Next are the three companies under Zhao Yi that are ubiquitous and have a weak presence, namely human resources companies, accounting firms and law firms.
First of all, Li Shangsi from the human resources company said: "Due to the rapid expansion of brother companies in recent years, our company's business has also increased sharply. Especially in 1981, because many companies were start-ups and needed a lot of qualified talents, the total number of brother companies was Recruiting more than 200,000 employees, with a total turnover of 50 million yuan and a profit of 15 million yuan.
The international business expanded rapidly due to the acquisition of the four largest headhunting companies, which also helped its own business expansion. The total turnover was US$5 billion, and the profit attributable to the company was US$1 billion. After calculating the acquisition costs, the loss was 2 billion US dollars.
In 1982, due to textile companies and apparel companies, domestic business volume increased significantly. A total of 3 million employees were recruited, with a total turnover of 150 million yuan and a profit of 20 million yuan. The decrease in turnover per person was due to the recruitment of textile companies and apparel companies. The personnel requirements are lower and the single cost is reduced.
In terms of international business, as we have successively acquired or invested in some human resources companies, in addition to natural growth, our turnover has also been improved in this area. The total turnover is 10 billion US dollars, and the profit attributable to the company is 25 US$200 million, after calculating acquisition costs, the profit was US$200 million.
Calculating the two-year operating performance, the overall profit was US$50 million. The above is the overall situation of our company. In the future, we will only acquire companies with real potential. The overall situation will remain stable and the scale of profits will continue to increase. "
Human resources companies in China are basically doing the business of brother companies. Domestic enterprises are still mainly state-owned enterprises, and their human resources are generally not outsourced to private companies.
Many people are determined to join state-owned enterprises. They don’t have to worry about finding people. Senior talents can also be transferred within the system, and there is no need for human resources companies to poach people. For them, transferring within the system is better than poaching people. It's too easy.
The international expansion of the human resources company has gone smoothly, and it is not easy to turn a loss into a profit within two years. Its performance will become higher and higher as staff turnover accelerates in the future.
Compared with human resources companies, the performance of accounting firms is very impressive. Liu Yang said: "In 1981, domestic sister companies provided a turnover of 200 million yuan. In addition to providing daily accounting services, there were also Audit services twice a year.
In addition to brother companies, it has also received audit cooperation from large domestic state-owned enterprises. The operating income is 100 million yuan, the total turnover is 300 million yuan, and the profit is 100 million yuan, of which the majority comes from audit service fees.
International revenue was due to acquisitions. In 1981, the turnover was US$30 billion, and the profit attributable to the company was US$6 billion. Calculating the acquisition costs, the annual loss was US$10 billion.
In 1982, the increase in domestic business was not large, with overall revenue of 350 million yuan and profit of 120 million yuan. However, the increase in international business was rapid, with annual turnover of US$50 billion and profit attributable to the company of US$10 billion. Calculating acquisition costs, the annual profit $9 billion.
Calculated over two years combined, the overall loss was US$1 billion. Since subsequent acquisitions will gradually slow down, we are confident that we will turn a profit in 1983 and make a large profit. "
Although accounting firms are still losing money overall, their improvement trend is obvious. The reason why they lost so much in 1981 is because they made large-scale acquisitions internationally that year, and the acquisitions were all leading accounting firms. , and later acquired some smaller firms with potential in 1982, which made massive profits that year.
Zhao Yi is confident that their turnover will reach at least 80 billion U.S. dollars in 1983, and the profit level will reach about 20%. The estimated profit is about 16 billion U.S. dollars.
As for the domestic ones, forget it. State-owned enterprises generally have no awareness of hiring accountants for audits. The private economy is still dominated by self-employed people. Except for Zhao Yi's company, there is no large-scale private enterprise, so they don't need to hire an accounting firm. Conduct an audit.
According to the experience of previous lives, it will take 2000 or later for the domestic performance of accounting firms to improve. Even if Zhao Yi's existence accelerates domestic economic development, it is expected to be after 90 years.
Zuo Xiaoming from the law firm continued: "In 1981, the firm's domestic turnover was 50 million yuan and profit was 10 million yuan. The main business came from company registration and domestic patent and international patent registration. It was basically a brother company. Provides a lot of business.
