Investor That Can See The Future

Chapter 157

I watched TV with Ellie at the Western Pub near the office.

On the screen, union leader Dennis Bullock and CEO Daryl Sagan were holding each other’s hands. It’s not live, it’s news.

Local Fox News continued to report on the labor-management agreement as important news.

Ellie told me.

“Fortunately, it worked out.”

I smiled.

“For now, it must be said that the fire has been extinguished.”

In order to keep the promise with the union, the new car must be successful. There is still much work to be done to do that.

“The atmosphere here is good. Beer tastes better.”

“There must be a reason why everyone recommended it.”

After coming to Detroit, I only went back and forth between the hotel, the company, and the negotiating ground, but I did not see the surroundings once.

Even though he couldn’t go far to play, he came out with Ellie to change his mood. Beer and hamburgers here were also recommended.

I looked around the pub. Like the city of automobiles, the walls were decorated with automobile parts such as wheels and license plates. The old interior seemed to tell the history of this place.

The owner is a white old man who must have used quite a bit of energy when he was young, and it is said that he has been running a bar here since he was young.

It was still early for drinking, so there weren’t many people there. It’s probably noisy when you come in the evening after work.

After a while, the burgers and fries I ordered came out. It was so huge that it could not be compared with the franchise hamburger.

Can you two eat this?

Thinking so, the owner took the bottle off the bottle, filled two glasses, and held it out in front of us.

“What is this?”

“Single malt whiskey. It’s the most expensive drink in this pub.”

“We didn’t do it.”

“I live.”

“Yes?”

The owner grinned.

“From the moment I walked in, I thought it looked like a face I saw somewhere, but I just remembered who it was.

I was a little perplexed.

I hope you will recognize me Originally, Westerners cannot distinguish Asian faces well. So, I didn’t even have to disguise myself.

“Thanks to you, Detroit is coming to life. My unmarried son also found a job, and people no longer left the city. Originally, I thought that this place would also be closed, but as the number of customers increased, I was able to continue doing business like this.”

Not long ago, Detroit was a symbol of the downfall of American manufacturing. In fact, in 2013, it went bankrupt with $18 billion in debt, and crime was rampant, turning the entire city into a slum.

But when Ronald was elected, the situation changed 180 degrees.

Detroit was revived in a splendid manner as the manufacturing economy revived and factories that had gone abroad returned.

The atmosphere in the city was definitely different from when I was there before. The city I looked around for a while was full of vitality, and construction was in full swing.

Newly opened hotels and pubs, and many tourists were also seen.

The owner looked at me and said.

“You saved this city. I’ll buy you a drink today on behalf of Detroit.”

In fact, this is not because of me, but because of the increase in sales of GM and Ford, as well as the construction and financial conglomerates entering and conducting various businesses. Of course, that investment started with me.

Anyway, thinking that I have made a big difference in the city, I feel something strange.

Ellie smiled and said.

“The amount is too much for both of us to drink, so let’s drink together.”

“I have to prepare for dinner soon, but… … Well, that’s good. Let’s have a drink.”

The owner took out a glass and filled it with her drink.

As they were all clinking glasses together, a voice came from behind.

“Can I have a drink too?”

Turning his head, he saw a muscular, bald, middle-aged man over two meters tall. His name, who looks like a professional wrestler to anyone, is Big Show… … No, Dennis Block.

“What are you doing here?”

“I asked and he said he would be here, so I came.”

Did you come to see me?

The owner filled her cup and handed it to him.

“I enjoyed watching TV, Dennis.”

“Long time no see, Ben. How have you been?”

Seeing them talking, they seem to be regulars.

Dennis drank the whiskey at once.

“Last year, when a rich Asian man said he was going to take over the company, everyone was concerned. It is not the first time that American companies have been badly treated by Asian capitalists.”

said Ellie.

“Are you talking about Japan and China?”

Even after World War II, the United States was a manufacturing powerhouse. Ironically, Japan, the defeated country, threw the challenge here. The American manufacturing industry collapsed due to the influx of Japanese electronics and automobiles.

The Japanese used the money they earned to buy American companies and real estate whenever they could. Even Columbia Pictures and Rockefeller Center fell into Japanese hands. However, after the real estate bubble burst, the Japanese economy sank at once.

Then, this time, China took its place. China, which has entered the path of reform and opening, has become the world’s factory in just a few years. And, like Japan in the past, it has swallowed up companies around the world with its overflowing capital.

“There are some companies that are growing with proper support, but there are also a few companies that have been abandoned because of fast-growing products.”

I nodded.

“A similar thing happened in Korea.”

“You mean Blue Dragon?”

“You know.”

China’s Shanghai Automobile took over Blue Dragon Automobile at a bargain price and took over the technology and then re-sold it. In the process, mass layoffs occurred and many workers lost their jobs.

Dennis said while drinking.

“I wondered if it was R&D or whether he was interested in a production plant. In fact, I was a little surprised to see him come to the negotiating table.”

CEOs rarely negotiate directly with unions. However, we had the chief executive personally and coordinated the negotiations from start to finish.

“So I thought that I, as well as the members, could trust the CEO.”

I smiled.

“Hearing that, it seems that flying to the United States was not in vain.”

Sincerity will prevail.

