Ultimate Firepower -
Chapter 457 - 437: Stiff Legs
Chapter 457: Chapter 437: Stiff Legs
It’s not that Feng Biao lacks experience, but in the end, he still had to ask whether the business is legitimate or not, because it’s key to know if a factory of just fifty-two people can produce such sophisticated and cutting-edge missiles.
Although Teacher Mu should be trustworthy, what if Teacher Mu was deceived as well?
If it turns out to be just a shell company, wouldn’t that be a huge joke?
"Oh, the fifty-two personnel belong to our design and research institute; as for the factory, there are many more people, at least between one to two thousand."
Xu Feng hastily explained to Feng Biao, telling him that design and manufacturing are two separate systems and there is no impact.
Feng Biao whispered, "If, just hypothetically, someone is really interested in your missiles, how will you produce and deliver them?"
"That’s simple. We purchase mature components and then assemble them. If needed, our factory can switch to producing them on our own at any time."
Xu Feng didn’t say too much, but he confidently declared, "To put it plainly, it’s quite simple. The hard part is the supply chain. Anyone can do the assembly work. Anyway, we need to take it step by step, starting from design to enter the military industry and then proceed with the overall transformation. But Mr. Feng, you can rest assured that as long as we have orders, we can absolutely guarantee the production capacity."
"Hmm, and where is your factory located?"
"Our factory is in Guangzhen."
"What is your main business now?"
Xu Feng sighed softly and said, "It’s a bit embarrassing. Our 1234 Institute used to research infrared seeker heads for air-to-air missile guidance systems, and our supporting factory produced the infrared seeker heads. The factory wasn’t in Guangzhen, but in Xiangnan, moved there from Liao Bin during the Third Front Movement. Then during the conversion from military to civilian endeavors, we began to produce electric fans. In the early 1990s, the 1234 Institute went through a restructuring. We then moved from the mountainous area of Xiangnan to Lingnan. Our supporting factory began producing toys, but our research institute kept its general framework intact. We still had this establishment until 2008, when Beifeng Industrial Group was established and we were incorporated into Beifeng Industrial Group."
Feng Biao was astonished, "You went from making electric fans to toys? What kind of toys?"
"Uh, well, remote-controlled toy airplanes, remote-controlled toy tanks, that sort of thing."
Xu Feng was somewhat embarrassed as he chuckled humbly, "At the beginning, the business was quite profitable, but gradually it became unsustainable, especially in the last two years, with exports facing challenges."
"So you started making toy airplanes, and now you’re researching... rockets?"
"Actually, it’s not too difficult. It’s just an integrated system engineering project, and we have a particular advantage in miniaturization."
The more he explained, the more uncertain Feng Biao became. He said in astonishment, "But, have your missiles undergone test firings? Are they mature? It would be a problem if we sold them and then encountered issues. We wouldn’t be able to explain that away."
"What are you talking about, that’s the most basic thing... Look, Mr. Feng might not be too familiar with the production aspect. Let me put it this way, any model that is finalized and is available for sale has definitely passed the type acceptance test. We have already launched twelve rockets, and their performance is absolutely reliable. It’s just that our previous clients were domestic, and now domestic users don’t need them anymore."
Xu Feng was somewhat embarrassed, but he asserted firmly, "I’ve said everything that can be said. I can guarantee one thing: the product’s performance and quality are definitely not a problem."
Feng Biao genuinely didn’t understand the intricacies involved.
He was into guns before and had gone through one arms deal with Gao Yi, but it was not a legitimate business deal and was just for show. Moreover, Feng Biao wasn’t really involved in the specifics of the deal.
Now, to help sell missiles... Well, it’s just not his field of expertise.
He had no understanding of military-to-civilian conversion, civilian-to-military conversion, or restructuring and splitting up entities.
After a moment of deep thought, Feng Biao finally said, "I may not understand this very well, but I trust Professor Qin."
Teacher Mu nodded gravely and whispered, "Don’t worry, since I agreed to connect Old Xu, I am certainly aware of their qualifications and strength."
