Since 1979 I have been in the tide of the times

Chapter 525 Preparations Before the Storm
Li Yueshi returned to Fushan to report to Wang Weidong that she went to Xiaobenzi to investigate the export of second-hand cars.

"I went to Xiaobenzi Country and had a detailed talk with the chairman of Autorec, and he welcomed us to buy second-hand cars in Xiaobenzi." Li Yueshi said.

Developed countries are now encouraging the export of waste household appliances, waste paper and plastics, and so on.

These things are very troublesome, and the process of processing will cause a lot of pollution. It is better to export them for money, and then re-import them after they are processed in poor countries.

When such junk products are exported, those developed countries even lower tariffs and provide subsidies.

The same is true for second-hand cars, which are not far from being scrapped. Exporting can not only generate income but also eliminate the pollution problem in the process of scrap iron and steel smelting.

Now Japanese steel companies are gradually reducing steel smelting output. Anyway, they hold shares in iron ore in Australia and Brazil, and they can make a lot of money by exporting iron ore to other countries.

"Autorec can export hundreds of cars every month, all of which have been strictly inspected, and there is absolutely no problem with the performance. Now the inventory is always kept at about [-] cars. If we purchase a large amount, they can temporarily increase the collection of cars. "Li Yueshi continued.

"I think this way, we can purchase a batch of high-end used cars worth seven to eight thousand or even ten thousand dollars. The remaining two-thirds are low-end cars worth two thousand or even more than 1000 dollars. Of course , but also to import dozens of large-displacement second-hand motorcycles! People in the big northern country like this kind of thing very much!" Wang Weidong said.

"I went to their garage and looked at the used cars they are keeping. The used cars worth more than 1000 dollars are all mileage of more than 30 to [-] kilometers, and the purchase time is more than ten years. But the performance is not bad, and there is absolutely no problem in driving it for two or three years. !” Li Yueshi said.

"That's enough, we don't make much money, and we sell it to them with a [-]% price increase!" Wang Weidong said.

"Boss, when are you going to Japan?" Li Yueshi asked.

"It's October now, and the seaport of Vladivostok is about to freeze, so we have to wait until March next year." Wang Weidong replied.

After talking about this matter, Wang Weidong asked about the fluctuation of the stock price of Red Star Beer.

From the beginning of [-], the Chinese stock market rose all the way until October, and the Shanghai Composite Index doubled.

The decision-makers felt that the stock market was overheated and began to suppress it.

Beginning in October, high-level executives successively issued the "Notice on Several Issues Concerning Regulating the Behavior of Listed Companies", "Administrative Measures for Stock Exchanges", and "Notice on Resolutely Stopping Overdrafts in Stock Issuance".

This is like a parent teaching a disobedient child and giving a severe reprimand.

But I didn't expect the child to become disobedient this time, not as docile as before.

The Shanghai Composite Index fell just 10%, then turned around and continued to rise.

"When the document was first released, Red Star Beer fell by two or three points, but it has risen again in the past few days, and it has risen by 12% from the original stock price." Li Yueshi replied.

"Miss Li, don't take this matter as a trivial matter! The three documents issued by the top management this time did not achieve the purpose of putting out the fire in the stock market. There must be other measures introduced in the future until the stock market turns from hot to cold." Wang Weidong said.

Li Yueshi didn't quite understand what Wang Weidong said.She grew up on Hong Kong Island, and what she studied in the UK is also the way of the free market.

Whether it is on Hong Kong Island or in the United Kingdom, the rise and fall of the stock market generally does not intervene, but adopts a laissez-faire attitude.

"After you return to the Shanghai stock market, you should immediately calculate whether there will be a risk of liquidation if the stock price of our Red Star Beer falls by 50%." Wang Weidong said.

If the stock price falls significantly, the value of the shares pledged against the bank will also decrease significantly.

In order to prevent their own losses, banks will require companies to increase collateral.However, if the value of all the shares in the hands of the shareholders who pledged the shares of the listed company is lower than the bank loan, the bank can only take compulsory measures, and the shareholders will lose control of the company.

"Boss, according to what you said, the stock price will fall by 50% in advance to carry out the stress test. This is really too high. I think [-]% or [-]% is enough." Li Yueshi said.

"No, at least 50%! We need to prepare sufficient funds in advance. When the stock price drops sharply, we will enter the market to buy the stock of Red Star Beer and drive up the stock price." Wang Weidong said.

"Okay, I'll do this when I get back." Li Yueshi said with some reluctance.

"Miss Li, not only Red Star Beer, Xiangyang Electronics, which is listed on Hong Kong Island, must also undergo such a stress test." Wang Weidong further asked.

"Stress test also based on a 50% drop?" Li Yueshi asked in surprise.

"Yes, be prepared!" Wang Weidong replied simply.

"Boss, are you too careful? Why did the stock price drop so much?" Li Yueshi said.

"Be careful that you won't die. If you are not careful, you won't die this time, and you will definitely die next time! You must do what I tell you meticulously." Wang Weidong instructed.

After seeing off Li Yueshi, Wang Weidong called Song Yu again.

"Xiaoyu, what happened to the matter I asked you to inquire about?" Wang Weidong asked.

"The effect of the document issued this time is not very obvious. The high-level government will issue policies at the end of October at the latest and November at the latest. How can the power of capital be the country's opponent? In the end, it will definitely lose! The current stock market will definitely be suppressed. Come down!" Song Yu said.

"I really hope that the document issued in October has taken effect. The stock market had better maintain a moderate state, otherwise the policies issued by high-level officials in the future will only become more violent!" Wang Weidong said.

"Of course, if you can't do Tai Chi, then use Dali Vajra Palm, and if you can't do Vajra Palm, then use Qishangquan!" Song Yu said on the phone.

Li Yueshi didn't understand, but people like Wang Weidong and Song Yu fully understood that in this country, power would never bow to capital.

Song Yu hung up Wang Weidong's call, then walked out of the Peony Garden, got into a car and drove to the city.

This time he went to Peony Garden to see the construction progress.Those 105 villas had already reached the closing stage, while the other villas only existed on the drawings. Wang Weidong, Song Yu and Ou Xiaoyang decided to postpone the construction period of Peony Garden as long as possible, the longer the better.

When Song Yu drove the car past the gate of the dance academy, he couldn't help but turned his head and glanced at the gate.

Before starting a business partnership with Wang Weidong, Ou Xiaoyang and the others, Song Yu, a little bee, often lingered around the dance academy.

Three or four young and beautiful girls passed by the car, their crisp laughter like silver bells.

One of the girls had shawl hair, a pair of bright big eyes, and an innocent smile on her snow-white face.

Song Yu couldn't help stepping on the brakes and looking back, he said to himself, "It's so beautiful!"

(End of this chapter)