Go back in time and be a chaebol

Chapter 1495 Russia's Shock (First Update, Please Subscribe)
Special treatment is a privilege in itself.

But the way of enjoying it may be a little different.
Gao Guangyao did not enjoy the same treatment as other African international students. He had neither a 1.9-meter-tall polar bear to help him carry his luggage nor a polar bear to teach him boxing.

As a freshman, he had just reported here when the school sent a classmate of the same age to help him.

Perhaps this was because he was only 1.75 meters tall, so they specially sent a petite female classmate from Latvia who was only 1.77 meters tall.

Dava, the name means "goddess" in Latvian.

In Gao Guangyao's view, Daiwa is a veritable goddess who helped him get familiar with the environment, learn Russian, and help him better adapt to the environment here.

Gao Guangyao even became a little reluctant to leave, and he followed Dai Wa around the university campus and the surrounding area all day, getting to know the local customs and culture.

Dai Wa learned English from him, while Gao Guangyao learned Russian and Latvian from her. Although he was fluent in Russian, it is always good to have many talents!
For young people, learning a foreign language will always lead to learning something special. As they study, they end up studying in bed. Studying is always done day and night.

Gao Guangyao was so happy that he not only forgot his father's advice to go to the Red Square to lay flowers, but also forgot to call Katerina.

I have to admit that sometimes, people are like this, always indulging in the joy in front of them.

It is almost everyone's instinct to be happy and not want to leave.

While Gao Guangyao in Moscow was immersed in this gentle country, in Zhiguli, east of Moscow, thousands of his compatriots were working there. Among these people were technicians from Volkswagen, some infrastructure workers and technicians from various machinery companies.

Thanks to their efforts, a brand new automobile city has taken shape.

Huge modern steel-structured factories stand on the land. Trains bring in containers every day, loaded with machinery and equipment from ports such as Chang'an. With the completion of the factory buildings, the most important thing now is to complete the installation and commissioning of the machinery and equipment as soon as possible.

“I really didn’t expect that!”

Standing on the mountain and gazing at the factory below, Gusev said with emotion:

"Before this, we never dreamed that we could complete all the factory buildings in such a short time. In the past, it took us at least two to two and a half years to build such a factory just for the factory buildings."

Pointing to the factory, Gusev said:

"But what about here? It only took a dozen months, from the start of the factory foundation construction in March last year to the basic completion of the factory building in October..."

When the Minister of the Automobile Industry was expressing his feelings, Nikolayev said:
"That's right! Who could build a factory so quickly? At the beginning, we were still worried about the insulation of the factory, but who would have thought that the rock wool they used was actually more insulating than thick brick walls!"

Rock wool is a special thermal insulation material. It is made of high-quality basalt, dolomite, etc. as the main raw materials. After being melted at a high temperature of more than 1450℃, it is formed into fibers by high-speed centrifugation. At the same time, a certain amount of binder is sprayed in, and then solidified and cut to form rock wool products of different specifications and uses.

Due to its light weight, low thermal conductivity, heat absorption and non-combustibility, it is widely used in building exterior wall insulation, industrial equipment and pipeline insulation, ship sound insulation and other fields. It is precisely because of this insulation material that steel structure workshops can withstand the cold winter in Russia.

During the construction of the factory, Soviet engineers not only learned the design and construction of color steel structure factories, but also learned the uses of rock wool.

“Can we also produce rock wool now?”

Gusev asked:
"Yes, just a few months ago, our research institute has already trial-produced this material. I believe it will be domestically produced soon. There are also color steel tiles and H-shaped steel beams..."

When Nikolayev introduced these technological breakthroughs, he felt more emotional. In the past, they had seen these new technologies in foreign magazines, but they did not adopt them because the country had no requirements in this regard.

However, during the construction of this large automobile manufacturing plant, they fully realized the advanced nature of these Western technologies. That is why we quickly organized personnel to study the corresponding technologies.

"In fact, these technologies are not complicated, but we have never thought of doing it this way in the past."

Listening to Nikolayev's words, Gusev nodded and said:
"Yeah, it's just that sometimes we don't think about it..."

It’s just that sometimes there are just too many things that we haven’t thought of.

Just staring at the factory, Gusev said.

"I will be returning to Moscow in the next two days to attend a meeting on car pricing."

Since the product was about to go into production, the next step was to set the price. This power was not in the hands of the automobile factory or the Ministry of Automobile Industry, but in Moscow, in the hands of the State Planning Commission. Gusev had to attend such meetings in person to ensure the interests of the automobile factory.

"Well, you will be in charge for the time being. You must ensure the speed of factory construction. We must deliver the first car within the specified time. You know, the people of the whole country are looking forward to it now."

Over the past two years, photos and news about this new car have often been seen in Soviet magazines and newspapers.

