Rebirth of the Industrial Tycoon

Chapter 674: No Matter How Small a Mosquito Is, It Is Still a Piece of Meat.

Chapter 674 No matter how small a mosquito is, it’s still a piece of meat

Although Song Chengde and Yue Ping'an didn't deal with each other, there was no conflict between him and Li Weidong. The conversation between the two was no more confrontational. They just exchanged pleasantries and the atmosphere was quite harmonious.

At this time, Song Chengde had already seen the small hand-push rotary cultivator at the Fukang Agricultural Machinery booth.

"Chairman Li, is this a rice rotary tiller?" Song Chengde pointed to one of the rotary tillers. It happened to be a paddy field wheel installed on it, so it was easy to identify.

"Yes, it's a rice rotary tiller, a new product developed by our company." Li Weidong nodded.

"Is this rotary cultivator too small? Walk-behind tractors are bigger than your product. Can such a small thing be powered?" Song Chengde said, shaking his head.

"With the current technical level of engines, the power is definitely sufficient, and small engines are also more fuel-efficient." Li Weidong replied.

"With such a small paddy wheel, plowing the land will take more effort, right? I think it would be more efficient to use a small tractor to pull a larger rotary tiller. Not to mention compared with a specialized rice rotary tiller." Song Chengde He spoke.

"In terms of farmland efficiency, small agricultural machinery is definitely not as good as large agricultural machinery, but it is still more efficient than using manpower or livestock! Moreover, our product is easy to use, simple to operate, and can be used without training. Unlike large-scale agricultural machinery, Agricultural machinery requires special training to use it.”

Li Weidong paused and then said: "The maintenance cost of this kind of small and micro agricultural machinery is also very low, unlike large agricultural machinery, which requires professional maintenance every year. The most important thing is that it is cheap and ordinary farmers can It’s also affordable.”

"Indeed, this little thing looks really inexpensive." Song Chengde then asked: "How much do you quote for this thing?"

"Each unit is less than 300 US dollars, and there are discounts for large orders." Li Weidong answered.

Regarding the price, Li Weidong did not hide it. After all, when participating in exhibitions, the quotations were relatively transparent, so he couldn't hide it even if he wanted to.

"That's cheap enough. It's not as expensive as a motorcycle! Ordinary farmers can afford it." Song Chengde smiled and nodded, then after a few more pleasantries, he turned and left.

As soon as he left the Fukang Agricultural Machinery exhibition area, Song Chengde had a disdainful smile on his face.

"Chairman, are you not optimistic about Fukang Agricultural Machinery's products?" the assistant next to him asked.

"What do you think?" Song Chengde asked.

"I think it's pretty good. Although it's a little small, the price is cheap. It's more than 2,000 yuan when converted into RMB. And it's not difficult to operate. It can be pushed by one person. It's very suitable for ordinary people. used by small farmers," the assistant said.

Song Chengde smiled slightly and said: "The price is quite cheap, but the profit is also low! The rotary tiller is so small, and it must have sufficient power. The engine used must not be weak, which also improves the efficiency. cost.

The quoted price is less than 300 US dollars, and the actual transaction price will definitely be lower. I estimate that the profit of each unit is at most 30 US dollars, which is about 250 yuan. Even if you sell a hundred units, you will still earn 25,000 yuan!

Our self-propelled rice rotary cultivators and rice harvesters cost more than 100,000 or 200,000 yuan each. Our profit from selling one unit is more than what they make from selling 100 units!

This small agricultural machine can be afforded by ordinary farmers, and it seems to have quite a market prospect, but at best it is just a piece of powdered meat, and you don’t know what mosquito meat is, it’s just a little bit! "

As Song Chengde spoke, he gestured with his little finger and said with a look of disdain: "Let's leave this mosquito meat to Fukang Agricultural Machinery to eat slowly. We still have to get big orders and make big money!"

"The chairman is right, this time we are cooperating with Kubota, but..."

As soon as he was halfway through his words, he was stopped by Song Chengde.

"Shh, the matter is still in the confidentiality stage, don't talk about it here." Song Chengde said.

The large-scale agricultural machinery companies that have grown up in scale really look down on this part of the small and micro agricultural machinery market.

Because the profit is indeed a bit too low.

You can only earn two to three hundred yuan from selling a piece of agricultural machinery. Even if there is market demand, big companies are completely disdainful of making such a small amount of money.

For example, the market demand for steamed buns is huge, but five-star hotels will never specialize in steaming and selling steamed buns. People can just host a wedding banquet and make more money than selling several tons of steamed buns.

