Mid-August 1994.

Shenzhen.

Because, Liu Lenovo came to visit, and Lin Qi suspended his addiction to online games.

"Mr. Lin, I took the liberty to ask to see me this time, and I disturbed you. Liu Lenovo said with a very restrained attitude.

"It's okay, my time is very free, if you don't come, I'll just play games to pass the time. Lin Qi said with a smile.

Playing games?

The controller of the imaginary super business empire with trillions of revenue should be a good opportunity, but Liu Lenovo never imagined that Lin Qi would actually spend his precious time playing games.

Sure enough, is the realm insufficient? It is unimaginable that the boss of the top capital with a revenue scale of trillions of dollars can be idle like this.

This is actually what Lin Qi deliberately did.

If the boss has been busy, it will put huge pressure on the people below, and it is easy to suppress the space for geniuses to play, and even if such a company can continue to survive, the scale will be seriously limited.

A top-level virtuous person like Zhuge Liang has always been a prime minister in Shu State, and he has always bowed to the essence and died, but he did everything himself, not only tired to death in office. Moreover, Zhuge Liang is so capable, which has also led to the lack of training of the people below, and now he has suppressed the intelligence of the talents under him.

Cao Cao's Wei State, the talents under his hands are not as good as Zhuge Liang. However, it is the constant emergence of civil and military generals, and the emergence of good talents. Therefore, Cao Cao's Wei State will surpass the Shu State and Wu State combined.

In ancient and modern times, at home and abroad, the boss is extremely smart, resulting in the gradual unavailability of enterprises under his hands, and there are countless enterprises. In the end, these businesses are failures, and the extremely smart bosses gradually become lonely and capable people, and gradually leave. The main reason is that the boss does not give up power, and will only complain that there is no one available underneath, but even if Jin Yuliang is under his nose, he is not at ease to hand over the power.

Basically, the boss is busy all day long, and in the end, he can't become the industry hegemon, and it is easy to be a blockbuster at the beginning, and gradually be surpassed by other companies, from the leading to the second or third-rate.

It is precisely because of history as a mirror that Lin Qi constantly makes himself idle. Let more talents in the company get the opportunity to exercise. Any company, as long as there are enough people, there will definitely be talent. The reason why we can't find talents is more because we don't give them the opportunity to play and stand out.

The new entrepreneurship department has done so much, and in the future, it is more about giving other talents the opportunity to stand out, and the boss will be less showy and give the opportunity to others, which is more beneficial to the future development of the company.

Of course, Lin Qi still has his own positioning, and the most important strategic decisions still need to be proposed or made by him. He is responsible for these strategies that affect the future development of the company.

As for the company, the company has formulated a development strategy, and the rest is for the management to execute. The boss only looks at the results and does not pay attention to the process.

"Although the new entrepreneurship department no longer relies on the game business to survive, the video game market is still a very promising and potential market in the future. Lin Qi smiled and said, "Especially online games, which have just begun, will hatch a large number of giants with a market value of billions of dollars or even tens of billions of dollars in the future." Therefore, I have nothing to do to play games, mainly to understand the needs and psychology of players in the current market, if I don't understand the feelings of players at all, it is difficult to have any vision in this market. ”

A big capitalist like Lin Qi doesn't need to be too busy, but needs brains and creativity.

In eating, drinking, and leisure, if you can use your brain and think of a profitable business, it is always more efficient than being busy in business all day long.

For example, later, Shi Yuzhu, because of blind expansion, expanded from science and technology to real estate, and invested in the Giant Building, because the construction period was too long, the capital chain was broken, and he once became the eighth richest man in the country to the first loss in the country. Insolvent with the highest debt ratio.

Of course, although Shi Yuzhu has become the first loser, the gambling goods are better than many people, and he did not flee overseas in order to escape debts. Instead, he is in debt of hundreds of millions, and the funds he can use are only a few million. Later, with a few million yuan, he made brain silver, regained his capital, and repaid his astronomical debts. From the planning and marketing of Brain Platinum, it can be seen that Shi Yuzhu's business wisdom can be called the top at home and abroad. Moreover, the psychological quality is also terrifyingly strong, there are hundreds of millions of debts outside, and there are only a few million in his hands, but he has endured the despair that he may never turn over, and even, he really relied on millions to turn over.

And after that. After Shi Yuzhu became a brain platinum, he did not give up and continued to look for the next money-making opportunity. After that, "Legend" became popular, and Shi Yuzhu was addicted to "Legend" for a while, and continued to discuss online games and give opinions with the operators of "Legend". Then, by studying "Legend", after eating the selling point. Shi Yuzhu quickly began to organize manpower to develop "Journey......

"Journey" caters to players even more than "Legend", for example, at the beginning, "Legend" was reluctant to provide plug-ins that were only convenient for players, even if they did not disrupt the balance of the game. Therefore, Shi Yuzhu is in "Journey", and some auxiliary functions are integrated in the game to facilitate players.