At that moment, Mu Tianwen, who had been focused on drinking his barley juice without saying much, suddenly asked, "How much do you charge for a set?"
Mu Tianwen, the dethroned Young Prince, had lost his right to speak on such matters, but Xu Feng was unaware of this.
Xu Feng immediately answered, "The cost is twenty-four million, we plan to sell a set for ten million dollars. The rockets can be priced separately, at two million each, which in US dollars would be... about five hundred thousand each."
Why did he disclose the cost price as well?
Mu Tianwen took a sip of his barley juice, his face flushed, and said, "The price is too low, sell the whole set for sixty million dollars. Sell each missile for two million dollars. A price that’s too low would indicate backward performance; something too cheap is definitely outdated. We never go for cheap goods when buying."
Xu Feng blinked rapidly, looking at Mu Tianwen in bewilderment.
Mu Tianwen looked at Feng Biao with a hint of tipsiness and said, "Since he’s a friend of my teacher, could you just help out by saying a word? It’s my teacher’s first time setting up a deal for a friend; it wouldn’t be good to come back empty-handed. Shaman admires you so much, just one call from you would suffice."
Xu Feng’s eyes widened in surprise, looking at Feng Biao.
Feng Biao whispered, "I’ll try, I’ll try."
Mu Tianwen exhaled and said, "What’s there to try? It’s just a small deal worth a few hundred million, no need to trouble my older brother. Brother Feng, it’s the first time my teacher is helping a friend set up a deal, it’d be embarrassing to fail. Just give Shaman a call now."
Mu Tianwen was young and had become a bit unrestrained after drinking the barley juice.
Teacher Mu quickly said, "You’re getting dizzy without drinking much, stop talking. Mr. Feng, please don’t mind."
Yet Xu Feng, with a trembling voice, said, "This...this... Mr. Feng... I... I’m counting on you. I’ll drink up, you do as you please."
Xu Feng filled his glass again, and though the glass was small, being full it still held about two ounces.
What more could Feng Biao say?
He poured himself a glass as well, raised it to Xu Feng, and said, "No need for words. I’ll contact President Gao, just send me the electronic data, and I assure you Mr. Sha will see it."
With that, he finished the drink in one gulp.
But to Xu Feng, it was different.
One was just to connect, to deliver the documents into the hands of the client, then the client would make a decision. The other was to directly speak up and seal a small deal worth hundreds of millions of dollars.
Listen, a business deal worth hundreds of millions of dollars, called a minor deal? Could that be right?
Since when did a business deal worth hundreds of millions of dollars become a minor deal?
Xu Feng’s brain was working overtime. He very much wanted to promise Feng Biao a commission of one point two percent, but this wasn’t his private business, so he couldn’t just offer it outright.
But now he needed to promise a good deal quickly. The remaining details could be discussed and slowly figured out in a meeting later, but right now, he had to get over this immediate hurdle,
"Mr. Feng, let me make a personal statement first. I believe we could totally ship at a fixed price. The profit resulting from this set price is rightfully yours, it’s just that...this...I wasn’t prepared for this."
That’s the downside of not having authority to decide on your own—you can’t make the call directly.
Xu Feng was anxious; now was the time to test his decisiveness and courage.
Finally, Xu Feng gritted his teeth, hardened his resolve, and said with a trembling voice: "I’ll set a baseline first, twenty percent of the total price is yours! That’s the total price, not the profit. I’ll work out the specifics with the leadership once I get back and present a plan, okay?"
Feng Biao scratched his head. According to his knowledge and experience, fighting he could do, but doing business, not so much.
"Uh, no need, I have to speak to the boss anyway. Since this is to help a friend of Teacher Mu, let’s forget about any rebate or share. No need for such formalities, we’re all family here."
Feng Biao did his best according to his understanding, because he thought Gao Yi would definitely give Teacher Mu this face, and certainly wouldn’t want a rebate.
