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Chapter 1191 The Era of Technological Monopoly (Second update, please subscribe)

The Olympic Games were in full swing outside, but in the conference room of Nanyang Paper, laughter continued.

With the signing of the contract, Max became a strategic partner of Nanhai Paper. At this time, Max was full of ambition and wanted to make a difference in the fresh milk market. With the support of Tetra Pak, it extended the shelf life of milk from a few hours to a few months and made efforts in the ambient temperature milk market.

Nanhai Paper sees the U.S. dairy market as a rudimentary market with huge potential, and even a global market.

After Nanhai Paper signed the contract with its first strategic partner, Liang Yong looked at the contract in his hand in the company's office with a faint smile on his face.

Looking at the smiling manager, Sun Changyue thought for a moment and asked:
"Manager, there is one thing I don't quite understand."

"You said."

"As we all know, fresh milk is mainly packaged in traditional glass bottles and has a short shelf life, which limits the sales radius of local milk brands and makes it difficult for them to expand to more distant areas and for enterprises to expand. Therefore, there are no big brands in the milk market. Why don't we enter this market? Or, in other words, why don't we support Nanyang enterprises like Pigeon to enter this market, but support outsiders instead?"

In response to the assistant's question, Liang Yong said:

"Can Nanyang companies like Pigeon control the entire world's milk market?"

Faced with such a rhetorical question, Sun Changyue was silent for a moment, then shook his head and said:
"This is obviously impossible. Most milk companies have their own farms. In any case, there will be a large number of brands in this market, especially some local brands, which have much higher local recognition than foreign brands."

"So, Pigeon can only control a part of the market, and this is something that cannot be changed. What about us?"

Liang Yong smiled and said:

"We want the global market. Every Tetra Pak in the world is provided by us. Of course, others can also provide Tetra Pak. But it is difficult. First of all, the cost of building a production line is very high, and ordinary companies cannot afford it. Secondly, it involves patent issues. Tetra Pak has more than 5000 patents from packaging to filling lines. If you are not careful, you will infringe the patents. The price is very heavy. After all, we have the best patent lawyers in the world."

The "we" Liang Yong mentioned is of course Nanyang. Nanyang has spared no effort in protecting corporate patents. It has even set up special agencies in the United States and the United Kingdom to handle patent lawsuits. In the past ten years, they have fought many patent infringement lawsuits.

In fact, compared to many countries, the United Kingdom and the United States are the countries that pay the most attention to patents, and they are very fair in patent lawsuits. This fairness is fairness in the "legal" sense, because they need this fairness to protect themselves.

After all, the United Kingdom and the United States are the world's largest patent holders. If their courts in a patent case, because the patent holder is a foreigner, they will turn black and white and ignore the other party's patent rights.

The cost would be the collapse of the entire patent judicial system. After all, both the United Kingdom and the United States are based on case law. As long as there is a precedent that legalizes infringement, all subsequent corporate patents will not be protected.

For the United Kingdom and the United States, patent law is the fundamental basis for maintaining their innovation, and no one dares to touch this foundation.

Even during World War II, when the country was facing life and death, all Washington could do was to coordinate companies to open their patents to each other, but this was limited to the war period.

Moreover, a series of patent lawsuits were triggered after the war. After all, those companies that produced and designed products during the war would inevitably use other companies' patents, which brought about a series of problems.

In short, patents are important!

It is more important to be able to fight patent lawsuits. After all, the most common way for foreign big companies to usurp patents is to drag out the other party through long lawsuits until the other party is willing to settle or make concessions. It can even be dragged until the patent expires. As for the possibility of "Pizza Hut", it rarely occurs. After all, lawyers have the opportunity to bear the blame. Why should judges take the lead and make themselves a joke in the entire legal community, affecting their personal future?

That is why Nanyang has a professional team of patent lawyers. The team includes lawyers trained by Nanyang itself as well as patent lawyers from the United States and the United Kingdom. Their responsibility is to protect the patent rights of Nanyang companies.

They have indeed fulfilled this responsibility over the years, allowing the whole world to witness the strength of Nanyang's patent legal team.

Therefore, when it comes to patent lawsuits, companies in Nanyang are never worried because they have the national team behind them.

"This is the benefit of technological monopoly. Fresh milk? What technical content does it have? Any company can make it, but Tetra Pak has thousands of patents. Because of patents and technological monopoly, we are the only supplier!"

