Chapter 432 Summary of Wealth in 1964 (Part 2)


Chapter 432 Summary of Wealth in 1964 (Part 2)

"The paper factory is going to expand." Yang Wendong paused and then said: "But wait, if Singapore is suitable, I am ready to invest in Singapore."

Although I will remain neutral on some things in the future, I don't want to get too close to Wanwan. I have invested in a lot of factories in Wanwan over the years. If I continue to invest in Wanwan, I will be a bit deeply tied.

Singapore is the most suitable place besides Wanwan. It is mainly Chinese and has an excellent geographical location. With Singapore as the production base, it can cover many markets in Southeast Asia and is even closer to the European market.

Wei Zetao said: "Singapore is not a bad choice. There is a large amount of wood and wood pulp mills next to Malay Western Medicine, so the transportation cost of pulp will be much lower."

"Diversification is also something we need to consider." Yang Wendong added: "We can't just put it all in Hong Kong and Bay. We may even invest in and build factories in other countries in the future."

Although Europe and the United States are not suitable for manufacturing, for some special industries, it may be more convenient to produce nearby. There are also some that need to consider tariffs and transportation issues, or ZZ reasons, etc.; even mainland companies in the 21st century do a lot of exporting This is also the reason why we have to go overseas to build factories.

"Yes." Wei Zetao also understood this truth and said: "The Second Business Department also went to Singapore to inspect, and they found many suitable locations. I will let them see which places are suitable for building paper mills."


"Yeah," Yang Wendong nodded and said, "Plastic products are indeed much better relatively speaking. There is basically no pollution. It can be said to be the highest quality factory."

"Yes, many countries have approached me now and want us to invest." Wei Zetao said: "The results of the second business unit last year were HK$242 million in total sales, and the total sales of the third business unit were HK$19 million. Hong Kong dollar;

The growth of trolley cases and sticky hooks is almost 8%, while the growth of plastic bags and woven bags is more than 300%. The storage box is a new product. 400 units were sold last year, with a turnover of HK$22 million. ”

"Well, good." Yang Wendong said: "These businesses can develop normally. The core is to use all means to master the upstream and downstream industrial chains, strictly control costs, and maximize the cost-effectiveness.

When the capital of the main group becomes stronger in the future, I will invest deeper. In the future, as long as we master the two markets of plastic and paper, there will definitely be no problems. ”

Plastic and paper are products that will never be eliminated in the future. Even in the Internet era, the demand for these two will increase a lot.

Of course, there are also other industries, such as textiles, food, sugar and even other infrastructure, etc., but these Changxing Group are still at the beginning of their layout and are still far from success. Only plastics and paper are halfway there. As far as the current understanding of the industrial chain is concerned, it already has a very competitive advantage.

Wei Zetao said: "Yes, it's just our own fourth business unit. The new products we have developed have not achieved very good results so far. Although the total sales last year were close to 30 million, it was also based on the advantages of the industrial chain. And the advantages of channels are the only achievements. ”

"It doesn't matter. It's good to be able to make good use of the existing advantages." Yang Wendong said: "Creative products are very rare in themselves. We can't count on this when doing business;

Your task this year is to prepare for overseas investment and invest our future increased production capacity in Singapore. In the future, the main production bases of my factory will be Hong Kong, Bay Area and Singapore, with Hong Kong being the main one, Singapore and Bay Area As a supplement. ”

"Yes, I understand." Wei Zetao agreed.

When a manufacturing company develops to a very large scale, it will inevitably separate production areas for production. A big country like the United States may be able to build factories in different places in the country, but Hong Kong? Just a city.

At present, there are only three sites dominated by Chinese, and each place has different advantages, which can also be in line with the interests of Changxing Industrial.

Changxing Industrial is still the core industry of the entire Changxing Group, and it is also the manufacturing factory that generates the most employment in Hong Kong. Even entering Singapore in the future, and even entering the reformed mainland in more than ten years, we will also need to rely on Changxing Industrial.

Of course, at that time, Honor Electronics and Watsons may also become giants in the industry.

