The Industrial Giant Reborn.

Chapter 516 Crisis at Yanjing No. [-] Electronics Factory
"Chen Zhiwen is a person who usually makes decisions before acting when doing things. He will not do anything reckless at will. Besides, his real estate companies such as Hutchison Whampoa, Land, and Wharf, including his father's, control a large amount of land and properties in Hong Kong. , he will definitely hope that Hong Kong’s economy will be stable so that the real estate market can benefit, so I don’t think we need to worry too much. Midea can withdraw from Hong Kong, which also shows that Hong Kong’s economy will soon reach the level of developed countries. Otherwise, it will There is no need to go through such trouble." Director Qi analyzed.

"Your perspective is quite good, hahaha. If you tell me this reason, I think everyone will accept it." The big leader laughed and said, it does make sense to think so. Western developed countries, including Japan, have been in the If low-end industries are transferred overseas and Hong Kong cannot accommodate ordinary industries, it will be following the path of Western economies.

"However, such a large number of jobs may also cause some trouble." Director Qi added.

"Well, we haven't fully negotiated with the British side yet. Even if Midea builds a factory in the mainland, it won't be so fast. There's no rush for now. When that time comes, let Xinhua News Agency and Hong Kong pay more attention. , then try to minimize the impact on Hong Kong society." The big leader nodded and said.

The employment directly and indirectly driven by Midea may account for a few percentage points of Hong Kong. Counting the families of these workers, it may be one-tenth of the population. Although it will take a few years, so many people are unemployed. It is also very shocking. If it were left in the mainland, the government would have a headache.

"So the problem now is that Midea needs to build a more complete electronics industry chain in another place than Hong Kong. It is estimated that starting from this year, we will have to invest slowly and gradually. If we miss this year, we will wait until they improve it in the future. , then there is no chance, this is Midea's core product, far more than its home appliances." Director Qi said.

"Actually, there are not many places to choose from for Midea. Such a large electronics industry has very high requirements for local education levels. In Southeast Asia, there are very few qualified people. Apart from us, the most suitable place is Wanwan. , the electronic foundation there is stronger than ours in the mainland, or South Korea, but the language and culture in South Korea are different, which is a troublesome thing." The big leader thought for a while and said: "Whether it is in South Korea or Taiwan, Midea itself is in these countries The market is free to sell. In other words, investing in these places has no additional benefits for Midea, so he hopes to open up the mainland market."

"That's right. According to our internal speculation, Chen Zhiwen seems to be very optimistic about the future economy of the mainland. The investment in the Beijing-Tianjin-Tangshan Expressway is also the largest foreign investment accepted by our country. It seems to be successful now. I also heard that Hutchison Whampoa wants to We have invested in Tanggu Port." Director Qi said that although the business department is very large and each person is only responsible for one area, they also have information channels for some major events in other areas, especially at present, Chen Zhiwen's movements can be said to be The core of the central department's attention is the local office in Beijing, which is also very concerned, because once Midea and the central government are settled, it will be their turn to compete for this project. It can be said that if an ordinary province can win If you take this project, you will no longer have to worry about foreign exchange in the future.

"You really can't miss this opportunity. It will even affect the development of the entire country's electronics industry." The big leader nodded and said: "As for worrying about affecting students' learning, we can legislate to restrict students from purchasing these products. Although it cannot be completely controlled, But at least it will be better. For adults, it’s free. Reform and opening up itself is not just about economic opening. It’s also good to have some exposure to foreign things. If we can take this opportunity to develop our own domestic electronic games Industry, maybe it can also be exported to earn foreign exchange? There is Chen Zhiwen in a place as small as Hong Kong, and maybe it can be found in China."

"I hope so." Director Qi said with a smile. Although he thought it was unlikely, there was no need to dissuade the leaders. It was really an accident that Chen Zhiwen appeared in Hong Kong. You know, the game industry is already very popular in Europe and the United States. It’s so popular that I don’t know how many big companies have entered the market and how many people have started their own businesses, hoping to get a share of the pie. But for now, Midea Group is still worthy of its reputation as number one, and No. 2 is far behind it.

"In this way, this investment can be discussed in two directions. In principle, there is no problem with home appliances. Let each locality discuss various tax and policy benefits, as long as it is not too outrageous. I also need game consoles. Let’s talk about it later.” The big leader said again.

"Okay, I'll tell Midea the news right away," Director Qi said.

"By the way, have Chen Zhiwen or Midea's senior management ever said that this electronics factory and the game console factory are together?" the big leader asked again.

