I decided to advance into electronic products and started thinking about what to make in earnest.

However, this is not as easy as you might think.

“…This isn’t something that can be done by just heading to the ground.”

Unlike shoes, which can be cut and made with just the fabric, plastic molding to fit the product is also required, and there are surprisingly many small stumbling blocks such as board design.

So, just like I took over Kim Deok-bae’s factory, I looked for small home appliance companies that could be acquired…

“Really, how did you all die like this?”

At least Made in Korea.

And, unlike shoe factories that were somehow continuing their business through custom-made manufacturing, Korea’s small home appliances are made with their own brand and reputation, except for mid-sized companies and above.

Even that, most of the factories were in China, not Korea, so there were virtually no small home appliance companies in Korea.

“What do we do?”

Of course, it doesn’t require very difficult skills, so if you hire a few people in related fields and have them do research, you won’t be able to make anything like that.

Even those well-known conglomerates often find chronic diseases in new products created through repeated research, not to mention Seron, which has no underlying technology.

So I was thinking about the simplest takeover, but I couldn’t help but be embarrassed because there was no company that I could take over.

I thought about it for a while and said.

“How did China first start?”

Think of China, a byword for low-end products and a role model and competitor for my business.

“A cheap product of low quality. And… ah!”

fake.

China produces counterfeit products and builds technology based on them to reach today’s position.

“okay. Originals are not always the answer.”

I’m not trying to make the best electronic products that are second to none in the world.

It’s just that the performance is similar to the others, but the price is overwhelmingly low.

Then, instead of developing our own clumsily, shouldn’t we just make another product that has already been proven?

Even so, it is obvious that taking and copying any product without permission, like in China, will not be good even in Korea, let alone my conscience.

I left the office and called Deokbae Kim, who was busy working for a while.

“Chairman Kim!”

Then, Deokbae Kim said with an absurd expression.

“You’re the president.”

“Since you are the president of the association, you are the president.”

“President… can’t you just call me the way it was?”

“hahahaha.”

Just kidding about this.

“Chief Kim, is there a 1,000won shop and a large mart around here?”

“yes. Do you need anything?”

“Send the staff to buy every electronic product there, one by one. ah! They tell me to pick out electronic products sold on the Internet that look good for less than 50,000 won and order them.”

*

Jinli Wang, president of Inchu Electronics in Shenzhen, China.

The main product produced by Inchu Electronics is headsets, and it was a solid small business with millions of dollars in annual exports alone.

But one day, a man came to me claiming to be the manager of a Korean company.

“Nice to meet you. This is Manager Ahn.”

“Are you good at Chinese?”

“yes. I am from China studying abroad. hahahaha.”

“Ah, yes. I was surprised anyway.”

Wang Jin-ri shook his head and said.

“You want us to sell you a license. This is my first request.”

I’ve heard of trading licenses for famous electronic products, but trying to buy headsets from these small and medium-sized businesses, and licenses for all models that are considering discontinued models, not the latest ones.

“What did he say? What is the company name?”

Director Ahn said with a smile.

“It’s called SR electrons. This is a newly founded electronics company at the head office.”

“Do you have a separate headquarters?”

“It’s called Seron, but you wouldn’t know it even if you heard it. Because it is a company that has nothing to do with this side.”

A company name that you may or may not have heard of.

“Anyway, SR Electronics is a completely new company with a factory built in Korea, so the lineup is very poor. So, in order to quickly settle in the market, we are in the process of strengthening our lineup by purchasing a license with investment from the head office.”

A reasonable reason to buy a license.

However, Wang Jin-ri couldn’t help but feel the absurdity of only one word, not the reason.

“korea? wait for a sec. So, are you saying that you are going to make headsets in Korea?”

“you’re right.”

Wang Jin-ri said with a puzzled expression.

“Will the unit price be right by producing it in Korea?”

“That’s what I don’t know, that’s what the boss thinks.”

“I’m so crazy about this.”

