A Man of Science and Engineering in Troubled Times Wandering in the Late Qing Dynasty

Chapter 584 Investing in Shares

Regardless of war or business war, the psychological game of decision-makers is often crucial and will greatly affect the strategic layout. During the three major battles, our army's top brass accurately understood the psychology of Chiang Kai-shek and a group of "suppressor generals" and played them around.

Always think one step more than the opponent, it would be weird if you don't win.

Although a person like Goto Shinpei is a formidable opponent, he is purely evil, so he has opportunities to take advantage of him.

He has great ambitions. He not only wants to be a railway engineer, but also dreams of being the so-called "King of Manchuria". The railway is just a chess piece in his hands.

Li Yu said to Zou Rong: "Now the Northeast region is essentially under our control. The Japanese were severely damaged in the Russo-Japanese War and are currently unable to get involved in the Northeast. Therefore, their strategy is to use commercial means to expand their influence in the Northeast as much as possible. At the same time, it obtains more resources and funds. In order to facilitate plunder, the Manchuria Railway Co., Ltd. uses the latest American technology when building new railways, and even the sleepers are imported from the United States."

Yao Hongye sighed: "The railway is also our lifeblood and must be repaired."

Li Yu continued: "Japan is short of resources and can only plunder Northeastern resources through the railway. According to Goto Shinpei's plan, they will develop industries including tourism, hotels, logistics, brothels and other industries in cities along the railway."

Zou Rong asked: "Goto and Mantetsu are so large, how can they operate so many industries?"

"Of course they can't do it. They must rely on several major chaebols in Japan," Li Yu said. "Especially the Mitsui Zaibatsu. They are also involved in many industries, and they are all important industries related to logistics and infrastructure."

Zou Rong and Yao Hongye were both smart. In fact, they had already guessed what Li Yu wanted to do. They just thought it was difficult, so they worried: "The Japanese are very cautious. If we enter rashly, we may be alert."

"It will definitely be necessary," Li Yu said, "You have to be prepared. When you have enough shares in the future, I can give you an important position in Manchuria Railway, at least at the level of vice president."

"That's it," Li Yu said, "the four major chaebols will never have trouble with money, because their purpose is to make money. Those duplicitous Japanese congressmen are also after money."

"And you are a high-level commercial spy," Li Yu said solemnly, "This is not a simple task, but it is crucial. What you do may affect the daily lives of hundreds of thousands of people. For those who are struggling on the line of life and death, For people, getting a few more bags of food can make all the difference."

Zou Rong said: "This kind of brain-consuming and troublesome thing feels more difficult than making a revolution."

Li Yu said: "Practice brings true knowledge. This is a long-term latent process, and you can learn it slowly."

"I'm afraid of people with bad intentions," Zou Rong said. "When Li Hongzhang and Li Zhongtang came to Japan to sign the Treaty of Shimonoseki, they were assassinated. There are many crazy people in Japan."

Zou Rong opened his mouth wide, feeling that the pressure was so great that it was difficult to breathe: "I'm afraid of such a heavy... task..."

Yao Hongye said with a smile: "Maybe Brother Zou will be a rich man in the Northeast by then."

Zou Rong said: "Then do we still have to enter the Manchurian Railway?"

Yao Hongye is more interested in the economy: "Holding the money bag means holding it within seven inches."

"The Japanese have always been afraid of Europeans and Americans, and it is good to have Americans come forward," Zou Rong said. "But how can we carry out follow-up actions if we don't participate in the industry?"

"You just want to be a decent and wealthy man," Li Yu said. "And I believe that you will not lose yourself. This is the most common situation for espionage officers who have been dormant for a long time."

Li Yu said: "So in the future, I will first let Mr. David Buick come forward to slowly build an invisible economic empire in Japan and will not be too involved in the industry."

There were even beads of sweat on Zou Rong's head: "If I had known better, I would have learned some espionage courses."

Li Yu laughed and said: "You think too highly of the four major chaebols. They are all businessmen. They can't afford to be early without profit. As long as they can make money, they can do anything."

Li Yu said: "No matter what kind of enterprise, the core must be capital, or more advanced, finance. As long as there is a sufficient share of equity and capital, anything can be said."

Li Yu was very reassured about them, "The funds we rescued from the Japanese will return to the country, but we have to use some very secretive methods. This is a major event that benefits all people."

Li Yu said: "Don't be afraid, you have my backing and support. Keep a low profile at the beginning, and treat yourself as a Japanese businessman who is unscrupulous for profit. After you are completely familiar with the situation of the Manchuria Railway, you can do other things."

