Age of Dreams

The first thing Xiao Xu and Xiao Qi discussed was the issue of managing urban congestion. ︾︾,

But this is not what Xiao Xu wants to talk about most today.

What he wants to talk about is another more important topic.

"Do you know about the Nike factory closing the Taichang factory in March?" Xiao Xu asked.

"I know." Xiao Qi nodded, "The Taichang factory with 1,400 people is Nike's only footwear factory in China. After the closure, they focused their footwear manufacturing on the Philippines and Indonesia, and even went to Vietnam, These places in Cambodia."

"Then do you know, Adidas is ready to do the same?"

"Huh? So early?" Xiao Qi blurted out.

"What's so early?" Xiao Xu was a little inexplicable.

"No, nothing."

The boy smiled and said nothing.

He remembers that in his previous life, Adidas only closed the last factory in China in 2012. How could this life be advanced to 2009?

Xiao Xu ignored his son’s daze, and continued: "Nike and Adidas have left China. On the one hand, it shows that the manufacturing crisis in China is continuing. On the other hand, it also shows that after so many years of development in China, After all kinds of costs increase, there is no longer a competitive advantage in price. Compared with the former, the influence of the latter is more extensive."

Xiao Qi understood Xiao Xu's worries, and even in his previous life, he had heard more worries about this aspect.

The simplest labor-intensive factories in the world have always moved with capital.

In the 1960s, labor and other costs in the United States rose, so most of the factories moved to Japan, and when Japan's various costs rose in the 1970s, factories flowed to Treasure Island and South Korea.

Then again for the same reason. These factories moved to China in the 1980s.

Up to now, China is the same as Japan and South Korea back then, so factories have moved to a cheaper labor-intensive area-Southeast Asia.

Capital is profit-seeking, and when profits become less and less, of course they will change.

If one day the cost of Southeast Asia also rises, then they will leave as well. Find the next cheaper place.

Therefore, this kind of thing is inevitable.

Xiao Xu knew the history of the factory's changes, so he was full of emotions. He didn't think that after enjoying the demographic dividend of China for more than 20 years, he would encounter such a big setback.

How did the good life in China come from?

Isn’t it just relying on hundreds of millions of peasants to walk from the central and western regions to coastal cities, working desperately to make shoes, clothes, lighters, etc., and earn it all by one hand?

Otherwise, you think that you just rely on doing business to sell things from Shuchuan to the Northeast, and to sell things from East Guangdong to Jinxi. Can it spur the entire Chinese economy?

Yes.

Whether it is Japan, South Korea or Treasure Island, they all survived in the end, and they are developing very well.

However, China is so big and its technical reserves are not as strong as those of Japan and South Korea. If Xuebaodao were to do foundry in Southeast Asia, it would involve direct competition with the businessmen of Baodao. They have decades of experience in foundry. It will be bad at first.

The businessmen of these manufacturing industries in China. What is lacking is patience.

You haven't seen the subprime debt crisis before, and the antique flourish now. These businessmen can't support it, do you want to get out?

If they are allowed to spend a few years of high investment, and the return is not too fast, I really don't know if they will simply shrink back.

No one can tell if this kind of thing is involved, so Xiao Xu is a little worried.

"'It's going to rain. Mother is going to get married.' What we can do is to create a good environment for them as much as possible, and they will leave the rest by themselves." Xiao Qi muttered, "Now at the palace, In addition to stopping the boom in the antique market as much as possible, there are problems in tax support and loan assistance that are much better than a year ago.

Even if the entire labor-intensive industry is relocated, it will not be completely completed in one or two years. During this time period, they can actively seek new directions, such as increasing profit growth points, such as creating their own brand, such as upgrading technology... As long as they are willing to think and do, then there will be no way out. "

What makes Xiao Qi very gratified is that with the efforts of himself and his father, in this life, there is no so-called four trillion infrastructure construction plan, and there is no total blind investment of tens of trillions in real estate, cement, steel, and shipbuilding. There is no blind expansion. The goal of the country is correct from the beginning, that is, to support export enterprises as much as possible so that they can survive and survive.

Therefore, in the previous life, 90% of bank loans were occupied by state-owned super-large enterprises. Small and medium-sized enterprises, especially privately-owned small and medium-sized enterprises, were so sad about loan financing.

