Chapter 182: The Waterloo of American Business
… The Blade had a vigorous meeting of the Quartet. The sigh of the Republic and the American business community was very "calm."
Business negotiations are about interests, and they are real interests. Once the two governments have brokered the bridges, the negotiations have become a direct dialogue between the business communities of both sides. Unlike national negotiations, business negotiations have business rules and are not about "reciprocity of interests." principle, but the principle of "effective interest". To put it simply, the state game is basically a "zero-sum game." And business games generally produce "win-win" or "lose-lose" results.
There is no doubt that business negotiations are more complex than inter-State negotiations.
The business delegation of the Republic of China is composed of thousands of industry elites from dozens of industries and hundreds of industries, including large enterprises such as "Sanjian Group, Zhongzhong Group, AVIC Group" and "Ye Hong Group". The size of the US business delegation was not small, and a total of nearly four people were sent to participate in the talks, including Boeing, Ford, Intel, Microsoft, Wal-Mart, and Exxon, which used to be the largest oil company in the United States, but is now the largest energy company in the United States. Hundreds of representatives of large enterprises mainly engaged in nuclear power plant construction, power grid construction, power supply equipment manufacturing and other industries.
It can be said that the smell of gunpowder in business negotiations has become stronger
After the start of the negotiations, the companies on both sides are "catching and fighting" in various industries.
With the "Sanjian Group." With "Mehu Exxon." of negotiations, for example. At the beginning of the negotiations, Meixiang offered a sky-high price of US$800 million for its weak nuclear power plant fission nuclear power plant in India, the power grid that accounts for the total share of India, the power supply station that accounts for the total domestic share of India, and related facilities, while the Sanjian Group only offered a purchase price of only one US dollar, and only paid the cash of the cata, and exchanged the other minerals controlled by the Sanjian Group overseas. If under normal circumstances, such a big price difference, the two sides should not talk about it at all. Of course, this is not a normal situation, so the two sides have to continue talking.
Since you want to talk, you have to come up with chips to make the other party make concessions.
Mehu has maintained its market share in India, and this intangible asset accounts for the majority of its offer. There is no doubt that the Sanjian Group does not recognize the market share of Meixiang in India at all, for the simple reason that the current India is no longer the pre-war India, and if the Sanjian Group does not buy the assets of Meihu in India, its so-called "intangible assets" will become worthless.
In response to this situation, Meihu Company first found Ye Hong Group.
Strictly speaking, Sanjian Group belongs to the resource development group, mainly engaged in the development of various minerals. In addition to having something to do with energy in the mining of rare earth minerals. At all, he did not set foot in the energy industry at all, and the composite battery production plant invested by Lin Yanbo was not under the name of Sanjian Group, but an independent company.
Among the private energy enterprises in the Republic, Ye Hong Group is the real industry leader, mainly engaged in nuclear power plant construction, power grid construction, electric equipment production, power technology development, electronic equipment production and other industries.
It stands to reason that the most qualified to acquire Meihu's assets in India is not Sanjian Group, but Ye Hong Group.
So, why is it Sanjian Group that is talking to Meihu instead of Ye Hong Group?
There is a pound involved here, a very critical issue. That's the basebreak.
If it loses these three lawsuits, Ye Hong Group is likely to be dismembered into several small companies, or pay trillions of yuan in punitive fines. Either way, Ye Hong Group will be greatly damaged. Ye Hong Group did not contact Meihu because it wanted to get rid of its monopoly reputation. More importantly, if Sanjian Group successfully acquires Meihu's assets in India, it will become an energy company on a par with Ye Hong Group, so that Ye Hong Group can completely get rid of anti-monopoly prosecution and win three lawsuits that cannot be lost. In this case. How could Ye Yonggi be interested in Meihu's assets in India? Besides, Sanjian Group is strong, and the relationship between Ye Yongji and Lin Yanbo is extraordinary, even if Sanjian Group does not get the assets of Meihu in India, with its strong foundation in resource development, especially rare mineral development, it is easy to enter the energy industry, knowing that Sanjian Group cannot be prevented from entering the energy industry, why should Ye Yongji do it against Lin Yanbo?