Xu Feng was truly in a hurry, he whispered: "If that’s the case, let me discuss it with the company president right now, and I’ll have a resolution for you immediately, sorry about this, really sorry."
Feng Biao didn’t want a split, but Xu Feng interpreted it as Feng thinking the offer was too low.
This was a misunderstanding caused by the lack of understanding during their first encounter.
Xu Feng didn’t leave his seat; he immediately sent a message to his boss.
"This is a hard connection. Is a twenty percent advantage okay? Decide quickly, quickly, quickly, quickly!"
The reply came swiftly.
Xu Feng is a tech guy; he was there because he’s on good terms with Teacher Mu.
The one with real authority in business is the company president.
The company president was waiting for Xu Feng’s message, so he replied very quickly.
"It’s too little. This is gold. You should at least offer thirty percent, and you can go as high as fifty percent if it’s sure to sell."
Xu Feng’s heart skipped a beat when he realized he had omitted a few crucial words, so he typed furiously.
"Not profit, the total price."
The president didn’t hesitate for a second in his reply.
"That’s what I mean, the total price!"
The president, who managed R&D, production, and sales, definitely had a different perspective. He was aware that business is tough and knew who the key players were in this type of deal.
Forget a fifty-fifty, even a thirty-seventy split is fine—with the intermediary getting seventy.
Now Xu Feng had a clear idea, he immediately said to Feng Biao: "At least thirty percent! Mr. Feng, everything is negotiable."
After speaking to Feng Biao, Xu Feng turned to Teacher Mu and said: "Of course, we can’t have Professor Qin working for nothing. Our company will certainly send our regards."
Teacher Mu laughed heartily and said: "Hey, we’re all family, there’s really no need for this. Don’t make me commit a mistake."
Feng Biao stood up and whispered: "We were supposed to talk more today, but seeing how Mr. Xu is in a hurry, I’ll go back first then. I need to speak properly with President Gao."
Important matters are at stake here, don’t wait until the dinner party is over to discuss. Teacher Mu immediately picked up the bag containing the watch, saying: "Okay, but you take this back. Tell Mr. Gao, I appreciate his gesture, but I really can’t accept this, it’s too valuable."
Xu Feng took a glance and inhaled sharply.
A Patek Philippe, isn’t that worth hundreds of thousands?
Teacher Mu held the bag while Feng Biao pushed it away and Xu Feng’s eyes followed eagerly, but Mu Tianwen suddenly snatched the bag, placed the box on the dinner table, opened it up and said: "Patek Philippe with complicated features, just three million or so? Not expensive! Teacher, just accept it. It’s also a little gesture from my elder brother, he always calls you for favors, if you don’t accept it, he’ll feel embarrassed to call me later."
The way people addressed each other was chaotic, but the relationships were solid.
Who is President Gao? Who is Mr. Gao? And who is Young Prince’s elder brother?
Xu Feng started to feel confused. He looked at Feng Biao in front of him and wondered, who is this guy? Which circle does he belong to? Why does everyone seem to have so much leverage, so much... clout?
Finally, persuaded by Mu Tianwen, Teacher Mu hesitated for a moment and then said: "Alright then, I shall accept it for now. But I have to report this. If it’s not permissible to keep, Young Feng, you have to take it back, don’t make me make a mistake."
Feng Biao laughed heartily and said: "Sure, it’s up to you. But rest assured, a little token from President Gao won’t make you commit any mistake."
Feng Biao got up to leave, and Mu Tianwen, still a bit dazed, said: "I’ll go with Brother Feng. I need to speak to my elder brother. I’m so happy today, but it’s inconvenient for you guys to call me. I’ll go talk to my elder brother, ask Shaman to buy ten sets, no, fifty sets..."
Xu Feng swallowed hard.
Teacher Mu quickly grabbed Mu Tianwen and said: "Don’t make more trouble. We’ll see each other again soon, see you."
Xu Feng then said to Feng Biao: "Well... Mr. Feng, we await your good news."
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