Unless it is a high value-added product that builds an almost perfect autonomous production line like a semiconductor, the price of electronic products is unconditionally influenced by labor costs.

However, a new company, not a famous brand that can be trusted regardless of price, sets up a factory in Korea.

“Anyway, what our SR requires is the right to manufacture products, complete technology transfer, and overseas export rights.”

“Do you export too?”

Of course, I wonder how much it would sell if Korean headsets were sold, and it was an old model that was about to be discontinued, but no one was happy that the product made in the company was coming out as a competitor.

Wang Jin-ri said with a determined expression.

“I don’t want to increase the number of competitors. Even if it’s not, the competition is fierce, and even if they make the same product as us…”

“A lump sum of $700,000.”

At those words, Wang Jin-ri stunned and said.

“Seventy thousand dollars?”

Wang Jin-ri’s company exports millions of dollars a year, but due to the nature of the manufacturing industry, its annual net profit is only less than 400,000 dollars.

However, with a model license that is about to be discontinued, it gives net profits close to 2 years at once?

Wang Jin-ri’s pupils shook violently.

“In addition, we plan to purchase all the machines currently used in the production of old models at the factory and send them to Korea. We will give you 1.5 times the normal used price.”

Even used machines that should be disposed of due to discontinuation are bought at 1.5 times the price.

“Ummm…”

“Honestly, I don’t want an opportunity like this to come again. How are you?”

Then Wang Jin-ri thought for a while and said.

“Still, it’s a product that I developed with great care and attention to detail, but $700,000 is a bit…”

Wang Jin-ri, who suddenly comes out of no money as a lack of money.

“One million dollars. No more.”

“Would you like to spend a little more while you are writing?”

“If you’re too greedy, I’ll just find another company.”

At Ahn’s words, Wang Jin-ri cleared his throat and said.

“Hmmm. That model still exported 2 million dollars worth of exports this year alone, but even though it is planned to be discontinued, only 1 million dollars…”

Then, manager Ahn stood up from his seat and said.

“I can’t help it because we don’t agree with each other. I’ll see you next time I have another good opportunity. I’m done then…”

Then Wang Jin-ri hurriedly stood up and said.

“oh my. What are you so impatient about! now.”

Wang Jin-ri took out a cigarette and handed it to him.

“Let’s talk slowly while smoking a cigarette.”

Then, manager Ahn shook his head and said.

“Because I don’t smoke.”

“Is that so? Anyway, you said $1 million, right?”

“yes.”

“Is it only produced in Korea? Logo and model name?”

“Of course, we will only produce in Korea, and we will of course use our own logo on the logo and use our own model name. If you want, I can specify it in the contract.”

Jinri Wang thought.

‘This is a complete piece of money. Although the old model is slightly inferior to the new one, the design is completely different, and we aren’t doing business with loyal customers anyway, are we?’

To be honest, I like the old one and the new one, but the two perform similar functions, but they are practically different from each other.

In addition, if there are loyal customers and there are people who insist only on Inchu Electronics’ products, the old ones will eat away at the sales of the new ones.

I just list a bunch of entry-level headsets in a similar price range and pick out the ones that look good in price and design.

In other words, even if the old model was handed over to SR, Inchu Electronics would add one of its old headsets to the competing lineup of many entry-level headsets, nothing more or less.

Even with the condition that it is made only in Korea, the price competitiveness is rather better because it is clear that the company’s new model will be superior.

‘okay. It’s going to be discontinued anyway, so it’s much more profitable to wash the last sweet water and invest in equipment with it.’

Wang Jin-ri, who finally made up her mind, nodded and said.

“great. I will make a contract.”

At that, Ahn nodded and said.

“Good idea. ah. Also, when you make headsets, do you receive delivery from other factories?”

“ah. what is it. Everything else is made here, but speakers are delivered from a nearby factory.”

Then, manager Ahn smiled brightly and said.

“Then could you introduce me to that factory?”