However, compared with manufacturing, some industries are also very important, such as the shipping industry, which controls transportation. No matter how developed the manufacturing industry is, it still needs to rely on ships, cars and other tools to transport products to designated areas for sale. The importance is self-evident.

As Asia's largest freight transfer station, Hong Kong has also given birth to a large number of top shipping companies, and Changxing Shipping is one of them.

On January 13, Yang Wendong came to Kwai Chung, where there is an 8-story building where the headquarters of Changxing Shipping is located.

After arriving at the highest building, Yang Wendong looked at the dock in the distance and asked: "Are our five docks enough now?"

Zheng Yuhua, the person in charge of Changxing Shipping, replied: "Yes, the 5 docks are currently used by ourselves, plus we provide maintenance, repairs and repairs to other ships;

Over the years, Hong Kong has seen more and more trade transshipments and exports, as well as more ships. As a result, our five docks are not enough. ”

"Have you applied to build a new dock?" Yang Wendong asked again.

When I first started my business, things like building a shipyard still required the personal participation of the boss, Yang Wendong; however, as the scale expanded, these things were gradually decentralized.

"I applied. I applied to continue building a new dock in Kwai Chung, but the Hong Kong government did not agree." Zheng Yuhua said: "The Hong Kong government suggested that we go to Tsing Yi Island."

"Don't agree?" Yang Wendong thought for a while and analyzed in his mind that the Hong Kong government is probably really planning a container terminal and has found that Kwai Chung is suitable, so it will not grant new land to others.

Zheng Yuhua added: "The side of Tsing Yi Island should be an industrial area that is about to be developed by the Hong Kong government. I heard that the Whampoa and Taikoo shipyards will also be moved there."

"Then please cooperate with the Hong Kong government." Yang Wendong said.

"Okay." Zheng Yuhua said again: "Yang Sheng, last year's financial information has also come out. Please take a look."

"Okay." Yang Wendong nodded, then took the document and read it carefully.

Compared with Changxing Industrial, Changxing Shipping's business is much simpler. Its core business is to rent out new ships and collect rent, and operate old ships by itself. And the old ships that it operates by itself are generally its own internal business.

After a while, after Yang Wendong read it, Zheng Yuhua said: "Last year, after deducting bank interest and ship discounts, our total profit was HK$43 million, and the main income was ship leasing."

"Well, renting a boat is really profitable." Yang Wendong said with a smile.

Zheng Yuhua replied: "Yes, Hong Kong's shipping kings are expanding and buying ships very quickly because ships are so profitable. Judging from the rate of return in the past two years, a ship can basically pay back its capital in three years." , and then it’s pure profit.” “This profit margin is really crazy,” Yang Wendong nodded.

Nowadays, global trade is developing rapidly, but there are not enough ships. In this case, ship freight prices have skyrocketed. In exaggerated cases, a cruise ship can earn millions of dollars by traveling from the Middle East to Japan. This is something that many ship owners are reluctant to do. The reason for long-term renting is that it is so good in the short term that few people will consider it in the future. The current income is enough.

Zheng Yuhua added: "Our current shipyard in Japan still has almost 400,000 tons of ships that have not been built. After all are delivered this year, the profits this year and next year will be higher."

"Yes, I know that." Yang Wendong paused and then asked: "What if we want to buy another new ship? Is that feasible?"

"Still buying...?" Zheng Yuhua was shocked, and then said: "Yang Sheng, although our income is good now, our debt is already extremely heavy. According to the risk management strategy of the Bank of Japan, it may be difficult to give us another loan. ”

"Yes, they also have to consider risks." Yang Wendong said: "What about the Wanwan side? Their ship is almost ready, right?"

Zheng Yuhua replied: "Yes, it will be delivered in April this year."

Yang Wendong nodded and said: "Okay, wait until delivery in April to see if there are any problems. If not, you can continue to order two more ships. The conditions and prices will be similar to before."

"Okay." Zheng Yuhua agreed.

Yang Wendong added: "Also go to the Bank of Japan and ask to see if there are any cooperation opportunities."

Although he also knows that he has borrowed too much, the opportunities in the future are too rare. Not to mention ship operations, a ship worth 10 million US dollars today will be worth 30 to 40 million when the Middle East crisis breaks out, without doing anything. You can make three times as much money by reselling it, or ten times as much if you use leverage.

