The Amazing son in law Chapter 6794

The An family quickly grew intrigued by Hank’s perspectives.

For Anjia, their focus on vehicle manufacturing and power batteries isn’t primarily about profit. Their aim is to invest in China’s manufacturing sector to foster its growth and development.

However, Hank’s insights opened their eyes to new possibilities.

If this sector could evolve into a powerhouse similar to Tesla, the potential business opportunities and profits would be significant. The positive impact it could have on China’s manufacturing landscape and local automotive supply chains would be monumental.

The main distinction between manufacturing giants and tech giants lies in their business strategies. Tech companies often aim for monopoly status, aggressively pursuing dominance while initially offering low prices and heavy subsidies to attract users. Once they’ve secured a large customer base, they tend to raise prices and maximize profits without hesitation.

For instance, a few years back, a passenger might have paid only five yuan for a ten-kilometer ride, with the driver earning ten yuan. Now, that same ride costs around thirty yuan for the passenger, while the driver sees just eight yuan.

Additionally, internet firms typically operate with minimal staff, maximizing output and profits by squeezing both suppliers and consumers.

In contrast, manufacturing giants contribute significantly to the entire industrial ecosystem.

A car manufacturing company employing 10,000 people not only provides those jobs directly but also creates numerous additional positions in upstream steel and aluminum mills, as well as in the transportation of materials. It supports a vast network of large, medium, and small businesses that supply parts. This ripple effect is incredibly powerful.

Across China and even globally, the economic backbone of many cities hinges on large-scale manufacturing, much like Toyota City in Japan, where nearly 400,000 residents are connected to Toyota Motor. The company itself employs over 300,000 people worldwide, and when including its supply chain, it generates at least a million jobs.

Such manufacturing titans can uplift millions within the industrial chain, rather than relentlessly cutting into profits and livelihoods.

Currently, domestic production of new energy vehicles has surpassed 90%. If a leading new energy vehicle manufacturer could be established, the generated value could reinvest in driving the growth of related domestic industries.

This potential ignited enthusiasm among everyone present, especially Charlie Wade, who remarked, “I have ample cash available. Raising hundreds of billions of US dollars wouldn’t be a challenge. Uncle Hank, what’s your take on running this venture with the highest chance of success?”

Hank replied, “You don’t need such a large sum. Two to three billion US dollars would suffice. Regarding the success rate, I believe our focus should be on overtaking competitors. Even when compared to traditional fuel vehicle firms, we currently find ourselves in the fifth or sixth tier within the new energy sector. Simply catching up to our peers will be quite a challenge.”

Homula inquired, “Professor Hank, how do you propose we achieve this ‘overtaking on a curve’? What does that concept entail?”

Hank paused for a moment, gathered his thoughts, and clarified: “My interpretation of overtaking on a curve isn’t merely about navigating a curve but involves taking shortcuts across the entire course—choosing paths that others haven’t explored or even unexpected routes to reach the finish line more swiftly.”

“For example, when it comes to domestic new energy vehicles, we’ve historically lagged behind Europe, America, Japan, and South Korea concerning fuel engines. No matter our efforts, we’ve always been a step behind. However, in the realm of new energy vehicles, we can flip the script. If we can’t produce engines that rival theirs, then let’s steer clear of engine production altogether. You’ve spent decades mastering internal combustion engines, yet you struggle with motors. I’ll seize the opportunity to dive into electric drives while you’re preoccupied, allowing me to gain a lead in new energy. When I establish dominance, you’ll lament your years spent with internal combustion engines while I’ve moved on. Why? Because I’ve shifted away from your game entirely.”

“It’s akin to a martial arts expert who has honed swordsmanship during the era of cold weapons. After 30 years of practice, you believe you’re unbeatable. However, I craft a musket in a year and a half, capable of taking you down with just one shot. Your decades of experience mean nothing in that scenario.”