When the two sides met on the first day, they of course talked about the weather and customs. It was impossible for them to talk about cooperation directly.
For a small city like Yuezhou, there are almost no "foreign merchants" who take the initiative to come and seek purchase matters. The only major exporters are Yuezhou Yellow Wine Factory and Jingwei Factory, which mostly export to Japan.
Bao Yong had no negotiation experience, nor did Cai Hongjun and Gu Wei. They were actually in a mess right now, as the surprise came too suddenly.
Therefore, they need to report to their superiors after returning and let their superiors set the tone for the negotiations. Otherwise, they will act on their own and be labeled as unorganized and undisciplined, which will be scary.
It has to be said that the thinking of cadres in this era is still relatively rigid.
After Bao Yong and his team returned, they went straight to the region to report to Zhang Hongbo, the deputy commissioner in charge of medicine and health.
Zhang Hongbo had met Chen Shuqin in Hong Kong. The seafood dinner that day made him "witness" the "strength" of the Chen family in Hong Kong, so he immediately believed in their sincerity in this cooperation.
But Deputy Commissioner Zhang was not the highest leader, so he reported to Commissioner Han Dingze and Secretary Li Bingquan.
As a result, this small business deal caused chaos in the entire area.
The leaders held meetings overnight to discuss, set up the venue, and prepare for the reception. In short, they wanted to make the event as grand as possible and make sure the Hong Kong compatriots could feel the warmth of the people of the motherland.
The next day, Chen Shuqin and Lin Hui were invited to the Longshan Hotel, the best hotel in Yuezhou City.
Then Li Bingquan, Han Dingze and Zhang Hongbo personally came out to receive the two Hong Kong businessmen. Even Bao Yong and Chen Xia could only stand by and watch the fun.
The regional leaders’ idea is very simple: I have tried my best to receive you, so how can you just leave without leaving some orders?
Chen Shuqin was also a little overwhelmed. It was originally a very simple business negotiation, not even a negotiation, at most a commodity purchase, so how did it become so grand?
But she is also a seasoned professional, and is very familiar with this kind of social interaction.
It's nothing more than expressing how, as a fellow Hong Konger, I care about the motherland and how I am willing to make my own contribution to the peaceful reunification and prosperity of the motherland, blah blah.
The standard 7 o'clock news format.
After the meeting, Secretary Li Bingquan specially called Chen Xia over and patted him on the shoulder in front of many officials.
"You are a great young man who has made contributions to our country. Keep up the good work and achieve even greater success."
These words left most of the cadres bewildered. They couldn't understand why a small section chief from the Fourth Hospital was joining in the fun, and they couldn't understand why Secretary Li would go out of his way to care for and encourage him.
Only a few cadres present understood that this pharmaceutical factory, this 666 Weitai, was clearly the private property of this "young man".
The fact that foreign investors were attracted this time was also the credit of this "young man", so Secretary Li encouraged him in front of everyone and also meant to stand up for him.
Of course, the real negotiations were conducted by Yuezhou Pharmaceutical Company and Xiangjiang Pumpkin Vine Pharmaceutical Company.
In fact, what can be discussed is nothing more than a matter of price. At this time, Chen Xia was sitting at the negotiating table in a formal manner, and he happened to be the "opponent" of his aunt.
Bao Yong was really excited. Originally, the Qingfeng branch was just his stroke of genius, but it solved the embarrassing situation of the pharmaceutical company's losses. Now it even attracted foreign investors. He was really proud of himself.
Manager Bao, beaming with joy, spoke first: "Manager Chen, do you have any requirements for this purchase?"
Chen Shuqin had already discussed with Chen Xia last night that the purchase price this time should not be too expensive, nor too low, just around RMB 5.
Firstly, doing so would give face to the Yuezhou region. Although the price could be negotiated at a very low level, it would easily give people the impression of taking advantage of the situation. "Pumpkin Vine Company" would be expanding into the mainland in the future, so it couldn't be too ugly.
The second price cannot be too high either. The current exchange rate is too bad, and Pumpkin Vine must always ensure its own profit.
"Manager Bao, this is what I think. Your wholesale price of 666 Weitai in mainland China is 5 yuan per pill. At the current exchange rate, that's equivalent to 3.3 US dollars, or about 26 Hong Kong dollars. This price is really too high."
In 1982, the exchange rate of RMB to USD was about 1:1.5, but this was only the bank's listed price, which had a great negative impact on foreign trade transactions. Therefore, another settlement system was later implemented, and the exchange rate was about 1:2.7.
But even at this exchange rate, it's still pretty bad.
Manager Bao nodded. "So, what's the price you're willing to pay?"
Chen Shuqin glanced at her notes. "Our suggestion is to set the exchange rate at 1:3, meaning one Sanliu Weitai pill would be US$1.6, or HK$12.5. What do you think, Mr. Bao?"
What else could he do? His superiors had set a psychological bottom line of US$1 per pill, or around HK$7.8. Now that Xiangjiang had offered him such a high price, what else could he do?
Of course I agreed to her.
The price is 60% higher than the leader's expectation. Wow, this is a political achievement and Bao Yong's negotiation ability.
The two sides quickly agreed on the price.
As for the quantity, the initial plan is to purchase 60,000 pieces per month, and then increase it based on sales. The price remains the same, and the contract is signed for one year.
60,000 tablets of Sanliu Weitai are equivalent to 750,000 Hong Kong dollars, which means at least 9 million Hong Kong dollars that year, and it may increase in the future.
The leaders of the pharmaceutical company were grinning from ear to ear.
After reporting to the region, Secretary Li and Commissioner Han were also quite satisfied. Everyone was happy and the contract was formally signed.
In fact, for this export, Chen Xia guaranteed that he could get a price of RMB 3.5 per piece, while the pharmaceutical company only made RMB 0.8.
But that’s not how it’s calculated. They earned 9 million Hong Kong dollars in foreign exchange for the country, and that’s their contribution.
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