Chapter 670: Problems One After Another

Chapter 670 Problems again and again

Following Li Weidong's ideas, the Scientific Research Department began to conduct research on small and micro agricultural machinery.

Ni Guilin from the Fukang Agricultural Machinery Research Department pointed to a small internal combustion engine and said: "With the current technology of small internal combustion engines, there is no problem with power. The problem is the load of the machinery.

We found in the experiment that if the soil is relatively hard, the mechanical load will be too large, the chain cannot be buffered, and breakage will often occur.

Our country has a vast land area, and the climate and soil conditions vary from place to place. Even in the paddy fields in the south, there are some places where the soil is relatively hard. If a chain is used, it cannot meet all needs. "

It is very common for mechanical equipment with small internal combustion engines to use chains as transmission devices. Chain transmission has a simple structure, is cheap, and is easy to maintain.

But the chain has one disadvantage, and that is its insufficient load capacity. Anyone who has ever broken a chain while riding a bicycle can understand that it needs to be borrowed a little.

So Li Weidong asked: "Is there any solution?"

"Changing the transmission components is the simplest solution. Currently, I think of two transmission components. The first is to use gear transmission, and the second is to use belts for transmission. Both have their own advantages and disadvantages."

Ni Guilin continued, "If you use gear transmission, the stability is the highest and you can maintain high power output. However, we are making small and micro agricultural machinery. It is technically difficult to install gear transmission in a limited space.

In addition, the cost of gear transmission is definitely higher, and there are certain requirements for manufacturing technology and installation accuracy. Later maintenance will be more troublesome, at least it is difficult for ordinary farmers to replace it manually.

If the belt drive is used, the cost will be much lower, and the belt has good toughness, which can alleviate the impact. It is also relatively simple to replace, and farmers can replace it manually.

However, the belt drive also has two fatal shortcomings. One is that it is easy to mix with sand. For agricultural machinery, this is unavoidable in daily operations.

The second disadvantage is that the belt tends to slip when it gets wet, which will directly affect the efficiency of the machine. If we only really cultivate dry land in the north, we don’t have to worry about the belt slipping.

But in the southern region, paddy fields are the main area. Long-term paddy field operations are bound to cause the belts to get wet. When the belt slips, our machines may fall down! "

Li Weidong thought for a moment and said: "The belt must not be used. Not to mention that the belt slips when exposed to water, which is an unsolvable problem. Let's just say that the belt drive has a relatively simple structure and can easily be copied by competitors.

What we want to do is small and micro agricultural machinery with a certain technological content. It is not a crude low-end product, so it cannot be easily copied by other companies.

As for gear transmission, I don’t think it’s appropriate. Gears are too delicate after all, and they also involve a lot of material technology and processing technology. We have the ability to research high-end material technology. Is it still necessary to make small micro-agricultural machinery?

So I think both are undesirable. I have a third idea here. Mr. Ni, what do you think of us using the transmission shaft? "

"Using transmission shafts on small agricultural machinery? I really haven't considered this. Looking at the country, it is still a blank field!" Ni Guilin said.

Li Weidong said: "In the past, transmission shafts were used on medium and large agricultural machinery. Those large agricultural machinery companies looked down on small and micro agricultural machinery, so they would not do research and development on small and micro agricultural machinery, let alone think of using it in the future. Drive shafts are used in small and micro agricultural machinery.

I think we can give it a try. The drive shaft has good stability and is not as delicate as a gear. Although the cost is higher than that of a belt drive, it has strong adaptability to the environment. There is no problem whether it is used in paddy fields or dry land. "

"Okay, I'll try it with the drive shaft!" Ni Guilin nodded and agreed.

Li Weidong continued: "The best way is to design a universal set of power transmission components for small and micro agricultural machinery based on the transmission shaft. Then we apply for a patent, which can also avoid imitation by other competitors." "

…

Since the eradication of counterfeit and shoddy products, the sales of Puppy Electric Appliances have increased significantly.

In overseas markets, thanks to the publicity effect of F4, Puppy Electric's products quickly became popular in East Asia. Sales of products such as kitchen appliances and beauty products are very hot.

