504 Red Bull's Global Plan
"Mr. Chen, when it comes to foreign exchange balance, it is not that there is no chance of change, but the food industry is very difficult, and such a requirement must also be approved by the central government, and our local government cannot be the master." Director Ma thought for a while and said.
At present, the country's foreign exchange is under the unified management of the state, that is to say, no matter where it is, private enterprises, foreign-funded joint ventures or even state-owned enterprises, the foreign exchange earned must be handed over to the State Administration of Foreign Exchange, and then re-apply when the local government needs foreign exchange in the future.
However, the recent relaxation of the policy may also be to encourage the enthusiasm of local foreign exchange earnings, the foreign exchange earned by the local government, beyond the set target given by the central government, there will be a part of the local government itself to decide how to spend, this may also be because the central government can not have the energy to approve so many applications, the power is appropriately delegated, but this can only be a small amount of foreign exchange local governments have the right to decide, too large or not.
Even if it is Shanghai City, the son of the republic, it is only a little more autonomous, and it may be a little special in Shenhai City, because it is an experimental site for reform and opening up.
In order to keep foreign exchange, and at the same time to attract overseas investment, it is necessary to reach an agreement with foreign companies to balance foreign exchange before cooperation, otherwise, foreign companies make money in China, but there is a reason to cash out the profits, for example, SAIC Volkswagen, if there is no export of 100,000 engines, that people have earned 100 million US dollars in China, if you want to transfer away, the central government can not refuse, otherwise this will be targeted by the global media, and it will also make other foreign capital no longer consider investing.
Therefore, even if a lot of big investments are missed, the central government still adheres to the foreign exchange balance policy, otherwise, once the foreign exchange is gone, the economy will completely collapse.
However, if it is a small-scale enterprise, but it involves a special industry, and it is completely impossible to produce in China and needs to be imported, then it can also consider concessions. For example, at the beginning of this year, the United States 3M company came to the mainland to invest in the production of a special tape, which has a wide range of uses, but the scale is not very large, and this tape is monopolized by 3M, and it is not agreed that people can only go to the United States to buy, but it consumes more foreign exchange, and finally the central government also agreed to this request, and 3M is also preparing to invest in a small factory in Shanghai at the end of the year, which is still wholly-owned, and is the first wholly-owned enterprise outside the deep-sea special zone in the history of the mainland.
Even if it is a concession, it is because it is conducive to foreign exchange reserves, but the food industry obviously does not have this treatment, and the larger the scale, the more it will consume the country's foreign exchange.
"I know this, but what if I promise that within ten years, the RMB earned in China will not be converted into foreign exchange?" Chen Zhiwen said that the matter of foreign exchange balance belongs to the current national policy, and no one can change it, but there is no way to bypass it, and the country is also trying to integrate into global economic and trade cooperation, and it is not that foreign capital is not allowed to make money in China, but the problem is that foreign exchange is too short.
Although his Midea Gigafactory can export products to obtain a large amount of foreign exchange, Chen Zhiwen also needs to export foreign exchange for electrical appliances to balance his domestic electrical sales, and two independent projects, it is also troublesome to share the foreign exchange balance policy, so he needs Red Bull itself to independently have the authority to sell large-scale in China.
"If that's the case, I can apply and report to the city leaders." Director Ma thought for a moment and asked, "What will happen in ten years?" ”
"Ten years later, I think the country's policy will definitely change, and when the economy is good, there will be no shortage of foreign exchange reserves, and the policy of foreign exchange balance may not exist." Chen Zhiwen smiled and said, "If there is still one, then continue to maintain the current agreement, how about it?" ”
In the original history, in the early 90s, when the foreign exchange reserves exceeded 20 billion US dollars, and the export production was getting bigger and bigger, the policy of foreign exchange balance naturally disappeared, it is said that the original history of Master Kong, established in 92, became the domestic instant noodle hegemon in two years, and made a lot of money, but there was no export ability at all, but the same business was very smooth.
"That should work." Director Ma nodded and said. This promise can be counted, and that is ten years later, even if there is a rip-off, it may have nothing to do with him, besides, ten years, if the domestic foreign exchange is still the same as now, then the economic development will be too failed, he is more willing to believe that in the near future, his own country, will no longer lack foreign exchange, even ordinary people, can also buy foreign products at will.
"Mr. Chen, at present, the Red Bull factory in Shanghai mainly relies on the export of Red Bull beverages to balance foreign exchange, and I also know that Red Bull sells well abroad, so why not continue to adopt this model?" Director Ma asked again.
