2003: Starting with Foreign Trade

Chapter 722 You can’t have your cake and eat it too
Ningbo, Lishe Airport.

"Holy crap, this feels so much better."

As soon as he stepped off the plane, Tan Jincheng couldn't help but complain to Li Yaohui behind him.

Springtime in the capital is quite unpleasant, with pollen everywhere. The capital even has a special pollen warning. Although Tan Jincheng is not allergic to pollen.

But the sky full of willow catkins is unbearable.

Whenever I go out, I have to wear a mask when I encounter places with lots of trees.

"That's right. Having been to so many places with the boss, it seems that Ningbo is still the most comfortable. At least the air isn't as dry."

"It's not that bad. The rainy season is coming soon, which is quite annoying. What you call comfortable is probably because of a sense of security. Ningbo is our own territory, so you don't need to be so nervous."

Lai Yiu-fai thought about it and felt that what the boss said made a lot of sense.

"Let's go, go back."

Gu Qingqing is over six months pregnant. Her emotions have stabilized a lot, and her belly has grown much bigger.

"The first three months and the last three months are the danger period. After this month, you shouldn't go to school anymore. Anyway, your semester is only two and a half years, so it won't make much difference."

Are you still traveling for work recently?

"I try to avoid business trips as much as possible, and if I do have to go, I try to arrange short trips."

Before July, there won't be many business trips. We don't need to go to the Beijing Auto Show at the end of April. We can just let Yu Liguo appear at the Beijing Auto Show and generate some buzz along the way.

Gu Qingqing smiled with satisfaction: "At least you have some conscience. But if you really need to go on a business trip, then go. Work is important too."

Women are just like that, saying one thing and meaning another, and Tan Jincheng didn't want to argue about these things.

However, there were no places that required special business trips in the first half of the year.

The establishment of the research institute is of paramount importance.

"Speaking of which, this trip to Beijing was quite fruitful. I invested in a mobile phone company and acquired a 20% stake for 500 million US dollars."

The addition of Yu Liguo and Hu Zhengnan is a boost to the business.

But a real 20% stake in Xiaomi is more than just a boost to business; after Xiaomi Technology went public in 2018, it led to a massive increase in personal wealth.

Even if Weilai Auto goes public, it will most likely operate domestically. And even if it operates overseas, due to industry influences, its market value is unlikely to skyrocket like that of the internet industry.

Who knows, Xiaomi's shares might even exceed the total market value of Weilai Auto.

"$500 million for only 20% of the shares? What kind of company is that powerful? I don't recall many mobile phone companies in Beijing, right?"

"It's newly established, it just opened on April 6th, but its founder and founding team are very impressive. Xiaomi Technology, the founder is Lei Jun, who used to be at Kingsoft."

Gu Qingqing was also aware of Lei Jun's reputation; he was a well-known bigwig in the internet industry.

However, Gu Qingqing didn't care too much about this investment; nowadays, she focused more on her child.

Not only Gu Qingqing, but the whole family is now focused on her pregnancy. With the due date approaching, everyone in the Tan family, including Gu Qingqing and her husband, is overjoyed.

"By the way, isn't Flashpoint Technology going to release its first-quarter report this month?"

This morning, after learning that his boss was about to return, Lin Yumin had two financial reports delivered to him: one was last year's annual report, which had already been audited, and the other was the first quarter's financial report, which had not yet been audited.

"Yes, it has to be released to him within this month. Nasdaq is better, it's more flexible. But the first quarter report will probably be so-so. I just don't know if the market share has increased."

"It's the off-season, I'll go get the reports for you."

"No need, just tell me where it is, I'll go get it myself."

"In your study."

"Let's go together then. Let's take a look first, and then we'll go pick up little Tan Jinyue together. You can also get some exercise."

Gu Qingqing is 168 cm tall, which is considered quite tall for a girl from the north. As her pregnancy progressed, her body became increasingly cumbersome, and she rarely moved around after returning home.

“During my trip to Beijing, Mr. Lei told me that after a company goes public, there is a period of two to three years of comprehensive adjustment, during which many people become less motivated to work. FlashDrive was probably in this situation last year.”

Once you've acquired stocks and achieved financial freedom, whether intentionally or unintentionally, you'll inevitably become somewhat lax in your work.

Many people are simply waiting for the time to cash out their stocks, and then they'll sell them and enjoy life. There are quite a few employees like this at companies like Flash Technology and Orange Technology. It's not entirely fair to blame the executives.

If they show up but don't put in the effort, there's nothing the executives can do.

FlashTech has a large number of grassroots employees, so very few of them can get shares. Most of them are in a good state. Orange Technology, which has all employees holding shares, is actually in a more serious situation than FlashTech. Sun Tongyu has a lot of work to deal with the employees' apathy.

