The electrical company, established in July 2003, primarily deals in all core components for two-wheeled vehicles, including motors, controllers, instruments, and sensors.
Influenced by the booming electric vehicle industry in the past two years, Bafang Electric's business has developed quite well.
However, currently, Bafang Electric's largest customer is still Shanchi Technology.
There's no way around it; it was established too recently.
Some established electric vehicle brands, like Yadi, either have self-developed motors and controllers or have their own fixed suppliers.
It's still relatively difficult to enter their supply chain.
Shanchi Technology was initially just one of Bafang Electric's small customers.
Relying on Gusu Industrial Park, Bafang Electric had many small electric vehicle factory customers like Shanchi Technology, and they were getting by.
But nobody expected that in less than a year, Shanchi Technology would grow to become Bafang Electric's largest customer.
At the Olympic Games sponsor press conference, when Shanchi Technology announced its future investment in self-developed motors and controllers, Bafang Electric's chairman, Wang Qinghua, felt his heart sink.
The big client he had finally secured was about to run away.
Who would want to be a small client when they could be a big one?
Only big clients can boost output value and enable an enterprise to complete its transformation.
Wang Qinghua is a person with ideals.
There are countless motor manufacturers like Bafang Electric in the three major electric vehicle industrial zones of Jiangsu Province.
He doesn't want his company to only take on scattered small jobs and eventually fade into obscurity.
To grow an enterprise in the supply chain business, one must penetrate the supply chains of large enterprises.
A large enterprise drives several well-known supply chain manufacturers, just like Shenzhou Group in Beicang, where Shanchi Technology is located.
Shenzhou Group does OEM for major foreign brands and has even gone public.
When Shanchi Technology secured its exclusive sponsorship for Olympic Games electric vehicles, it wasn't just Shanchi Technology that was happy, but also their core component suppliers.
This not only meant higher sales would bring them larger orders, but also an accumulation of reputation for the component suppliers.
Half a month has passed since the Olympic Games press conference ended.
Shanchi Technology hasn't made any moves since the Olympics, nor has there been any talk of building a motor and controller factory.
There's a chance if it hasn't been built yet.
Wang Qinghua wanted to go to Beicang to try and persuade Boss Tan.
"Don't build it. Our motors are working perfectly well; isn't it enough to use ours? Why bother exerting that effort, right, Mr. Tan?"
However, an insider from Shanchi Technology revealed that their boss has recently been busy with corporate restructuring and frequently has to meet with government departments, so he might not have time to host Mr. Wang even if he came.
Everyone knew that Shanchi would make a big move after April 28th, and corporate restructuring might be the first step of that big move.
Wang Qinghua wasn't sure if Tan Jincheng genuinely had no time to meet him or was making excuses with other reasons.
But he could only reluctantly postpone his trip to Beicang.
Fortunately, the cooperation with Shanchi Technology is still pleasant; they still respect the contract, and payments for goods are made on time.
Among Bafang Electric's customers, Wang Qinghua personally preferred Shanchi Technology, not just because it was the largest, but because Shanchi Technology had a strong contractual spirit; whatever the contract stated, that's how it was.
This is actually a very distinct advantage among domestic private enterprises, as companies that don't adhere to contracts are everywhere.
Many companies they deal with drag their feet and don't pay the final installments for various reasons, which is quite a headache.
"Boss, Shanchi Technology's General Manager's Assistant just called, asking if you're available on the 15th of next week. He plans to visit then."
Wang Qinghua was thinking about whether to schedule another appointment to go to Beicang and explore the situation when his assistant came over.
"Who's coming? The Chairman of Shanchi Technology?"
"That's right, Mr. Tan from Shanchi Technology. His assistant personally called just now to ask if you're available on the 15th, which is next Monday."
"Yes, absolutely! Tell Mr. Tan's assistant that we warmly welcome Mr. Tan's visit,"
Wang Qinghua said happily.
It's good if they're willing to talk; as long as there's a conversation, there's a chance.
What he feared was that the other party wouldn't even be willing to talk and would directly terminate cooperation once the contract ended, which would truly leave no hope.
It seems that the insider from their company was right; Boss Tan's being busy with corporate restructuring and having no time to meet was truly not an intentional stalling tactic.
---
"Indeed, I have no time. I have to go to Gusu next week, and I'm not sure how long it will take,"
Tan Jincheng sighed to Zhang Xupeng, who was sitting on the single sofa, his feet propped on the coffee table, completely unconcerned about his image.
Zhang Suzhi couldn't stand him propping his feet on the coffee table and scolded Tan Jincheng.
Only then did Tan Jincheng reluctantly take his feet off the coffee table, but then he shifted to prop his feet on the sofa, and also rested his head on Gu Qingqing's lap, who was sitting next to him.
This, in turn, drew a burst of annoyance from Gu Qingqing.
Zhang Xupeng looked at Tan Jincheng like this and truly couldn't bear to watch.
Who would have thought that the billionaire, so highly praised by the outside world, would be such a lazy and slothful figure at home?
His return this time was also for a short break, and he also invited Tan Jincheng to see if he had time to go to Wangjiang to see the factory under construction, as Tan Jincheng also had a share in the factory after all.
