Because of Huanghe Technology Group's low-price strategy, with so many advantages including Corning's glass substrate support, Atlantic Jinko's application chip support, and mainland China's cheap labor costs, it can only maintain a profit of 1% to 2% above the cost line.
This low-price competition strategy has caused many LCD screen manufacturers to suffer.
For the same fourth-generation production line, major Japanese manufacturers will lose nearly 1 billion U.S. dollars a year, Korean manufacturers will lose 420 million U.S. dollars, and Taiwanese manufacturers will lose 260 to 300 million U.S. dollars.
Multiply the number of production lines by how many, without exception.
Because the hard investment in equipment is similar for each manufacturer.
There is a huge gap in investment in factories and land, coupled with the huge gap in maintenance costs for skilled workers on production lines, the same technical level will show different results in various regions.
For a fourth-generation line, Huanghe Technology Group deducts more than 1 billion U.S. dollars in equipment depreciation every year. After reaching full production, the rest can basically maintain wages and benefits, and there is no profit at all.
Even though Toshiba, Sony, and Hitachi have deep foundations and long product lines, they are still losing money on the LCD monitor project.
This has nothing to do with the level of operation and management. The appreciation of the Japanese yen exchange rate and high labor costs, land and factory building, transportation, and warehousing costs are huge mountains that cannot be bypassed. There is no way to reduce these costs.
Troubled by high costs, Hyundai Group cannot bear the huge losses and has begun to lay off its LCD project department and sell its only fourth-generation line.
Samsung Electronics did the same and cried in tears.
LG is the only one left among the Han Bangzi chaebol, because its product line is relatively simple, and its technological strength and financial resources are not as good as Samsung Electronics.
Therefore, LG Electronics is more than 50% dependent on the TV industry, and has no accumulation in plasma TV technology. The only way left is LCD TVs. If you give up, you will die.
Therefore, I had to bite the bullet and launch a fifth-generation line, and there is another fifth-generation line in the plan to be launched.
This is a relentless rhythm, which shows LG Electronics’ determination to never give up on the LCD project, and to endure hardship until the day when the sun shines brightly.
Same situation.
The top five LCD panel manufacturers in Wanwan, AU Optronics, Chimei Electronics, Chunghwa Picture Tubes, Hanyu Caijing, and Guanghui Electronics, all have Japanese consortium background and technical support behind them, and they have successively launched or planned to launch fifth-generation line projects.
Prepare to persevere in this industry until the end.
Because they have no choice, this is the only product of BayWan panel manufacturers, giving up also means death.
"hey-hey……"
Wang Yaocheng sat down on the large boss chair and spun around happily. His biggest competitor, Samsung Electronics, had fallen. Are the other little bastards still far away from death?
As long as LG Electronics is eliminated, these professional Taiwanese panel manufacturers will be unable to compete because their foundation is too thin.
As for the big Japanese companies that are suffering from losses, they are just waiting for the dominoes to fall, and they will all be killed soon.
"Hey, why are you in such a good mood today?"
“What day am I in a bad mood?”
"That's true."
Qi Yafei walked in easily, opened the cigar box with ease, took out a cigar and cut off the cap, then handed it to Wang Yaocheng, then took one for himself and lit it with a match.
The strong smell of cigar smoke filled the room
Qi Yafei sat comfortably on the sofa with her legs stretched out; "Hey! I've been busy for a while, and only here I can steal half a day to enjoy a cigar."
"This makes me oppress you more. Do you want a salary increase?"
"Tch, I am a billionaire after all. I can afford your salary, but I am just expressing my feelings. You have spent almost 200 billion U.S. dollars this year. In terms of the level of construction you can do, brother Yaocheng
If I were called second, no one would dare to be called first."
"Old Shi, what are you talking about behind my back?" Wang Yaocheng frowned, knowing that Qi Yafei might be here as a lobbyist.
"You don't need to talk about him. Even I was frightened when I saw it. I think only Mo Yuxuan, Du Bo, and Dong Mingzhu were very happy. They are all flying trapezes now, inspecting their expanding business territory."
Wang Yaocheng heard the voice-over, which was nothing more than giving you more resources and giving him less. Think about it, this is really the case;
HSBC alone has invested more than 100 billion U.S. dollars in capital, and has also taken on huge amounts of non-performing assets of the same scale. If HSBC alone can absorb it, no big results will be seen in three to five years.
Therefore, Wang's consortium made targeted arrangements to clean up non-performing assets below HSBC's equity;
According to the situation, the Hongkong and Shanghai Hotels Corporation has taken over hundreds of commercial buildings in Boston, New York, California, Texas, Chicago and Washington, etc., and is preparing to invest in the renovation of the five-star Peninsula Hotel and the four-star Miramar
A big hotel brand to build a multinational hotel group.
