MTL - Extraordinary Genius-Chapter 2018 Difficulties in mergers

“The North Dacang Group is not very good. Why do you want to acquire the Hope Group? It is also very good for people to operate. We have always supported it.”

Zhang Ruiqiang also did not understand why the two companies were merged, especially the North Da Cang will become a state-owned company from a state-owned company.

If it is ten years old, then the company will not make money. Don't say that it is a shareholding, and there are a lot of direct sales. Because it is a loss in your own hands, it can be regarded as a burden to the government.

But now it is different. The North Dacang Group is the fifth in the global agricultural and sideline products industry, and the first in Asia. Suddenly, the state capital has lost its dominant position. This will inevitably lead to many people talking about it.

"Do you remember that I said that if small enterprises merge into large enterprises and they are more competitive internationally? It turns out that these years, the state capital has also merged many enterprises, is it more competitive, and earns more? Already?"

"But there is also a big problem in it. That is, the enterprises that merged your state-owned assets, the leaders-guides are still among those people. I am not saying that they must be bad, but the direction in which they are good may not be the same. They are good at management. But not necessarily good at business."

“That is to say they may be suitable as chairman, but not suitable as general manager. The chairman is important, but the general manager is a more direct business operator.”

"For example, my Taihua Holdings, I am the chairman of the board, but the time of my work, even one-tenth of Liu Chuanzhi did not. This is the result of the cooperation between Liu Chuanzhi and Zong Qingxian. Their hard work is evident."

State-owned assets have also been doing business mergers, combining small businesses in some places into group companies, increasing their competitiveness, and then going abroad.

For example, if a company engaged in food trade merges agricultural planting and food processing and packaging, it can form a one-stop industrial chain, which will greatly reduce costs, and naturally increase profitability and enhance competitiveness.

For example, an electrical appliance company can make more money if it develops and manufactures electronic components, assembles and manufactures electrical appliances, and then sells an industrial chain.

Unless it's your unique industry, cost is always the most important thing companies need to care about. But even if you are unique for the time being, you will soon have many competitors, follow the trend, but not only the Chinese enterprises, but also the foreign countries.

Even if Microsoft is in full swing, it is not unique, nor is it a competitor?

Like l-pad, even the group is the first to launch, but less than half a year, other pc manufacturers have not developed their own products? Some have bought patent licenses from Lianxiang Group, and some simply bypassed these patents and used some alternative technologies.

Although l-pad is still the best of its kind, the market share can no longer be 100%, and some people will share profits.

At this time, l-pad will not be anxious. In fact, this also has great benefits. It is no longer said to be a monopoly, but it also highlights the superiority of l-pad products.

The products that have been developed over several years are the same as those that have been developed for half a year. Foreign PC manufacturers, the technology is not much stronger than the Lianxiang Group, and even many of them are not as good as the group, naturally let l-pad and other tablets open the grade.

However, the merger of state-owned enterprises, in addition to some strategic industries, such as banking, communications, energy, steel, etc., other mergers are not very good.

The most fundamental reason is that the execution is insufficient and the resistance is too strong.

It is said that in the mobile phone industry, in addition to the wind and rain brand and the Aihua brand, there are more than a dozen well-known mobile phone brands in China. This is not a cottage manufacturer that no one knows the brand at all.

Half of them are state-owned enterprises, or state-owned assets.

There are many excellent engineers in these companies, but why can't they surpass the wind and rain? Even compared with other mobile phone manufacturers in foreign countries, the gap is obvious?

First of all, it is naturally the direction of research and development. This is the wind and rain mobile phone leading the world. Feng Yu knows what consumers like more and knows what functions are more practical.

The second is that these companies have insufficient research and development funds, and technology research and development, no money can not.

The last point is that they are too scattered. Ten companies are one-tenth of the wind and rain. The profits are added together, and they are not one-tenth of the wind and rain. The cost is too high and the competitiveness is too weak.

If these mobile phone manufacturers are combined, the cost of research and development can be saved, and other costs such as advertising costs can be greatly reduced, but why are they not merged?

There are many people who oppose it.

Some people say that there are wind and rain cards in China and Aihua cards here. The excellent foreign manufacturers are not good, let alone them, and naturally put themselves in the lower position.

And the most important point is who is the main person after the merger? You have a brand, we also have a brand, who owns the brand, and whose brand is abandoned?

Who is the boss of the merged company, who is forced to leave? There are too many interests involved here, and it is difficult to get it.

At this time, the most direct way is that some people take the initiative to give back, in order to make the merger successful and enhance competitiveness.

Feng Yu once said that if the state-owned assets agree, then the Bingcheng Machinery Manufacturing Group can merge with one gas, and naturally it will become a subsidiary, so that the shares of the state-owned assets will also be upgraded.

Either let Feng Yu invest, control 51% of the equity, or give Feng Yu a veto, he can make the state capital become a major shareholder.

However, the above is still studying, and there is no trouble at all.

I feel that my development is also very good, and the spare parts are all world-class. Why should we merge with others and become a subsidiary? Especially the angry CEO, to be forced to become a deputy, makes him even more dissatisfied.

That Li Dafu, He De, can I give him a deputy?

Therefore, the merger of state-owned enterprises has too many problems. The most important thing is that some management love rights are obstructive. Whether or not to integrate resources with China's strength, it is absolutely possible to come up with several companies that monopolize the domestic market. To the international level, it is also a big company in the forefront of the industry, and can even become a top.

Some of the previous forced mergers, some have succeeded, while others have failed. The most crucial point is to see whether the leadership of the company is excellent, and then whether the merger industry is correct, whether the two sides can complement each other or expand the advantages of a certain aspect.

"Feng Yu, if you merge, can you give up that one-vote veto?"

"I have retained it, and what harm has it caused to the company? You don't think that I will supervise this business operation, will it make the company develop better? Without me, will there be the North Dacang Group?"

"Well, I know, the things of the North Dacang Group, I will come to you."

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