It is also after some thinking and digging out some selling points and pain points that led to the launch of "Journey", although it did not surpass "Legend", it was also a best-selling online game with little difference.

Liu Lenovo smiled: "Although the game business has good prospects, we are not good at it. At this stage, Lenovo will still focus on computers, and the global computer market is still growing faster than traditional home appliances. Last year, the self-owned brand of Pangu compatible machine has sold 2 million computers, and after the acquisition of Pangu learning computer assets this year, the sales volume has increased to about 2 million units, and the market position of Pangu compatible machine has been improved to second, with a market share of 13% in Pangu compatible machine. The share of the global desktop market, including PC and Pangu, increased to 6.3%. However, for the needs of mergers and acquisitions, Lenovo borrowed 10 billion yuan, and Lenovo's debt ratio increased by more than ten times its net assets. At this stage, Lenovo's assets are 12.7 billion yuan, but its net assets are only 860 million yuan, and the debt ratio is too high. In the next five years, nearly 3 billion yuan of principal and interest will be repaid every year, and the debt repayment pressure is relatively large, so it is necessary to list and issue shares to consolidate the current financial situation. ”

"Well, Lenovo's current assets are still high relative to debt, and it needs to gradually reduce debt leverage. Lin Qi said with a smile, "After consolidation, the development of footwork will be more solid." ”

Although Lenovo spent 10 billion yuan to acquire the Pangu learning machine series brand and assets with an annual revenue of 60 billion yuan. This also makes Lenovo's annual revenue close to the $10 billion mark.

But in fact, the profit margin of this business is mainly low-end models, and the profit is very low. Don't look at the revenue of 60 billion yuan, but in fact, the profit scale is less than 2 billion yuan.

Lenovo's acquisition of this asset can only be said to have gained market share and revenue that looks quite beautiful. But in fact, the profit generated by this piece of asset is just enough to repay the interest on the bank loan.

Essentially, after Lenovo's acquisition, it gained scale and face.

Pangu Computer Co., Ltd. sold this asset to Lenovo for 10 billion yuan, which optimizes its own asset quality and accelerates the future development of products and high-end markets.

"It's almost at this stage. Lin Qi nodded and said, "I support Lenovo's listing, which is not only conducive to Lenovo's own development, but also to the interests of shareholders." However, you don't need to be listed in Hong Kong, you can list on the A-share market. ”

"Listing on the Hong Kong stock market is more conducive to shaping an international brand image!" Liu Lenovo said hesitantly.

"What is the international brand image?" Lin Qi said with a sneer, "The domestic market, now and in the future, will be the fastest and best market." If Lenovo wants to develop well in the future, the basic market can only rely on the domestic market, and the overseas market is only a supplement. Listing on the Hong Kong market will not bring any additional benefits to Lenovo except that it is more convenient to raise funds. For example, domestic financial media will report more news about A-share companies, and virtually, they will get free publicity advertisements, which will enhance the brand influence. Hong Kong stock listing, sorry, for a long time in the future, the domestic news media will rarely report on Hong Kong stocks, even if it is HSBC, Cheung Kong Industrial, Hutchison Whampoa, Hang Seng Bank and other Hong Kong listed companies, such a large market capitalization, you see, how many times can the domestic news be on the news, how many people pay attention?"

"Okay...... Let's make a new plan!" Liu Lenovo was a little helpless. If it is a few years later, if there is a precedent for Chinese companies to be listed on the NASDAQ, I am afraid that Liu Lenovo will want to land on the NASDAQ market.

In 94, it was listed on the Hong Kong stock market, which was already relatively advanced. Many domestic high-quality enterprises also want to be listed on the Hong Kong stock market, and then look for opportunities to see if they can be listed on the domestic A-share market.

Historically, although Lenovo Group is not competitive, for the original shareholders, the rate of return is actually relatively high. The yield from before listing to after listing is more than 1,000 times. Considering only the performance after listing, it still created a yield of more than 100 times.

The reason why Lenovo chose to be listed on the Hong Kong stock market in 94 is mainly because Lenovo's earnings are not stable and do not meet the requirements for listing on the A-share market. Historically, in the early days of Lenovo, it did not occupy an advantage in hardware procurement costs, but it fought a price war with foreign PC brands. Although, by reducing the thickness of the chassis, the power supply, motherboard and other hardware, the purchase is cheaper, in order to offset the disadvantages of CPU, memory, graphics card and other hardware procurement costs are not advantageous.

In the early days, Lenovo was able to win the market, mainly because of the cheap and cost-effective route, coupled with the construction of the domestic after-sales team, which had more advantages than overseas brands. In the later period, after becoming a PC manufacturer, it gradually swelled up, and it became a product with high price and low configuration, fooling consumers.

