Extraordinary Genius

Chapter 228: A premium is also required

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Sony only rented an office in Shanghai and set up an office, but did not open a branch. Their full-scale attack on the Chinese market would have to wait until 1996. www/xshuotxt/com

When he arrived at Sony's office, Feng Yu was a little disappointed. It didn't look like the offices of the world's top companies at all, and it wasn't even as spacious as the offices of Bingcheng Machinery Company.

This is the difference in concepts. European countries such as the United States will have a large office, which is spacious and comfortable, while Asian companies such as Japanese companies use as much space as possible. After all, Japanese companies had the highest housing prices in the world in the past two years. The high housing prices are completely incomparable to the island countries of the past two years.

At this time, Sony is also trying to reduce office expenses, and even their record of recruiting new employees every year will be suspended. They can only guarantee that there will be no layoffs this year.

Large companies in island countries have a very interesting rule, which is somewhat similar to the restructured state-owned enterprises of our later generations. After the first contract exceeds ten years, the second contract will be for life, until you retire. As long as you don't make serious mistakes at work, you will never be fired.

Moreover, there is a tradition in companies like theirs. After getting married, the salary of male employees will generally nearly double. The reason is to support you and your family so that your wife can take care of the family full time at home. If you still use family as an excuse to not do well, If you work, they can fire you.

What will they do if the economy is bad? The first one is to fire "temporary workers", which are employees who do not have lifetime contracts. Most of them are foreign employees. Among the foreign employees, the majority are Chinese. Second, make an emotional speech to explain the company's plight, and ask employees to resign. They will also pay a reasonable compensation. Aiwa used this trick to fire employees in 1987. It cost more than 3,000 yuan. The number of people turned into a thousand.

Feng Yu and others sat down, and Norixiong Dahe asked someone to bring tea. Then he said: "Mr. Feng, before we talk, I want to hear how much you know about aiwa."

Feng Yu gave an overview of what he knew, but of course he did not say that aiwa would achieve extraordinary achievements in two years. Let’s just say that aiwa has a glorious history. He hopes to lead aiwa out of the predicament and share a bright future.

Norio Ohga frowned and led? Does this Chinese want to be the president of aiwa? But according to their contract between Sony and aiwa, although Sony holds more than 50% of the equity, it is only a shareholding. The president of aiwa is Hajime Yagyu, who has independent management rights.

Hearing Norio Ohga's explanation, Feng Yu frowned deliberately: "Is that so? Aren't you the controlling shareholder of aiwa?"

"No, we only hold a little over 61/5 of the shares. We can't call it an absolute controlling stake. However, the president of aiwa is very capable, so Mr. Feng doesn't have to worry about losing money after buying it."

"Really? Why did I hear that it was under his leadership that Aiwa gradually declined, and now it seems that it still has billions of yen in debt?" Feng Yu asked back.

Norio Ohga was a little embarrassed, but he didn't expect that Feng Yu also knew about it. That's right. Although aiwa's operations have improved somewhat, it still has high debts. A company's liabilities are several times the company's market value. This is really hard to believe that they can tide over the difficulties.

If it were not for market considerations, Sony would have withdrawn its investment long ago. But Yagyu Hao threatened him at the beginning. If Sony did not inject capital, then they would find Songxia and other companies to inject capital. The agreement between them to jointly monopolize the market would naturally be invalidated!

"Mr. Feng. There are two other banks that hold about 6% of aiwa's shares. Together with our shares, it can reach 67%. You will be able to fully control this company. When the time comes, You can run it how you want to run it.”

Feng Yu then showed a satisfied look and continued to ask: "So Mr. Dahe agreed to sell aiwa's shares to me?"

Norio Ohga said with some embarrassment: "Before we talk about this, I want to talk to Mr. Feng about another thing. Since Mr. Feng likes to use Walkmans, which company do you think makes the best Walkmans in the world? ? Do you have any good Walkmans in China?"