*

Ahn, who was in charge of a mid-sized company’s Chinese subsidiary, was honorably retired.

After recruiting Ahn through Deok-bae Kim’s introduction, I appointed Ahn as the manager of the newly created SR Electronics. After selecting a product I liked on the Internet or at a mart, I went to the product manufacturer to buy a license.

It has become obsolete with the release of a new model and is about to be discontinued, but there is no hindrance to actual use, and at the same time, mainly products that have been verified in the market.

In a word, it was like buying the time needed to create a new product, such as trial and error and development research, with money.

“This is a win-win for both of us.”

I like to secure production items at a lower price than the cost of acquiring a factory, and I like the company that sold the license because it made money in advance.

In any case, if the licensed product is mass-produced at an ultra-low price and distributed indiscriminately, the entire low-end market is bound to be shaken.

In such a situation, how nice it is to have paid a considerable amount of money in advance for the license.

Of course, it would be best for them to prevent me from entering the market without anyone selling me a license, but that’s impossible.

There is no business in front of money, so even if a few refused, someone out of the many candidates would have sold the license in the end.

And this was the reason I put the name of Seron on the front from the beginning.

The name of Seron is still known only in Korea and the shoe industry, so I think I might not know it, but even if I knew it, I was confident that one of the numerous companies would have passed.

anyway.

I smiled and said, looking at the used machines that were shipped from China.

“After all, money is the best.”

After spending money, SR Electronics, which was in a blank state, is lined up with product lineups that are outdated but have proven performance and sales.

In addition, SR Electronics has become a comprehensive electronics company in name and reality as it purchases licenses for parts used in the product and produces them directly.

In fact, as a common sense, directly producing parts of a product is very, very inefficient in terms of cost-effectiveness.

Inchu Electronics, which only needs speakers for headsets, makes only a small amount of speakers for its own use, or a company that makes a large amount of speakers to supply to all kinds of companies. It was obvious which speaker would be cheaper.

So, most companies have a thorough division of labor in a way that each company selects its areas of expertise and lowers prices through mass production.

But SR is different.

In the first place, since they are aiming for ultra-low-cost mass production, the quantity is sufficient, and considering Skeleton’s advantages of zero labor cost and extreme hybrid, it is possible to produce speakers at a cheaper price than a professional speaker manufacturer.

Of course, the cost performance of the final product to be produced by extracting the cost performance from each basic component and saving the margins to be given to the subcontractor factory is truly the best.

It was a business method that only those who had a skeleton could do.

At that time, team leader Baek Sang-ho, who was waiting, approached and said.

“CEO, Chinese technicians are arriving soon.”

Chinese technicians who come to teach us how to operate the machine and how to produce it.

“Team Leader Baek read it carefully and memorize it. Especially these machines.”

I said in a quiet voice.

“You have to keep an eye on how it works while using it as an excuse to maintain it.”

I need to make something similar with a skeleton later.

Baek Sang-ho said with a firm expression.

“All right!”

“Then I only trust Team Leader Baek.”

I left the factory after entrusting the work to Baek Sang-ho.

I said with a bright smile.

“Aiming overseas with Chinese copy products. Are you perfect?”

Until technology and know-how are accumulated, they buy licenses and make products using financial power as a weapon.

Just as China has accumulated technology with illegal copy products.

“uh? But wait. Anyway, these aren’t made in Korea at all.”

I was reluctant to enter the domestic market because I was concerned that factories in Korea would suffer because of me, resulting in a large number of jobless people.

However, it is safe to say that these small home appliances have been wiped out to the extent that Korean small and medium-sized enterprises were embarrassed because there was no company to acquire them, except for a few well-known brands.

In other words, none of the competing companies for the entry-level product that I bought a license for were from Korea.

Of course, importers of Chinese electronic products may complain, but if importers want to make money, they can just import other products, so I don’t have to worry about that either, right?

After thinking for a while, I smiled and said.

“Let’s start with the Korean market.”

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