After Ye Hong Group hit a wall, Meihu contacted several energy companies in the Republic
There is no doubt that there is no way to gain anything from Meihu.
This is not an unorganized negotiation, the enterprises of the republic have long been huddled. According to later information, before the negotiations with American companies, under the auspices of Lin Yanbo, Li Chengwen, and Ye Yongji, more than 100 enterprises of the Republic privately signed a "gentleman's agreement." "For the purpose of striving for the common good, if it is for the purpose of safeguarding the common good. As a result, some enterprises suffer losses in negotiations, and profit-making enterprises have to share benefits with loss-making enterprises.
Of course, no one can deny that there is no similar "gentleman's agreement" for American business.
In the case that both sides are twisted into a rope, it is patience and will to fight.
Obviously, patience and will are not on the side of American corporations.
When he contacted Meihu, Lin Muxun, the negotiator of Sanjian Group, clearly mentioned that Meihu's assets in India are all negative assets, and if he talks with Sanjian Group, he will not want to get any benefits in the end.
Lin Muxun didn't lie one
If the Indian interim government adheres to the state-owned policy of Rurajapani, all the assets of the Meihu Group in India will be confiscated, whether it is intangible assets or tangible assets, and they will eventually come to naught.
Of course, Meihu also has to consider a problem, that is, the relationship between Sanjian Group and the Republican Party.
Although the Sanjian Group has not participated in the production of arms and has not intervened in the military industry, no one dares to underestimate the relationship between the Sanjian Group and the Republican ** team. First of all, Sanjian Group is the largest resource developer in the Republic. The military industry is absolutely inseparable from resources. Most of the republican ** team fought against Sichuan, and the war was also related to resources; The second is that Sanjian Group has provided financial assistance to the Republican ** team many times, and when Lin Yanbo returned to China, he "gave it away." tens of billions of dollars, Lin Yanbo also maintained a good relationship with the top brass of the Republican team; Third, the "Zhongzhong Group," headed by Lin Yanbo's daughter Lin Muhua, is the largest arms enterprise in the Republic, and Lin Yanbo is the majority shareholder of the enterprise.
There is no doubt that with the relationship between Sanjian Group and the Republican ** team, Meihu's assets in India are even more unguaranteed.
Not to mention anything else, if it is discussed, the Republican ** team will definitely be more than happy to blow up the facilities of the Meihu Company. Create more jobs in India.
This alone has caused Meixiang's assets in India to shrink.
Of course, at this point, there is still a big gap between the prices offered by the two sides.
After re-negotiating with Sanjian Group, Meihu agreed not to count intangible assets and assets that had been destroyed, but only existing assets. Lin Muxun certainly would not accept such a negotiation condition, for the simple reason that most of Meihu's assets in India no longer have actual commercial value.
Take, for example, the Keiza nuclear power plant. The strategic bombing of Indian nuclear weapons by the Republic will certainly dismantle all fission nuclear power plants in India after the war. In order to meet the demand for electricity for India's economic development and people's lives, the Republic will definitely build a controlled fusion nuclear power plant in India. In other words, the strong nuclear power plant of Meihu cannot be counted as an asset at all. In Lin Muxun's words, after Sanjian Group took over, it would spend a huge amount of money to dismantle it, so Sanjian Group should not buy it from Meihu Company, but Meihu Company should pay the demolition cost to Sanjian Group. Of course, considering the actual situation, Sanjian Group does not intend to accept this money.
This alone has reduced the company's assets in India by about $400 million.
In addition to the nuclear power plant, the power grid, which Merlot has always insisted on, has also been dismissed by Lin Muxun as worthless.