"This is not clear, but I think they should be together in the early stage. If the scale becomes larger in the future, it is hard to say whether they will be separated. With Midea's current scale and future development trends, it will only build a factory in one place. The possibility is not too great. International large companies will build separate factories to diversify their supplies and ensure that there will be no supply problems." Director Qi said that he has been doing foreign trade for many years and has adopted common strategies for some large foreign companies. , and I know it more or less.

"Well, let's consider it now, step by step." The big leader nodded and said. "Then it depends on which local government is more capable to get this project." Director Qi said with a smile.

"Many people from Yanjing have come to see me. People from Shanghai, Shenzhen, Guangdong and Qingdao have also come to inquire. Everyone wants it." The big leader said with a smile.

"Actually, I still hope to be in Yanjing, not because I am in Yanjing, but because the efficiency of Yanjing No. [-] Electronics Factory has become worse and worse after it was restructured. Thousands of employees are now paid less than If you can't pay it out, you have to rely on the government to support it. If the Yanjing City Government can't afford the money, it turns to the central government. Now everyone has a headache. The loss of tens of millions a year has not yet bottomed out. If it continues like this , after a long time, even the central government cannot bear it." Director Qi said helplessly, shaking his head.

To say that they are not selfish at all, it does not mean that they naturally hope that large-scale foreign investment will invest in Yanjing, but they do not use special relationships to help Yanjing City. This is unfair to other cities, and it is similar to Shanghai. In a city like this, the relationship is not shallow.

Yanjing No. 50 Electronics Factory, although it bears the name of Yanjing City, is actually a state-owned enterprise and the largest electronics factory in the country. It was established as early as the [-]s. Many companies in the previous decades In large-scale projects, Yanjing No. [-] Electronics Factory has participated.

Unfortunately, the global market has entered the transistor era, domestic technology cannot keep up, and the entire electronics industry has fallen into losses. As the largest domestic Yanjing Electronics Factory, it naturally bears the brunt of the biggest impact, and its former glory and equipment have become a burden. , the electronic components produced are not even required by domestic companies, and the entire factory has become very idle, but it still has to support everyone and many supporting facilities, so it can only rely on government subsidies.

Although Yanjing No. [-] Electronics Factory is also gradually reforming and wants to learn Western technology, it is so large that not only turning losses into profits, but also wanting to maintain no losses, it requires the purchase of a large amount of equipment, patented technologies, etc., which requires A large amount of foreign exchange, and most importantly, who will the goods produced be given to?Unless there is a technological breakthrough or the price is lower, even if something is built, it will not be sold.

And if Midea's super factory comes to Yanjing, it will inevitably need to cultivate an industrial chain locally. Generally speaking, it will not do this kind of thing itself. Instead, it will choose to bring other capital from Hong Kong or choose local suppliers. Then Yanjing The First Electronics Factory can take this opportunity to enter. As long as there is an order, it will be much simpler to apply for foreign exchange from the state. The Administration of Foreign Exchange is relatively generous in terms of consumption that can lead to subsequent foreign exchange returns.

"The matter of Yanjing No. [-] Electronics Factory is indeed urgent, otherwise it will soon become a worry for the central government." The big leader nodded and said: "Becoming a supplier of Midea can indeed solve this problem, but you can't expect it. Midea will definitely choose to invest in Yanjing. In this way, privately, you can talk to Midea's senior management about this matter. No matter where Midea's super factory is built, it is best to bring Yanjing City's No. [-] Electronics Factory into their supply chain. In the system, the transportation cost of ordinary electronic parts is not high, and now that the Beijing-Tianjin-Tangshan Expressway has been opened, it can also be transported to the south by sea. No matter what Midea chooses, it will definitely choose to invest in coastal cities."

Today, Yanjing No. 50 Electronics Factory's annual losses are as high as tens of millions. This is an astronomical figure. You must know that Yanjing City's annual fiscal revenue is only 1200 billion, and the entire mainland's annual fiscal revenue is only [-] billion. billion, the annual subsidy is equivalent to a few ten thousandths of the entire national finance.Although it doesn’t seem like much, there are so many places in a country that need money, so how can they keep giving you subsidies?
But the problem is that thousands of people are employed, including families with tens of thousands of people. If there is really no subsidy, it will go bankrupt all of a sudden. This is Yanjing City again, and the impact will be too bad.For now, it is indeed the best way to let it enter Midea's supplier channels.

"Okay, but there is no need to go to Chen Zhiwen specifically for this matter. You can just discuss it with Mr. Lei Shenglilei, the general manager of Midea." Director Qi nodded and said.

Two days later, Yanjing Oriental Hotel:
"Yanjing No. [-] Electronics Factory?" Chen Zhiwen said with some surprise after listening to Lei Shengli's report.

(End of this chapter)