Lenovo has been criticized, mainly from 2004, after picking up the rags and acquiring the PC business of IBM in the United States, Lenovo's headquarters moved to the United States, which means that the company has essentially become a Chinese-funded enterprise into an American-funded enterprise. After that, the nature of the association gradually changed. The period of Lenovo's rapid growth and higher returns to shareholders was before the acquisition of IBM's PC business. The acquisition of IBM's PC business has seriously reduced Lenovo's return to shareholders.

Now Lenovo is essentially a sales company, not to mention the content of science and technology. Because the main shareholders of Lenovo are the founding team of Xinchuang Electronics Group, the Chinese Academy of Sciences and Lenovo. Even Lenovo still likes to pick up rags, but it is better to pick up the backward production capacity eliminated by the new entrepreneurship department, rather than picking up the rags in the United States.

Moreover, nearly half of Lenovo's bank loans are provided by Hang Seng Bank at an annual interest rate of 12.5%. This interest rate is already low compared to the domestic bank loan interest rate. In the 90s, the interest rate on domestic bank loans was rarely lower than 15%.

On the one hand, in the early stage of reform and opening up, domestic prices gradually turned into market prices, so inflation grew rapidly. In addition, at the beginning of the reform and opening up, many enterprises did not pay much attention to credit, and the default rate was relatively high. In order to cover the losses caused by defaulted loans, the interest rate on regular loans had to be raised.

In later generations, domestic interest rates gradually decreased, and to a greater extent, the credit system gradually improved. The default rate of enterprises and individuals is no longer as serious as in the early days of reform and opening up. In addition, many commodities have gradually developed from a full-scale shortage to a full-scale surplus, so interest rates have gradually entered a downward channel.

Lenovo's annexation of the Pangu learning computer brand, in this era, can also be called a snake swallowing an elephant. A company with a revenue of 3 billion has annexed a giant with a scale of 60 billion, and after the merger, it is still dominated by Lenovo's team.

Relying on this feat, it actually brought Lenovo greater political influence and reputation. Even, Lenovo relied on the reputation accumulated by this asset to enter the education market.

At present, the importance of computer education in China is almost second only to the number of languages, and has become the fourth key course. Even, the high school entrance examination and the college entrance examination are compulsory. The biggest benefit of this policy is that there is no shortage of grassroots code farmers in China.

It's been almost a decade since computers were incorporated into basic education, and it's not just good for the software and hardware industries. Even, some of the more traditional manufacturing industries have benefited a lot. For example, some simple CNC machine tool automation production lines, even do not need to be introduced, traditional industry combined with a certain computer programming technology, they can start from a simple design, and gradually to design a more complex automated and intelligent production line.

In general, the short-term benefits of computer literacy are even more important than mathematics, physics, chemistry and foreign languages. In the past, there was a lack of industrial talents in China, and the most basic industrial technicians needed mathematics, physics and chemistry skills, so the status of mathematics, physics and chemistry was raised very high. After the reform and opening up, technological exchanges and imports and exports have become the driving force of economic development, so although 95% of people do not need to master foreign languages, they have popularized foreign languages throughout the country for the shortage of 5% of foreign language talents. In essence, a very small number of people use a foreign language to learn a useful number, but the vast majority of people prove one thing, and learn a knowledge that is not easy to learn and cannot use.

To some extent, the meaning of computer learning is more practical than being proficient in a foreign language. Of course, the vast majority of people must not be able to learn well. But the key point is that the small part that can be learned well with talent is much more significant to productivity and innovation than the whole people learning foreign languages.

The popularization of computers to the basic education stage is actually equivalent to preparing for the integration of computer knowledge into more production and service fields in advance. Because, after graduation, many people do not necessarily work in the computer industry, but they can use the programming knowledge they have learned to improve the efficiency of their industry.

Basically, Lenovo's current business is more inclined to the education sector. Provide learning computers between 600 yuan ~ 2699 yuan to primary and secondary schools.

As for universities, universities and governments recognize the latest flagship configuration of Pangu Computer Co., Ltd., for example, colleges and universities basically recognize Pangu 8. Government departments, in order to avoid being suspected of taking rebates when purchasing, also choose Pangu 8, and if the budget is small, they will choose Pangu 7. No matter how bad the configuration is...... Sorry, if it's worse, people who use computers will protest.

In general, Lenovo is now listed for financing, mainly to wipe its ass with previous mergers and acquisitions. By increasing capital through listing, to reduce debt leverage, after that, Lenovo can smoothly digest this piece of cake, not because of indigestion to choke to death.

Basically, Lenovo currently has only two options, one is to go public for financing, and the other is not to go public, and minority shareholders will increase their capital.

Of course, the second option is a backup plan, if it is really time to repay the debt, the turnover is not effective, and the unlisted capital increase and share expansion will be chosen. However, at this stage, Lenovo is still making the first option, and it can be successfully listed and financed within this year, so it will solve the problem of debt principal and interest of more than 3 billion yuan that will be encountered next year. In the next few years, it should be able to rely on the company's own profits to pay off its debts.