Chapter 238 Making Money: I Recommend Suzhou Industrial Park
The answer is, of course, not enough.
Land prices were indeed cheap in 1994, but construction costs were not. The Shanghai Jin Mao Tower, which also started construction in 1994, cost 5 billion yuan to build.
Now, they need to spend money to build the fish market in Shanghai, and they also need to burn money on the commercial building in Jinning. Oh, and there's also the ancestral oil and gas field project on Sakhalin Island that's burning money, as well as the LCD screen project that hasn't even been built yet.
Oh, and they also want to participate in the privatization of large Russian state-owned enterprises.
No matter how much money a family can make, it can't afford to burn through money like this.
If you acquire the land, hoard it, and develop it slowly, moving a hundred or two hundred acres a year, that shouldn't be a problem.
Developing 1,500 acres of land over 20 years is a very leisurely approach.
But if all projects were to start together, the pressure would be immense.
Ivanov once again felt the pressure they faced when they took on the Sakhalin Island oil and gas field project, and the pressure was even greater now.
However, on the surface, as Russian tycoons, God knows who gave the world the illusion that the Soviet Union's wealth was completely devoured by this group of nouveau riche.
Oh well, since everyone believes he's super rich, he has to stick to it.
How to raise funds for development after acquiring the land is a matter for later; for now, let's focus on getting the land first.
So at the banquet that evening, he acted with exceptional nonchalance, almost as if he were walking gold.
Wang Xiao didn't seem to be worried about where the money would come from.
Once she was seated at the table, she focused intently on enjoying her meal.
General Manager Hu introduced with a smile: "General Manager Wang and Mr. Ivanov are both very knowledgeable and have tasted all kinds of delicacies. Today, let's not be shy and have some local Shanghai dishes to eat authentically. Come, come, try this braised fish slices."
Zhang Junfei thought to himself, "The leader is really confident. The braised fish slices are clearly from Shandong, but General Manager Hu makes it sound like a traditional Shanghai dish."
Wang Xiao smiled and picked up a slice of fish with her chopsticks. After tasting it, she praised it highly: "That's why I especially admire Shanghai's spirit of adapting to local conditions. Shandong uses carp to make braised fish slices, but Hu Limei, the first generation of female chefs who went out of Shanghai to make state banquets, changed it to use yellow croaker, which became another specialty."
Mr. Hu laughed heartily: "Mr. Wang is truly knowledgeable. I didn't even know that my great-aunt created this dish."
"That's because you put your energy into your work," Wang Xiao flattered him. "Unlike me, I spend my energy on my mouth; I love to talk and I love to eat."
Zhang Junfei was still in shock.
He seriously suspected that there was nothing in the world that the boss didn't know.
Even a cold dish on the table, roasted gluten, was used by the owner to flatter Shanghai.
It is said that during the late Qing Dynasty and early Republican era, the textile industry in Shanghai and its surrounding areas was highly developed. One step in the weaving process was called "sizing," which required a large amount of starch.
Due to the limitations of the era, textile factories at the time had difficulty purchasing satisfactory industrial starch and had to make their own using flour. As a result, gluten, a byproduct of starch production, was fully utilized by the locals to create the unique delicacy of roasted gluten.
It is evident that by making full use of all available resources, one can even create a grand temple within a tiny confines.
Zhang Junfei was completely numb from listening.
He just didn't understand. Did the boss have 48 hours in a day? Where did she get the American time to keep track of all this?
Or perhaps she actually has two heads?
Well, Manager Zhang is really overthinking it.
In fact, Wang Xiao knew all this because her first real pot of gold came from selling restaurant recipes.
Back then, she heard a lot of stories about the industry from the people in the kitchen.
As a former internet celebrity and livestreamer, she had long since mastered the skill of receiving interesting little stories at any time, memorizing them, and then readily sharing them with her audience.
Honestly, you can't blame her for being quick-tongued; it's purely a professional instinct.
Ivanov initially listened attentively to the translation, ready to step forward and play his part at any moment, but later he simply gave up, because he felt that every word the king spoke had a metaphor.
But Chinese culture is too profound and complex for him to understand.
Why not just enjoy some braised pork belly?
My God, why does such a wonderfully delicious food exist in the world? It's so sweet, soft, and melts in your mouth.
