We are all reborn, who wants to be the richest man?
Chapter 587 Being Worshipped
The balcony of the presidential suite of the Peninsula Palace Hotel is very small but exquisite.
Two lounge chairs are placed side by side, with a Brazilian-style tea table in the middle.
There are complete supporting facilities around, and the balcony is filled with flowers, many of which Luo Nianzhong has never seen before. They should be local flowers.
Just outside the balcony is the famous Copacabana Beach. Lying on a lounge chair, you can see slim waists and plump buttocks, which is a pleasing sight.
However, Luo Nianzhong is not in the mood to appreciate this beautiful scenery that makes a man's hormones surge. At the moment, he is meeting his admirer, a little old man in his fifties, Jorge Paulo Lehman.
This is a financier with considerable fame in the Brazilian financial circle, but the reason Luo Nianzhong was able to meet him was because of a phone call from Buffett.
It was Buffett's recommendation that made Luo Nianzhong decide to meet this wealthy man who would be elected as the richest man in South America many times in the future.
Lehman's life is legendary, and his investment philosophy has opened up a new path for the investment world.
Luo Nianzhong knew this person because many people have not heard of 3G Capital, a well-known name in the financial world.
In another world, Kraft, the parent company of Oreo cookies, Anheuser-Busch InBev, the only international giant in the beer industry, Heinz Group, the most famous ketchup manufacturer, and the parent companies of brands like Triumph, DQ ice cream, and Chili's are all controlled by this investment bank.
But that was the later 3G Capital, and if Luo Nianzhong had the ideas, he could seize these opportunities.
However, he does not want to do so. The key is the rise of Watsons. It is hard to say whether these companies can still have their original historical market value and development trajectory. At least the Rabbit market will be madly suppressed.
"Mr. Luo, everyone says that the Far East Department has good treatment, but the salary is not much higher than other peers, and it is not the best. Why do employees all over the world want to work in the Far East?"
An old man who was almost fifty years old was sitting on a recliner, looking humbly seeking advice as he asked questions to a young man who looked to be in his twenties.
Funny? Maybe it was in the past, but with the rise of the Far East, this situation has become a matter of course.
No matter which country they go to, Far East executives such as Luo Nianzhong and Welch will receive a large number of invitations, just to learn from their successful experience.
However, Luo Nianzhong usually refuses this and will only meet someone if he is interested or someone introduces him to someone.
For example, Buffett and Lehman, the former was because Luo Nianzhong was interested in this celebrity, and the latter was introduced by the former.
In 1987, Watsons took advantage of Coca-Cola's recession after the Los Angeles Olympics and wanted to acquire the company.
However, in this acquisition battle, Buffett acted as the white knight and met with Luo Nianzhong, who was in the United States at the time.
The two of them could be said to have gotten to know each other through fighting. They had a very pleasant chat and there was no feeling of hostility at all.
The final result was that Luo Nianzhong gave up the acquisition of Coca-Cola for Buffett, but Watsons Beverages still acquired 4.8% of the shares and became the largest shareholder of Coca-Cola Group at the time with a 14.8% stake.
Buffett's Berkshire Hathaway used one-third of its investment portfolio to invest heavily in Coca-Cola, acquiring 10.2% of Coca-Cola's shares for US$7 billion.
Looking back now, both parties are big winners. At that time, Coca-Cola's market value was 144 billion US dollars. Four years later, its market value almost doubled to more than 430 billion US dollars.
This return has allowed Berkshire to make further investments, and it has now pushed Watson Group out of its position as the largest shareholder.
The rapid appreciation of Coca-Cola is closely related to Watsons. It was Watsons that helped promote Coca-Cola in Asia, which led to a significant increase in its sales.
Luo Nianzhong did not give up Coca-Cola out of kindness, but in his opinion, Buffett's favor was more important than Coca-Cola Company.
And Watsons did not suffer any loss. It increased its shares, added more seats on the board of directors, and won cooperation in Asia.
It was this meeting with Buffett that made the two become good friends, so Luo Nianzhong met him when Buffett introduced Lehman.
“In my opinion, a company only needs to focus on two things: first, it is equally important to focus on profits and expenditures; second, it should give employees good treatment, even if they are unknown or even goalkeepers who cannot generate income.
