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Chapter 569 Crazy Iron Ore

a week later

In front of the tall floor-to-ceiling windows, Wang Yaocheng was immersed in a pile of information, and the desk was full of professional reports on the world's bulk mineral resources.

Secretary General Han Jianfei walked in with a stack of documents, and Wang Yaocheng said without raising his head;

"Sit down and pour yourself what you want to drink. Wait for me for ten minutes and finish reading this information."

"Oh, I have nothing to do, you are busy with your business."

Han Jianfei sat down as he was told, with his back straight and only half of his buttocks sitting on the sofa. The documents were neatly placed on his knees.

The posture is a bit like that of a primary school student in class, revealing a sense of restraint and silent respect. This is a rule passed down through history in the Secretariat.

I think back then, consortium bosses such as Yu Chengde, Zhang Shuguang, and Zhao Feng, who were the first to serve as secretariat chiefs around the chairman, were all elites who came out of the system at first, and many places have left traces that are difficult to erase.

more than ten minutes later

Wang Yaocheng raised his head after reading the information in his hand, and rubbed his brows tiredly. Han Jianfei immediately sat upright, with most of his buttocks hanging in the air.

Seeing Han Jianfei's rigid sitting posture, which was more uncomfortable than standing, Wang Yaocheng laughed softly, nodded helplessly with his hand, and said, "Haha, you...relax here with me, and tell me what you have to say."

"

To be honest, the introduction feels quite useful.

The chairman was being polite to him, so Han Jianfei certainly wouldn't be so arrogant.

The Boss is always the Boss, and there is no room for carelessness here.

I crossed my legs in the chairman's office and made myself look like my second grandpa. I felt comfortable, but my future was destined to be ruined.

"Chairman, the latest situation has come from Germany. The long-delayed negotiations for Lycra have been finalized. The total acquisition amount is 320 million euros. The original major shareholder retains 6% of the equity. Many unreasonable requests have been rejected by us one by one. I

The party agreed to increase the transaction amount by 11% to make up for it. This is the specific material."

After saying that, Han Jianfei handed over the document with both hands.

Wang Yaocheng took it over and flipped through it, then quickly closed the document and said with emotion;

"These European guys are really difficult to deal with. They have been talking about big things for more than a year on and off. It's no wonder that the old Americans are mocking these old Europeans as being old-fashioned and decadent. They are a few beats slower than others in everything they do. They really can't keep up with the times.

developed."

"Chairman, it is a big deal for our consortium, but it is overwhelming for these European nobles. More than 80% of the property of this Austrian major shareholder is on the German Lycra company, so we have to be cautious.

Na."

Wang Yaocheng asked, “Are all the opinions put forward by the Legal Affairs Department reflected in the contract text?”

"Yes, the original board of directors of Lycra Company had hidden evil intentions. They were critical of our contract text and denied more than a dozen important clauses, paving the way for future wrangling in corporate operations. But these Europeans have forgotten that we are the ones who

How could a veteran in the world's mergers and acquisitions field fall for his little tricks?"

Han Jianfei laughed as he spoke and continued to report;

"The Ministry of Justice carefully picked out loopholes in the contract text. The consortium relied on its overwhelming voice in the mobile phone field to cancel several large orders to put pressure on it, and finally completed this arduous negotiation."

Wang Yaocheng looked delighted and said, "Thank you for the hard work of the negotiation team! Their efforts are all worth it. They won the German Leica company and made up for the shortcomings of the consortium's optical industry. That's great!"

"The secretary-general immediately sent a congratulatory message and arranged for relevant personnel to take over the company."

Wang Yaocheng nodded and said;

"The acquisition of the German Leica company is of great significance, as it improves the shortcomings of optical instruments in the mobile phone industry chain. In the world mobile phone market, we hold the production capacity of important components such as panels, baseband chips, core CPU processors, memory chips and optical lenses, and

We can provide high-quality semiconductor components. In addition to plastic casings, we have almost mastered the production of most mobile phone spare parts, which is particularly important."

"Chairman, both Shin-Etsu Chemical and Sumitomo Chemical can provide high-quality plastic parts, and domestic cooperative chemical plants can also provide mid- to low-end plastic parts. According to accurate statistics from the Secretariat, the consortium can provide 92.3% of the entire mobile phone value, and the rest

Parts are provided by more than 110 manufacturers around the world, and internal stress assessment results show that even in the face of the highest level of suppression by the US government, the supply chain can be ensured to be worry-free."

Han Jianfei's words were like a ray of sunshine shining through, making Wang Yaocheng very happy; "It's not easy after so many years of hard work!"

"Privately, the consortium's senior executives are frustrated by the chairman's plan to control the entire industry chain. They all agree that it is a far-sighted layout that is conducive to the long-term and stable development of the consortium."

"hehe……"

Wang Yaocheng waved his hand confidently, then suddenly remembered something, took two steps, turned around and said again;

"Speaking of the layout of the entire industry chain, your secretariat should keep an eye on me. Don't let consortiums develop upstream and downstream at will. Real estate companies should control cement production companies, and home appliance manufacturers should control parts and components manufacturers. This is completely unacceptable.

