The car giant started by marrying the daughter of the king

The entire year of 1993 was spent in a flurry of activity.

Although some industries have encountered problems, overall, China's economy is in a stage of rapid development.

GDP growth is expected to maintain double-digit growth once again.

This growth rate is quite remarkable given the increasing size of China's GDP.

For the BMW Group, this is thanks to the rapid development of Lingnan Semiconductor and Pearl River Technology.

And the steady growth of the automotive business has kept pace with the overall economic growth.

This is quite an achievement.

After all, the BMW Group is already a very large company.

It's unrealistic to expect growth rates of tens of percent every time.

For example, car sales can't keep increasing so dramatically, right?

Last year, overall sales increased by only 8%, falling to single digits for the first time.

This situation also put Chen Chenxing under pressure.

"President Jiang, this year our European and American markets have basically maintained a pattern of slight increases."

"The 8% increase mainly relies on processes in the domestic market and the Middle East and Africa."

"Many countries in Europe have already implemented some stimulus policies, and we expect the situation to change this year."

Despite achieving growth, Chen Chenxing felt somewhat embarrassed at the group's summary meeting.

Among all industries, the automotive sector has the slowest growth rate.

It's fair to say that the automotive business dragged down the overall performance last year.

"Our sales have exceeded 220 million vehicles, so it's naturally difficult to achieve the kind of rapid growth we used to see."

"It is more important to stabilize the situation and then find a suitable opportunity to achieve growth."

"Land Rover will be launching a new off-road vehicle this year, which will benefit our sales improvement."

Jiang Hui didn't criticize Chen Chenxing; he knew the other party had already done his best.

A company's development cannot always be smooth sailing.

Furthermore, BMW Group's performance last year wasn't bad, it just didn't have the same growth rate as before.

In fact, both the revenue and profit figures represent record highs.

"Yes, our domestic market sales should see an explosive growth of more than 30% this year, which is also a very good opportunity for us."

"We have also officially begun to exert our efforts in the polar bear market."

"Many of the original Polar Bear's own car factories are no longer able to produce cars normally, or the products they produce are not competitive at all."

"So even if the overall market size is shrinking, we still have the potential to increase our sales."

"The situation was similar in some other former member states of the polar bear. We quickly seized market share in the automotive industry through barter."

Chen Chenxing gave Jiang Hui a thorough report on some of the plans for this year.

After all, the past is the past; what's more important is how to move forward.

"After years of preparation, the domestic market has indeed reached a period of rapid growth."

"However, new products from various competitors are constantly emerging."

“In particular, the new products from companies such as Geely Automobile, Changan Automobile and Great Wall Motors are quite competitive.”

"You can't let your guard down either. You can work closely with Hongqi and BMW to capture as much of the growing market as possible."

Jiang Hui was well aware of the immense potential of the Chinese auto market.

After the year 2000, the annual growth rate was extremely high.

The market size has rapidly increased from several million vehicles to twenty to thirty million vehicles.

This kind of increase is something that absolutely no other country has ever experienced.

This was something no company had anticipated.

At its peak, automakers like Volkswagen could make any new model a bestseller.

It's like making money while lying down.

Thanks to the emergence of the BMW Group, the Chinese auto market has entered the era of comprehensive reform and opening up three years ahead of schedule.

So even though it's only 1994 now, the actual size of the automobile market is already close to the level of 2000 years later.

The opportunities contained here are also enormous.

"As for polar bear markets, the situation varies from place to place."

"You should adopt various policies flexibly and cooperate well with local distributors."

"Any cooperation proposal is open to consideration."

The Arctic Bear Automobile Market in later generations can be considered a traditional advantageous market for Chinese automobile brands overseas.

Now that BMW Group has entered this market first, it naturally hopes to do well in the business.

If all goes well, this could become a million-dollar car sales market.

It can contribute to the rise of the BMW Group.

"Some people in our sales department have also suggested increasing marketing efforts in the Indian market next year, as they feel that the car market there is somewhat similar to that in our country."

"The future potential is still quite large, but different people have different opinions."

When faced with difficult decisions, Chen Chenxing habitually seeks Jiang Hui's advice.

He is especially willing to share his insights on matters involving important choices.

"Investment in new markets should be approached with caution, as the business environment there is hardly anything to be proud of."

"This is especially true for Chinese enterprises."

“Our models can be sold in these areas by partnering with local dealers; there is no need to set up a company to operate locally directly.”

"Otherwise, even if you make some money, you might not be able to take it away smoothly, or the other party might find a reason to fine you."

Jiang Hui's insight into the Indian market is definitely much greater than Chen Chenxing's.

That's definitely a huge pit.

While the potential is promising, there's really no need to fall into the trap.

Of course, if he could also get some freebies by cooperating with some distributors, Jiang Hui wouldn't mind.

“I understand. For the Southeast Asian market, we will treat each country differently based on its specific circumstances.”

Although Chen Chenxing didn't quite understand Jiang Hui's instructions, he was very efficient in carrying them out.

Even if they don't understand it in their hearts, they will still carry it out without any compromise.

We'll understand the other things gradually later.

This is one of the key reasons why he has been able to maintain his position.

……

1994 1 Month 10 Day.

The groundbreaking ceremony for Zhujiang Technology's new computer assembly plant in Shenzhen has officially taken place.

According to data released by Zhujiang Technology, the factory will have the capacity to produce 200 million computers per year.

It also reserves space for further expansion of the factory.

Last year, the total computer sales in China were less than 300 million units, but now the newly built factory of Zhujiang Technology alone has a production capacity of 200 million units.

This is naturally a huge stimulus for the entire industry.

"President Jiang, I just received news that Dell is planning to build a factory in China to produce laptops and desktops."

"HP will also accelerate its pace of entering the Chinese market."