Paying attention to expenditures does not mean deducting money from employees. We have seen many companies choose to exploit employees in order to make their profits look good when profits are declining. This is wrong.
The expenditure here is unnecessary waste, such as decoration for the leadership, miscellaneous expenses and the like. The money saved from this is far more than the money deducted from employees.
Why is it that good company performance is attributed to the leadership department, while poor performance is blamed on employees, while top management continues to spend lavishly and enjoy themselves?
This will largely cause negative emotions among employees, and no one will consider the company because the credit does not belong to them.
As for the second point, take the cleaning and security departments of the auxiliary departments of Far East listed companies as an example, they all received equity rewards.
Although it is small, it means that the company has not forgotten them. They are part of the company and have contributed to the company.
They cannot generate profits, but better and more proactive work can allow employees to work in a good and home-like environment, and strict and responsible security will make employees regard the company as a safe haven, even safer than home.
They did not generate profits, but they created hidden value for the company.
So as long as these two points can be done well, I think a business will at least not go bankrupt.
As for the issue you mentioned about employees feeling that the treatment is good but the salary is not high, that is because of the special commission mechanism.
In the Far East Department, 20% of employees can get a commission of three to four times their monthly salary on average, about 60% can get two to three times, and the remaining 20% can get more than four times but less than two times.
What did Far East rely on to attract talent in the past? High wages, so I gave those technicians a big raise to entice them to work in Far East.
But the Far East is different now. Talents from all over the world are willing to work in the Far East, so our wages have increased every year in recent years, but the increase is very small and far lower than that of our peers.
This is also the reason why you see that Far East’s wages are no longer the best in the industry, because Far East’s reputation is enough to attract talents, and we no longer need to use the level of basic salary as a highlight.
In the Far East system, employees are divided into three categories. Employees who have just joined the company can receive bonuses, higher-level employees can share the total profits with the company, and employees with the worst performance will face the risk of elimination.
As for those who have made significant contributions and can get equity rewards, the Far East-related companies’ approach is to sell them at a lower price.
The recipient does not need to pay this money now, but will be deducted proportionally from your future salary and bonuses, generally divided into three to six years."
“This will help us retain talent better.” Lehman’s eyes lit up.
"That's right." Luo Nianzhong nodded. "It's very uneconomical to leave the company without receiving the full equity reward, so we can better retain talents."
This became very common in many large companies later on, but it is now a real innovation model.
"I have benefited a lot from Mr. Luo's business philosophy. I will sort out your words and study them carefully when I go back.
In addition, I have a humble request. I wonder if I can go to the Redbud headquarters to study and visit for a few days. I have great respect for President Welch, this legendary manager."
I have gained another little fan. There are many people like him who devoutly regard Luo Nianzhong's words as the Bible.
"I don't care, but you have to get Jeff's consent, and then I can introduce you to someone."
"Thank you, Mr. Luo." After thanking him and asking him a lot about business, Lehman changed the subject.
"I heard that Mr. Luo came to Brazil this time to invest in agriculture. I wonder if Garantia can get involved?"
Garantia is the company founded by Lehman, and many people also regard it as the predecessor of 3G.
In 1971, Lehman and his partners bought Garantia from speculators for $80.
In more than a decade, Garantia has grown from a small economic company into the current investment bank, with profits approaching US$6 million. 4% of stock transactions on the São Paulo Stock Exchange are related to Garantia.
It is no exaggeration to say that it is a financial giant in Brazil and is well-known throughout South America.
However, Garantia did not have two years of good times. After the company's founder was unable to manage the company for various reasons, Garantia deviated from its course and was sold to Credit Suisse Boston First Bank in just three years.
The founders of Garantia, Lehman, Marcel and Beto, later founded 3G Capital to continue Garantia's philosophy.
"The investment this time will be huge." Luo Nianzhong actually didn't want to bring the other party along, because the money he had was really insignificant for this investment.
Leiman did not give up because of Luo Nianzhong's tactful refusal and wanted to give it a try.
"Galantia should have no problem raising $100 million or $200 million."
"not enough".
One sentence was not enough, Lehman was so shocked that he couldn't speak.
Looking at Lehman's expression, Luo Nianzhong wondered again whether he should take the opportunity to acquire a stake in Garantia. With the involvement of the Far East system, Garantia is likely to change history, and Garantia's influence in South America can allow the Far East financial system to quickly complete its layout in South America.