For a long time, Sun Tongyu focused on optimizing the organizational structure and improving the work efficiency of his colleagues.

"You can't have your cake and eat it too; you just have to overcome this gradually."

That's right. In fact, Tan Jincheng seems to be in this mindset. He is now focusing more on Jinxin Times and Weilai Automobile, partly due to the need for business restructuring within the company.

On the other hand, isn't it also because I feel that these companies don't pose much of a challenge?

Compared to maintaining a business, he prefers starting a business because the process is more challenging and full of unknown excitement.

The first quarter has always been the off-season for the sales of two-wheeled electric vehicles. After last year's national standard incident and the fact that almost all manufacturers were involved in a price war, there are now only about 1200 electric vehicle manufacturers of any significant size left in the country.

"The overall market growth was only around 10%, and the electric vehicle market in the first quarter was really terrible. No wonder the stock price is still relatively strong."

Since the market rebounded and peaked last year, it has been slowly declining. Currently, the stock index is hovering around 3100 points, and the overall stock prices in the market are also declining. FlashTech's stock price is currently fluctuating around 19 yuan.

It has fallen quite a bit compared to its peak, but overall it is still doing well. Its market value is at least between 90 billion and 100 billion. Institutions and retail investors are still quite optimistic about the future of Flash Technology.

"The peak season is almost here, and with electric vehicles now included in the rural appliance subsidy program, sales are expected to pick up next quarter."

"Haha, it's not bad. Our market share has increased, so it's not too bad."

In the first quarter, a total of 382 million two-wheeled electric vehicles were sold nationwide, representing a growth of about 10% compared to last year. Shanchi's growth rate was roughly in line with the market, selling 40.986 electric vehicles in three months.

There were no particularly outstanding results, but the market share has risen to 10.73%. The main reason is the price war initiated by Aima last year, which lasted almost the entire year of 2009. By this year, many manufacturers have been unable to keep up.

Overall, in the first quarter, FlashTech continued to offer price discounts and captured a significant portion of the market share from manufacturers who dared not continue the price war. Compared to the first quarter of 2009, its performance was still acceptable.

Speaking of which, Flash has also benefited from the price war with Aima last year. Aima mainly targets the lower-tier market, using the strategy of "encircling the cities from the countryside" to open up the market. In order to maintain its market share, Flash had to fight him head-on.

Otherwise, they will miss the electric vehicle rural subsidy program that started in March. Currently, in the two-wheeled electric vehicle market, the only one with a financial advantage that can keep up with the seemingly free discounts offered by brands like Aima is probably Shanchi.

Even established giants like Yadi and Xinri are struggling to keep up. It's unclear where Aima got its money from; do they have such deep-rooted resources?
In its previous life, Aima became number one in the industry in just one year, and Yadi also made its move in 2009. After that, these two companies held the top two positions in sales.

The main reason why ChipRide fell behind most of the competition is probably due to insufficient funds. They couldn't compete with these two companies. However, Zhang Congxun was also very smart. Since he couldn't compete with them domestically, he went to export, learning from Flash.

In addition, Chipstar continues its high-end strategy, which has resulted in low sales but a good profit margin.

"Speaking of which, Xinri is better. They make high profits from high-end products. Making money secretly is much more comfortable than being an industry leader."

The reports sent not only included their own but also analyses of competitors in the industry. Aima's model is not something everyone can do; Yadi has taken the technology route until now, when it has achieved full-scale success.

Xinri has become more low-key, but it still maintains its leading position in the industry. Together with Shanchi, Yadi, and Aima, which surged last year, Xinri is now regarded as one of the four giants in the two-wheeled electric vehicle market.

Brands like Lvyuan are closer to being second-tier brands.

"Being the industry leader comes with pressure, that's for sure. If Flashlink wants to be the industry leader, it has to bear that pressure."

As the first listed company in the industry, FlashTech is now in a difficult position. Even if it doesn't want to be a leader in the industry, it has no choice but to accept it.

While no company can maintain the number one market share forever, it is still necessary to remain at the top, unless you deliberately underperform.

This is the current situation of ChipRest. Before 08, ChipRest was extremely successful. After losing its number one sales position, it began to change its business strategy, focusing on high-end products in China while also striving to develop an export strategy.

Production capacity doesn't need to be expanded indefinitely, and profit margins are guaranteed. Financially, it looks much better than brands like Hermes, which target the low-end market but have seemingly high sales volumes.

"Ah, Old Zhang is still living a comfortable life. He makes money secretly now, without having to do so many things. He's living a very comfortable life."

Looking at the data collected from its peers, including the data from SMIC, Tan Jincheng couldn't help but feel envious.