So when other companies saw the various "little pods" displayed by Fukang Agricultural Machinery, they didn't take it seriously. In their opinion, these "little pods" were equivalent to mosquito meat and were too small to be sent to He didn't even bother to open his mouth.

On the opening day of the exhibition, the agricultural machinery exhibition area was crowded with people.

These are agricultural machinery dealers, and in addition to local Thais, they also have customers from other ASEAN countries.

For merchants from ASEAN countries, Thailand's agricultural products are not attractive to them. They can basically grow anything that Thailand can grow.

As for the advanced agricultural technologies of the United States and Japan, poor countries in ASEAN cannot afford them.

To put it another way, even if you can afford advanced agricultural technology, there will be no customers for the agricultural products you grow.

For example, Japan’s white strawberries cost several dollars each. Even with ASEAN’s economic level, no one can afford to grow them.

Therefore, merchants from ASEAN countries are concentrated in the agricultural machinery exhibition area, hoping to buy some cheap agricultural machinery with good performance to improve their country's agricultural standards.

Vietnamese businessman Nguyen Thanh Bao is one of them.

Although Nguyen Thanh Bao is Vietnamese, he grew up in Thailand. During the Vietnam War, a large number of Vietnamese fled to other countries, and Nguyen Thanh Bao's family took a boat to Thailand.

In the mid-1980s, Vietnam also followed China's example and carried out "reform and opening up", hoping to strengthen economic development and opening up to the outside world and improve the living standards of the domestic people.

Then in the 1990s, Vietnam also advanced the reform of state-owned enterprises, bringing state-owned enterprises to the market, while vigorously developing private enterprises, and liberalizing most commodity prices to be regulated by the market.

Nguyen Thanh Bao also returned to Vietnam at that time and started an agricultural machinery business.

This time, Ruan Thanh Bao came to the Thailand Agricultural Expo hoping to buy some cheap Chinese agricultural machinery.

Many people may not know that the prices are often relatively cheap when buying things at exhibitions. Even if you place an order, you will get a preferential price.

Because everyone participating in the exhibition is the manufacturer of the product, or the dealer of the place where the product is produced. Buying something from the exhibition is equivalent to ordering directly from the manufacturer or the place of production, eliminating the price difference between middlemen, and the price will naturally be cheaper. a lot of.

Therefore, many wealthy people are keen to buy luxury cars at auto shows. Firstly, they can buy directly from the manufacturers, so the quality is guaranteed; secondly, they can save money by skipping the auto dealer process. If you are lucky, you may encounter a limited-edition sports car, which may increase in value if you keep it.

Therefore, when you go to a car show, you will find that many of the luxury cars on display have already been ordered. The limited editions you see are actually cars that rich people have already bought.

Nguyen Thanh Bao also came to this agricultural exhibition with the intention of saving money.

After wandering around the agricultural machinery exhibition area, Nguyen Thanh Bao was a bit dazzled. There were many types of agricultural machinery here, especially agricultural machinery for rice production.

There are some brands that Nguyen Thanh Bao has never even heard of, but looking at the performance of the products, they are very good.

Moreover, the price here was much cheaper than Ruan Qingbao’s usual purchasing channels. For a moment, Ruan Qingbao was hesitant about choosing. He didn’t know which store to place an order.

What's more, there are many companies' exhibition areas in the back. Ruan Qingbao has never seen it. What if there are cheaper and more cost-effective agricultural machinery later?

People always have this mentality. Even if they see something suitable, they will think that there may be something better later. So don’t rush to buy now, wait until you have seen all the products.

Ruan Qingbao continued shopping and finally came to the booth of Fukang Agricultural Machinery.

A row of small agricultural machinery immediately caught Ruan Qingbao’s attention. At this agricultural machinery exhibition, it was the first time for Ruan Qingbao to see this kind of "little bean sprouts".

Ruan Qingbao immediately stepped forward and asked for product details, and a salesperson from Fukang Agricultural Machinery also immediately stepped forward to introduce it.

"I didn't expect that such a small agricultural machine has quite complete functions. It even has a clutch and can control the gear." Ruan Qingbao nodded with satisfaction.

The salesman then introduced: "Sir, the model you are seeing has a paddy wheel installed on the front, so it is a rotary tiller specially designed for paddy fields.

In addition to the paddy wheel, you can also install a weeding wheel on the front, which is suitable for sandy soil; a trenching wheel, which is suitable for dry land; and a loosening wheel, which is suitable for harder soil..."

After hearing this introduction, Ruan Qingbao's eyes suddenly lit up.

"This agricultural machinery can be used on a variety of land and is very suitable for use in Vietnam. The land in Vietnam is not only paddy fields, but also a lot of dry land. And not all the land is fertile, and there are some relatively barren lands. It requires more careful cultivation to achieve better yields.”