"To be honest, my investment in Brazil this time is more than 10 billion US dollars. If Garantia wants to participate, I can give you a % share."
What a big deal! This is a business giant. Compared with them, what is Garantia?
He understood that 10% was not an upper limit but a lower limit, which meant that if Garantia wanted to join in, it would have to put up at least $ billion or even more in capital. This was a test of their strength.
"I voted." Lehman gritted his teeth and took it.
One billion US dollars is a lot of money, but it will not be invested all at once, but in installments. With Garantia's current development trend, it will not be a big problem if it is divided into three years or longer.
This is Luo Nianzhong, a god-like figure in the business world who has never failed. Lehman does not want to miss this opportunity.
Luo Nianzhong was also a little amazed by Lehman's courage and Garantia's strength. Although one billion US dollars was not a one-time expenditure, the final four or five hundred million US dollars would be needed in the early stage.
It is not easy to raise so much money in a short period of time, especially in the current economic situation in Brazil, where the rich are selling assets to survive.
This shows Garantia's background and influence in Brazil, as well as Lehman's personal charm and trust in Brazil.
This made Luo Nianzhong even more determined about his previous idea, which was to invest in Garantia and use Garantia's channels and connections to develop Far East Finance's business in South America.
“I have a condition, Garantia must be open to Far East Bank, with at least 20% equity.
However, as long as you remain the chairman of Garantia, you will exercise this stock right on behalf of me."
Lehman Brothers would not refuse such conditions, and having the Far East Bank as a big tree would also be beneficial to Garantia.
Moreover, Garantia is a partnership system, which means that Lehman does not care about the number of shares.
And it is more beneficial to the Far East Group. What it means is that you can exercise voting rights as the chairman, which means they will help you in this position.
If, as in history, you founders continue to neglect your duties, the Far East system will take over and completely swallow up Garantia.
"I need to go back and discuss this with other people, but I don't think anyone will object to this cooperation."
Luo Nianzhong smiled, knowing that this investment in Galandia was successful.
At noon, Leiman hosted Luo Nianzhong and his family for lunch.
When it comes to the most famous Brazilian food, it is of course Brazilian barbecue.
Brazilians are obsessed with barbecue, and even have barbecue areas at home, which is as common as swimming pools in the houses bought by the middle class in the United States.
There were all kinds of large pieces of steak, lamb chops and meat. Others might not know about it, but Tom enjoyed eating them very much.
Especially the unique vinagrete seasoning, which is a mixture of tomatoes, onions and herbs, paired with some of your favorite common seasonings such as olive oil, salt, vinegar and lime juice. It is very distinctive.
Barbecue is great, but Brazil’s national dish isn’t barbecue, it’s feijkoada.
It's basically a thick black bean stew with olives and rice.
This was the first time Luo Nianzhong had seen this dish. He had never seen it before.
The main reason is that I have rarely eaten Brazilian food. In my two lifetimes, I think I have only eaten Brazilian barbecue twice, and both were buffets.
After lunch, Leiman said goodbye. Before leaving, he once again expressed his desire to visit and study at the Bauhinia headquarters. Luo Nianzhong said he was welcome at any time.
After returning to the hotel, Luo Laosi Guan Jiahui washed up, changed into a clean dress, and snuggled into Luo Nianzhong's arms.
"What?"
"Honey, what do you think about me returning to Hong Kong Island and opening a Brazilian restaurant? Please give me some advice."
Well, the businessman’s DNA is starting to get restless again.
As Mr. Luo said, there are business opportunities everywhere in the world.
A Brazilian restaurant in Hong Kong Island? I have an idea.
Brazilians like spicy food, so Brazilian cuisine is mainly spicy.
But when it comes to spiciness, can it compete with Sichuan cuisine?
There is also the most attractive Brazilian barbecue. Although you rarely hear of Brazilian restaurants in Hong Kong Island, Brazilian barbecue is common in buffet restaurants.
So Luo Nianzhong was not optimistic about it, but he did not speak out against it and instead chose to support it.
This little amount of money has to be compensated. It is nothing to the Luo family or even to her, Luo Laosi.
Her happiness is the most important thing.
"I support you."
"I knew this was another huge business opportunity. What a genius I am."
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