[Chapter 556: The Best Time to Invest in China]
"Hey Dad, can't we invest in mobile phones?"
"Ha, I've looked into it, and it's just a big pit. You know, son, a significant portion of these devices on the market are in American hands."
"What does that matter? Can't Europe produce them too?"
"Ha, I'm not even talking about the high prices; you'll earn that back eventually. The problem is, these things are going to be obsolete really soon."
"Tsk, that jerk, that's just too unfair."
"Unfair? Haha, the unfairness is coming later. William White made it clear; right now, the connection rate between analog and digital signals is low. This means, don't expect to easily connect to Hong Kong Telecom's platform."
"Shameless, that's just playing dirty."
"Yeah, so what? The rules of digital mobile communications are ruled by them. Do you know what the interpretation rights mean? Those rights are in their hands."
After lecturing his son, Li Ka-shing stopped talking. He needed to make things clear; otherwise, the losses could be too great. Spending a little on his son's interests was one thing, but if there was a big pit waiting below, it was better to be cautious.
...
Having temporarily settled those muddled issues, William White headed straight to China. Today was the groundbreaking ceremony for the garment factory.
Not only did he have a garment factory, but he also had hotels and real estate projects. Sources reported that Tesla would also invest in two engine factories in China.
With such a wealthy investor, the official attention was understandable. If they messed this up, it would be a political event.
"Darling, it was really lively just now. It seems the Hong Kong folks don't take things that seriously," she said.
"Ha, it's different. Didn't you notice? Hong Kong isn't suitable for producing much. Their development focus is entirely on real estate."
"That can't be right; it's just a place to sleep. They don't have that much of a population, and it'll definitely lead to problems if it continues like this."
William White pinched Sophie's nose and affectionately said, "Hey, not bad, this recent study really broadened your horizons."
"Ugh, if I didn't study hard, how could I be of help?"
"It's not that simple. Some things truly are a matter of talent, you know? Many people believe Hong Kong's development model is good."
"Hmph, those folks must be getting kickbacks."
After that, William White had no retort. She was right; those economists did tend to see things through self-serving perspectives.
While spending the whole day, William White essentially acted as a human stamp. His subordinates had already settled the specifics long before. The big boss's signing was merely a formality.
The money had been paid, the equipment had been procured; there was no way they would back out.
Outsiders could hardly comprehend William White's massive investments in China. Even within his think tank, differing opinions had surfaced.
But this time, William White behaved unusually. He did not heed the think tank's advice; instead, he dispatched these individuals to China.
William White told them a story about salesmen. Two guys went to Africa to sell shoes. As they stepped off the plane, they discovered the locals didn't wear shoes at all.
One guy was so disheartened that he left without even taking his luggage from the airplane.
And the other?
He ended up becoming a billionaire.
This story taught them that one needed a comprehensive view when looking at problems. China was behind now, which was precisely the opportunity. If they were already developing better than Japan, what chance would there be for investment?
Land was cheap, labor was cheap, and there were tax incentives like no taxes for two years and reduced taxes for three. With so many advantages, what is there to hesitate about? If you really had to think of one, it would be the exchange rate.
Yes, now wasn't the best time to invest. The exchange rate of 4.23 was just ridiculous. The most absurd part was that you couldn't even trade in the black market.
If memory served, it shouldn't be long. Once they adjusted the exchange rate to a reasonable level, William White would make a big move into the Chinese market. At that point, it would be petrochemical projects; all those garment factories would be torn down to build houses.
...
[Chapter 557: Annoying Copyright Issues]
William White was out shopping when he saw the streets crowded with clones of his gaming console, and he could only shake his head and chuckle bitterly. Some things were indeed better left unseen.
Besides the bitter laughter, he felt resigned to the situation he had long foreseen. Though he felt a pang of reluctance, he realized there was little he could do about it. Patent barriers weren't viable everywhere.
[Chapter 558: Dolls]
For the Chinese authorities, it didn't matter -- they just let some people get rich first.
It was a disaster for William White. Not just those game consoles, but countless knock-off Mickey Mouses and piles of comic books everywhere -- come on, at least give me some royalties! They're all from legitimate publishing companies.