Thinking of this, Ruan Qingbao asked: "How many baht does this machine cost?"

"The prices vary depending on the accessories. The retail price of this type of rice rotary tiller is 12,000 baht. If the purchase volume is large, there is a discount." The salesman said.

"Only 12,000 baht?" Ruan Qingbao took out his calculator and quickly calculated. According to the exchange rate at the time, 12,000 baht was less than 300 US dollars.

The salesman then introduced: "We can also sell other accessories separately, such as this scarifier wheel. Our price is 750 baht. The ditching wheel is more expensive, costing 950 baht."

"You can buy a rice rotary cultivator for less than 300 US dollars. Plus these accessories, it's less than 350 US dollars. You can buy a multi-functional agricultural machine for only 350 US dollars, which is cheaper than a cow!"

In the entire Southeast Asia, Myanmar has the cheapest beef, with the price of raw cattle being just over a dollar per catty. A healthy cow weighs about 700 to 800 pounds when it grows normally. So $350 can't buy a cow.

Although Vietnamese farmers are not wealthy, for an ordinary family, they can still save up to 350 US dollars after several years of saving. This price is completely acceptable to Vietnamese people.

"If this thing is shipped back to Vietnam, it will definitely sell well!"

Thinking of this, Ruan Qingbao said: "If I order 500 units, how much discount can I get?"

After all, ASEAN countries are generally relatively poor. Except for large farmers, ordinary small farmers cannot afford medium and large agricultural machinery. Although this kind of small agricultural machinery is far less efficient than medium and large agricultural machinery, it is cheaper and can be afforded by ordinary small farmers.

The two richest countries in ASEAN are Singapore and Brunei. One of these two countries relies on the Strait of Malacca, and the other relies on oil mining. Neither of them has agriculture.

Other ASEAN countries except Singapore and Brunei are almost all agricultural countries. Moreover, the poorer they are, the lower their industrial level and the higher the proportion of agriculture.

For those countries without industry, various large, medium and small agents and distributors have become an important way for industrial products to circulate.

Since they cannot produce in their own countries, industrial products must rely on imports. Such professional middlemen are an indispensable link.

And it is impossible for production companies to build a complete sales system in overseas countries. The cost of doing so is too high. At most, they can set up a marketing outlet such as an office. To really sell goods, they still have to rely on local agents and distributors in various countries.

Distributors in ASEAN countries are not fools. They know how poor the farmers in their own countries are. Let alone large agricultural machinery with a price of 30,000 or 40,000 US dollars, even agricultural machinery with a price of more than 1,000 US dollars, ordinary farmers cannot afford it.

Therefore, this kind of small and micro agricultural machinery with a price of only 200 or 300 US dollars is most suitable for poor farmers in ASEAN countries.

The price of two or three hundred US dollars is much cheaper than a cow, and the working cow needs to be well fed and carefully taken care of, but agricultural machinery does not need to be filled with a bottle of oil, and it can work in the field for most of the day, and neither the machine nor the person needs to rest.

The dealers have already seen the business opportunities in this, so orders for small agricultural machinery have poured in.

This customer ordered a few hundred units, and that customer ordered a few hundred units. In one day, Fukang Agricultural Machinery has received orders for more than 10,000 units.

Although this number sounds a lot, considering the agricultural population base of ASEAN countries, a mere 10,000 small and micro agricultural machinery, when distributed to the entire ASEAN, will not even make a splash.

The first day of the exhibition was almost over, and other booths were ready to close, but Fukang Agricultural Machinery's booth still had customers negotiating prices and signing contracts.

Song Chengde happened to pass by here, and wanted to find Yue Anquan to argue again, but found that Yue Anquan was clasping his hands together and saying "goodbye" to a Thai customer.

Song Chengde walked up and said provocatively: "Boss Yue, your business is very good. It's time to close the stall, but there are still so many customers!"

"No way, the products are too easy to sell!" Yue Anquan said with a look of pride: "Today, we are the busiest in the agricultural machinery exhibition area. Our salesmen have been busy all day and have no time to go to the toilet. I plan to go to the supermarket to buy a few packs of adult diapers and send them to our salesmen tomorrow!"

"Show off!" Song Chengde hummed in his heart, and said: "You can't make much money from these small beans you sell, right? At best, it's just a piece of mosquito meat!"

"No matter how small a mosquito is, it's still a piece of meat! A little bit adds up to a lot, and you can always make a meat pie!" Yue Anquan said, picking up the statistical newspaper in his hand and reading it. After taking a look, he said, "Oh, I sold more than 20,000 units in one day! Mr. Song, how many units did you sell for Dayang Machinery? Twenty?"

