The Royal Petroleum Company and the Imperial Oil Company made such horrific profits in the 35th year of Xuanping and the first quarter of the 36th year that they did not dare to announce their financial status to the outside world. They only dared to secretly hand in their financial reports, and finally sent them to
Come before the Holy Emperor.
If this was really revealed and the public knew about their huge profits of dozens of times, it would definitely cause a sensation.
With an investment of only a few hundred million, you can get a turnover of tens of millions, and then get profits of tens of millions. If this is said, those people who use high-priced kerosene, especially those students, dare to mention it directly
Kerosene flooded the headquarters of the two oil companies and then set them on fire.
If it weren't for being too scary, Li Xuan wouldn't have chosen to shout out the word social responsibility.
Just let those enterprises directly under the Ministry of State-owned Enterprises and the Imperial Assets Division take it easy. They can make money, but if you go too far and cause public resentment, don't blame me for throwing you out to calm the public anger.
Only then did two oil companies split into eight oil companies. In order to prevent the newly split eight oil companies from engaging in price alliances or the like, the Ministry of State-owned Enterprises also took many measures, such as the new split
Each of the eight oil companies that emerged has its own oil fields and refineries, allowing them to compete with each other.
But even so, after a few months, the Ministry of State-owned Enterprises discovered that the price of kerosene still had not dropped!
Of course, there are factors here such as insufficient oil production capacity and lower refining capacity, but it is inevitable that because the eight oil companies were previously integrated, when they were split up, they often directly used a branch in a certain place as the main body.
Carry out splitting.
This also led to the fact that even after the split, the senior management of these eight oil companies are still the same people, and they are very closely related to each other.
Although there is no price alliance or any other taboo things, we have actively avoided all kinds of competition and developed a tacit understanding.
However, the Ministry of State-owned Enterprises cannot tolerate this.
The Holy Emperor has shouted out that enterprises need to be socially responsible. The bosses from the Ministry of State-owned Enterprises and the Royal Assets Department have begun to take action. The management below you still pretend not to hear. Do you really think that the bosses and high-ranking officials in the empire are just losers?
.
Even if you are a loser, you are a loser who has eaten more food than you have.
As a result, the Ministry of State-owned Enterprises is brewing again. Since splitting still cannot solve this problem, the Ministry of State-owned Enterprises is already preparing to relax some license restrictions. The high price of kerosene has caused great resentment among the people. For the sake of the empire
To improve internal stability, the Ministry of State-owned Enterprises began to try to adopt more methods.
Although the Holy Emperor Li Xuan knew that these people's livelihood industries needed to be controlled, such control also needed to be limited. It was enough to occupy a dominant position, but there was no need to completely eliminate the entry of private capital.
In some non-critical links, the appropriate introduction of private capital can also help stimulate healthy competition.
At the same time, to some extent, the Ministry of State-owned Enterprises and the Holy Emperor Li Xuan have regarded the oil industry as a pilot to find a balance between state-owned capital, imperial capital and private capital.
Stabilize people's livelihood by balancing prices, while maintaining healthy competition in the market, but at the same time, we must avoid vicious competition, which will eventually evolve into oversupply and eventually lead to the collapse of the industry.
Nowadays, many industries within the empire have shown signs of this. The steel industry is a typical example. Although the steel market within the empire is currently huge, the production capacity is even greater. Otherwise, the price of steel would not have dropped again and again in the past so many years.
dropped.
Nowadays, many small-scale steel manufacturers have very low profits or even losses. This situation was very abnormal during the outbreak of the industrial revolution.
You must know that with the continuous development of industries that require large amounts of steel such as railway construction and shipbuilding, the steel industry is actually very promising. However, the market competition is too fierce. Some steel manufacturers with strong capital, especially Jiangnan Iron and Steel Company, Northern Mining
, Liaodong Iron and Steel and several other steel industry giants, in order to suppress their opponents, often take the initiative to reduce the price of steel by giving away profits in order to drive out small and medium-sized competitors.
And this kind of vicious competition is actually something the empire's top officials don't want to see.
It’s not that there isn’t enough market capacity, the market is huge, so why not do business well and always think about killing the competitors first and then monopolizing the market?
If you want to establish a monopoly, it depends on whether the top officials of the empire agree!
Zuo Chengsheng didn't know the overall control measures adopted by the empire's top officials on the domestic economy, but he had been in the kerosene business for a long time and he knew a little bit about it. Even if he couldn't get the inside story in detail, he could generally guess the huge profits in the oil industry.
After guessing it, he just wanted to get in and get a share of the pie!
The profit can easily be more than ten times or even higher. I don’t think it’s fake.
But the license issue has completely blocked his path. Without a petroleum license, he cannot engage in petroleum exploration, mining, refining and other businesses.
At first, Zuo Chengsheng wanted to build an oil refinery through a roundabout way.
Now the two major oil companies have been split into eight oil companies, all of which have oil licenses.
And these oil companies are engaged in large-scale construction, developing oil fields, and building refineries. Zuo Chengsheng wondered if he had not taken advantage of his good relationship with Royal Petroleum Company and Imperial Oil, and then obtained an affiliated status, and finally established a
small refinery
Even if it means sharing a large portion of the profits for this, he would be happy to do so.
But good relations are useless at this time. Today's eight major oil companies do not accept foreign investment at all, nor do they cooperate with other companies to develop oil fields or refine oil, even if they are affiliated.
After all, it's all money, and people would only give it away if they were stupid.
But in June, a document gave Zuo Chengsheng hope.
In order to further expand the market, the Ministry of Industry and Commerce has issued a document that will separately liberalize petroleum processing licenses and allow powerful companies to freely apply for relevant licenses.
Of course, the most important oil exploration and mining licenses have not yet been released. What has been released is only oil processing. To put it bluntly, it is the license for petroleum refining kerosene.
This made Zuo Chengsheng see an opportunity!
Almost as soon as he learned the news, he immediately formulated a relevant investment plan and then applied for a petroleum processing license in order to successfully pass the application.
Xihai Trading Company is preparing to invest huge sums of money to establish Xihai Petroleum Company. The initial investment is expected to reach 200,000 yuan, and this is only the first phase of investment. There will be two phases of investment in the future. The total investment of the three phases will exceed 500,000 yuan.