Last year's price war severely impacted the profit margins of the two-wheeled electric vehicle industry. While Xinri, which shifted its business strategy, saw its sales volume drop to fourth place, its profit margin remained remarkably high. The high-end market is always more lucrative than the low-end market. If Xinri continues with this strategy, it has at least another ten years of good fortune ahead.

Ten years is enough time for Zhang Congxun to accumulate a huge amount of wealth, yet he doesn't flaunt it.

To a certain extent, Lvyuan has always maintained this business strategy: unable to enter the top tier, it focuses on becoming the best in the second tier, quietly making a fortune by relying on its technological accumulation.

"You're quite comfortable, aren't you? Anyway, you don't need to worry about it anymore. With Uncle Lin and the others in charge, as long as the annual plan is done well, there won't be too many problems with the electric vehicle market."

"Haha, that's true. If Brother Sun can step up, he could take over from Uncle Lin in the future."

In terms of age, Lin Yumin and Wu Zhenping are from two different generations than Sun Yuming. Sun Yuming is now in charge of the affairs of the Tianjin base, which is a good opportunity for him to gain experience.

After Lin Yumin retires, Sun Yuming can take over as the head of FlashTech.

In addition, there are Wang Chao, Zhou Ao, and even Zhao Xinyi, who was temporarily transferred from Flashpoint Technology. These are all Flashpoint Technology's reserve cadres.

Gu Qingqing is right. As long as the promises are made well enough, the management team that has grown up with Tan Jincheng will be the guarantee of stability for FlashTech for the next ten years or so.
-
imperial capital.

An unnamed farmhouse restaurant in Changping District.

Yu Liguo, Zhang Yong, and Zhang Yong's former boss sat around a table. In the center of the table was a copper pot, several plates of mutton rolls, some vegetables, and a small dish of sesame sauce for each person.

Add a couple of bottles of Moutai, and you'll have a wonderful time.

"Has Xiao Zhang not had hot pot for a while?"

"That's right. Ningbo is great in every way, and the air quality is much better than in the capital. It's just that we're not used to the food yet, but luckily, Mr. Tan's mother invites our family over for meals from time to time."

Zhang Yong, the CEO of Weilai Auto, who was second only to the company's CEO, became "Junior Zhang" in front of his two senior colleagues, serving as a waiter pouring drinks.

"Haha, kid, no need to warn Xiao Yu. Since he's already agreed to go, what does this matter to him?"

The old leader saw through Zhang Yong's little scheme at a glance.

"Haha, boss, you've really wronged me. I'm just telling the truth. Mr. Tan's family is indeed very approachable."

Zhang Yong, of course, denied it. He was so busy all year round, traveling all over the country. How many times could he possibly have the opportunity to eat at Tan Jincheng's family banquet?

The three of them sat together this year for two reasons: first, to thank their former leader for making the connection; and second, because Yu Liguo wanted to learn about the new boss's personality through Zhang Yong. Bosses all have two personalities: one in front of the media and another in private.

Whether it's a private enterprise or a state-owned enterprise, they're all the same: they have to watch the boss's face and do whatever the boss says.

Those online claims that you can lie low and argue with your superiors in state-owned enterprises or government agencies are just misleading people. The leaders have plenty of ways to deal with you.

If you want to achieve something, you must understand interpersonal relationships and social dynamics; otherwise, you'll just be lying around wherever you go.

"You little rascal, you've been following Boss Tan for over a year and you've become quite the smooth talker."

The old leader chuckled and scolded, but his words revealed a sense of satisfaction. It's not easy for someone with a technical background to rise to a management position. Being a little thick-skinned and slick isn't a bad thing.

Zhang Yong raised his glass with a grin and clinked it with his former boss and Yu Liguo: "That's true. I've learned a lot from President Tan these past two years. Overall, President Tan is a very good boss."

"Take the wine we're drinking today, for example. It was provided by President Tan."

They've drunk plenty of vintage Moutai, having served in management positions in state-owned enterprises. The one Tan Jincheng provided wasn't particularly expensive, but it was a token of his appreciation.

"You seem to really admire your little boss."

There were some things Yu Liguo couldn't ask directly, so his old leader acted as his mouthpiece. Back then, it was he who encouraged Zhang Yong to go out and try his luck. Weilai Auto was just a platform, but unexpectedly, in just two years, Weilai Auto has established itself in the automotive industry with its independently developed Yuechi A1 model.

The speed is staggering.

Zhang Yong nodded: "Most of the marketing for Weilai Auto comes from President Tan. Take this attack on the RAV4, for example. Only he would dare to do something so risky in the industry."

Toyota's presence in China isn't limited to Toyota itself; it also includes FAW and GAC. This direct customer-grabbing behavior carries significant risks, and a misstep could easily lead to its demise.