According to the reasons put forward by Lin Muxun in the negotiations, the power grid built by Meihu in India did not have any foresight, and the power grid construction contract was won at a very low price, itself in order to make money in future operation, maintenance and expansion. In other words, there are many problems with the power grid in India, such as the transmission capacity can only meet the needs of the annual exhibition, and the daily maintenance cost is high. In the most important aspect of operation, because of the change of regime in India, the monopoly position of Meihu no longer exists. More importantly, India is likely to establish a unified State Grid Management Corporation after the war, with power suppliers responsible for providing electricity to customers, not the construction and maintenance of the grid. In other words, the company has no right to operate in the field of power grids in India. Although Lin also admitted that after Sanjian Group bought the power grid facilities of Mehu in India, it could sell them to the Indian government, or the State Grid Corporation of the Indian government, and make a profit. But the profit that can be made is very limited. Lin Muxun's view on this is very simple, if Meixiang thinks that Sanjian Group's offer is too low. It is entirely possible to take the grid apart and sell it separately to the Indian government.
There is no doubt that Meihu does not intend to engage with the Indian government, which will not negotiate with Meihu at all.
As a result, the price offered by Mehu for India's power grid has been reduced from US$10,000,000 to US$100 million.
Among the total purchase amount of 100 million US dollars proposed by Sanjian Group, the other 100 million US dollars is the purchase price of the old power equipment and electronic equipment manufacturing enterprise established by Meixiang Company in India.
I have to admit it. Meihu is one of the luckier American companies.
Because the center of India's electronics industry is in Hyderabad and Bangalore, that is, in the southern part of India, when the war broke out, there was no problem of American companies in India moving south, and even if they were expropriated by the Indian government, they were not seriously damaged due to the transfer of industry. What's more, when the negotiations began, southern India was largely under the control of the Hyderabad regime, and most of the industry was not heavily bombed.
It is precisely in this way that Sanjian Group has opened a "sky-high price" of 100 million US dollars
Of course, there is a prerequisite for today's price, that is, the infrastructure and production equipment of the old company cannot be seriously damaged. According to this. Lin Muxun proposed that Sanjian Group could only pay for irrigation with overseas mining assets, that is, a weak amount of US dollars. As long as the preconditions are not established, Sanjian Group can tear up the contract at any time.
For this request, Meihu Company is completely unacceptable.
In Meihu's view, the main problem is not with them, after all, war is "an irresistible factor." "Since Sanjian Group is willing to buy Meihu's property in India, it should bear the relevant risks.
Of course, this statement of Meixiang is not true, because this is not a pure business negotiation.
In the end, the two sides reached a basic agreement on the destruction caused by the war, according to ※
Out of training... The point determines who bears the blame. If it is the Republic of China, the Sanjian Group still has to pay the purchase price according to the negotiated price. If the Indian army destroyed the Meihu factory in India, it would be borne by Meixiang.
Suffice it to say, this payment is very fair.
After identifying the key issues, the parties agreed on the "package purchase price." The final battle was held.
In the end, Sanjian Group acquired all of Meihu's assets in India with $100 million in cash and $100 million in mining assets.
The "trillion US dollars" concession is completely within the expected range of Sanjian Group.
In fact. Before negotiations begin. Lin Yanbo only asked to acquire Meixiang's assets in India within US dollars. According to Lin Yanbo's promise, for every trillion-dollar "bonus" that is underpaid, the senior executives of the former Sanjian Group who participated in the negotiations will each receive a share of tens of thousands of dollars. Mother of doubt, for so many bonuses. Lin Muxun and the negotiators will definitely fight hard.
Of course, the negotiations between Meihu and Sanjian are very representative.
As the first "bilateral contract" to be signed, the United States made big concessions in the negotiations, which had a huge impact on other American companies.
