Hong Kong film: My brother, Big D, I really don't know kung fu.

Others also had this idea: if they could provide a "one-stop" service, taking care of all aspects of production, distribution, and retail.

Based on the retail price of HK$4999, their profit from each VCD player sold would reach an astonishingly explosive figure.

Lei Hao explained with a smile: "The reason I set the ex-factory price at HK$1999 is ostensibly to give profits to distributors, but in reality, it's to get them to help us expand the market."

"If we don't understand the importance of sharing profits and only think about making all the money ourselves, then it will be a long time before we can expand the VCD business all over the world. Moreover, the cost and effort involved will be considerable, and we may even face huge obstacles."

"That's why I decided to give up some of the profits, and you, as internal members, have the right to choose the distribution area first."

"In other words, you can acquire VCD distribution rights in certain countries. You can choose to become a local agent yourself, or you can cooperate deeply with local forces to sell together."

After Lei Hao finished speaking, everyone finally understood the deeper meaning behind his words.

It would be extremely difficult for them to expand their VCD business globally in a short period of time on their own.

Therefore, it is necessary to give up some profits to leverage this opportunity.

Although it may seem like a loss on the surface, it allows for rapid expansion into the global market at minimal cost.

This is undoubtedly the most efficient and wisest business strategy.

The bigwigs present were all eyeing the huge profits that VCDs would generate in the future, and Huang Shitong was particularly keen on understanding the essence of this.

He said with a smile, "Ah Hao's plan is really brilliant. We charge distributors an extra agency fee, which is undoubtedly a considerable amount of extra income."

His words pointed out another profit point of Lei Hao's strategy.

Robinson followed up by adding, "This agency fee can be divided by country or region and is collected annually. If it is not paid on time, we will terminate the distribution rights directly."

"As long as our product quality is excellent and can continuously meet market demand, we don't need to worry about a lack of people willing to buy the agency rights; the market will be eager to buy them."

Lei Hao was very satisfied that Huang Shitong and Robinson were able to quickly grasp his ideas and offer constructive supplementary suggestions.

He said with a smile, "That's right. My initial plan is to divide the agency fees by country. For example, the annual agency fee for Meilijian will be HK$3000 million, while the agency fees for other countries or regions will be between HK$500 million and HK$1000 million."

“人口低于1000万的国家，每年收取500万港币；超过1000万的全部收取1000万港币；高于1亿人口的国家，代理费则为2000万港币；之后每多1亿人口，再额外增加1000万港币。”

As Lei Hao finished speaking, the atmosphere at the scene suddenly became complicated.

Some were happy, some were sad; everyone was quickly calculating their own gains, losses, and opportunities.

Without much thought, Han Bin weighed the pros and cons and raised his hand, saying, "Mr. Lei, I'm willing to offer HK$35 million to secure the agency rights for Java, Malaysia, and Singapore for one year!"

This time, Han Bin did not back down at all. He was very clear that this was a huge piece of cake that Lei Hao had specially allocated to them.

If you miss this opportunity, you'll really be struck by lightning and regret it for the rest of your life!

Han Bin had previously been involved in smuggling, and he possessed extensive connections and resources throughout the Southeast Asian underworld, giving him a thorough understanding of the market conditions in these regions.

Therefore, he immediately selected three relatively wealthy countries with great potential.

Java has a population of 1.6 million, Malaysia has 1500 million, and Singapore has 320 million.

Among the countries he selected, apart from Java, which is slightly less developed economically, Malaysia and Singapore have very good economies and strong consumer spending power.

Moreover, although Java's overall economic level is not high, there are many wealthy Chinese people there, and he believes that VCD sales will not be a problem.

Seeing that Han Bin had taken the lead, Zhou Chaoxian slapped his thigh and hurriedly said, "I want the agency rights for Taiwan, Japan, and South Korea!"

His tone carried a hint of urgency and determination.

Robinson immediately picked up the population data of various countries on the table and quickly came to a precise conclusion: "The population of Taiwan is 19.6 million, Japan has 1.22 million, and South Korea has 42 million. The total annual agency fee for these three places will be HK$40 million."

“40 million it is, I have no objection!” Zhou Chaoxian sat down with a smile, looking very satisfied.

Whether it's Taiwan, or Japan and South Korea, these are all relatively wealthy regions with strong purchasing power, so he has no worries about VCD sales.

Based on population and purchasing power, Zhou Chaoxian estimated that he could sell at least several million VCD players.

The 4000 million yuan annual agency fee is nothing to him, not worth mentioning.

"I want the agency rights for five European countries: Hans, Gaul, England, Italy, and the Bullfighting Country!" Raymond suddenly said.

His words startled everyone, especially Li Shutang, Cai Yuanqi, and the others, who looked as if they had seen a ghost and could hardly believe their ears.

"Cousin, are you sure?" Lei Hao looked at Raymond with some suspicion, somewhat surprised by what he had just said.

Raymond smiled shyly and explained, "I got it for my father-in-law. He has some connections and networks in England, and I thought he could take this opportunity to build up his political and business connections in those countries. This would be very beneficial for our future business!"

Chapter 85 Ownership of VCD Distribution Rights in Mainland China

After hearing this, everyone nodded in agreement, agreeing that Raymond's suggestion made a lot of sense.

