On the other hand, Li Ka-shing launched a large-scale fundraising campaign, donating $20 million to the police and expressing his gratitude for their killing of Zhang Shiqiang and his gang of lawless thugs.
On the way back, Li Ka-shing asked, "Ze Kai, how are our sand and cement sales?"
During this period, Li Ka-shing's attention was entirely focused on Zhang Shiqiang and his group, and he was not very familiar with the company's situation.
Li Zekai said with a wry smile, "Even though we have lowered the price to a level lower than Chen Dong's, no one is buying our sand and cement."
Li Ka-shing asked, "Where is Shen Dong?"
Li Zekai said, "All the major companies are buying his stuff. No matter how much is brought in, they will take it away according to their respective proportions. Also, the Hong Kong Island Real Estate Association that Shen Dong is running is becoming more and more powerful. Apart from us, the Guo family, the Li family, and the Zheng family, almost all other medium and large-sized real estate companies in Hong Kong Island have joined in. Father, if this continues, Hong Kong Island will become their domain."
Li Ka-shing let out a long sigh and said, "What a remarkable Shen Dong! We all underestimated him."
Li Zekai said, "Dad, Shen Dong has gone too far. We have to teach him a lesson."
Li Ka-shing asked, "What are you planning to do?"
Li Zekai said, "Shen Dong owns many KTVs, dance halls, and nightclubs, none of which are clean. We can use our connections with the police to prevent him from doing business. Especially that Bihai Nightclub, which has a turnover of several million every night. If we can take it down, Shen Dong's cash flow may be in trouble."
Li Ka-shing shook his head and said, "Such petty squabbles won't have much of an impact on Shen Dong. If we're going to fight, we need to strike at his weak point and kill him with one blow."
As an entrepreneur who has navigated the business world for decades, Li Ka-shing's wisdom is beyond the reach of ordinary people.
The solution Li Zekai came up with was at best the trick of a third-rate businessman, and Li Ka-shing didn't even bother with it.
Li Zekai asked, "Dad, where do you think Shen Dong's weakness lies?"
Li Ka-shing said, "Shen Dong's business is too diversified. He's not only involved in real estate, but also in investment, ports, taxis, instant noodles, clothing, hotels, KTVs, and so on. I heard he's planning to start a bicycle company and a beverage company in Shenzhen. His business layout is just too messy. If one of them has a problem, the others will follow suit."
"You're absolutely right to target Chen Dong's cash flow. Once his cash flow is cut off, all his businesses will go under. A mere Bihai Nightclub won't bring him down."
Li Zekai pondered for a moment and said, "Dad, I heard that Shen Dong recently mortgaged many of his properties to the bank and got a loan of 300 million US dollars."
Li Ka-shing frowned and asked, "What does he plan to do with these three hundred million US dollars?"
Li Zekai shook his head and said, "I'm not quite sure."
Li Ka-shing said, "Shen Dong appears humble, polite, and composed on the surface, but in reality, he is arrogant and eager for quick success. To defeat him, we only need to grasp one word."
Li Zekai quickly asked, "Which word?"
Li Ka-shing said, "Wait. Wait for him to make a mistake, wait for him to expose his weaknesses. In the business world, patience is the most important thing. Either don't make a move, or when you do, it must be decisive."
Li Zekai nodded and said, "I understand. Dad, what about our building materials? At the rate that Chen Dong is going to make a living, Hong Kong Island will be saturated with building materials in at most another week."
Li Ka-shing said in a deep voice, "Sell it directly at cost price."
Li Zekai's expression changed, and he said, "This...this..."
Li Ka-shing said, "Don't worry about temporary wins and losses; we need to look to the future. It's just a few tens of millions of Hong Kong dollars; we can afford to lose that. If Shen Dong wants to establish his position in Hong Kong Island based on building materials, he can forget about it."
Li Zekai said, "I'll release the news as soon as I get to the company."
Soon, news of Li Ka-shing selling building materials at a loss spread throughout the Hong Kong real estate industry.
"It's too cheap."
"One ton of cement costs six hundred Hong Kong dollars, and one ton of sand costs eighty Hong Kong dollars. It seems that Li Ka-shing has no other choice."
"This is a price war with Chairman Shen."
"President Shen is really something, he actually pushed Li Ka-shing to this point."
"I wonder what price Chairman Shen will offer."
......
The biggest impact of this price announcement will undoubtedly be on Shen Dong and his Hong Kong Island Real Estate Association.
Cheng Qingquan arrived at Tengfei Real Estate Company and met Shen Dong.
"Ah Dong, things are getting a little unstable within the association."
Shen Dong laughed and said, "Old Cheng, is it because everyone is getting restless seeing Li Ka-shing's building materials prices so low?"
Cheng Qingquan nodded and said, "That's right."
Shen Dong said, "That's normal. Everyone is driven by profit. Li Ka-shing didn't want to be stuck with building materials, so he had no choice but to lower the price to cost. Unfortunately, his cost price was still too high."
"Mr. Cheng, please tell them that my building material prices will only be lower than Li Ka-shing's. I will announce the prices once the Hong Kong Island market is saturated."
"But anyone who dares to purchase Li Ka-shing's building materials without the association's consent should not blame me for being rude to them."
Cheng Qingquan asked, "You won't lose money, will you?"
Shen Dong smiled and said, "Don't worry, I won't compensate you."
The dispute over building materials was the first major undertaking initiated by Shen Dong as the president of the Hong Kong Island Real Estate Association; success was the only option, failure was not an option.
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