"Even Samsung Electronics has announced that it is considering setting up a computer assembly plant in China." "The competition in the domestic computer market will become even more intense in the future."

Liu Donghui felt it was necessary to report the latest market situation to Jiang Hui.

The situation facing Zhujiang Technology is constantly changing.

"That's normal. We've been fully open to the outside world for several years now."

"At the beginning, many foreign companies were still observing and wanted to see if our attitude and determination were firm."

"Now we can see the outcome of many things."

"In addition, with the rapid growth of our economy in recent years, our consumption capacity has also been continuously improving."

"Whether it's computers, mobile phones, or other products, the sales volume is already a market that cannot be underestimated on a global scale."

“Those companies are all very strategic, so they naturally entered China in a timely manner.”

Jiang Hui was not surprised at all by the entry of various foreign companies into China, nor did he intend to stop them.

Various regions are highly motivated to attract foreign investment, and it would be a mistake for Jiang Hui to stand up and oppose it.

Besides, it's not something he can just oppose.

"That's true, especially after the start of the new year, relevant departments have successively issued several regulations and ordinances."

"This is all good news for the company's development."

"The development direction of the market economy has already proven its vitality and has received strong support."

After hearing Jiang Hui's words, Liu Donghui couldn't help but nod.

"Relevant departments are making various efforts to join the WTO. Under such circumstances, it is natural to support all kinds of opening up to the outside world."

"The entry of more foreign-invested enterprises into the market to compete fairly with us is a sign of openness, and it is also beneficial for joining the WTO."

In my previous life, China didn't join the WTO until 2002, after which it experienced explosive economic growth.

The situation has changed somewhat, and China's accession to the WTO may be brought forward by a few years.

This is definitely a great thing for China's economic development.

By participating in international competition early, we can enjoy more benefits later.

Related companies will also be able to enjoy more benefits from the international market and make more technological accumulations.

There will certainly be even more breakthroughs in the future.

Jiang Hui is full of confidence in the future of China's economy.

"President Jiang, when it comes to joining the WTO, different people in the media have different opinions."

"Some people say it's a good thing, while others are actually against it."

"Because joining the WTO means that tariffs on many of our goods will be reduced."

“For products like our computers and mobile phones, with tariff protection in place, Motorola and Nokia’s imported products are completely uncompetitive in terms of cost.”

"This has also played an invisible role in promoting the development of our company."

"In the future, with the reduction of tariffs and more foreign companies setting up factories in China."

"In some ways, this is not a good thing for our company."

Liu Donghui raised the question that had been bothering him.

Over the past year, the topic of the WTO has been gradually gaining popularity.

Although many ordinary people have no understanding of or interest in this thing.

However, as the head of a large enterprise, Liu Donghui's attitude was naturally different.

"If we want to grow and thrive, we ultimately have to rely on our own competitiveness."

“Especially if you want to enter the international market, you must compete without tariff protection.”

"Lowering tariffs on various goods will, to some extent, stimulate domestic industries to enhance their competitiveness."

"This is not necessarily a bad thing."

Jiang Hui was well aware of the economic performance after joining the WTO; even if there were some side effects, the benefits outweighed the drawbacks.

Therefore, it is definitely necessary to support it.

It's like a mantis trying to stop a chariot—you can't do that.

"I understand. In light of this change, I will also make some adjustments to the development strategy within Pearl River Technology."

After understanding Jiang Hui's attitude, Liu Donghui felt more confident.

The impact of this incident on Pearl River Technology should still be under control.

As if by some predetermined fate, just as Jiang Hui and Liu Donghui were discussing the WTO,

Zhu Jiansheng also took the initiative to call Jiang Hui to discuss WTO-related topics.

China's path to joining the WTO has been exceptionally difficult. From the formal application to restore its status as a contracting party to the General Agreement on Tariffs and Trade in 1986, it has been eight years of effort.

The market economy threshold of the WTO and the complex multilateral and bilateral negotiations make this matter very difficult.

Zhu Jiansheng only recently got involved in this matter.

Since things weren't going very smoothly, he definitely needed to talk to Jiang Hui to see if there were any good solutions.

"Xiao Jiang, many countries are now opposing our accession to the WTO, and there are also some dissenting voices within our own ranks."

What's your opinion on this matter?

There was nothing awkward about it between the father-in-law and son-in-law.

If you have any questions, just ask them.

"It is normal for some people to object. The more people object internationally, the more it shows that they are worried that our accession will have a positive effect on economic development."

"As for some dissenting voices in China, I think we need to look at the issue from a higher perspective."

“Lowering tariffs, reducing subsidies, and protecting patents and technologies are not necessarily bad things.”

"Companies that grow up in a greenhouse cannot withstand storms."

"Many companies in Shenzhen have started to make a name for themselves in the international market in recent years."

"Our hardworking and courageous employees are fully capable of producing highly competitive products."

"I fully support joining the WTO as soon as possible, and I'm even willing to make some appropriate compromises."

"Of course, compromises in the financial sector should be made with caution, but everything else is negotiable."

Jiang Hui clearly expressed his support for joining the WTO.

This is something that requires no hesitation.

This attitude surprised Zhu Jiansheng quite a bit.

"Aren't you worried at all?"

"Won't the future reduction of various tariffs also have an impact on your group?"

Zhu Jiansheng asked, somewhat surprised.

"The BMW Group has never been afraid of competition, and I don't think those adverse effects are a big deal."

"On the contrary, by taking advantage of joining the WTO, our products can better explore the international market."

"This reward is even more anticipated."

At this point, how could Jiang Hui possibly hesitate?

Full support is absolutely the right thing to do.

Ideally, we should have been able to join before the 1997 or 1998 financial crisis.

This will minimize the impact of the crisis on China. (End of Chapter)