It’s better on weekdays, but after the 2008 financial crisis, these private SMEs are basically not making much money. They all rely on starting work to stabilize their factories, otherwise they may go bankrupt.

Under such circumstances, their capital chain is even more tense.

There is no way to get money in the bank, so they are forced to look for private loans every year—that is, donkey-rolling loans.

Of course, many borrowings are usury, but they are not. For example, in 2008 and 2009, interest rates of 10%-20% were the most common, and even 20% were rare.

But later, as the capital of these factory owners and real estate developers became more and more tense, in order to borrow more money, they were completely disregarded and dared to offer 30%, 50% or even 100% of the loan interest. Let others lend money to them.

There are always so many people who want money and don’t want their lives to be fooled by high interest rates, so in the end the entire private lending exploded. The borrowers couldn’t pay for the money to escape, and the people who lost all their savings were also hysterical...

Xiao Qi prevented such things from the beginning, and when discussing with Xiao Xu, he focused on the important responsibilities and roles of the state and banks in this crisis.

Niu Ruzheng, Yu Chengsheng, and Mr. Bian attach great importance to these opinions expressed by Xiao Xu. In addition, Xiao Qi, a talent with "unparalleled global economic strategic forward-looking vision", is of course careful consideration. Banks have also put pressure on them to direct more funds to small and medium private enterprises.

Although the bank has a bit of a tradition of arrogance, but a few super bosses said so, they still took out 50% of the loan funds to support those small and medium-sized private enterprises.

Under such circumstances, the life of small businesses is naturally much easier, and there is definitely no wave of large-scale bankruptcies.

Xiao Xu was dissatisfied with the generality of what his son said, so he just opened up and said: "You can be more specific, how can I get through the difficulties."

Xiao Qi smiled and said: "It's very simple. On the one hand, we learn from Japan and South Korea and develop our own advantageous projects, such as the clothing and shoe industry. Aren't the Septwolves and 361 doing well? On the other hand, let them In times of difficulty, I also put a portion of my energy on the domestic market, using my own good products to impress the Chinese people, so as to increase profit points and maintain the enterprise.

Then there is the most important third, we don’t need to panic at all. What factories are those transferred away? They are all primary processing and manufacturing industries with ultra-low added value, ultra-low technology content, and high pollution. In the past few years in China, hasn't it been a dislike for these companies and want them to move away? "

"You can't say that..." Xiao Xu pointed to his son. "If you look at so many local governments who are reluctant to bear the high pollution and high energy consumption factories, you know that the actual difficulties still exist."

"So, it happened that foreigners helped us." Xiao Qi shrugged and said: "When they leave, we can just use our own advantages to find some new orders to do."

"Advantage? New list?" Xiao Xu was taken aback.

"Yes, we have worked hard for so many decades, but it is not that we have no advantages at all." Xiao Qi smiled. "The real so-called industrial workers are not just simple jobs. They must have a certain level of knowledge in order to form. The factory system of the entire system. Just like being a soldier, a modern army, a literate army, is more powerful than an uncultured army?

Huaguo has used decades of time to provide a new generation of workers with knowledge, simple mathematics, physics and other common sense. So they can do better processing. Therefore, large European and American factories simply cannot move factories because of the increase in salary. For example, the mobile phone foundry in the Red Sea factory, such as precision instruments, can’t be transferred~www.wuxiaspot.com~ because the group of workers in Southeast Asia can count and work, and they don’t even have basic knowledge of mathematics and physics. No matter how you teach, you will never have these skills that require the use of your mind! Otherwise, take a look, why do Japanese labor costs are so expensive, and Japanese automakers and electronics manufacturers still keep a large number of production lines in Japan? Why should there be factories in the United States for petroleum, chemical, automobile, and heavy machinery? This is all because it is irreplaceable!

Yes, the price of our labor has risen, but at the same time the quality of our labor has also improved! In the past, Chinese workers could only do rough processing. Now that we have these industrial workers, we can completely upgrade to complete the tasks of some factories in South America and Eastern Europe! Compared with them, our cost is much cheaper, right? What can't you compete for their orders at a cheaper price? "

Xiao Xu became interested in hearing this.

Xiao Qi said that he had heard of this theory, but he had never understood it in such detail before.

If this is the case, then China’s industrial upgrading seems to be a matter of course! ?

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