At this time, F4 had already begun touring concerts in East Asia, and F4's popularity was about to reach its peak.

The main fan base of F4 is still mainly women, so beauty products for women and kitchen appliances for housewives will naturally sell better.

Holding a very eye-catching piece of data, the smile on Wang Jiuyang's face became even stronger.

"Chairman, last quarter our domestic profits increased by 50% year-on-year. It seems that the effect of combating counterfeiting is still very obvious. Based on the overall increase in profits, I want to increase investment in publicity and find more celebrities to endorse ." Wang Jiuyang said.

"Is there a suitable candidate?" Li Weidong asked.

"Kitchen appliances and beauty equipment account for a large part of the profits of our products, so I think we can find popular female celebrities to endorse them, which is more in line with our products."

Wang Jiuyang paused for a moment, then continued: "The most popular female star in the past two years should be Miss Zhang. Moreover, she is also internationally renowned, and is considered a big name in the entire entertainment industry!"

"Ms. Zhang's advertising endorsement price is not cheap, right! Although she is very famous, the price/performance ratio is not necessarily high." Li Weidong pondered for a moment, and then said; "Although I have made money recently, I still have money. Don’t spend it indiscriminately.”

"Chairman, do you have any suitable candidates?" Wang Jiuyang asked.

"With the Athens Olympics this year, have you ever thought about looking for sports stars to do advertising endorsements? The advertising endorsement fees of sports stars are cheaper than that of entertainment stars, and their image is not bad. The most important thing is that they can take advantage of the Athens Olympics to make a splash. heat."

Li Weidong continued: "There is a young man named Liu Xiang in hurdle sports. Did you know? Our country has always been relatively weak in men's track and field racing, and short-distance track and field events are not very good in Asia.

If he can achieve results in the Olympics, it will be a very significant breakthrough for our country's sports. If he can really win an Olympic gold medal, it will be more exciting than the men's football team entering the World Cup. "

"Hurdle, Liu Xiang, I've written it down!" Wang Jiuyang wrote down Liu Feiren's name in his notebook, and then said, "But this Liu Xiang is a man, right? I think we should find another female spokesperson. After all, our products are mainly targeted at female consumers.”

"Then add a women's volleyball team!" Li Weidong continued: "The women's volleyball team has special significance to our country. We have all experienced the era when the women's volleyball team won five consecutive championships.

The performance of the women's volleyball team in the past few years was somewhat unsatisfactory, but in the past two years, the performance of the women's volleyball team has improved. Didn't they win the World Women's Volleyball Grand Prix and the Women's Volleyball World Cup last year!

If the women's volleyball team can win the championship again in this year's Olympics, it should evoke many people's memories, and the entire women's volleyball team will also have a high commercial value. And the endorsement fee for the women’s volleyball team shouldn’t be expensive, right?

This is a way to spend a small amount of money to do big things, and the price-performance ratio is very high. In addition, you can ask the experts from the General Administration of Sports to see which athletes still have a chance to win the championship. Just sign a few more athletes. When we wait for the Olympics, let's make a big splash! "

"Okay, I'll go find out." Wang Jiuyang nodded and agreed, and then continued: "Chairman, there is one more thing I need to report to you. After a while, there will be a Consumer Electronics Exhibition in Las Vegas. The content of the exhibition Including household appliances, computers, and communication equipment, I want to participate.”

"Las Vegas? That's the largest convention and exhibition city in North America!" Li Weidong then asked: "There should be many big brands participating, right?"

"Several big brands in Europe and the United States should be attending. In addition, several major Japanese electrical appliance companies, as well as South Korea's Samsung, will also participate, especially Samsung Electronics. I heard that they also have high hopes for this exhibition. They not only spent money to book big... exhibition area, and we plan to bring a lot of new products there," Wang Jiuyang said.

"What about domestic home appliance brands?" Li Weidong asked next.