Honestly, he thought this tasted better than the bear paw dish made by the chef.
Over dinner, while eating at a restaurant, the conversation drifted to the overall planning of the science park development zone.
Wang Xiao strongly suggested that the resettlement housing area for relocated households be separated from the land plots for commercial housing.
She said, "It's not that people are divided into different classes, but that people from different places have different lifestyles. People who buy apartments might value their privacy more, have stronger boundaries, and don't like others paying too much attention to them and their families. But in the village, there are no secrets at all. My uncle was a sent-down youth, and he settled down in the village. When I was a child, as soon as I went to the village, wow! In just one day, I knew everything that happened in every single household in the village."
Laughter immediately erupted at the dinner table. There are no secrets in the village; everyone has the eyes of the entire village watching them.
Vice President Zhao retorted, "I don't agree with that. Since you're from a big factory, how could you not know that there are no secrets in the family quarters?"
Wang Xiao smiled and didn't deny it outright. Instead, she nodded and said, "Yes, that's what collectivism and traditional clan-based living have in common. The sense of individual presence is minimized. There are no secrets in the residential areas of large factories, but the employees of large factories don't buy houses. Why can't houses in downtown Shanghai be sold in Puxi? Because everyone's houses are allocated by their work units. You can't expect to sell the high-end residences built in the science park to them."
Her smile deepened. "It's a high-end residence, after all. The residents have the same requirements as high-ranking officials; they don't like to be disturbed."
Vice President Zhao was probably still drunk from lunch and hadn't sobered up yet, because he blurted out, "That capitalist system even has rich areas and slums."
Wang Xiao smiled without saying a word, and just drank Lulu.
I must say, once you get hooked on this almond milk, it tastes absolutely delicious.
Section Chief Fang was so angry he wished he could dig a hole and crawl into it.
It's not the wolf-like opponents I fear, but the pig-like teammates.
Didn't you hear that Ms. Wang no longer uses international metropolises like Tokyo as examples? She only uses the domestic situation to illustrate her point. Why does she insist on bringing up rich areas and slums? Is she trying to say that the detached houses and compounds of China's top leaders are rich areas, while factory residential areas, shantytowns, and alleys are slums?
Mr. Hu simply ignored him and spoke only to Wang Xiao: "What Mr. Wang said is indeed true. Customs vary from place to place. A close neighbor is worse than a distant relative, and it's better for neighbors to have similar lifestyles."
Wang Xiao clapped his hands, looking quite impressed: "That's why leaders are leaders; I could never say something so cultured."
Mr. Hu laughed heartily: "Mr. Wang, you're too modest. You graduated from a prestigious university, how could you be uncultured?"
Wang Xiao readily agreed: "I'm a science and engineering student, majoring in chemistry. I wasn't good at Chinese, history, politics, and geography when I was young, so I need more guidance from the leaders."
Zhang Junfei truly regretted not having a portable recorder hidden in his pocket to record everything the boss and the development zone leaders said, so he could go back and analyze it slowly.
Honestly, not a single word fell to the ground.
It made his brain almost cramp up, and he was afraid he wouldn't be able to remember it.
He became so engrossed in his meal that he forgot his responsibilities. It wasn't until everyone at the table had put down their chopsticks that he suddenly realized he should go and pay the bill.
Before he could quietly get up and leave, the young man from the development company who had come with General Manager Hu returned first. After whispering a few words to his boss, General Manager Hu shook his head and said to Wang Xiao, "Oh, General Manager Wang, how can you do this? Guests are guests, and we, the development company, are the hosts. This meal must be paid for by us no matter what."
Wang Xiao smiled and waved his hand: "No, you must save it for the next meal. I'm waiting for the next meal, Mr. Hu, you invited me to the table."
After exchanging a few more polite words, they bid each other a lively farewell.
Then they argued for ages about who should get on the bus first and who should watch who should leave first. Finally, they agreed to get on the bus together, wave goodbye, and that was the end of it.
Once in the car, Vice President Zhao began to complain: "President Hu, I certainly support your work, but I still have some opinions. One square kilometer! Such a large area of land, how could they approve it all? This is simply absurd."
General Manager Hu remained unfazed: "Can't we approve 1 square kilometer? Didn't the science park approve 1 square kilometer of land for a Canadian company back then?"
