Richest Man: Divine-Grade Reconstruct System
Chapter 411 386: The Ruthless One!
At that banquet, everyone raised their glasses together, and after taking a sip, President Xiao Quan looked at the new leader of the Yamaguchi Clan:
"Mr. Yamaguchi, to make them pay the price, I've already communicated with the people from the Chamber of Commerce. Moving forward, you should raise the prices of the precision components you export to them.
After all, the prices of our raw materials have been increasing continuously, so a twofold increase is no problem."
After speaking, he meaningfully patted Yamaguchi Chunqilang on the shoulder.
The implication behind the words was naturally understood by Yamaguchi Chunqilang.
However, he hesitated, opening his mouth as if wanting to say something.
Seeing this, President Xiao Quan directly interrupted what he was about to say:
"Haha, I know what you're considering. You still have a contract between you, right?
But that's not a problem, if they can't accept it, you can tell them that if they don't accept, we can cancel the contract unilaterally."
"But President Xiao Quan, our contracts are with more than just one company. If we breach all of them, the penalty this time will be astronomical."
Upon hearing this, Xiao Quan frowned. Why is this guy not getting it?
But then, looking at his barely grown beard, Xiao Quan felt at ease.
No facial hair, no reliability; perhaps this saying is meant for people like him.
Pushing a barely grown boy out as the Patriarch, the Yamaguchi Clan really has no one left.
Of course, he had no interest in getting involved in the messy affairs of the opposing family.
What he needed to do was to maximize his family's profits and ensure Plaster Country dominated global commerce.
So, he slightly frowned and spoke to Yamaguchi Chunqilang in front of him:
"Here's the plan, when you go back, discuss it with the Elder Council of your family.
Let them act according to my instructions, and all losses will be covered by the Chamber of Commerce.
When you return, organize all your contracts and report the specific numbers to me."
Yamaguchi Chunqilang also knew he couldn't make decisions on this matter, so he nodded:
"Hai, rest assured President Xiao Quan, I'll certainly convey your intentions."
The banquet ended, and the Yamaguchi Clan held a family meeting that afternoon.
When Yamaguchi Chunqilang brought up the matter, all the elders in the family fell into deep thought.
However, they soon started expressing their opinions.
Of course, opinions were unlikely to be unified.
Currently, the Yamaguchi Clan relies solely on precision machining, and Huaxia is their largest export market. Without Huaxia's market, 70% of the company's production lines would halt.
Compensation for the breach penalties wasn't something they could easily resolve.
They were simply worried that doing so would lose them the big cake that is Huaxia.
According to President Xiao Quan, this action would cut off all enterprises, not just the Zaohua Group alone.
They had, after all, no cooperation with Zaohua Group beyond exporting two machines once.
In the end, what President Xiao Quan received was the clan's no-consent.
Xiao Quan had always anticipated this.
He understood their concerns.
However, he wouldn't give up but instead let slip a promise that they agree to these terms, he'd help them become the next Toyota!
The entire Yamaguchi Clan couldn't remain calm after hearing this. Although their business was big now, compared to a giant like Toyota, they were far behind.
"Mr. Yamaguchi, we have the technology, so what's there to fear? Just proceed as planned, they will certainly accept such a high price. It's not even about this price, if it's increases several times over, they'll just have to swallow it silently. After all, in precision industries, it's a seller's market now."
In the Yamaguchi Clan meeting, Xiao Quan joined directly through video conference.
And he carried himself with an undeniably superior attitude.
He believed that in the current environment, the opposite side couldn't possibly give up.
Worldwide aside from us there's no second cooperating entity they can find.
Finally, under the lure of various profits, the Yamaguchi Clan's meeting directly passed the decision.
Soon, a document showing a 115% price increase quickly appeared in the meeting rooms of Huaxia's companies.
Seeing the latest quotation sheet, almost all partner companies were thrown into an uproar.
Simultaneously, one protest document after another, bundled with photocopies of contracts, was sent to the Yamaguchi Family.
Many companies had contracts with the Yamaguchi Family based on annual terms, and some even had three-year or five-year long contracts.
Of course, such contracts would include breach penalties, and the highest penalty from one company reached nearly 100 million!
But it was in RMB, not Plaster currency.
Even when they sent over the contract terms, the attitude of the other party remained firm.
They directly presented two choices:
Either renew the contract at the latest price or face unilateral contract cancellation, and they can bear all penalties.
They were entirely unprepared for the steadfastness of the opposing party.
Originally, their procurement prices were already quite high, not expecting now they'd more than double.
Such prices directly elevated their costs to terrifying levels.
Prices increased higher than the profits of many companies' products.
In essence, if procurement proceeded at these prices, producing one item would incur a loss.
And while these companies were investigating within the industry, the other party quietly leaked information.
The price hike was due entirely to a ten-billion USD expense acquiring two machine tools from the Zaohua Group.
And this ten billion USD pushed their annual profit rate directly into the negative.
Thus, they needed to raise prices at year-end.
Backfire within the enterprise circles needing precision components led to blame towards the Zaohua Group.
One such instance, a boss named Lu Feng from an electronics factory, Jiafeng, immediately called the Zaohua Group.
Upon picking up, he unleashed a tirade on the young lady operator.
Made the young lady cry.
Once the call ended, the young lady leaned onto her desk crying.
Coincidentally, Li Huiqun came to inspect.
Seeing the scene, he immediately went over to inquire about what happened.
The young lady, upon seeing the Vice President arrive, quickly wiped tears, sniffling as she called President Li.
Li Huiqun clearly paid no mind to formal greetings and seeing the operator's state, he directly queried what transpired.
Not daring to conceal, she recounted everything, making Li Huiqun knit his brows tighter, furious by the end.
What's with these cowards? Venting on an operator!
Normally, Li Huiqun wouldn't need to engage in this matter, but observing the operator's pitiful appearance, he picked up the phone and dialed back.
"Hello, who's this?"
Listening to the rough voice over the phone, Li Huiqun slightly knitted his brows, coldly spoke:
"I'm Li Huiqun from the Zaohua Group. Are you crazy? What's with venting at people? Tell me your company's name!"
Lu Feng, realizing it was Li Huiqun from Zaohua Group, was visibly stunned, promptly hanging up the call.
He phoned to vent rage impulsively, not expecting the call to be returned so soon.
More importantly, the caller claimed to be Li Huiqun!
Li Huiqun's identity was known by most entrepreneurs in Huaxia.
Rumored to be a classmate of academic prodigy Lin, though young, he's reputedly ruthless.
[To be continued...]