I wipe. You are so shameless, do you want me to praise you

In my previous life, I heard that even when selling brands, many companies firmly believed that their own brands were the best, but it was just temporarily unsatisfactory. If the other party didn't praise them, they would not even sell them. For example, at Volvo, they just said "i lve yu" at the beginning. Agree to sell to Geely.

Feng Yu didn't expect that the islanders would be like this, but in fact, the Walkman currently recognized as having the best sound quality is Aiwa, followed by Sony.

Feng Yu said against his will: "Sony is first, and aiwa may be in the top three. As for our country, there is currently nothing of good quality."

Because China was involved in preventing espionage, the tape recorder was just a playback machine at first and had no recording button at all. Now that conditions have been relaxed, small devices such as Walkmans still cannot be equipped with recording functions. As for voice recorders, they are professional tools that can only be obtained by national security and other departments!

"Mr. Feng, I don't mean to disparage you China, but currently Sony and aiwa are indeed the best Walkman brands in the world. We Sony and aiwa have an agreement, market alliance, healthy competition, and exclude brands such as Songxia from the Walkman market." Outside the market. So before we sell aiwa shares to you, we hope to renew this contract with you!"

Renew alliance agreement? Feng Yu couldn't be happier. If Sony really uses money to grab the market, although Sony will lose more, aiwa will be completely ruined.

There is still a big gap between Feng Yu's current funds and the giant Sony. Didn't you think that if Sony only united with aiwa, it would be able to compete with many large electronic companies such as Songxia and Sharp and gain the upper hand

At present, the Walkman market is divided into three parts, with Sony, the leader, occupying about 40% of the market share, Aiwa, the second player, occupying about 30%, and other companies occupy the other 30%.

"Brand alliance, this, okay, I can agree. Does Mr. Dahe have any other questions? Can we talk about the purchase price?" Feng Yu pretended to hesitate for a moment, and then readily agreed. Just kidding, you would be stupid not to agree.

After waiting two years, Sony will regret it, because the Walkman market is no longer divided into three parts, but aiwa is the only one, occupying more than 50% of the market share!

"For US$20 million, I can convince the shareholders to sell you all the shares held by Sony in aiwa."

Twenty million dollars? Damn, I really don’t think I know the market value of aiwa. Feng Yu can accept a premium, but he will never accept a premium of more than three times!

"Mr. Oga, aiwa's current debt is not low. If you remove the debt for me, I can accept US$20 million. The market value of aiwa is less than 1.2 billion yen. How did you calculate US$20 million? ?If the debt is also counted on me, then five million US dollars is the highest price I can pay!"

According to the share ratio, Sony's aiwa debt exceeded 15 million US dollars, and the shares were worth nearly 6 million US dollars. Feng Yu also bargained hard.

Norio Ohga smiled awkwardly: "Mr. Feng, we absolutely cannot bear the debt, and our company is under great financial pressure, but five million US dollars is too low, and we cannot accept it under any circumstances below the stock price of aiwa. How about ten million dollars? I can convince the shareholders to sign a contract with you as quickly as possible."

"Mr. Dahe, can you really guarantee that you will convince shareholders?"

"I guarantee there will be no problem." Oh Norihiro thought, you have no idea how much the shareholders want to get rid of these non-performing assets. When I proposed the acquisition and second injection of capital into aiwa, I lost money year after year and was scolded by those shareholders.

"Then I'll add a little more, six million dollars."

One of them really wanted to buy, the other had long wanted to sell, and the negotiation went extremely smoothly. In less than an hour, the final price was set at $7.2 million.

The premium is a little more than 20%, but compared with aiwa's fierce earning power in the past two years, Feng Yu has made a lot of money! To be continued.

p: The third update is here. Thank you to Mr. Liu Hua and Onimu Dai for the reward. Thank you for your monthly pass after watching the pirated version for 8 years. If you are a book lover, you can check out the works of Mr. Liu Hua. He is an old author in our group. His books have always been read by the fourth child.