However, those who have nothing to lose are not afraid of those who have shoes to wear, and there aren't many car models available yet, so there's nothing to be afraid of.

Furthermore, Weilai also has its own community of interests, and it's hard not to link the Zhejiang Provincial Administration for Industry and Commerce's intervention in protecting its rights with Weilai Automobile's actions.

"In addition, most of our company's design language actually comes from Mr. Tan's ideas. He participated in the initial design of the Yuechi A1. Mr. Tan's aesthetic ability is beyond question."

"Furthermore, in terms of power, President Tan is also a boss who knows how to delegate authority, which is most advantageous for those of us who want to make a name for ourselves."

Having ample room to maneuver, without having to consult with superiors for every decision, or facing the risk of projects being halted midway, is incredibly frustrating.

One of the main reasons why private enterprises have difficulty retaining talent is that the bosses are too controlling and want to manage everything.

Tan Jincheng participates in the design of car models, but he never interferes with the design process. As long as the appearance meets his expectations, the design department makes all the other decisions.

Zhang Yong quite liked this point. Before he joined Wei Lai, his biggest worry was that a boss who didn't know anything would give bad orders, which is very common in China.

"What are some of Mr. Tan's hobbies in private?"

Yu Liguo thought for a moment and asked, "Zhang Yong has been full of praise for Tan Jincheng's work ability. I don't think Zhang Yong would lie to me about this. How could he have built the company to its current level without such ability?"

"In private? In private, President Tan doesn't really have any particular hobbies. In today's terms, he's a bit of a homebody. Oh, right, he likes playing computer games. He often uses a secondary account to reply to posts on his computer. I've caught him doing that several times."

The boss has no shortage of luxury cars and mansions. He owns many luxury cars and villas under his name and company name, but these are not really hobbies for him.

Zhang Yong thought about it carefully again, and it seemed that the boss really didn't have any particular hobbies. Women? It seemed not, at least he hadn't found any.

When I run into him at his house, he's usually lying on the sofa playing games with his little sister without any regard for his image, or he's in the study playing computer games and browsing all sorts of news.

Based on his interactions with colleagues, if we disregard his identity, he seems to be no different from a normal young person, except that he is a bit more mature.

"What about the rumors between him and that female celebrity?"

"Well, I think this is probably because of the female celebrity's hype. I haven't heard President Tan being particularly intimate with any woman other than President Gu. Maybe I just didn't notice it back then."

Yu Liguo nodded. Based on what Zhang Yong had said, the new boss was capable, willing to delegate authority to his subordinates, and usually a homebody with a low profile. This was his current understanding of the new boss.

"I heard that Boss Tan dotes on his sister a lot?"

The old leader believed what his prized student said, and overall, Tan Jincheng's image in his mind became quite good, so he started gossiping about him.

"Haha, that's true. Our group's management is actually quite standardized. President Tan is usually very disciplined at the company. The only thing he doesn't follow the rules is that he likes to bring his younger sister to the company to play."

The little girl is very cute. She goes to the headquarters of Flash Motors more often, but she has also been to the Meishan factory of Weilai Auto and visited the production line.

Everyone in the company knows that it's better to curry favor with the younger women than with President Tan. Female employees have a natural advantage in this regard, since male employees don't have the same opportunity to get close to the younger women.

Rumor has it that during the Chinese New Year, a supplier for Weilai Automobile was kicked out of the supplier system because he casually touched the head of a small car.

He checked and found that Weilai Auto did indeed have such a supply chain company, but its orders were cut due to substandard quality control, and then it was kicked out this year.

Zhang Yong didn't know if this was the reason he was kicked out, but he was definitely kicked out.

"According to Xiao Zhang, both the boss and the company itself have a good future. Don't overthink it, just do your job well."

The former leader comforted Yu Liguo, saying that he was the one who introduced the person and arranged this meeting to reassure Yu Liguo so that he could take office.

"Yes, Mr. Yu, our company's prospects are still good. Our strength in new energy is not as bad as the outside world says."

Everyone thinks new energy vehicles are just a smokescreen, but Zhang Yong knows that his boss is serious about them. Zhang Yong isn't sure what the future of new energy vehicles will look like, but the company is seriously working on accumulating technology.

According to Zhang Yong's understanding, the project between Luzhou Jin New Era and BMW has made good progress after more than four months of joint research and development.

The boss also said that he would go and take a look together when he has time.

The boss is incredibly patient with lithium batteries, continuing to invest despite losses for several years.

"Come on, let's have a drink. Thank you, Mr. Zhang, for clearing up my doubts and giving me a clearer understanding of the future."

"We're saying this because we're all working towards the same goal. We'll need your help at the Beijing Auto Show."

""

(End of this chapter)