Almost every Soviet citizen was looking forward to its production and hoping to become its owner.

Many Soviet people even gave up their houses for this - that was also the choice given to those people at the time, did they choose housing or cars?

Because they carry the hopes of so many people, according to the plan, they will be put into production in December and delivered to the first batch of users.

While people were looking forward to this car, over the past year and a half, workers came from all directions of the vast red territory. Although they all dreamed of living in a spacious house here, they were more eager to drive what was then called a "mysterious car."

Even in the newspaper, a telegram from a worker was published saying:
"I have returned the house to the state and will board a plane to leave tomorrow."

Everyone is looking forward to it, looking forward to the arrival of this car.

In response to the minister's instructions, Nikolayev said:

"Comrade Minister, please rest assured that we can definitely deliver the cars to people within the specified time." Soon, Gusev, the Minister of the Automobile Industry, left here. Behind him, tens of thousands of workers were working hard for the final production of the factory.

The next day, Gusev, who had just returned to Moscow, attended a pricing meeting organized by the Planning Commission. In the Soviet Union, all commodity prices were set by the Planning Commission. At the beginning of the meeting, experts from the Ministry of Automobile Industry informed the other party of the price agreed upon with Volkswagen's price experts.

"Charites..." The price in the US market is 1800 US dollars. The current exchange rate is 0.9 rubles to 1 US dollar, which is more than 1600 rubles... After its localization, because our steel and labor costs are lower, its cost is lower, and considering the company's profits, we think it is appropriate to set its price at 1300 rubles! The company's profits are also very considerable."

This price is calculated based on data on automobile raw materials, working hours, etc. Although production has not yet started, the difference will not exceed 1%.

"1300 rubles!"

Mikhail, who was in charge of price accounting for the State Planning Commission, adjusted his glasses and said as he flipped through the report:
“This price is definitely inappropriate!”

Gusev's heart skipped a beat and he thought to himself that this was not good. Even though he was the Minister of the Automobile Industry, he knew the "destructive power" of these guys. With just a little effort, they could make a product sell at a loss, so he spoke cautiously.

"Then how much do you think it should sell for?"

"1300 rubles is really cheap!"

Mikhail said bluntly:
“I think the price should be higher!”

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"higher?"

Gusev and the others all looked at each other in bewilderment, and then he asked curiously:

"Why would we set the price higher? The current price margin is already very good."

"Yes, according to the calculations of Volkswagen's cost accountants, our profit from the whole vehicle is already twice theirs.

If the price goes up further..."

Although the official from the Ministry of Automobile Industry did not continue speaking, everyone knew what he wanted to say.

I mean... the profit is already so high. If we raise the price, it would be really cruel.

“Comrade, you don’t understand at all. If the price is set too low, everyone will buy it, and we won’t be able to produce so many cars. Moreover, producing too many cars will also occupy a lot of resources.

Resources such as steel, gasoline, and rubber are very important to the country, and we cannot use them all in the production of civilian cars."

Mikhail looked at the people in front of him and explained:
"And if the car is too cheap, people who give up their house will feel they are being shortchanged, so we have to take everyone's psychology into account. That's it."

As he said this, Mikhail looked at the Minister of the Automobile Industry in front of him.

"Comrade Minister, isn't that the truth?"

That's not what he meant, but as long as you say it, it must be that way.

Gusev asked.

"Comrade Mikhail, what do you think the price should be?"

At the same time he said tentatively.

"Then... 1600 rubles, that should be about the right price."

This raised the price by 20% at once. When Gusev offered this price, he even felt that he was too cruel.

But to his surprise, Mikhail shook his head and looked at him and said.

"Comrade Minister, I think you should be a little braver."

"What do you want to be bigger?"

Gusev couldn't believe his ears. Even though he had raised the price by more than 20%, it was still considered too conservative.

Mikhail's huge demand made an official from the Ministry of Automobile Industry a little annoyed.

"We can't double the price, can we? We might as well just sell it as a luxury car."

"Well, it is a high-end car in itself. It is more advanced than many cars we currently manufacture. Well, we still have to consider the interests of the vast majority of people, I think..."

After thinking for a while, Mikhail gave a price that he thought was very suitable.

"I think we should sell it for 3600 rubles. I think this car is perfect. In this way, everyone will realize that this is a very advanced car, and they will feel that it is very cost-effective and worthwhile to give up their houses."

For a moment, everyone was dumbfounded!

What is this concept?
In the current Soviet Union, the average monthly income is more than 100 rubles, and scientists and university professors earn more than 200 rubles per month. By this calculation, buying a car would require a Soviet family's savings for many years.

As soon as Mikhail opened his mouth, he raised the price of the car almost three times!
(End of this chapter)