novelhk Page 711
Page 711
Then he said, "I can give these production equipment and raw materials to the leaders for free, but I have one condition."
"Tell me your conditions. They're too difficult for me to agree to."
My condition is very simple, it is just...
Chapter 498 Can we build some contract factories in mainland China?
He Yuzhu then continued:
"I sincerely hope that our great motherland can help me develop my OEM business in Guangzhou!"
Upon hearing this, the top leader was utterly astonished and couldn't help but ask:
"OEM? What does that mean?"
Seeing this, He Yuzhu calmly explained the concept of contract manufacturing in detail, and then gave a special example of how he used to manufacture advanced CNC lathes for Moreno Trading Company.
After this explanation, the top leader finally understood and realized what OEM manufacturing was all about.
So he continued to ask:
"Then, please explain in detail how this business is operated."
After a moment's thought, He Yuzhu replied:
"My idea is this: first, I hope that we can build a number of factories on a large scale here. Then, I will provide the relevant core technologies and all kinds of equipment needed for production, including all the raw materials, etc."
He paused briefly, observing the senior leader's reaction, before adding:
"Of course, the cost of these equipment and raw materials will be converted into a cost according to certain standards and temporarily recorded in the accounts."
The newly built factory will be responsible for effectively managing the workers and ensuring the smooth progress of the entire production process.
Once the finished product that meets the quality requirements is successfully manufactured, it will be sold to me at a relatively favorable wholesale price.
Finally, I will transport these goods to Hong Kong and promote them to the market through various channels to achieve sales.
After listening to He Yuzhu's explanation, the senior leader remained silent, seemingly lost in deep thought.
After a long while, he slowly raised his head and said thoughtfully:
"If you do things this way, aren't you just like those capitalists?"
"How could this be the capitalist way? This is clearly a perfectly normal business practice! Let them handle the production here and then wholesale it to me."
The senior leader said, "To be honest, I'm not sure about your idea yet. After all, it's a big deal, and I need to consult with my superiors first."
Hearing this, He Yuzhu became somewhat anxious and quickly asked:
"How about we rephrase it? Could I purchase a batch of goods directly from the mainland and then ship them to Hong Kong for sale?"
Upon hearing this, the top leader answered decisively without hesitation:
"Of course, no problem! Isn't the purpose of holding the Canton Fair to promote and sell all kinds of goods?"
Rewinding to after the great victory in the Korean War, the Russians finally began to seriously examine the powerful forces inherent within their own country.
Prior to this, procurement plans that had been stubbornly resisted were finally released.
As a result, the famous 156 projects were subsequently undertaken.
While the Russians did provide my country with a lot of advanced production technologies, these were not free aid.
In reality, each project had a price secretly marked, and all the loans and interest payable totaled as much as 1.46 billion new rubles!
Each ruble can be exchanged for 3.6 yuan at a certain exchange rate, and the total value of this batch of technology is a staggering 52.56 billion yuan!
Ever since those old Russians ruthlessly tore up the contract back in the distant 60s, they have been impatiently urging us to repay the debt as soon as possible.
Now, 61 years have passed, but so far, we have only repaid a very small portion of the huge amount of money we owe the Russians. There is still a long way to go before we can completely pay it off.
Just then, He Yuzhu suddenly spoke up:
"Let's break this down first. If I come here with US dollars to buy various goods, I wonder if you will actually sell them to me?"
Upon hearing this, the high-ranking leader replied without hesitation:
"That's absolutely no problem, I can sell it to you!"
Immediately afterwards, He Yuzhu continued to press for answers:
"In that case, if I wanted to purchase transistors, would you sell them to me?"
Faced with this question, the top leader responded just as decisively:
"That's for sure!"
After receiving such an affirmative answer, He Yuzhu then raised an unexpected point of view:
"If that's the case, why did you go to the leadership to discuss it? Why not just arrange for a sufficient number of transistors to be produced and then sell them directly to me?"
For a moment, the high-ranking leader was speechless, unsure how to respond.
Indeed, just as He Yuzhu said, he will be responsible for providing the necessary raw materials, advanced technology, and related equipment, and then he will buy back all the products successfully manufactured using these resources.
At first glance, this approach seems to be a common tactic and behavior of capitalists, but after He Yuzhu's in-depth and detailed analysis and interpretation, one can't help but feel that perhaps we are overthinking it.