"Haier was the first to receive the invitation letter, so Haier will definitely go. We also learned about this home appliance show from Haier. I also asked about it with colleagues in the industry. Midea, Gree, TCL, and Skyworth have already decided Yes, Supor, Boss, Changhong, Hisense, and Oaks are also interested in participating, but a registration fee of US$30,000 is required for each booth," Wang Jiuyang replied.

"Thirty thousand US dollars is not expensive. All the well-known home appliance brands in the country are going! Then we can't be absent!" Li Weidong sighed lightly, and then said: "Our country's home appliances have developed from scratch. It’s been more than ten years, and it’s time to break out of Asia and go global!”

…

Puppy Electric is making great progress here, but Fukang Engineering has encountered some troubles.

At Fukang Engineering Company, Ding Youliang handed a document to Li Weidong and said, "The China Insurance Regulatory Commission has just issued a document suspending car loans!

You also know that these days, it is rare for self-employed individuals to purchase construction vehicles in full, and they basically rely on loans. Without car loans, our sales would be greatly affected. "

"The car loan was suspended?" Li Weidong recalled it carefully, and vaguely remembered that such a thing seemed to have happened.

In 2004, car loans were indeed suspended for a period of time by the China Insurance Regulatory Commission. Later, the China Banking Regulatory Commission issued new "Automobile Loan Management Measures" to further standardize the car credit business, and car loans were resumed.

As early as the late 1980s, private loans to buy cars began to appear in China, but the number was not large.

After all, everyone with a driver's license at that time basically had a class, and it was not easy to just buy a car. Government agencies and institutions that want to buy a car have to go through the back door to get a note. How can they buy extra wheels privately?

In the 1980s, private cars were purchased for transportation purposes, and since there were no professional car loans, all loans at that time were general loans, which required not only asset mortgages and qualified guarantors, but also connections in banks. , to get the loan.

It was not until 1993 that the then Northern Ordnance Industry and Automobile Trading Company proposed the concept of installment payment for cars.

There were two methods of installment payment at that time. One was that car dealers raised funds themselves to provide installment services to consumers.

The second is that automobile manufacturers provide vehicles to dealers, and dealers provide installment payment services to consumers, and then return the money to the manufacturers after receiving the money.

Either way, car dealers are required to have relatively strong financial strength, capital operation capabilities and risk control capabilities. There are only a few car dealers with these capabilities across the country, so the overall scale of installment payments is very limited.

By 1995, financial institutions began to directly participate in the automobile credit consumption business. Companies such as FAW, SAIC, Tianjin Automobile, etc. all established special financial companies, and then cooperated with banks to carry out automobile credit business.

The strength of banks' operating capital is naturally much stronger than that of ordinary enterprises. After banks intervened, the domestic car loan business really started.

However, at that time, the country had not yet established a personal credit system, and banks lacked experience in this area and effective risk control methods, so many frontline problems were exposed. So in September 1996, the People's Bank of China ordered the suspension of auto credit business.

In order to control risks, the country established an automobile credit consumption quota at that time. The amount of annual automobile loans could not exceed this quota to prevent the disorderly expansion of automobile loans and thus reduce risks.

For example, in 1998, the amount of automobile consumer loans was only 400 million yuan. As far as the banking system is concerned, even if the loan of 400 million yuan is not repaid, it can still bear the loss.

With a market as big as China, the loan limit of RMB 400 million was not enough for Mr. Ken, so in September 1998, the People's Bank of China issued the "Management Measures for Automobile Consumer Loans" to loosen restrictions on auto loans.

Subsequently, the central bank issued the "Guiding Opinions on Developing Personal Consumption Credit". From then on, credit consumption for automobiles has a clear policy basis.

The liberalization of policies has led to a rapid increase in private car consumption. In big cities such as Beijing, Shanghai and Guangzhou, the proportion of private car purchases has exceeded the proportion of corporate car purchases, and cars have begun to enter the homes of ordinary people.

It was at this time that major insurance companies also began to get involved in automobile consumer credit. Insurance companies launched car loan insurance to share the risks of banks. Since then, a four-party cooperation between banks, insurance companies, car dealers, and manufacturers has formed. consumption patterns.