No one can deny that Meihu is in the United States, still less can they deny its close relationship with the US Congress, the US State Department, and even the White House. In the eyes of many American companies involved in the negotiations, especially small and medium-sized enterprises, Meixiang is almost at a "jumping price." The way to sell assets in India is not to say that the beautiful assets in India have no value, but to have a special meaning. To be precise, it is beautiful to have inside information, and it is no good to know that it will drag it out.
Even companies of the level of Meihu have given in, what can other American companies do?
Of course. There are also those who are not afraid to open.
Immediately after Meihu, Ford signed a purchase agreement with Jiqing Company, selling its joint venture automobile production plant in India, Wujia Automobile Spare Parts Factory, Choujia Automobile Equipment Supply Company, which is mainly engaged in automobile equipment import trade, and automobile production and sales network composed of eight chain sales stores, to Jiqing Company for a price of 100 million US dollars, and reached a relevant agreement with Jiqing Company, that is, Ford Company will bear the damage caused by the Indian government.
The so-called defeat is like a mountain.
Meihu and Ford "surrendered." After that, Boeing, Intel, Sigang, Microsoft, Wal-Mart, and other large American enterprises, which were still actively fighting for the past, quickly turned around and signed similar contracts with the enterprises of the Republic one after another.
The general direction has been decided, and small and medium-sized enterprises in the United States can only speed up their "escape".
By the end of the previous month, apart from the arms-related negotiations, which had not yet been completed, the Republican enterprises had signed contracts with the US companies to acquire the vast majority of the assets of the US companies in India at a total price of about $100 million, and the negotiations had basically been completed.
There is no doubt that this was a negotiation that will go down in history.
Although, in the words of the American news media, American companies have suffered a "Waterloo" in India, not only losing tens of trillions of dollars in assets. There was also a collective "defeat", but the result was far less serious than the American news media said, and from a certain point of view, it even saved the vast majority of American enterprises. Especially small and medium-sized enterprises. Not to mention, after the outbreak of the war, those small and medium-sized American enterprises whose main business was in India fell into a predicament, which not only caused hundreds of thousands of Americans to lose their jobs, but also produced a serious debt crisis; without the tens of billions of dollars of "aid" provided by the enterprises of the Republic, thousands of small American enterprises would have gone bankrupt within the year, and as a result of the debt crisis, thousands of small and medium-sized American enterprises would have gone bankrupt, and millions of Americans would have lost their jobs. It can be said that for the vast majority of small and medium-sized enterprises in the United States, no matter how much money is in the negotiated contract, it is a lifesaver for them to maintain their business.
From another point of view, the enterprises of the Republic did not suffer either. If we had not acquired the assets of US companies in India, and had started from scratch by the enterprises of the Republic, the investment would certainly not have attracted US$100 million, and even if the amount of investment would not have doubled, it would have more than doubled.
Arguably, this is the secret of business negotiation.
As long as both parties are sincere, they can eventually benefit from it, and the difference is only who benefits more. And the negotiation is only about getting more benefits.
There is no doubt that the benefits for the enterprises of the Republic are significantly greater than those of the United States.
Not to mention the economic benefits, the psychological impact of this, as well as the impact on the policies of the two governments, was enough for Wang Yuanqing to go to Moscow with peace of mind.
Who is behind the U.S. government? Idiots know that the U.S. government is the face of American business.
Because the Sanjian Group won a resounding victory in the negotiations with the Meixiang Group, providing a "model" for the subsequent negotiations, all the contracts clearly stipulate that the damage caused by the Hyderabad regime of the Indian government is clearly stated. All responsibility will be borne by U.S. businesses. For this reason, after the contract was signed, the republican enterprises only paid the amount they had to pay until the end of the war, and then the results of the damage assessment decided whether to pay the remaining amount and how much to pay the remaining amount.
This alone is enough to determine the "leitmotif" of the negotiations in Moscow.
No matter how good Blandino is and how good the US Congress is, he will not dare to play with the interests of American companies!