He felt really aggrieved when he talked about it.
Because the leaders of both governments were paying attention to this matter, its political significance increased dramatically, so their development company had no way to get back the 0.5 square kilometers of land that had already been approved.
He had previously flown to Canada to renegotiate with leaders of the Pudong Development Zone Management Committee, but the final result was only to raise the land price of the 0.5 square kilometers of land that had been approved from US$12 to US$23. Then they also had to help the Canadian company attract investment so that the land could be developed as soon as possible.
The only achievement they can boast about is that they removed the Canadian company's right of first refusal to lease an additional 0.5 square kilometers that was originally stipulated in the contract.
Yes, this piece of land is the extra 0.5 square kilometers that he decided to grant to Wuzhou Group today.
At least, they don't need their help in attracting investment.
Vice President Zhao became anxious: "You can't say that."
General Manager Hu had already exhausted his patience: "Alright, this matter is settled. Now there is still a big problem, which is the business development of the land acquired by the Canadian company. Vice President Zhao, you are a senior member of the company, so please put in more effort and complete the business development as soon as possible so that we can start developing this land sooner."
As he spoke, he squinted his eyes, as if he was tired and needed to rest.
Vice President Zhao wanted to speak more, but seeing this, he could only reluctantly shut his mouth.
Mr. Hu had no intention of wasting any more time on this person.
Despite following the entire process, he still couldn't grasp what made Wang Xiao, this investor, so valuable.
It wasn't that she was rich, nor that she could bring Soviet technology; or rather, neither of these were the most valuable qualities.
What makes her most valuable is that she has a plan, a plan for the entire science and technology park development zone.
Although urban planning is a very common and important matter for major international cities.
However, very few people in China have this concept, and even most local leaders do not take urban planning seriously.
Why?
On the one hand, the local economy has always been very strained. Good planning requires spending money to hire professionals, but the leaders feel that resources should be used where they are most needed and there is no need to spend money on this.
On the other hand, many cities in China are spontaneously formed, with no planning involved at all.
For example, their development zone is labeled as a science and technology park, and their goal is to attract high-tech companies to move in.
But in practice, there aren't that many choices.
Once a piece of land is designated, whatever industries can be attracted to it will be those industries.
Otherwise, without even an industry, there's no way to talk about other developments.
Over time, people have become too lazy to pay attention to planning.
But this Mr. Wang, having spent a long time abroad and seen many good things, already had a deep understanding of things subconsciously.
General Manager Hu suddenly opened his eyes again and asked Section Chief Fang, "Has General Manager Wang mentioned her work schedule for tomorrow? If she has time, please ask her to come to the company again. I'd like to have a good talk with her."
The reason he didn't go to visit them wasn't because he was too delicate to take the initiative to meet with businessmen.
Instead, all the information about the science park is in the company. If someone else goes there to discuss the park's planning with them, wouldn't that be like working in isolation?
Section Chief Fang was stunned for a moment before he realized what he meant: "I'll go back and call to ask."
Thank goodness they made a phone call to the science park, otherwise we would have been completely lost.
Ivanov was unaware that they had been booked again for tomorrow.
In fact, he couldn't hold it in any longer when everyone parted ways at the restaurant.
That farewell scene was so cheesy, it made my cheeks twitch. Only after the car started moving did he burst into laughter: "Wang, so you guys are the same."
Wang Xiao rubbed his sore cheeks and yawned: "It's all the same, the whole world is the same."
She remembered and reminded Zhang Junfei, "Go back and give the money to your brother Gao."
She hadn't realized that Xiao Gao had paid the bill when she saw Zhang Junfei busy listening to the conversation.
The cost of the meal isn't a big problem, but it's important to keep the accounts separate. The bigger the business, the more important it is to avoid mixing up public and private accounts.
Zhang Junfei was so embarrassed he wanted to dig a hole and disappear. He thanked him repeatedly, saying, "Thank you, Brother Gao. How much is it? I'll get it for you when I get back."
Xiao Gao grinned: "1500."
Even though he had eaten at many good places with the boss, he still wanted to curse the shady shop!
It's not some magnificent international hotel, just an ordinary restaurant.
The food wasn't anything fancy, just common chicken, duck, fish, and meat. There were 11 dishes and a soup in total, but not a single seafood item.