Song Chengde knew that Yue Anquan was deliberately irritating him. He snorted coldly and continued, "No matter how much mosquito meat there is, it is still mosquito meat. What's so delicious about it! Eat steak if you want to eat!"

"Okay, then I'll wait and see when Chairman Song can eat steak!" Yue Anquan smiled proudly and continued, "I'm afraid you can't eat steak or mosquito meat!"

Song Chengde said tit for tat, "Mr. Yue, why are you in such a hurry? This is only the first day. The good show is still to come!"

...

The next morning, a deputy leader of the Ministry of Agriculture also came to the Agricultural Expo to guide the work.

The heads of the participating enterprises immediately gathered and went to greet them. The leader also inspected the agricultural machinery exhibition area to give some encouragement to the participating enterprises.

"Leader, the exhibition area of ​​Fukang Agricultural Machinery is in front." The leader of the exhibition group continued to introduce; "Fukang Engineering has launched a small agricultural machinery this time, which is completely self-developed, simple to operate, and not expensive. It is very suitable for the markets of ASEAN countries. In one day yesterday, they sold more than 10,000 units, and the contract amount exceeded 20 million yuan!" "New products? Then I have to see it myself." The leader stepped forward, and Yue Anquan personally stepped forward to introduce it. "Very good, such a small thing has sold more than 10,000 units in one day, creating an output value of more than 20 million yuan. This once again shows that technology is the primary productive force. As long as our agricultural machinery companies are willing to settle down and do research and development, they will not worry about not making money!" The inspecting leader said. Regardless of whether the leader understands agricultural machinery or not, when encountering such a thing, he must praise it and set an example. The heads of other companies cast envious and jealous eyes on Fukang Agricultural Machinery. Originally, everyone thought that this "little bean" was just a mosquito meat with very small profits. But I didn't expect that Mosquito Meat would sell more than 10,000 units in one day, with a transaction amount of more than 20 million yuan, which was already a big profit.

At this moment, applause rang out in another exhibition area not far away, mixed with cheers in Japanese.

Following the sound, the applause and cheers came from the exhibition area of ​​agricultural machinery giant Kubota.

Before the Asian financial crisis, Thailand's agricultural machinery market was almost monopolized by Japanese companies. Although the Thai market has been taken a big bite out of Chinese companies, Japanese companies are still deeply rooted in Thailand. Agricultural machinery giants like Kubota will naturally come to the exhibition.

Everyone was wondering why some people also got the news when the Japanese were cheering.

"I just received news that Thailand's Ministry of Agriculture, Agricultural Association and Agricultural Cooperatives have jointly invested 5 billion baht to purchase a batch of rice planting machinery to provide subsidies to rice growers! And this 5 billion baht order has been Eaten by Kubota!”

"What? Five billion baht?" Everyone was shocked.

This is five billion baht, which is equivalent to one billion yuan according to the exchange rate at that time!

Such a huge order is rare in the global agricultural machinery industry.

Now, such a once-in-a-lifetime piece of fat meat was actually eaten by Kubota!

"Why is there an order of five billion baht? Why haven't I heard of it before?"

"Five billion baht. Why is there not even a little bit of news about such a big order?"

"As soon as the news came out, this piece of fat was already taken away by Kubota. It seems that this order was negotiated by the Japanese with Thailand a long time ago. There is nothing wrong with other companies at all!"

While everyone was talking about it, Song Chengde suddenly stood up and said, "Leader, I want to report to the organization about this five billion baht order."

"This is Chairman Song Chengde of Dayang Machinery Group." The team leader introduced immediately.

Song Chengde continued, "This 5 billion baht order is mainly used to purchase rice machinery. Although Kubota has received this order, Japan's production costs are relatively high and the prices of agricultural machinery are also relatively expensive.

If they are made in Japan, they may not be able to meet the number of agricultural machinery that Thailand needs. Therefore, Kubota decided to transfer the order to other companies for OEM production, which can reduce costs. When the time comes, Kubota's trademark will be affixed and sold to Thailand.

Our Dayang Machinery Group has been rooted in the field of rice agricultural machinery for many years, and its technology is considered to be leading in the country. Therefore, Kubota decided to give this agricultural machinery order of 5 billion baht to our Dayang Machinery to produce! "

As Song Chengde spoke, he looked at Yue An'an triumphantly, as if to say: Did you see it? The five billion baht order was eaten by me. This is real steak! "

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Chapter 709/766
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Rebirth of the Industrial TycoonCh.709/766 [92.56%]