It's not necessary.

The home appliance industry in which Glid Group operates does not have many high-tech technologies. What is the purpose of holding so many multi-component companies? There are also real estate and tourism industries. Can you sustain yourself even if you are full?

You should report to the Secretary-General that these industries must be strictly controlled, focus on the main business, and not invest in so many cross-field companies."

Han Jianfei was so frightened that he shrank his neck and agreed, "I understand Chairman, I will report it immediately and I will strictly control it."

"Okay, let's go!"

The consortium enterprises have no shortage of money and always have the urge to develop. In the past two years, there has been a lot of tendency to start businesses randomly.

Once signs are exposed, the consortium will warn them.

These guys are like wild horses that are running wild and cannot be reined in. Do the royal family and funders really need them to spread their business everywhere because of their great business?

The answer is no.

Risk control across the entire industry chain cannot be applied to any industry, it cannot be made haphazardly, and it cannot be expanded in scope.

Wang Yaocheng sat in a comfortable executive chair, typing away at the thick information with his slender fingers, and combed through the mobile phone industry. He felt that there were basically no loopholes, and he was quite satisfied.

Nowadays, the consortium is deploying the smartphone field in advance, acquiring some cutting-edge technology companies to strengthen research and development, and seize the opportunity early.

After Nokia was surpassed by OPPO brand mobile phones, it ranked second in the world. It still clings to the "Symbian" system that is stuck and difficult to use, and its market share is declining at a speed visible to the naked eye.

The stubbornness of the Nordic people can be seen from this.

The Dell mobile phone brand under the Yangtze River Technology Group, the Panda mobile phone brand under the Yellow River Technology Group, the OPPO brand under the Atlantic Business Machines Company, the Polaroid brand and the Playboy brand are all booming, forming a group army to fight against their opponents.

There was no need to worry too much about this aspect, as it entered a virtuous circle, Wang Yaocheng's eyes fell on the information on the desk again.

In the past, he did not have a deep understanding of the field of mineral resources. Through this week's supplementary lessons, Wang Yaocheng roughly understood the layout of steel resources and industrial conditions in the world.

As Nippon Steel's professional analysts said, 2004 is a good time to intervene.

The formation of the world's three largest mines is not without reason. Since the 1950s and 1960s, steel companies have been declining as a sunset industry. Of course, iron ore companies cannot survive alone, and their operating conditions have become increasingly difficult.

In this case, due to the need for business survival, the big fish eats the small fish, and the small fish eats the shrimp.

Mining companies have launched waves of mergers and acquisitions, eventually resulting in the emergence of three world-class mining giants, which monopolize more than 70% of world market transactions and control the pricing power of iron ore.

The three major mining giants determine the annual benchmark price of iron ore through annual "long-term supply agreement negotiations" with major importing countries such as Japan, South Korea and China. This is the "long-term agreement" negotiation.

In previous negotiations, the Japanese manufacturers were mainly Nippon Steel, the Korean manufacturers were mainly Posco, and the Chinese manufacturers were mainly Baosteel to participate in the "long-term agreement" negotiations.

In 2004, China's participation in the "Long-term Association" negotiations was changed to

Among them

Brazil's iron ore has the highest grade, with an average of 67%, giving birth to the monopoly Brazilian Vale.

Australia has the largest iron ore resources, with grades ranging from 58% to 61%, which gave birth to two major mining companies, BHP Billiton and Rio Tinto.

The world's iron ore resources are concentrated in a few countries, with a very high degree of concentration. Due to geological evolution, rich ores are concentrated in Brazil, Australia and South Africa in the southern hemisphere.

If you want to invest, Australia has the best business environment, stable politics and good mining conditions. Many of them are open-pit mines, and mining costs are relatively low.

Another important advantage is that the distance between Australia and Brazil is half that of Brazil, and the transportation cost savings is not a small amount.

In this case, there is almost no worry of choosing one of two or three. Australia is the only investment destination to obtain the maximum investment benefits and the best investment results.

According to a report from an Australian expedition team;

There are dozens of resource-based mining companies in Australia. Among them, except for the two giants BHP Billiton and Rio Tinto, all of the large mining companies have the need to introduce foreign capital, either to participate in shares, jointly operate, or resell and acquire.

Relatively speaking, the options are relatively large.

Although the "long-term agreement" negotiations are ongoing ahead, the suppliers led by the three major mines have a tough attitude and insist on a 25% price increase target and will not waver. This is good news.

However, senior industry insiders believe that the steel industry, which is a sunset industry, does not have much prospects. At best, it will only last for two years with enough food.

It is now 2004, and even the most imaginative people dare not imagine the earth-shaking changes that will take place in China in the future, nor the appetite for China's rapidly developing steel industry.

No one dares to imagine that in more than ten years, China alone will need to import iron ore worth hundreds of billions of dollars every year, becoming Australia's largest source of export profits.

This is so crazy that absolutely no one would dare to imagine it.


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