When the profit is 300%, capitalists dare to risk hanging. But now, there is almost no risk, because his existence cannot affect the crisis in the Middle East, and the global demand for shipping has been rising. Even if there is no During the crisis in the Middle East, I just made less money.

"No problem, I will go to Japan and visit the local bank." Zheng Yuhua could only agree.

She also knows that her boss is very optimistic about the shipping market, but no matter how optimistic she is, such investment is still too radical now. From a risk perspective, even if a market will continue to do well in the long term, it does not mean that it will rise steadily.

What is more common is a volatile rise, with highs and lows. If the trough period is too long, it may be fatal for players who use greater leverage.

Yang Wendong added: "Let's just do business normally in the future. We will continue to acquire second-hand ships, but those that are too dilapidated are not enough. They must be able to operate for at least seven to eight to 10 years."


Although there is a shortage of transportation capacity after the Middle East crisis, after all, it is not a period of large-scale naval battles, and ships are still somewhat demanding.

"Okay, I have been buying second-hand ships, and last year I bought a total of 8 ships." Zheng Yuhua said: "Now the freight price has increased a lot, and the competition for second-hand ships has become more intense."

Anyone who can do the shipping business is not a fool. Although the profit margin of second-hand ships is not as good as that of new ships, the investment cost is low. At most, it costs more oil and maintenance, and it is still very profitable in itself.

Yang Wendong said: "Just follow the market price. Competition is normal. As long as it is suitable, we will want it, especially freighters that can be converted into containers."

"Understood." Zheng Yuhua agreed.

In the afternoon, Yang Wendong returned to Changxing Building.

He also knew the operating conditions of the three core industries last year. As for Changxing Real Estate, in fact, it was constantly cashing out last year and did not do any other business itself.

Half an hour later, Wang Fengzhi, the group's chief financial officer, came in with some documents and said: "Yang Sheng, I have also sorted out the financial data of companies such as Carrefour, Changxing Film and Culture."

"Okay, thank you." Yang Wendong smiled and took the document and read it.

Nowadays, with the large-scale development of the group, although many industries have unlimited future prospects, they are not very big at the moment.

Changxing Shipping, Changxing Industrial, and Changxing Real Estate are the three pillars of Changxing Group; while the others are not enough at present and may have to wait a few years. Of course, the first three will also develop.

It's just that when the scale of the company is too large, the boss will only focus on key industries and know the rest. For example, Li Jiacheng in the 1990s, basically projects of less than one billion were not worthy of his meetings.

Wang Fengzhi said with a smile: "The financial turnover and profits of several subsidiaries are also written down at the back. At present, Carrefour's turnover has exceeded 10 million, and its net profit has also exceeded 10 million;

Honor Electronics is similar, but the profit is a little higher, while the profits of other companies are a little less, mainly because they are mainly business within Hong Kong, but it is expected that Changxing Culture will be much better this year. ”

"Okay, that's enough. The total profit of these subsidiaries is more than 40 million yuan, which is almost as good as Changxing Shipping." Yang Wendong said: "And in terms of potential, Honor Electronics and Changxing Culture are more promising."< br>


It's not yet the 1970s, and the electronics industry has not yet exploded. Therefore, Honor Electronics' main products are home appliances. The competition overseas is very fierce. However, the market is large enough. If it captures a small part of the market, its turnover can exceed that of Changxing. Hong Kong's domestic enterprises such as Culture, Changxing Film, Media, and Watsons.

It is true that these companies are also trying to develop overseas markets, but it is more difficult. Except for Changxing Culture, it may be faster through the comics in the minds of travelers.

"Yes, any one of our subsidiaries will be the top company in Hong Kong." Wang Fengzhi said.

Yang Wendong added: "Okay, this document will stay here. The Chinese New Year is coming soon. You have to keep an eye on the various companies under your control and pay close attention to employee New Year benefits. Now that the scale is so large, there will always be moths. Once you find out, tell the general affairs department immediately.”

"Okay." Wang Fengzhi agreed.

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(End of chapter)

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