The four major chaebols later basically gathered around banks.

Zou Rong said: "You mean, you want me to be a spy?"

Zou Rong said frankly: "I have already died once. No one can make me lose except the King of Hell."

Yao Hongye said excitedly: “But it’s very challenging.”

Zou Rong also clenched his fist and said: "At least we must earn back the 2 million taels of silver from the Treaty of Shimonoseki!"

Li Yu said: "I like your determination."

Zou Rong asked again: "Mr. Li Yu, what kind of subordinates does Goto Shinpei prefer?"

Li Yu said: “From the Japanese recruitment documents, Goto’s requirements are for low-key and thoughtful people, rather than people who strive for fame and profit; and it is best to be diplomatic and not stubborn; and at the same time have strong energy. "

Yao Hongye said: "It sounds like a perfect match for Brother Zou."

Zou Rong smiled and said, "It's really tailor-made."

Li Yu put it more nicely. In fact, the concept of talent among early Japanese entrepreneurs was very simple. They wanted a group of ruthless talents who were not afraid of hardship and death for their work. Goto Shinpei himself once said: "We have no intellectuals here, none."

It's a bit like the "wolf-like" culture of later generations...

Anyway, we can see what kind of company Mantetsu is.

Whatever it takes!

The key is that Manchuria Railway Company is still Japan's absolute pillar enterprise in the Northeast region.

Li Yu said: "At present, after several years of operation under Goto Shinpei, the Manchuria Railway Company has basically established a complete organizational structure, which is roughly divided into the General Affairs Department, the Transportation Department, the Mining Department and the Administration Department. The most noteworthy is the General Affairs Department With the Ministry of Mines. To put it bluntly, the Ministry of Mines is a secret service agency, and they are responsible for investigating the resource situation in the entire Northeast."

Later, this special agency also conducted open or latent reconnaissance in Mongolia, Yanbian and other places in China, and provided strong assistance to Japan's invasion of China.

Zou Rong said: "You mean it's best for me to get information from the Ministry of Mines?"

Li Yu nodded: "Everything must be done in secret."

Zou Rong said: "I understand."

Li Yu said: "During this period, you are in Japan, waiting for my arrangements. As for Hongye, you will stay in Japan most of the time, taking care of each other inside and outside."

Yao Hongye said: "I will never mess things up."

Li Yu gave them reassurance: "As long as I'm here, don't worry about anything. Just wait for me for a few days, and I'll go with Mr. David Buick to meet with the big shopkeeper of Mitsui."

-

A few months ago, the Mitsui Zaibatsu had just gone through a personnel change. The previous Mitsui boss, Takashi Masuda, took the initiative to resign, and Dan Takuma was appointed as the boss (the written word is general director).

Masuda Takashi himself served as a consultant (consultant).

However, in the past few years, it was Masuda Takashi who actually had the decision-making power. "Advisor" is a position with Japanese characteristics. It is different from chairman or CEO. It is like the chief promoter behind the scenes, or it can be simply understood as "the emperor".

Similar situations have emerged one after another in Japanese history, such as the "Guanbai" (regent) served by Toyotomi Hideyoshi, and Japanese companies have also inherited this system.

So Li Yu went directly to see Masuda Takashi.

This guy is quite happy after retirement, drinking tea and chatting with some celebrities every day.

Li Yu met Masuda Takashi in his tea room, and he was slowly tasting a bowl of matcha.

Masuda Takashi asked Li Yu to sit next to him. Li Yu had already adapted to the kneeling posture, but David Buick felt very uncomfortable.

Li Yu got straight to the point: "Mr. Masuda, after many years of cooperation, we have developed mutual trust. If Mitsui Group wants to develop a larger market, it will definitely need funds, and we can provide support in this regard."

Masuda Takashi asked: "What are the conditions?"

Li Yu said: "We want to invest in First National Bank and Mitsui & Co."

Masuda Takashi's hands trembled slightly. This is the core business of the Mitsui Zaibatsu, so he asked: "Where do the funds come from?"

Li Yu said: "The United States."

David Buick immediately said: "We can also help you open up business channels in the United States. Not only the United States, but also rice, rubber, etc. from the Philippines."

Masuda Takashi rubbed the pottery bowl in his hand. He was very moved by what Li Yu and David Buick said. Japan has been afraid of the United States for so many years, and since the Russo-Japanese War, Japan has accumulated high national debt, and its largest creditor is the United States, so they are not surprised by funds from the United States.

The most important thing is to obtain Japan's scarce raw materials and allow them to sell the goods. Japan only has a small market and there is simply not enough to eat.