1,500? Is this the price we should have in China?
You should know that in his hometown, many people don't even earn 1,500 yuan a year.
Zhang Junfei was actually relieved: "It's cheaper here. If it were on Huanghe Road, it would be at least 5,100 yuan."
Of course, this is all thanks to not drinking. Otherwise, with a bottle of Moutai, it would be impossible to stop at 1,500 yuan.
Ah, that's the advantage of going out for business dinners with a female boss.
When the boss is powerful enough, even the client wouldn't dare to force him to drink.
Otherwise, things could get complicated. Some leading cadres particularly enjoy making things difficult for people, using trivial matters as a pretext to force people to drink alcohol, and only finding pleasure in seeing them make a fool of themselves.
Xiao Gao had no idea what Zhang Junfei was thinking. He was completely numb; well, he felt like he couldn't understand human speech anymore.
That's it? Five thousand one!
Why serve up a meal when you could just rob it?
Seeing his expression, Wang Xiao burst into laughter: "Beijing is the capital, Shanghai is the magic city, and Shanghai has its own monetary system."
Now that money was on the topic, Ivanov, who had been all smiles, was no longer laughing: "Your Majesty, developing one square kilometer of land at a time puts a lot of pressure on us. Shouldn't we proceed in phases?"
Wang Xiao rubbed his temples.
Actually, she had considered this option before.
Without a doubt, hoarding land in Pudong and waiting for land prices to rise is the investment method with the lowest cost and the highest return.
Moreover, even though the Shanghai municipal government has regulations that state the land will be reclaimed if it is not developed within a certain period, there are always ways to circumvent them. Hong Kong tycoons have already demonstrated how to hoard land.
She followed the example and was confident she could secure the land.
But she just didn't want to hoard it.
There are two kinds of people: those who value results and those who want something that is not the result.
When she was in college, a professor who owned his own company said that when he graduated, because his major was in high demand, 90% of his classmates went abroad and received excellent offers. They were high-paying jobs in high-tech companies with benefits and stock options. After working for a few years, they owned their own villas, gardens, and swimming pools in Europe and America.
Everyone knows this; this is the benefit of the times.
However, the professor and several other students did not go abroad and chose to stay in China.
It wasn't for reasons like patriotism. Back then, this kind of narrative wasn't popular, and nobody thought that working abroad was treason. They simply didn't like a life where they could see the end from the beginning.
Sure enough, these classmates later became bosses and became leaders in their respective industries.
This is why opportunities always exist, but only a minority can seize them.
People have different underlying personalities; most people seek stability, while a minority prefer to take risks.
Wang Xiao thought that there was a crazy element to her personality; she was never content with the status quo and didn't like a life that she could see the end from the beginning.
Otherwise, given her money-loving personality, she should have gone to Hong Kong to buy things now, and then immediately made a purchase before the housing prices dropped in 1997, turning around to buy a courtyard house in Beijing and an old villa in Shanghai.
Even if she finds buying a house in Hong Kong too troublesome, she can simply deposit all her money in the bank. With the current high bank interest rates, when domestic housing prices hit rock bottom in 1997 (don't doubt it, otherwise there wouldn't have been the housing reform in 1998 to reduce the stock), she could still buy tens of thousands more houses.
But she's crazy; she doesn't like this kind of stable retirement life.
She loves adventure.
So, after rubbing his temples, Wang Xiao shook his head without hesitation: "No, don't cover them, fully open them up."
Ivanov took a deep breath and had to remind his partner, "Our operation is too big."
Wang Xiao shook his head: "It's not that we're developing it alone, but rather that we're collaborating with resellers in Moscow. They believe we can help them make money, so we'll really find them a good way to do so."
Ivanov paused for a moment, then burst into laughter: "God, that's certainly a good way."
He didn't know what the science park would become in the future.
All he knew was that the land price here had risen from $12 per square meter to $80.
My God, what kind of insane rate of increase is this?
However, the prices in this city seem quite normal.
What's even crazier is that there are many people in this city who earn less than $50 a month, but its other price system allows them to live comfortably without worrying about food and drink.
What a magical land! The king called it a magical city, and he was right.
Wang Xiao shook his head, looking a little tired.
She genuinely wanted to find a way out for those involved in illegal trading. Because over 80% of her earnings came from these traders.