Dennis held out his hand.

“I wish you all the best in the future.”

I grabbed that hand.

“I wish you well too.”

“I hope you don’t forget that the fate of many workers depends on the CEO’s management.”

“Yes?”

Dennis chuckled.

“Hahaha, I didn’t mean to burden you.”

“… … .”

For that kind of thing, I think the drink I just drank will be on my throat.

Just then, a group of people came in.

“Hey, Ben! How have you been?”

The owner pointed at me and said.

“Come here, Vernon. I’m glad you came. Let’s see who’s come to our pub.”

They looked at me, and their eyes twitched. “Who is this Asian?” One of them burst out in surprise and cheered.

“Mr. Kang!”

“What? Really?”

“After that Gangjin? Nice to meet you.”

“Yes… … I will see you too.”

I greeted them and toasted them. But this didn’t end there.

Starting with them, a sudden rush of guests came. Not to mention the owner, the people who came first announced my identity, and the newcomers cheered.

Ellie said jokingly.

“I didn’t know this city loved Jinhoo so much. I’m jealous.”

All of a sudden, the pub was really crowded. People quarreled and offered me a drink. If you drink all the alcohol you give, you will die from drinking too much.

“For Karos!”

“For the hope of Detroit Gang Jin-hoo!”

“… … .”

Before that, I might die of embarrassment.

* * *

next day.

I groaned with a hangover and met the bosses of the business partners. Most were white, but there were also a few blacks and Hispanics.

I said hello to them.

“Nice to meet you. I am Jinhoo Kang, CEO of OTK Company. Fortunately, the collective bargaining agreement was reached without a strike, but everyone knows that this is a difficult time.”

At my words, the faces of the bosses had already darkened. They are worried that they will demand a reduction in the delivery unit price.

The easiest way for automakers to increase profits is to slash unit prices. If you lower the price of parts, which was previously delivered at $1, to 95 cents, you will make a profit of 5 cents per piece.

The same was true of subcontractors suffering from a drop in sales volume. In some places, the situation will be worse than ours.

I do not intend to grow by squeezing out partners like Eunsung Motors. Eunsung Motors was notorious for continuously lowering the unit price of delivery by making a ‘outsourced company cost invoice’ and sending it down to a partner company.

I don’t know if there is any justifiable reason (such as a decrease in raw material prices), but a reduction in the supply unit price will worsen the competitiveness of suppliers in the long term.

For subcontractors, if the supply price is lowered, there is no choice but to reduce labor costs for workers or reduce technology development and investment.

This ultimately lowers the competitiveness of the entire manufacturing industry, and returns to the automakers as a boomerang.

If we continue to produce the same car, it will be okay, but in times of change, we all have to think about growth together.(Read more @ wuxiax.com)

“First of all, we are not talking about lowering the delivery price, so you can rest assured.”

At my words, the expressions of the CEOs of partner companies brightened a little.

I talked about the current trend of the automobile market.

“We need to prepare for the transition to the electric car era in a few years. Instead of an engine and transmission, electric vehicles have a motor and a battery. The number of parts will be reduced by a third, and all the core parts will be changed as well.”

Electric vehicle production will be limited due to limited battery supply, but as we are building our own battery factories, we will be able to transition faster than competitors.

“Our company as well as our suppliers will have to adapt to the changes. In the future, we will share development plans and actively support technology and funds. All of you here are not just subcontractors that supply parts, but are important partners who will open up the future with Karos. I hope that we will continue to grow together.”

Next, Daryl came forward and explained the new car to be released in the second half of the year, and asked for help from business partners.

* * *

After the meeting with the CEOs of the subcontractors, this time I contacted the dealers.

Dealers are scattered across the United States, unlike suppliers, which are mainly clustered around the Rust Belt.

You must be busy with work, but I can’t tell you to fly to Detroit. So I sent an email.

It was similar to what I said to the bosses of partner companies.

Several large dealerships have already turned their backs on the last incident and have teamed up with other automakers. There were many cases where the existing dealers were unavoidable rather than left because they liked them. Perhaps if other places had offered good conditions, they would have changed sooner.

I announced the detailed plans for the new car launch, and promised to match the supply as my top priority partner.

In the future, like Nikola, they will start selling directly through the Internet, but that doesn’t mean they will completely exclude the dealers they have a relationship with.

Those who kept their loyalty until the end should be treated fairly.

* * *

This concludes my work in Detroit.

Meanwhile, in Korea, news came that OTK Company was holding an e-sports team OTK Magicians inauguration ceremony.

Senior Ki Hong took the place of the hermit otaku and led the founding ceremony.

Players with excellent skills already belonged to large e-sports teams or had fled to China, so they recruited second-team players or formed a team with players whose skills were not verified.

Netizens expressed concern that he would advance to the finals as a member, but… … Well, it doesn’t matter anyway, as it’s part of the vice president’s hobby.

It doesn’t really cost a lot of money.

I checked out of the hotel with Ellie and greeted the head office executives one by one.

I said shaking hands with Daryl.

“Please continue to work hard until the new car is released.”

“of course. I’ve told the lab, so when you go, I’ll be waiting for you.

“Yes. Then see you next time.”

My schedule in the US is not over yet.

I got on a plane to San Francisco with Ellie.