In fact, this may also be the reason why Pigeon is unwilling to develop the fresh milk market - compared with formula milk powder which has certain technical content and high profits, fresh milk not only has low profits, but also does not have any technical difficulties. No technical difficulties means no entry barriers, which also means that market competition is more intense and profits are lower.

Liang Yong leisurely picked up a cigar, lit it, took a puff, and said:

"We provide packaging equipment and production lines to companies almost free of charge. The only requirement is that they must purchase our packaging materials. They get free equipment, and we get the market - we turn a one-time deal into a lifelong deal!"

In fact, this is what Liang Yong admires the most, because this business model was proposed by you. In fact, this business model has been applied by the company in many fields. "Free is the most expensive. In a box of milk, the cost of milk is 20%, and the packaging paper is also 20%, which is as expensive as the cost of milk. We provide equipment to milk companies all over the world. In fact, it is equivalent to all milk companies in the world working for us!"

This is exactly the marketing method of Tetra Pak in another world!

"In the future, the market demand for milk will make a large number of dairy companies fat, but even fatter will be us behind the scenes. We will monopolize the global market, and we will make a certain profit for every Tetra Pak package used."

After listening to the manager's words, Sun Changyue realized that something was wrong.

"Manager, isn't this forced bundling? A monopoly by one company? What should we do if regulators from various countries intervene?"

"What should we do? Just accept the punishment. At most, it's just a fine. As for the rest... we have a patent! Even if it's just a fine, we can sue them."

When saying "patent", Liang Yong looked quite comfortable.

"As long as we continue to research patents and ensure monopoly sales, then every sip of milk that people drink will create profits for us, and milk companies around the world are actually working for us!"

Listening to the manager's words, a word suddenly emerged in Sun Changyue's mind - vampire!
The company acted like a vampire, making huge profits from the dairy companies.

Looking at Sun Changyue who was dumbfounded and speechless, Liang Yong said with a smile.

"Chang Yue, now do you understand why Your Excellency repeatedly emphasizes "building a country on technology"?"

Sun Changyue nodded at the manager's question.

If I didn’t understand it before, I definitely understand it now.

"Technology-based country" does not just mean that new technologies can bring higher profits, but also has a core factor - technological monopoly is the highest form of all monopolies.

Moreover, this form of monopoly is often the most secretive because it is "forced"... My original intention was to bring new technologies to mankind and improve human life, but because of patent law, a monopoly was formed. This kind of monopoly was not my original intention.

Well, the intention is good!
Only those who have tasted the sweetness of patents will know how wonderful this monopoly is. In the past decade or so, Nanyang has indeed reaped the benefits of patents.

On the one hand, Germany's patented technology was opened up under the order of the Allied Command, allowing Nanyang to use those German engineers unscrupulously to copy German patents and German technology to develop itself.

On the other hand, they used some product samples or advanced concepts provided by Li Yian to research and develop new technologies, obtain new patents, and then use the United Nations Patent Law to form industrial protection, and then create a patent monopoly to reap huge profits.

Of course, most of the time, some professionals and most ordinary people will ignore these things. Even people like Sun Changyue are not aware of the far-reaching industrial layout. It can only be said that... this is the limitation of the times.

This was just an episode during the Olympic Games. In fact, in addition to Tetra Pak, tourists from various countries also came into contact with many very new and even futuristic products in Nanyang.

For example, ordinary plastic bottles - athletes and tourists from various countries came into contact with plastic Fanta and mineral water bottles for the first time at the Olympics. This lightweight and flexible bottle was welcomed by athletes and tourists from various countries as soon as it was put on the market at the Olympics. After all, before that, even if you drank a bottle of soda, you had to return the bottle, which was too troublesome.

But with the advent of disposable plastic soda bottles, everything has changed. People can bring drinks into the stadium, carry them with them anytime and anywhere, and just throw the bottle away when they are done.

It is so convenient that, before the Olympics were over, this transparent, futuristic plastic bottle became a darling of the market and even the news media.

Journalists from various countries actively or passively advertised Nanyang's beverages - after all, they had never seen such a high-tech consumer product before.

When Fanta, Ice Spring and other beverage mineral waters appeared in newspapers and on television screens around the world, these products also came into the public eye.

They say it’s not the taste of these products that attracts them, but the technologically advanced bottles!
In fact, this is exactly the impression that this Olympics has brought to the world - technological innovations are endless, and when people come here, they even have an illusion that they have come to the future world.

Although this future world seems to be not much different from their world, they clearly feel that they are in the future.

(End of this chapter)