China's auto loan consumption also began to explode. It was 2.9 billion yuan in 1999, 18.6 billion yuan in 2000, 54.6 billion yuan in 2001, 94.5 billion yuan in 2002, and the credit scale exceeded 200 billion yuan in 2003.

It only took five years to go from 400 million to 200 billion. Such an astonishing growth rate also means that it must be accompanied by great potential risks.

Finally, this potential risk emerged at the end of 2003.

Due to the imperfect credit reporting system at that time, financial institutions had a large number of bad debts, and the loss ratio of car loan insurance remained high. As we all know, when the insurance company wants to pay compensation, it will come up with all the details of various clauses. In short, it is my right to interpret it. If it does not compensate for this, it will not compensate for that.

And banks are not vegetarians. When it comes to interpretation, I have the right to explain it. Banks are the ancestors! If you give less money, Litai is not responsible. If you give too much money, you will have to pay back the unjust gains. Anyway, my bank is right!

As a result, gangsters came into contact with gangsters, and many legal disputes often arose between banks and insurance companies over compensation issues.

But if you don’t pay for what should be paid, the insurance company must be ignoring it. Therefore, it was not the central bank or the China Banking Regulatory Commission that halted auto credit, but the China Insurance Regulatory Commission.

The China Insurance Regulatory Commission's suspension of automobile credit also directly caused the collapse of the previous automobile consumption model of four-party cooperation between banks, insurance companies, automobile dealers, and manufacturers.

Among them, the market for medium and heavy-duty commercial vehicles, such as various freight vehicles, large passenger cars, special transport vehicles, and construction machinery, was naturally affected the most. Sales fell instantly.

All this, until October 2004, the China Banking Regulatory Commission issued the "Automobile Loan Management Measures", which replaced the previous "Automobile Consumer Loan Management Measures", re-standardized the auto credit business, and also downplayed the role of insurance companies in the auto loan business. , domestic auto credit is back on track.

Car loans were suspended, and the impact on Beverly Engineering was fatal. Because a large part of Fukang Engineering's customer base is self-employed.

This is mainly because Li Weidong's technical school uses machinery from Fukang Engineering, and during the teaching process, the teacher is also subtly instilling information into the students that Fukang excavators are good, Fukang loaders are good, etc.

Therefore, after graduating, students will definitely give priority to purchasing equipment from Fukang Engineering.

How can ordinary people afford a construction machinery worth hundreds of thousands of dollars? So all need a car loan.

Now that loans are no longer allowed, those students cannot afford to buy construction machinery. Fukang Engineering's product sales were cut off from the head down to the ankles.

Li Weidong frowned and thought for a long time. This was a problem caused by the policy, and the best solution was to wait for the policy to be relaxed.

In about half a year, the China Banking Regulatory Commission will issue new regulatory policies, auto loans will resume, and the crisis at Beverly Engineering will be resolved.

It's just that this is a passive response.

As an entrepreneur, you can't just wait for everything and rely on passive responses to solve problems, otherwise your company will be finished sooner or later. So we still have to take the initiative.

So Li Weidong said: "Well, let's do car finance. We can set up a financial company to use funding channels other than banks to break the current deadlock. There are precedents in Western countries in this regard. We can learn from it. ”

"Chairman, as far as I know, there were car sales companies doing this business before, but in the end they didn't do it, mainly because they would lose money." Ding Youliang paused and then explained:

"After all, we are an enterprise. We are far inferior to banks in terms of capital, and our risk management and control capabilities are not as good as those of financial institutions. Now even financial institutions cannot manage the risks of car loans. How can we, a private enterprise, manage the risks!"

"I'm talking about looking for funding channels other than banks. Did you mention doing car credit business?" Li Weidong said with a smile.

"If you don't do car loans? What will you do?" Ding Youliang asked in confusion.

"We do car financing leasing!" Li Weidong said, smiling like an old fox again.

The update is delivered today. Thank you to all the food and clothing parents for subscribing. The temperature has been fluctuating recently, and the occupational disease has occurred again. My cervical and lumbar spine are sore, and I feel more comfortable when I lie down flat on the bed. Therefore, the update may be unstable, please forgive me.