As for intellectual property, it would take at least another decade for complete regulation, only changing after WTO membership.
William White wasn't worried about counterfeiting his clothing; his focus wasn't on that market. He saw it merely as a production base.
The electronics were trickier, like the PSP, PS, and even that PDA. Alright, they had been all lumped together. The only profit he could earn came from those CPUs.
William never considered the idea of a price war; it was a battle he would surely lose. All he could do was speed up the development of new products.
...
World's top 500 companies seemed quite mysterious. These guys used dubious tactics.
As for branding and intellectual property, William White had not had a clear understanding yet. He thought his brand wasn't worth much; since they formed a joint venture, they should just mingle.
From 1990 to the new millennium, the number of well-known brands that disappeared could fill a truck. Capitalists had no good intentions. If you didn't value your brand, they would help you eliminate it.
"Filson, can we buy the licensing for the koalas and kangaroos from Australia?"
Filson looked bewildered. He really couldn't understand how this could even be something to buy.
"Sir, can't these kinds of dolls just be produced? Unless it's something like sports mascots or the Olympics."
"No, I bought them in Australia -- they're all from the same company. Go find out what's going on. If it's not too expensive, have Disney handle the acquisition."
[T/N: MC wanted to have Pandas as his mascot but since China won't agree to it, he decided to go for Koalas.]
"Sure thing, boss. By the way sir, you're already the biggest toy company in the U.S."
"It can't be that way; we still have Mattel and Hasbro, right? I remember those two being pretty good."
"Mattel is okay, but that's about on par with Disney. Hasbro hasn't been doing so hot these past few years."
"Oh, in that case, let's just buy them. The offshoot merchandise for comics, like Transformers, isn't too shabby either. Let's just license everything to Hasbro."
William White was confused. He'd swindled their Transformers; if Hasbro was doing well, that would be surprising. Now, it was barely managing to hold on.
"Ha! If that's the case, Mattel should be sweating bullets."
The toy market in the U.S. was tough to navigate. Lego focused on educational toys, while Mattel felt more like a mixed bag. Hasbro, lacking any unique characteristics, was just fortunate to survive.
If not for their financial issues, they would have figured out a way to buy Viking Comics by now. Even if they couldn't obtain it entirely, getting some licenses would still be good.
"This guy holding a Barbie doll must be really envied."
Hearing his boss's complaints, Filson was speechless. Barbie may have been selling well, but our Mickey Mouse wasn't any slouch either.
"Sir, they want the licensing for The Lion King. They've already talked to Disney a few times."
"Heh, they've got an eye for opportunity. I'll give Michael a call later. We don't have the time to develop it. If the terms are right, collaborating wouldn't hurt."
"They're looking to open that door, but they'll have to pay a price."
"Eh, Filson, after all, we aren't a professional toy company. Besides, with so many IPs, we can't handle them all."
William White actually had more to say. If he bought Hasbro, it could trigger fear in Mattel.
Once a business reaches a certain scale, it has to know how to maintain balance. Being blunt and crude works for new wealthy folks. But for long-term growth, making enemies everywhere just wouldn't cut it.
Realizing what his boss was planning, Filson sighed with relief. He was genuinely worried about the business growing too large. If possible, it would be best not to expand blindly.
For most comic companies, selling licensing was the real path. Being good at comics didn't necessarily mean being good at toys.
"Sir, when do we need to take action?"
"You sit tight; I'll just respond to this email."
...
Most of Max's team had gathered at Jurassic Park. These folks, used to wandering, really disliked the current comfort.
"Almost done -- it's around this time. You know, the employer still wants to meet with you all."
"What have these guys been doing so far?"
"It's useless; whether it's security or employment, nobody wants to carry out a rear-guard mission. This isn't our country; why would anyone put themselves on the line?"
"Heh, right. Sir, our job this time is to maintain order?"
"Remember this, Max: I'll only say it once; we're just there to observe, not to engage to death. 1%, at most 1%. If it exceeds that, you can do whatever you want."
"Got it, sir. I understand."
William White had to make it clear to him. Saddam wasn't some fool; if they could avoid direct conflict, it would be best not to.
*****
https://www.patreon.com/Sayonara816.