He Yuzhu smiled and said firmly:
"Boss, you're overthinking it! In any case, as long as you can successfully produce high-quality transistors and advanced CNC lathes, I'll definitely take them all!"
He then added:
"However, besides these core products, I also plan to purchase some other related goods. After all, the production costs in our country are indeed more advantageous compared to those in Hong Kong."
Upon hearing this, the high-ranking leader fell into deep thought, and after a moment's consideration, asked:
"Okay, let's put this matter aside for now. You mentioned building a factory here earlier, what are the specifics?"
He Yuzhu explained confidently:
"Boss, think about it, all of this is to ensure that goods can be turned around efficiently!"
If you were to build your factory in the capital, and then have to transport your goods all the way from there to my place, that would be such a hassle! Nowadays, trains are quite slow, averaging only about twenty kilometers per hour.
The distance between our two places is a full 1,890 kilometers. If we rely solely on train transportation, it would take 75 hours!
Leaving aside the significant delays caused by this long transit time, the freight costs on the train alone would add a considerable amount of extra expense, wouldn't they?
At this point, He Yuzhu paused slightly, observing the senior leader's reaction. Seeing the leader nod slightly in agreement, he continued to elaborate on his thoughts:
"Therefore, in my opinion, it would be better to designate a suitable piece of land near the port to build a brand new transistor factory and lathe factory. This would not only make my procurement work more convenient and smoother, but also greatly improve the efficiency and reduce the cost of subsequent transportation!"
After listening to this analysis, the top leader nodded thoughtfully and responded:
"Hmm, what you said makes some sense..."
He Yuzhu said with a serious expression:
"Besides, think about it, the grand Canton Fair is always held here every year! If we build our factory here, wouldn't it be much more convenient to deliver products? Furthermore, CNC lathes aren't something that just any country can manufacture; there are only three or four countries in the world with that kind of production capability!"
Upon hearing this, the high-ranking leader's tightly furrowed brows gradually relaxed. After a moment of contemplation, he nodded slightly in agreement:
"Yes, you do have a point."
Seeing that the senior leader was showing some flexibility, He Yuzhu pressed his advantage and continued:
"In that case, I have quite a few ideas about this new factory! First, we must pay close attention to worker training and not be careless in the slightest; second, we need to establish extremely strict rules and regulations for the daily management of the factory. We absolutely cannot allow any defective products to leave the factory, so we must establish a complete and high-standard quality management system."
After listening, the top leader nodded repeatedly in agreement:
"Don't worry about that. Producing high-quality parts is definitely our top priority!"
Having received the assurance from the top leader, He Yuzhu nodded in satisfaction, but then added:
"That's not all! I plan to introduce more advanced technologies and sophisticated equipment in the future, and I will also place large orders to purchase the necessary raw materials, etc."
Faced with He Yuzhu's series of proposals, the top leader agreed to them all without hesitation, and promised:
"Okay, no problem! I will do my best to assist you in coordinating all aspects."
He Yuzhu paused briefly, seemingly organizing his thoughts, before continuing:
"In addition, I also hope to obtain some existing domestic production technology data and to conduct specific research projects in certain key areas. But don't worry about the cost, I will cover all the related research expenses."
The top leader waved his hand generously and answered:
"Haha, no problem, no problem, everything will be done as you say! As long as it benefits our factory construction, I will find a way to coordinate and resolve any conditions for you."
He Yuzhu returned to the factory, travel-worn, his heart filled with plans and aspirations.
He knew he had a heavy responsibility upon his return—to solve the current problems in production and to promote new breakthroughs in scientific research projects.
Despite possessing certain research and development capabilities, individual strength is limited, and it is unrealistic to expect to be comprehensive in every aspect and devote all one's energy to the work.
For He Yuzhu, life is too short, and enjoying life while one can is the lifestyle he truly desires.
"If only we could get our hands on the core technologies of radios and televisions first!"
"Especially those key technologies related to circuit boards," He Yuzhu thought to himself.
It should be noted that many factories and research institutions in China have already produced dozens of different models and specifications of radios.
This is undoubtedly a valuable asset. If we can integrate all these scattered materials, learn from each other, and combine them with our own strengths to innovate and improve, then producing a unique and high-performance radio product will be just around the corner.
However, things didn't go as smoothly as expected. They had hoped to obtain all the technical support needed for radio production from Jimmy's company, but unexpectedly, the company was only willing to provide some parts. As for the most crucial technology—the technology for producing transistors—it was kept tightly under wraps, with no intention of revealing anything.