide is not to be missed.

Therefore, Chen Xuebing's move was a heavy blow, letting him know that his side had no bottom line in its actions, and using the Olympics as an example to show him what real policy protection is.

Now, they should behave themselves.

However, Chen Xuebing had something more important to do.

“I won’t make any arrangements. If he calls again, I’ll just say I’m tired and need to rest today.”

As he spoke, he raised his hand to glance at the time.

"Go to Chegongmiao, Sunshine Golf Building."

It's very hot in Shenzhen in October.

Upon arriving at their destination at 3 PM, Chen Xuebing took off his suit jacket, got out of the car alone, and entered the building.

He took out a piece of paper and found a warehouse gatehouse by the address on it.

The door was locked from the inside, and there was no sound.

But there should be one company among them.

To be precise, it's a company that hasn't been established yet; it's currently in the registration process.

The people who came to seal off the factory that day were from the Industry and Commerce Bureau. After they sent a text message to inform on him, Chen Xuebing didn't intend to pursue the matter. However, he remembered something later and called them back.

I inquired and found out if a company called "DJI" has been registered recently.

Upon investigation, it was indeed found.

The registration information was filled out just before the holiday.

If you were to search for such a new company online, you would probably have to wait a long time after registration before you could find it.

Since arriving in Shenzhen, Chen Xuebing has been searching for "DJI" online, but has not been able to find it.

Now that he has finally obtained firsthand information, he can't wait to take a look.

He knocked on the door, the crisp sound echoing in the empty corridor.

"Who?"

The voices drew closer, and the door opened.

A young man with sleepy eyes.

Chen Xuebing saw his face clearly and laughed.

"Are you hiring? I'd like to apply."

"Hiring?" The young man raised his eyebrows dramatically. "Where did you see our job posting?"

“The extra side.” Chen Xuebing casually pointed behind him.

The young man glanced at his attire but couldn't discern the price of the custom-made shirt and shiny leather shoes. He simply thought the man was dressed too formally.

She also has an extraordinary air about her.
"Our salary isn't high, are you really applying for this job?"

"Hobbies," Chen Xuebing said with a smile. "I like airplanes, and I've loved playing with model airplanes since I was a child."

"We don't make airplanes, we make flight control systems," the young man said, then, noticing the man's energetic appearance, waved his hand and said, "But you can see airplane models anyway, come in."

(End of this chapter)