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Chapter 1392 Ji Li Company

At present, the domestic automobile industry is developing quite well. There are many automobile parts manufacturers including Wanhe Group, but not many are actually involved in automobile manufacturing.

Most of the companies engaged in automobile manufacturing in China are state-owned enterprises and are joint ventures. SAIC and FAW are naturally the most famous, and there are also Xiali, Jiangnan, Longteng, Feiyue, etc. These companies, like the original gold medal car companies, cooperate with foreign companies.

, the most numerous are island countries, followed by France, Italy, etc.

The method of cooperation is to introduce the other party's assembly production line and engine, which is also the most common method of cooperation at the moment.

This method of cooperation is the most cost-effective way. There is no need to research any core technology, as long as the other party's engine is perfectly installed on the car body.

Of course, although it is the most economical way, it is also relative. The investment of the automobile company itself is huge, and a simple production line costs tens of millions of yuan. Liu Lang spent 150 million US dollars to buy one from Rover Group.

Setting up an engine production line is simply a "crazy" move in the eyes of other entrepreneurs. Even state-owned enterprises rarely do this, and they really can't afford it!

Precisely because the requirements for capital are so great, all companies across the country that dare to develop automobiles are mainly state-owned enterprises.

However, everything has surprises. There is indeed a private company that announced to the outside world this year that it will build cars, namely Liji Company in Zhejiang Province.

Liu Lang knew about Geely Group. In his previous life, this group was a famous domestic automobile manufacturer. Fifteen years later, it successfully acquired the famous Swedish brand Volvo, which shocked the world.

I'm afraid Liu Lang can't rely on these state-owned enterprises to make cars. To put it bluntly, if you succeed, you will compete with them for business, which can be regarded as "destroying people and money."

The slogan of revitalizing the national automobile industry is correct, but if it is specific to companies, then the benefits will be more realistic than the slogan. This is the profit-seeking nature of companies. When reforms conflict with real interests, companies will often choose

The reality is that even state-owned enterprises are not immune. Unless the state authorities give orders, they can be forced to do so. However, there is also a risk issue. What if the reform fails?

The reason why the country wants to implement the grand strategy of reform and opening up is because the people no longer have enough to eat and will "die" if they don't reform. Reform is a last resort.

And now those state-owned enterprises are not only not deprived of food, but are still alive and well. If you ask them to reform at this time, who will listen to you? Even the senior officials will not give this order easily, they must also consider their interests.

In the previous life, there were only two or three companies that could really concentrate on making cars. They were all private companies, and Geely was one of them.

More than ten years later, Geely can be considered successful, but it can also be said that it was not successful. Success means that they have a completely independent brand and achieved an annual output of more than 200,000 vehicles. It is quite good, but it was not successful.

Is it because the core technology is still not fully mastered, especially the engine, which is still an imported technology. This is Geely's biggest failure.

But no matter what, Liu Lang still respects Geely Company very much, especially Li Shuxian, the chairman of this company, because he dares to be the first.

This Li Shuxian has a business tradition from Jiangsu and Zhejiang people. He started his entrepreneurial career with a camera in the early 1980s.

He made money by taking photos of tourists. After saving some money, he established a small company in 1984 to make refrigerator parts.

The sales of accessories were getting better and better, so the Li brothers and others simply established their own Arctic Refrigerator Factory to compete with state-owned enterprises without falling behind. There are rumors that its sales once reached 40 million yuan.

But the good times did not last long. He had not been the director of the refrigerator factory for two years. The Arctic Refrigerator Factory was forced to close due to the national policy of designated production of refrigerators. After the refrigerator factory closed, he went to university to recharge his batteries.

And he was only twenty-three or four years old at that time.

In the 1990s, Hainan was withdrawn from the city and turned into a province. Then there was the Hainan development and a wave of real estate speculation boom. That year was also the first year of national real estate. Later, several real estate tycoons went to Hainan to speculate in land and made a lot of money.

The first pot of gold, Li Shuxian, also entered the venue.

He was frightened after seeing 20,000 real estate companies fighting on this land. After the Hainan real estate bubble burst in 1993, he didn't see it so clearly. Tens of millions of assets were turned into unfinished buildings. I don't know how many people still don't know.

Those who make money and run away will be jailed, and those who run away will be jailed.

The greatest significance of this incident to Li Shuxian was that the painful compensation made him give up his speculation and go back to his manufacturing business with peace of mind.

Li Shuxian first thought of making motorcycles and made his own "Hua Tian" by imitating a Honda motorcycle. However, just like the refrigerator, the lack of production qualifications became a problem in making motorcycles.

After struggling for many years, Li Shuxian knew what to do this time - he found a state-owned motorcycle factory with poor profitability and successfully started his own Geely Motorcycle, making Geely Motors the dominant company.

But what Li Shuxian wanted most was to build cars, which were more advanced and could make more money.

For this reason, she bought Mercedes-Benz and other luxury cars on Hong Kong Island many times, dismantled and disassembled them, trying to understand the technology of car-making. She even got Hongqi's engine and chassis, put them on the casing of Mercedes-Benz, and created

"Ji Li No. 1".

But there is a qualitative difference between modified cars and real cars. His brothers advised him to be more practical, but Li Shuxian responded to the wild words that made him regarded as a "car madman" - "In my opinion, cars are just

Four wheels plus two sofas.”

It wasn't until 1997 that Li Shuxian visited Deyin City for inspection, signed a contract with Deyin Automobile Factory, a subsidiary of Deyin City Prison, and established a joint venture "Geely Boeing Automobile Co., Ltd."

This name is so funny, it is both a car and an airplane, but according to the production license of this automobile company, it can only build light passenger cars, that is, hatchbacks.

Fortunately, the car could finally be built. After borrowing a "passenger car birth certificate", Geely started building a production base in Linhai, Zhejiang Province. It was completed the next year. Later, he bought the Deutsche Bank Automobile Factory. This passenger car

The birth certificate was returned to Ji Li's possession.

Although the price of the manufactured car is low, in terms of quality and performance, it is just getting started, and it is not even qualified. All parts are patched together, but the patchwork effect is better, and the appearance is mainly imitation.

, such as imitating Xia Li.

The assembled cars couldn't be sold, so in order to enhance the brand image, in 2000 they launched China's first car - Geely Beauty Leopard.

This sports car, which was designed by an Italian designer, has indeed improved a lot in appearance, but it is not a sports car. The power is weak, less than 100 horsepower. Although it has a low price tag of more than 100,000 yuan,

There are still very few buyers.

Geely's attempt to improve its brand image this time is just an attempt. A real qualitative leap will have to start with Geely's overseas mergers and acquisitions.

In 2001, the country joined the WTO, opening up the world economy to a higher level and also loosening more restrictions on private capital. Geely was finally included in the national automobile production catalog.

The policies that once caused Li Shuxian a headache finally began to protect him, and Geely, which had been playing around on the sidelines, became a de facto and legal private car company.


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