Masuda Takashi cautiously asked again: "Are you sure you can do it?"

Li Yu said: "I have a good relationship with the Morgan family. Even if your goods cannot open the US market, at least you can get enough financial support."

Of course, Masuda Takashi knew the strength of the other party. He took a sip of tea and said, "You can buy shares, but you can't get voting rights."

Li Yu didn't want voting rights at all. His biggest goal was to become a shareholder, so he readily agreed: "I accept."

Masuda Takashi thought for a moment and couldn't think of anything he could lose. It was all a gain no matter how he calculated it.

Li Yu added in a timely manner: "Mr. Yitian, rest assured that this kind of financial transaction will not make the mistakes of Siemens before."

The reason why Masuda Takashi resigned was because of the "Siemens incident."

At that time, Siemens bribed the Japanese Navy to buy its own equipment; later, a British shipbuilding company also bribed the Japanese Navy to sell one of its warships to the Japanese Navy.

In both transactions, Mitsui was involved and received huge kickbacks. As a result, an employee didn't know whether he was drunk or something, and bragged about it to a Reuters reporter, which led to the incident being exposed.

To be honest, the Japanese people have long been dissatisfied with the four major chaebols, and public opinion suddenly went into an uproar, unanimously condemning the Mitsui Zaibatsu.

However, Masuda Takashi is an old fox. He rubbed the soles of his feet and retired before the incident broke out. He was not involved in it.

Masuda Takashi said: "Mr. Li Yu, I have to admire your ability. It is said that Mr. Edison in the United States can continue to create brilliance in science and success in business. I don't understand science, but in In my opinion, your business achievements are definitely far greater than Mr. Edison's."

Li Yu thought to himself, you are quite good at flattering, no wonder you have been the boss of Mitsui for so many years.

Li Yu pretended to be very happy and said: "Thank you Mr. Masuda for the compliment, but I am still far from you in business."

After a business exchange, Masuda Takashi felt very comfortable: "I will contact the Prime Minister in the next two days to obtain the official authorization document within the company."

This kind of thing of only buying equity without participating in decision-making is quite common in later generations. For example, Geely holds about 10% of the equity of Daimler Group and is the major shareholder. But they cannot participate in the company's daily decision-making and only participate in profit dividends.

This is what Li Yu wants. How can he have time to care about the trivial matters in the operations of the Mitsui Zaibatsu?

Moreover, according to the Japanese chaebol's operating model, even the major shareholders cannot have the final say. It all depends on the actual controllers such as the big shopkeepers.

Li Yu asked: "How about we get 15% of the shares now?"

This is a small but not small number. Masuda Takashi said: "The current capital of Mitsui & Co., Ltd. and First Bank is as high as 2000 million yen. 15% is 300 million yen. Can you get it at once?"

The current Japanese yen is quite valuable, 300 million yen is almost 150 million US dollars.

This is the time to show strength. Li Yu said: "If we weren't worried that you were afraid that we would have annexation ideas, 50% would be easy."

Masuda Takashi was shocked: "It is indeed a top company on Wall Street!"

Li Yu said: "We will jointly establish LY Asset Management Company with Citibank in the United States, with Mr. David Buick as president, who will then be responsible for connecting with your company."

Masuda Takashi said: "I once drove an imported Buick car. I have great respect for you sir. I am honored to be able to cooperate with you."

Li Yu leaned over and said: "In the first five years, 3 points of the profits of LY Asset Management Company will be donated to Mr."

Masuda Takashi burst into laughter and almost couldn't control it. After calming down his mind, he said: "Sir, you are so good at business!"

Li Yu laughed loudly: "It's a pity that the tea in front of me is tea, not wine."

As expected, money can make all the difference, and anything that can be solved with money is nothing.

Now is the best time to invest in Japan's four major chaebols. First, their capital is not huge, and they can obtain a large enough equity at a very small price. Later, they can slowly increase their equity share through various complex holding relationships. However, Generally speaking, 30% is enough;

Secondly, the four major chaebols now want to expand, and expansion requires money, and they all happen to be short of money.

During the four years of World War I, the four major chaebols expanded, annexed, and grew wildly in Japan, and received a large amount of subsidies from Japanese government bonds.

Li Yu can earn as much as he owns from it. Of course, if he adds some financial means such as leverage, he can earn even more.

That would be equivalent to secretly turning the Japanese government's debt into its own profits and plundering the Japanese government's wool.

The four major chaebols are actually doing the same thing.

But Li Yu didn't just want to make some money.

(End of this chapter)