Chapter 69 Expansion Purchase of Plastic Factory

"That's the theory, but let's not consider next year." Yang Wendong added: "We have made some progress in Japan now. I will try to open up the American market. That will be a bigger paradise."

In fact, Yang Wendong naturally knew that the American market was larger, but firstly, he did not have the relevant connections to connect with American distributors, and secondly, he also considered the production capacity. Although the structure of the mouse trap was simple, it was impossible to increase the production capacity many times within a few months.
Therefore, we should focus on developing the markets in Japan and the UK first. One can serve as a reference for Southeast Asia, and the other can serve as a reference for Europe and the Commonwealth. As long as we make achievements this year, it will be much easier next year.

Next, as long as there are no major problems in the Japanese and British markets, the Hong Kong factory will be busy enough in the next few months.

Su Yiyi nodded and said, "Then I'll find another warehouse with a larger area nearby and build the same one as here."

Yang Wendong said: "Yes, renting a warehouse doesn't cost much, just focus on completing the orders from Japan and the UK.

As long as we make enough money now to get through the winter and produce a little more inventory, we can get a huge return next year.”

In the past few months, relying on the rat extermination business at the docks, warehouses and the recent building, as well as the mousetrap board factory here, I have earned nearly 20,000 to 30,000 Hong Kong dollars in the past few months.

But although I earned a lot, I also spent a lot. The patents for mouse traps and fly traps in multiple countries around the world alone cost me thousands of Hong Kong dollars. In addition to factory operations, maintaining relationships with government departments (those who understand will understand), etc., I only have a little over 10,000 yuan left in my account now.

This amount of money was a huge sum for Yang Wendong in the past, and he could easily buy a nice house in Hong Kong Island.

But it is still not enough for his current career ambition. You know, when Li Jiacheng started his business more than ten years ago, he still needed 5 yuan.

Su Yiyi smiled and said, "I understand. No matter what happens in the future, let's make sure we are full now, so that we won't starve to death when we are hungry later."

"Smart." Yang Wendong nodded and said, "But during this period, I am also using some connections to see if I can get some channels in Southeast Asia. Otherwise, the whole factory will only have money coming in and nothing going out in the winter, and life will be difficult. I don't want to lay off employees."

"Yeah." Su Yiyi nodded obediently. He understood his brother Dong's thoughts, because everyone knew that hundreds of people in the factory now rely on this job to support their families.

"Knock knock knock~" There was a knock on the door.

Yang Wendong saw that it was Zhao Liming, so he smiled and said, "Just come over and tell me, why are you knocking on the door?"

"That won't do, Brother Dong, you are the boss, I have to give you a little reminder." Zhao Liming said with a smile after walking up to him.

Yang Wendong asked: "What's the matter? Is there any problem with production?"

Zhao Liming said: "Not yet. Now there are more things to do, so I started the night shift. The production capacity has increased by about 70%, which is enough to cope with it for a while.

Sister Yiyi also knows that I am going to look for a place nearby, and I will decide whether to rent it or not depending on the situation. Anyway, our production is relatively simple."

"Well, okay, I'll leave the production to you. There are more and more people now, so it must be more difficult to manage, right?" Yang Wendong said with a smile.

Zhao Liming nodded and said, "Yes, more than a hundred people, it's a headache for me to manage them. Fortunately, Brother Dong let me delegate power and find ten team leaders."

Yang Wendong said: "It is only a matter of time before we delegate power, otherwise we will be too busy."

In the short term, Yang Wendong has not thought about finding high-quality talents to manage the factory. First, it is difficult to find good talents in a small workshop like his own; second, many bosses of small factories in this era are illiterate. Therefore, if he imparts some management experience from his previous life and occasionally asks about it, and the factory's products are very simple, there will be no problem.

"Brother Dong is right." Zhao Liming added, "Oh, I almost forgot something. Li Hongxing, the owner of Hongxing Plastic Factory, told me that he is planning to quit and asked if we would like to buy his factory?"

"Quit? What does that mean? He doesn't want to run the factory anymore?" Yang Wendong asked curiously.

Zhao Liming said: "Yes, it seems that his son graduated from university and joined the Jardine Matheson Group. His family also bought a house on Hong Kong Island, so they didn't want to continue running the factory.

Li Hongxing meant that if we wanted his factory, he would sell it to us at a suitable price. If we didn’t want it, he would sell it to someone else. But if he couldn’t sell it in a short period of time, he might just close it, which would affect our supply of raw materials.”

"It's amazing that old Li's son actually joined Jardine Matheson and is a college student." Yang Wendong smiled.

There were very few college students in Hong Kong at that time, and being able to join Jardine Matheson was the dream of many people, just like the Koreans who wanted to join Samsung decades later.

Zhao Liming also said: "Yes, I heard that Li Hongxing worked hard to train him. It seems that his salary is now over a thousand yuan a month, and the benefits are also very good."

Yang Wendong thought for a moment and said, "We are in a hurry to supply the mouse traps, so there can't be any problems on his side. Let's go and talk. Let's prepare some small gifts and go to congratulate him."

"Okay." Zhao Liming smiled and said, "I have to find a suitable little gift."

That afternoon, the two arrived at Hongxing Plastic Factory, and Li Hongxing naturally greeted them in person.

After the three of them chatted for a while, Yang Wendong said, "Mr. Li, since you are planning to retire and enjoy a peaceful life, I can also consider taking over your factory. How about negotiating a price?"

Li Hongxing said with a smile: "Okay, Mr. Yang is a straightforward person, so I will give you a direct quote of 6000 yuan, and I will give you the whole factory."

"6000? Isn't this too expensive?" Yang Wendong was stunned. Just these few broken devices, and they dared to sell them for 6000?

Li Hongxing said: "Haha, Mr. Yang, my equipment is certainly not valuable, but this land..."

"Is this land yours?" Yang Wendong understood immediately. No wonder he dared to offer such a high price.

The economy of Tsim Sha Tsui is average now, and their current location is even more remote. The building is also relatively old and leaks when it rains. It is not as good as the warehouse that Yang Wendong rents now.

But there is at least a piece of flat land of about 6000 to square feet. A small old factory like this can earn to yuan a year if rented out. If it is sold for , the price is about right.

PS: According to historical records, Li Jiacheng made tens of millions from plastic flowers in the three years from 58 to 60, an average of 7000 to per month, which was almost the profit of the largest factory in Hong Kong at the time (with employees at its peak).

So don’t think that the protagonist’s net profit of tens of thousands in a few months is very little. In that era, money was very valuable.

(End of this chapter)

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