He had originally thought that Shanchi Technology's restructuring had come to an end and Little Tan would have some time, but he didn't expect Little Tan to have to go to Gusu again.
Of course, there was another layer of meaning that Zhang Xupeng couldn't explicitly state: Tao Qinian also wanted to invite Tan Jincheng to visit his hometown and his logistics base.
Tan Jincheng hadn't visited the logistics base since its construction began.
"You've made yourself too busy. You haven't stopped since Yongkang in March, have you?"
"Yes, that's right. I've indeed been too busy recently, traveling to many cities, but I probably won't be able to stop later either."
Yongkang, Yiwu, Shanghai, Wuxi, Imperial Capital – in just two months, I've traveled to five cities.
Next, I have to go to Tianjin, spending almost more than half my time away from home.
I also stopped by Hangzhou on the way, but fortunately, the results were pretty good.
Zhongtai built a factory in Beicang, the projects for Kaixin.com and Kaixin Farm were successfully approved, the Shanghai exhibition had good results, and the qualification as an Olympic Games sponsor was also secured.
After returning, the company's restructuring work proceeded relatively smoothly.
Next is to go to Bafang Electric and Tianjin, striving to complete the business layout for electric vehicle expansion this year.
After that will be production, sales, bursting production capacity, and then going public.
The goal is to expand the fundamental base before the end of the 2008 Olympic Games.
After that, there will be no need to worry much about the electric vehicle business; at most, it will just be a matter of market share.
You know, even if Xinri was surpassed by Yadi and Aima and lost its leading position in the electric vehicle market, it's still doing quite well.
This is a company that even Brother Long couldn't kill, relying on the foundation laid during this period.
"Hey, I say, actually, when you're doing group-level restructuring, you could also put my Jinpeng in there. Don't you think this would be better?"
Zhang Xupeng suddenly said.
Due to his own clothing factory plans, Jinpeng Trading is now preparing to be renamed Jinpeng Industry.
Before the name change, Zhang Xupeng heard about Shanchi's restructuring, which was one of the reasons he made time to come over today.
"Huh? Why do you have this idea? Jinpeng Trading is your own business now; isn't it better to be a big boss happily?"
Tan Jincheng sat up and said.
Not only did he feel somewhat surprised by Zhang Xupeng's words, but even Gu Qingqing was a bit surprised.
This time, Orange Technology couldn't agree on the valuation and would still operate independently.
She didn't say anything about it, but she was still somewhat unclear why her brother would think Orange Technology could be worth 300 million.
Just based on that small website and small game?
She had looked at the basic architecture of Kaixin.com and Kaixin Farm and couldn't really call it creative.
Kaixin.com had functions similar to QQ Zone, but she truly couldn't understand Kaixin Farm.
Stealing vegetables online?
What kind of boring behavior is that? Would anyone really find this game fun?
She truly couldn't figure out what her brother was thinking, but today, Gu Qingqing felt that she couldn't just keep up with her brother's mind, but also with Zhang Xupeng's ideas.
To put it bluntly, the current restructuring means placing all enterprises within an overall framework.
Although all companies operate independently and their businesses don't overlap, they all become subsidiaries.
Why would Zhang Xupeng want to place Jinpeng within it too?
Zhang Xupeng smiled and said very straightforwardly,
"Actually, my idea is very simple: it's good to have a big tree to lean on for shade."
One doesn't know the cost of living until one manages a household.
Since he independently managed Jinpeng, Zhang Xupeng had learned the importance of networking.
A significant reason why Little Tan's Shanchi Technology could develop so quickly was that he rapidly established his own network of connections.
If it weren't for the strong support from Beicang District, Shanchi Technology would never have developed so quickly, including the Olympic Games sponsor qualification.
The conflicts behind the scenes all had Beicang backing Little Tan.
If no one backs you, no matter how well you design something, you might not be able to secure it smoothly.
He wasn't lacking in capital or supply chains; the only thing he lacked was a network of connections.
And wasn't Little Tan his biggest network of connections?
What's the point of not using a perfectly good network of connections?
Moreover, each company operates independently, and it wouldn't affect my status as boss; Mr. Zhang would still be Mr. Zhang.
Besides, it's not like I haven't assisted Little Tan before, and assisting Little Tan is nothing to be ashamed of.
As soon as Zhang Xupeng spoke, Tan Jincheng understood his intentions.
However, if Jinpeng were to be incorporated into the group, it would have to become a subsidiary, and the primary condition for a subsidiary is that it must be controlled, meaning Tan Jincheng's equity must exceed 51%.
After pondering for a long time, Tan Jincheng said,
"If you're not joking, it's not impossible. But the problem is I don't have the money to buy the 21% equity you hold; I'm restructuring precisely because I'm short on cash."
"Of course, I'm not joking. But I can also do what Beicang Urban Investment did: exchange this 21% equity for a portion of the parent company's equity,"
Zhang Xupeng said with a smile.
It seemed he had already considered this.
Now Tan Jincheng had to take it seriously; mishandling it could affect their brotherly relationship.
(End of chapter)