Regarding mobile phone accessories, Lu Feng was also worried that his prices were too low and that some people would hoard them in large quantities, so he always controlled the shipment volume.
Since February, Zhu Lidong has communicated with the municipal government several times, hoping to stimulate a number of small and micro enterprises or small workshops through subsidies.
Lu Feng also attended several meetings and shared his thoughts. The city officials said that the current production processes were substandard and the barriers to entry for various production lines were too high, making it impossible for the market environment Lu Feng envisioned to emerge.
Lu Feng felt helpless in the face of such an answer.
After returning home and pondering for a few days, Lu Feng decided to let the government promote this matter. He contacted the Science and Technology Commission and explained his thoughts. He believed that the government's subsidies for chip research and development were a waste of money, and that this model was unsustainable and ineffective.
In the letter, Lu Feng also made a proposal regarding the National Integrated Circuit Industry Investment Fund for Semiconductors, focusing on the construction of mobile signal towers. He argued that landline phones represent a phase in the development of the times, and we should skip landline phones and move directly to mobile communications to achieve a leapfrog development.
After the letter was sent out, Lu Feng put in a lot of effort to get the Science and Technology Commission to push it to the Ministry of Machinery. As the matter began to be discussed internally, various opinions emerged. Lu Feng later went to Beijing several times and finally pushed for its implementation in 1997.
The process was arduous and difficult, so I won't go into details here (I dare not).
Lu Feng knew that without the government's intervention, it would be impossible for some companies to grow their market size on their own. If he wanted to change the course of history, he had to persuade the government to start large-scale infrastructure construction ahead of schedule. But where would the money come from?
Lu Feng already knew that the chip subsidy was a failure, so he simply stopped subsidizing it and used the money to invest in signal towers, which brought him a lot of abuse and attacks.
In London's futures market, everything opened normally that day. A dozen minutes later, the price of tungsten began to strengthen. The short sellers sensed something was wrong and immediately put down orders to suppress the price. However, the long position seemed very strong, slowly pushing the price up little by little, and no matter how many orders were put down, they were all absorbed.
Tungsten trading volume is relatively small in commodity futures trading, and this sudden influx of funds has already attracted the attention of Wall Street and European financial institutions.
People from several exchanges roughly calculated that at least hundreds of millions of US dollars were invested in tungsten mining in just one morning.
Futures, in essence, are orders, future orders. To give a simple example, consider real estate futures. If you are a developer and are worried that there won't be any buyers after the buildings are completed, you can place an order on a platform. Even if you don't have a construction team right now, you can still place an order and deliver the goods after the buildings are completed.
There will be a lot of fluctuations between the time you place an order and the time you take delivery. You think the house will appreciate in price, so you buy it. After you buy it, news comes out that the area has the best schools, the best hospitals, and the best commercial plazas. When you bought it, it was 11,000 yuan per square meter, but now it has risen to 100,000 yuan per square meter. You take the contract in your hand and sell it directly, making a profit of 1,000%!
What is emptiness?
Let's take houses as an example again. If a square meter in your neighborhood costs 100,000 yuan, and you want to sell your house, you'll find that you can't sell it at 100,000 yuan per square meter. You'll feel that there's a problem with the market, that there's a bubble.
For example, the real estate market is not doing well (just for example).
You borrowed contracts from some apartments in your neighborhood, promising to return them in 30 days with a monthly interest rate of 5%. After receiving the contracts, you immediately sold them at low prices, charging 80,000 yuan per square meter, 60,000 yuan per square meter, and 50,000 yuan per square meter respectively. When people in your neighborhood saw the housing prices drop so quickly, they quickly joined the ranks of those selling their apartments.
Meanwhile, news spread that the school district for this neighborhood was about to be gone, and everyone was scrambling to sell, with prices soaring to 20,000 yuan per square meter a month later.
You bought back the house you sold earlier for 20,000 yuan per square meter, and also gave the owners of your community an additional 5% interest. This is called empty.
What is meant by "market manipulation"?
When developers sell houses but no one buys them, they hire a bunch of people to scramble for them. Out of ten people, you are the only real homeowner. The next day, they announce a price increase, and then they raise the price every few days. People see the prices getting more and more outrageous and can't resist buying them. That's called market manipulation.
What is margin trading?
Margin trading is when you don't have enough money to buy a house, so you borrow money from a bank. This is margin trading. The futures market is basically a place where people enter with high leverage.
What are chives?
Okay, enough with the simple explanation, let's get back to the main topic.
Jiafeng's finance manager opened accounts for Lu Feng and his group, using 50% leverage to buy tungsten. Futures traders in London and Wall Street were puzzled by the fluctuations in tungsten prices. Tungsten production is relatively concentrated and its prices have been stable for many years. There must be a reason behind such a large-scale purchase that they did not know.
Record the situation immediately and report it to higher authorities.
In South Africa, Ma Wanjun sat silently in his office, watching several groups of people smoking. These groups all claimed to be fund managers from Wall Street investment banks.
"We want to know if production has stopped, when it will resume, what the tungsten ore shortage is during this period, and whether production capacity will be expanded after production resumes?"
"A large batch of tungsten futures will be delivered within three months. Are you taking any action in the futures market?"
The other party kept throwing out questions: Do you have any stock? Will the price increase?
"I'll say it again, we are just tungsten ore producers, not involved in the futures trading of finished tungsten products, and we have no obligation to answer your questions!" Ma Wanjun stared at them and said, "Get out of here right now!"
The three teams were ushered out. One of the fund managers cleverly took out a wad of US dollars from his bag and quietly slipped it into Ma Wanjun's pocket, asking in a low voice, "Just tell me, can production resume within three months? Please!"
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