Money has indeed been easy to make in recent years, but this ease of making money is based on the premise that the light industry in the CIS countries has been almost completely destroyed.
Once international oil prices rise and the Russian economy recovers, the strong-willed head of state will not allow this situation to continue. The expulsion of those involved in illegal trading is a historical inevitability.
By then, if those traders want to return to China to make a living, they may not have a place in the market.
Since that's the case, she might as well make good use of her connections and get them to direct their money to Pudong. That way, when Pudong develops, they'll have a way out when they return to China.
The assistant listened to the bosses' casual conversation, hesitating for a long time before finally mustering the courage to speak during a pause in the bosses' speech: "So, will the funds that banks raise from speculators be used to buy companies?"
Good heavens! That's the problem with having such a big operation; he's constantly worried that the boss might forget they have other businesses that require investment.
Ivanov sighed, “My dear Nikita, how I wish your fears would come true. But they will not allow it; our government and bankers will not allow businesses to become worthless.”
Seeing that the atmosphere in the carriage seemed to be turning sad again, he tried to cheer himself up and changed the subject: "Hey, Wang, how are we going to develop this land in the future?"
Wang Xiao yawned: "I only have a general idea in mind, I need to refine it further."
Seriously, she really wanted to punch the wall.
Why hasn't the Suzhou Industrial Park been approved yet? Otherwise, she could have a ready-made reference.
Indeed, having visited so many cities, she considered the Suzhou Industrial Park's planning to be among the top-tier new city development plans.
What's most amazing is that they not only planned it well, but also executed it with near-perfect meticulousness.
In an era where every leader has their own idea and is prone to sudden whims, this is such a rare thing.
Unfortunately, Suzhou does not yet have an industrial park.
See, many times it's not that she doesn't want to copy ready-made answers, but that reality doesn't allow it.
She could only feel regret.
So the next day, following the invitation relayed by Section Chief Fang over the phone, she went to the Science and Technology Park Development Company again to meet with General Manager Hu. When the other party discussed the development zone planning, she unhesitatingly recommended Suzhou Industrial Park.
"Although the industrial park doesn't seem to have been approved or officially opened yet, I think it will be this year."
Why was she so sure? Because she had seen a very old drama called "Tangled Love Threads," a co-production between the two countries, filmed in 1995, set against the backdrop of Singaporean-invested enterprises in Suzhou.
This film is considered one of the most successful postcards for Suzhou's external publicity, and the newly built Suzhou Industrial Park also appears in the film.
If they could start filming in 1995, then they should have had the Suzhou Industrial Park by 1994.
Wang Xiao's reason for recommending it is quite simple: "During his Southern Tour in 1992, Deng Xiaoping mentioned that we should learn from Singapore and surpass Singapore."
"The Suzhou Industrial Park was established under the direct care of the leaders of both countries, so its status is definitely very high."
"Another point is that I really admire Singapore in terms of urban planning. They have truly made the most of limited space. Otherwise, with such a small land area, only 1/7 the size of Shanghai and 1/4 the size of Suzhou, unable to be self-sufficient in food, lacking mineral resources, and even relying on Malaysia for fresh water, it would have been impossible for Singapore to be built into what it is today."
She smiled slightly, "I think that a park planned with the participation of Singaporeans should be more mature and complete."
Just as General Manager Hu was about to speak, the noise outside started up again.
He peeked out the window, saw that it was a farmer, and didn't think much of it.
As mentioned yesterday, they've made up their minds, so they're coming to register and waiting to start working at the fish market.
I'm sure everyone has figured it out by now, and is eager to come and register so they can start work.
Unexpectedly, Section Chief Fang rushed over and knocked on the general manager's office door.
"This is bad, Mr. Hu. They don't want to go to Mr. Wang's company. They insist on coming to our development company."
Wang Xiao was taken aback. Who had instigated the farmer this time? Why did he suddenly change his mind?
————————
O(∩_∩)O When I was little, I watched a lot of Singaporean dramas. "Love's Threads" was a co-production between Singapore and Jiangsu TV, showcasing many beautiful scenes of Suzhou at the time. My earliest impression of Suzhou actually came from watching this drama. (Forgive a clueless kid like me.)
Continue read on readnovelmtl.com