The reason for offering discounts and creating agency rights is to attract other forces to help them develop their businesses and form a huge community of shared interests.

Raymond's father-in-law, Tsang Pak-han, is a former Deputy Secretary for Administration of Hong Kong. Although he has retired, his network of connections remains extensive and deep.

If we can leverage his remaining abilities to connect people in these important European countries, then, as Raymond said, this will be crucial for their future global business strategy.

In business, you need to make as many friends as possible so that you can make money together and maximize your profits.

Robinson quickly calculated the agency fees for these countries again: Hans' population was 8300 million, Gaul's population was 6800 million, England's population was about 6700 million, Italy's population was 5900 million, and the United Kingdom's population was 4800 million.

The populations of these five countries all exceed ten million, but are less than one hundred million. Therefore, the annual agency fee for each country is HK$10 million, totaling HK$50 million.

Raymond said there was no problem, his father-in-law Zeng Baihan could easily cover the cost.

Lei Hao and his team had no doubts about this.

With Zeng Bohan's status and influence, he could easily find various forces willing to cooperate with him, share the agency fees, and develop the market.

Seeing that most of the countries and regions with high profits and great development potential had already been chosen by others, Huang Shitong immediately stopped hesitating and quickly said:

“Then I’ll choose Hong Kong, America, or Canada. Hong Kong has a population of less than 1000 million, so it only costs 500 million Hong Kong dollars a year.”

“至于枫叶国人口2500万，代理费一年1000万港币；美丽煎人口2.42亿，一年3000万港币；我一共要支付4500万港币的代理费。”

Everyone said they had no objections.

Everyone has already scrambled for the areas and shares they wanted, and those who didn't get their desired areas understand that they don't have enough strength to compete with someone like Huang Shitong.

For the emerging business of distributing VCDs.

Long Hair, Dongguan Boy, and Jimmy Boy weren't uninterested, but they lacked the financial resources to participate.

Furthermore, even if they manage to secure the agency rights for a country, they lack sufficient connections and resources to expand the market there.

If you have to do everything yourself, then it's not worth the effort, and you could even say you're losing the big picture for small gains.

Because they knew very well the real reason they were able to make money was that they clung tightly to Lei Hao's coattails.

As long as you stick to working with Lei Hao, why are you afraid of not making money?

More importantly, no matter how many VCD players are ultimately sold, these shareholders will be able to steadily receive dividends.

Since you can make money comfortably while lying down, why bother to work like a beast of burden and exhaust yourself?

Moreover, they all knew that as long as they could stay by Lei Hao's side, he might come up with a new business opportunity that would make a lot of money someday.

At that time, those around them will be able to take advantage of their proximity.

Big D, Lei Hao's older brother, shared the same idea, so he was too lazy to bother with the agency rights and just wanted to reap the benefits.

Li Shutang and Cai Yuanqi were not unafraid of the enormous legal profits inherent in the VCD distribution rights.

However, they knew very well that outside of Hong Kong, people would not give them any face.

Moreover, the most profitable areas have all been booked by their own people.

They felt they didn't need to make any more trouble and could simply wait patiently for the generous dividends.

Li Wenbin was indeed tempted for a moment by the prospect of high profits for distributors, but he quickly dismissed the idea.

He was very clear that his beloved profession was being a police officer, and he had not given up on any idea of ​​pursuing his ideals.

Money may be tempting, but his professional beliefs are even more steadfast.

Of the remaining people, Lin Yaodong was the most conflicted.

He wanted to seize this opportunity to acquire an agency, but he felt he didn't have enough strength to bear the corresponding risks and investments, and for a moment he didn't know what to do.

"Yaodong, feel free to speak your mind!"

Lei Hao keenly noticed Lin Yaodong's unusual behavior. He smiled and spoke, his tone encouraging.

Lin Yaodong hesitated for a moment, but finally gritted his teeth and said resolutely, "Mr. Lei, I also really want to secure the VCD distribution rights, but the mainland has a large population. If we calculate based on the distribution fee you just set..."

Moreover, he still owes HK$5000 million in investment money from Lei's Industrial!

If Lei Hao hadn't given him the opportunity, he wouldn't have been able to participate in such high-end business at all, not even just to discuss it.

Hearing his words, everyone secretly shook their heads, expressing their incomprehension or skepticism about his idea.

The population of mainland China has exceeded 1 billion. According to Lei Hao's requirements, a country with a population of over 2000 million would require a HK$1 million agency fee, and for every additional 1000 million people, an additional HK$10 million agency fee would be charged.

Based on the mainland's population of 10 billion, the annual agency fee would be at least HK$1.1 million.

Such a large sum of money is not something that anyone present could easily come up with; it could even be described as a huge sum.

Moreover, most of the people present had some doubts about the economic development of the mainland.

Even if they really put up an agency fee of 1.1 million, can they really make back that amount by selling VCDs in mainland China?

To barely recoup the agency fee, at least 5.5 VCD players would need to be sold.

Despite some people's doubts about the mainland's purchasing power, Big D and Han Bin, who were involved in smuggling with Lin Yaodong, had a deeper understanding of the mainland market.