Due to large-scale acquisitions, the international business has a turnover of 40 billion U.S. dollars. Many firms hold small shares, so the profit attributable to the company is only 2 billion U.S. dollars. When combined with costs, the loss is 3 billion U.S. dollars.
Like human resources companies and accounting firms, we slowed down the pace of acquisitions in 1982 and only acquired small potential firms. The annual turnover was US$65 billion and the profit attributable to the company was US$4 billion. Calculating the acquisition costs, Profit was $2 billion.
The overall loss was US$1 billion. We are confident that we will turn a profit by the end of this year. "
Law firms are different from the other two. Their particularity lies in the fact that many of the founders of law firms have complex relationships that cannot be fully grasped. Many well-known law firms mainly invest in shares, generally around 30%. , only some potentially small law firms have reached the shareholding ratio.
In fact, Zhao Yi does not expect the law firm to bring him large-scale profits. The main reason is that the personal connections in various countries are the most important, which will reduce the local operating troubles of his own companies.
After listening to Zuo Xiaoming's report, Zhao Yi turned his attention to Jia Siqi and said, "Tell me about the situation of the trading company. Your business is complicated and needs to be discussed carefully."
Hearing Zhao Yi's words, Jia Siqi picked up her notebook and said while reading: "In 1981, our business was relatively simple, which was to serve semiconductor companies and software companies and help them develop international markets. This part of the business had a turnover of US$100 million. Then this year we carried out large-scale acquisitions, with a total cost of 90 billion US dollars. The company's profit for the year was 10 billion US dollars, and the net loss was 80 billion US dollars.
In 1982, our own services experienced large-scale expansion. This was due to the rapid business development of sister companies that year, such as software companies, semiconductor companies, Polaris companies, agricultural and animal husbandry companies, etc., with a turnover of 10 billion. Yuan, most of which comes from agricultural and animal husbandry companies.
Because we need full agency for agricultural and animal husbandry companies and Polaris companies, the charging ratio is higher, 20%. For software companies and semiconductor companies, the charging ratio is 15%. This is determined by the nature of their business. The simpler the target customers and the more monopolistic they are, the lower our charges will be, and on the contrary, the higher they will be.
International business mainly comes from companies such as retail department stores and supermarkets that we have acquired or invested in, as well as our own retail networks established in Southeast Asia and third world countries. The total turnover of these assets is US$2 trillion, and the turnover attributable to the company is US$600 billion. , the profit attributable to the company was US$120 billion, but during this year we continued to penetrate the global retail industry, consuming US$50 billion of funds and making a profit of US$70 billion.
Calculated over the two years together, the loss was US$4.5 billion. Some of the emerging retail companies we have acquired have great potential, and our shareholding ratio in these companies is very high, and we even have absolute control. The trading company has only 500 domestic employees. The employees in other countries and regions are mainly self-established retail channels, with a headcount of 20,000, mainly distributed in Southeast Asia, Hong Kong and Taiwan. "
The retail industry is an industry with low profit margins but huge scale. In 1981, it invested huge sums of money to acquire or take shares in retail companies all over the world, resulting in huge losses. This is Zhao Yiqian's fever. It is impossible for ordinary people to have so many It is difficult for even the world's largest consortiums to carry out acquisitions with cash. Although their industry is huge, it does not mean that they also have such huge cash.
Trading companies will invest funds into this industry every year in the future and continue to penetrate. The goal is to form an unshakable position in the world and become the absolute overlord in this field. The current turnover is too small compared to the global turnover of more than ten trillion US dollars. It is best to reach more than half, so that no matter what happens, other countries will not shake the status of trading companies in this industry.
Moreover, it is best to complete most of these penetration activities in the 1980s, because their valuations are generally not very high at this time, and the US dollar is still relatively valuable at this time. After the 1990s, their valuation will increase a lot, and it is still unclear whether their own funds can support this plan.
Fortunately, the trading company's own funds can achieve a virtuous cycle and use most of its own profits every year to carry out this plan. (End of chapter)