Chapter 4: Strengthening Foundations (July – August 1973)
Finalizing the MechaMorphs Toy Line & Comic Series
By July 1973, my toy company was moving full steam ahead with MechaMorphs. The initial prototypes were approved for mass production, and the factory in Hong Kong was ramping up operations.
To maximize profits, I made sure that:
Production costs stayed low by securing bulk plastic contracts.
Packaging design included a mini-comic inside each toy box to deepen engagement.
Retailers had exclusive launch deals, ensuring prime shelf space in stores.
At the same time, I launched the MechaMorphs comic series, which would be published under my own publishing house. The first issue was scheduled for release in September 1973—just in time to boost toy sales for Christmas.
Projected Revenue from MechaMorphs (Year-End 1973):
Toy Sales: Estimated 250,000 units sold ($5 million revenue).
Comics: Estimated 300,000 copies sold ($900,000 revenue).
This was only the beginning. Once I had proof of concept, I'd expand the brand into animated TV series, movies, and global licensing deals.
Arcade Machines – Expanding Distribution
The arcade business was booming, but I wanted to scale faster.
Instead of only selling machines, I began setting up my own chain of arcade centers.
Business Model:
I would install my machines in high-traffic areas and keep 80% of the revenue while giving arcade owners a 20% cut.
This ensured steady cash flow instead of relying on one-time sales.
By August, I had successfully partnered with 50 major arcade centers across the U.S., securing 1,500 machine installations.
Revenue Breakdown (July – August 1973):
Arcade Machine Sales: 3,000 units sold ($4.5 million revenue, $2.2 million profit).
Arcade Revenue (Direct Ownership): $1.8 million from 1,500 machines (since I took 80% of the earnings).
The gaming industry was rapidly evolving, and I knew that by controlling both hardware and arcade distribution, I could build an early monopoly.
United Artists – Quietly Increasing My Stake
By July 1973, I had increased my United Artists (UA) stake from 12% to 18%.
The company was one of Hollywood's leading distributors, and my ultimate goal was to integrate my own film studio with UA, ensuring full control over production and distribution.
Strategic Moves:
Used offshore accounts to buy shares discreetly, preventing market speculation.
Leveraged UA's financial struggles to acquire stock at discounted prices.
Networked with UA executives, preparing for a future merger.
At this pace, I expected to cross 25% ownership by early 1974, making me one of the dominant shareholders in the company.
Hollywood Entry – Preparing for My First Movie
With UA's global distribution network under my control, I started working on my first full-scale movie production.
Project Overview:
Genre: Sci-Fi Adventure (similar to Star Wars but released years earlier).
Budget: $5 million (small-scale but high-quality) (star wars budget was 11 million and most money was spent on industrial lights and magic a company created for making star wars and adjusting inflation cost will be same and this is just preliminary estimate)
Target Release Date: January 1, 1975.
Projected Box Office: $1.4 billion worldwide (star wars box office was almost same even with any publicity in starting phase)
I had already begun assembling a creative team—hiring young, upcoming directors and special effects experts.
This wasn't just about making a single hit movie. This was about building a Hollywood empire.
Oil Crisis – Cashing in on the Market Chaos
The oil crisis had already made me millions, but I wasn't done yet.
Instead of just holding onto oil futures, I used part of my capital to invest in logistics and plastic derivatives:
Bought shares in major logistics companies, knowing they'd profit from rising fuel costs.
Acquired interests in plastic refineries, securing raw materials for toy manufacturing at pre-crisis prices.
Hedged with oil tanker investments, ensuring profits even if crude oil prices spiked further.
Profit from Oil Crisis (July – August 1973):
Oil futures liquidation: $9.5 million profit.
Shipping & logistics stocks: $4.2 million gain.
Plastic refinery investments: $6.8 million unrealized gains.
By August, my total earnings from the oil crisis had crossed $20 million, and I was reinvesting heavily in long-term growth.
Summary of Key Achievements (July – August 1973)
Toy Division:
MechaMorphs toy line entering mass production.
$2 million in pre-orders.
First comic book issue scheduled for September.
Gaming Division:
3,000 new arcade machines sold ($4.5 million revenue).
Arcade centers expansion: 1,500 machines installed.
Direct arcade revenue: $1.8 million in two months.
Entertainment Industry:
UA stake increased to 18%.
First movie planned for release in 1975 ($1.4 billion projected box office).
Assembled a film production team.
Energy & Shipping:
Oil futures profit: $9.5 million.
Shipping & logistics stocks: $4.2 million gain.
Plastic refinery investment: $6.8 million unrealized gains.
Financial Update (August 1973)
Company Holdings & Investments:
Publishing House: $1.2 million revenue (novel & comic sales).
Arcade Machines: $4.5 million revenue, $2.2 million profit.
Arcade Revenue (Direct): $1.8 million.
Toy Manufacturing (MechaMorphs): $2 million in pre-orders.
United Artists Stake: 18%.
Shipping & Energy Investments: $20 million in total gains.
Total Liquid Funds: $85 million
Total Assets Controlled: $250 million
Next Steps
Launch MechaMorphs comic series.
Finalize first movie script and begin pre-production.
Further increase United Artists stake (aiming for 25% by early 1974).
Expand arcade business internationally.
Strengthen Hollywood connections for larger film projects.
This chapter keeps business strategy, industry expansion, and Hollywood entry tightly woven into the story. The net worth and income details are integrated into the narrative naturally, with a financial summary at the end.