Some ports, warehouses and failed shipping companies in Europe, America and Oceania were all acquired by Swire Shipping. After integration and digestion, the strength will more than triple.
Most of the large-scale bankrupt farms, food processing companies, clothing brands and factory equipment acquired in the United States were acquired by Swire Trading. If they can be digested and integrated, Swire Trading will surely reach a new level and become a global multinational trading enterprise.
Cathay Pacific will take over its holdings in U.S. air transportation and maintenance companies and part of its international airport shares to further build a multinational aviation company.
Utility assets such as gas, water and electricity were taken over by Hong Kong and China Gas Company and China Electric Power Company respectively, completing the first step towards becoming a multinational enterprise and testing the international market.
The above-mentioned packaged assets total US$17.2 billion. While more than a dozen companies under the consortium are digesting these huge assets, they will not be able to contribute revenue for at least two to three years, requiring a long-term digestion and integration stage.
The specific methods will be responsible for the mature operation teams of each enterprise, and there is a set of internationally accepted assessment standards.
The real estate mortgaged by the largest U.S. bank was taken over by the Royal Family Fund Fixed Asset Management Office, including nearly 40,000 residential units of various types, vacation villas and interests in forests, mountains and large pastures, with a value of up to 30 billion U.S. dollars.
These two items alone will reduce the non-performing asset ratio of the acquired US banks by half.
Coupled with the supplementary cash flow, it was quickly integrated and operational, demonstrating the strong profitability of the banking industry.
After the merger, HSBC has assets under management of US$600 billion, spans the economically developed regions of Europe, Asia and North America, accounts for more than half of the world's population, accounts for 84.2% of GDP, and has extremely broad profit margins.
Mr. Mo Yuxuan, the executive director and CEO, showed his ruthless side and attacked the senior management of the acquired companies as well as the credit and risk control departments, almost expelling three-quarters of the middle and senior management.
Among them, the risk control department was almost completely eliminated, only a quarter of the key staff of the credit department were left, and more than half of the bank's senior managers were fired.
HSBC makes decisions before taking action, and its preparations are sufficient and efficient.
Due to the lack of management, 54% of middle- and senior-level positions have been reduced through mergers and integration, reducing unnecessary wrangling and bloated organizations that slow decision-making, hold each other back, and serious bureaucracy.
With the addition of professionals, a large number of HSBC backbones, and the excellent bankers provided by headhunting companies, the structure was quickly completed.
Through the above vigorous and resolute means, supplemented by the injection of precious liquidity and the rapid divestiture of non-performing assets, CEO Mr. Mo Yuxuan quickly took control of the real power of the M&A bank.
Mentioning President Mo is absolutely terrifying.
This veteran professional manager with a gentle and gentlemanly face has revealed his unknown side. He is decisive and ruthless in his actions and will never be sloppy in order to get the M&A bank back on track in the shortest possible time.
even so
HSBC still has to accrue US$26.7 billion in bad debt losses in 2000, which is really painful and makes people unable to breathe.
For Wang Yaocheng;
Long-term pain is worse than short-term pain.
70% of the bad debts worth hundreds of billions of dollars were disposed of at once. As the market recovers, the remaining assets can not only recover the previous loan costs, but also have a lot of room for profit.
If all cancers are cut off, HSBC will definitely turn losses into profits next year, contribute a lot of revenue, and its market value will definitely enter a stage of sustained and stable growth, bringing huge returns.
Through market operation methods such as injecting assets in batches and installments, increasing capital and expanding shares, most of the costs will be paid by European and American investment funds and shareholders.
"Brother Asia and Africa, HSBC is the backbone of the consortium. Judging from the current situation, it has played a very positive role in the expansion of the consortium companies in the global market, including Atlantic Business Machines Company, GREE Group, Cathay Pacific Airways, and Swire Pacific.
Wait, companies that have taken steps toward internationalization will benefit a lot. It is a choice where one plus one is greater than two, and they must focus on development."
When Qi Yafei got down to business, the playful expression on his face disappeared, and he nodded seriously and said, "I agree with your move, but I just hope that the steps you take are not too big, and be careful. I heard Lao Shi say, you are going to
Europe has to make the next big move, and he is kept awake at night worrying that HSBC will suffer from indigestion symptoms, which will bring huge risks to the entire consortium."
"Well, HSBC's layout in Europe is insufficient. The network layout in the British Peninsula and France is relatively comprehensive. However, in Italy, Spain, Greece, Western Europe, Germany, Austria, and Eastern Europe in southern Europe, the layout is insufficient, and it cannot cover the entire European region.
There are too many partial subjects.”
"This problem cannot be solved overnight. Out of concern as a good brother, I hope you can listen to good advice and don't go into debt to expand on a large scale or postpone further development."
Wang Yaocheng looked at him, nodded and said, "Okay, I will consider it."