"In this way, small-scale can be, large-scale can't, Director Ma, anywhere in the world, trade balance is needed, whether it is a country or an individual, it is impossible to only make other people's money, this truth, the world is peers, Red Bull is a high-profit value-added product, there is no reason to only produce in Asia." Chen Zhiwen shook his head and said.
Red Bull's profits are indeed very high, the value per unit volume weight is high, whether it is produced in Hong Kong or in the mainland, it is no problem to sell it all over the world, which is different from the high transportation cost of other beverages.
It's just that with such a high profit, it will also cover the labor costs in Europe and the United States, and it will not work if you make a lot of profits in other people's regions, without giving people any benefits. For example, Costco in the United States can create a lot of jobs in the United States, which can be regarded as giving the United States certain benefits, but even so, many supermarket goods are still purchased in the United States, otherwise they are imported from Asia, and they will definitely be targeted, unless the United States itself does not have this industry, then there is no way.
The manpower-intensive industry of household appliances is almost impossible to play in Europe and the United States, and the local home appliance brands in Europe and the United States have also begun to transfer their production lines outward, so it is not a problem for Midea products to be sold in the United States, and even goods produced in the mainland or other parts of Asia, as long as the price is low enough, it can also benefit American consumers and reduce inflation.
But the beverage industry is not good, including very Coke, Red Bull and other drinks with large sales, Chen Zhiwen is also ready to produce and sell in some large countries, such as the United States, Europe, Australia, South America and so on.
Asia, is left to Hong Kong, as a Hong Kong person, he also needs to leave a little industry for Hong Kong, Red Bull's high profits, is not too concerned about Hong Kong's labor costs, and Red Bull's factory will be in Tin Shui Wai, where the labor is definitely cheaper than other places in Hong Kong, and close to the deep sea city, industrial facilities are also available, at the same time, he also has a large amount of undeveloped land in Tin Shui Wai, Tin Shui Wai into Hong Kong's last industrial base, then they can get higher returns on real estate.
Therefore, Red Bull's factories in the mainland, the future positioning, that is, self-production and self-sales, but that is the future, the current mainland, the economic level can not support the consumption of Red Bull's semi-luxury goods, unless the share of foreign markets is ceded to the domestic market on a large scale, but this is not in line with Red Bull's long-term plan, if it is targeted by some parliamentarians in Western countries, it will be worth the loss.
"What will the future Red Bull factory produce? Very Coke? Director Ma asked, he also knew something about foreign countries, and he also understood what Chen Zhiwen said.
"Very Coke, although there are sales in China, but it is still not enough, my main product will be Master Kong instant noodles." Chen Zhiwen said.
The positioning of very Coke in Europe and the United States is lower than that of Coca-Cola and Pepsi, no way, people have stabilized in those markets, if you want to grab the market, you have to make changes in technology or price, but Coke or any drink, the technology basically does not exist, the taste is good or not, that is, it depends on the individual, they are all large companies, and they will not be bad, so in this case, they can only rely on the price.
In the domestic market, the positioning of very Coke will be slightly cheaper than Liangle, or the volume has changed, but it will not be so big as the gap overseas, and even if the price is low, it is still too expensive for ordinary people in the mainland, in the 90s, sugary drinks are also considered luxury goods for many families, and in the era of popsicles for a dime, few people will buy Coke for two yuan.
However, there are still some rich people, and this market still has to be fought for, because only by winning these people can we get more ordinary people in the future, but the current market demand is not enough for the production capacity of a large factory, but instant noodles are not.
In the era of scarcity of materials, the high oil, high calorie and high salt in instant noodles are the needs of most people's bodies, normal people will feel very fragrant when eating instant noodles, and instant noodles are small in size and light in weight, which is completely opposite to very cola, and in the current domestic road traffic is not very good, transportation costs are extremely important.
In the original history, Master Kong, in the past few years, was in short supply, the number of workers expanded from a few hundred to tens of thousands, and the national sales exceeded 10 billion packs in the fifth year, creating a superfood instant noodle empire in a few years.
Although it was 8 years later, the economic environment was different, but it should not be much different, the only problem was that it could not be sold.
"Instant noodles? Master Kong's instant noodles are really good, and I like them a few times, and this thing must be very popular. Director Ma nodded and said. As a local in Shanghai, although there are restrictions on the self-produced Master Kong, it is no problem to sell here, many people have also eaten, and the feedback is very good, so in the same way, the expansion to the whole country should also be the same result, unless some places because of water and soil problems, the taste is lighter.
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(End of chapter)