She decided to adopt a joint venture like an automobile company to introduce the cutting-edge technology of Nippon Steel in steel companies.
FAW-Volkswagen, GAC Honda, and Changan Ford basically adopt this joint venture idea. After 20 or 30 years of joint venture development, these companies have indeed achieved very impressive sales results.
Xin Nikko is also very interested in this cooperation. In addition, the Song family has strength, land, and certain experience in the steel industry. For Xin Nikko, it is also a very good potential cooperation partner.
So the two sides hit it off, and what remains is the discussion and formulation of the details of the cooperation.
Song Wanting’s idea is that the Song family holds 51% of the shares and the New Nippon Steel holds 49% of the shares, but the New Nippon Steel holds 51% of the shares and the Song family holds 49%.
Although it is just such a subtle proportional difference, it determines who has the final say in a company.
A shareholder with a reaching 51% is undoubtedly the largest shareholder. He has the absolute power to speak out in specific matters of the company.
Once this controlling stake is handed over to the hands of XinniTrung, the Song family will lose all dominance in this cooperation.
At the negotiating table, both sides tug-of-war with this issue, but neither of them was willing to take a step back.
Song Wanting said to the senior executives of Nippon Railway: "Everyone, our cooperation this time is based on the consistent cooperation model of the automobile industry. In our country, the industry rules for establishing joint ventures with local automobile companies and overseas automobile companies are that local enterprises hold 51 shares.
%, Overseas companies hold 49% of the shares. After all, the company is established in our country, so we should control the shares. I hope your company can understand this!"
The person in charge of negotiating with Song Wanting is the vice chairman of Nippon Railway. His full name is Hashimoto Kin-sen, and he is a member of Nippon Railway's core management.
Hashimoto is 40 years old this year. In Japan, a society that attaches great importance to qualifications, he can climb to the core management level so early, and he can be said to be a very right-hand man.
At this time, he looked at Song Wanting and smiled and said, "Ms. Song, I know the cooperation model of the automobile industry you mentioned, but that model is not suitable for the cooperation between Nippon Telecom and you."
Song Wanting said with a calm expression: "Mr. Hashimoto, where isn't suitable for cooperation between us? I'm willing to hear about it later."
Hashimoto said with a smile: "First of all, there are too many leading companies in the automotive industry. Japan alone includes Toyota, Honda and Nissan, Germany has BMW, Mercedes-Benz, Audi and Volkswagen, the United States has GM, Ford, Chrysler,
Not to mention those Ferrari, Lamborghini, and Maserati in Italy. With many competitors, it is inevitable that there will be situations where peers are inferior. People often lower their quotations for the Chinese market..."
Hashimoto's expression was stern and said seriously: "However, there are only a few leading enterprises in the steel industry. Among the top ten steel enterprises in the world, half of them rely on large output to make it on the list. They really have it.
There are only three or four companies with core technology in special steel. There is only one company in Japan, our New Nippon Railway. There is a Chinese saying that "scarcity is precious". Ms. Song is so rare for our New Nippon Railway.
Partners, it is normal to sacrifice more interests!"
Song Wanting hesitated and said, "Mr. Hashimoto, I can't give in to the equity anymore. Song Group must hold 51% of the shares in this cooperation, but as compensation to the New Nippon Railway, we can
In terms of income rights, give Xin Nippon Railway a certain tilt. In the future, all the net profits generated by our cooperation will be able to enjoy 51% of the net profit rights. What do you think?”
Hashimoto shook his head without thinking and said seriously: "Ms. Song, we will not make any concessions in equity issues. If we are willing to make concessions at this point, we will have been in-depth cooperation with other steel companies in your country.