Hidden Dragon in Qing Dynasty

What Xiao Letian said was not wrong, in the early years of the colonialism era, the western business models were all the dumping mode that the Mr. Krupp was thinking of at the moment.

At that time, the European countries had all considered industrial strength as their core competitive strength, which meant that the industrial production capacity must be tightly bound within their own borders.

Whether it was the merchants or the government, both were pushing hard to build their own factories on a large scale. A large number of industrial products were produced at home and then transported to the world through the sea trade. Whether it was colonies or semi-colonies, these poor and backward countries became dumping grounds for Western industrial products.

Then European merchants used the profits of the industrial goods to purchase countless resources in the colonies, then transported them by sea back to their home countries, where they continued to produce and sell new industrial goods.

It was an unending cycle of reincarnation. Under this model, European countries have more and more factories, higher and higher gross national product, relative to the colony's increasing poverty.

The colony's wealth, like shearing wool, was being plundered again and again into Europe. The dumping of cheap industrial goods in Europe would earn a lot of wealth, and then the local resources would be plundered at a low price, further deepening the plundering.

In such a model, Europe would be rich and rich, and the colonies poor and poor, until one day the pattern would fall apart like a tight spring.

In the final analysis, this is a form of business that is predatory in nature, and they never consider the sustainable development of other colonial countries.

Shear the wool back and forth, will only cause the colony to be completely destitute! At that time, the colonies would no longer be able to purchase European industrial products, and the resources of the colonies themselves would be thoroughly drained.

Then there would be a terrible phenomenon, and the Europeans would suddenly discover that the industrial products they produced, those which were originally popular, would suddenly become unmarketable. On the surface, this was an excess of production capacity.

And the excess production capacity will naturally cause the capitalist economic crisis, which is a nightmare that is hard to resolve.

Overcapacity is ultimately due to the fact that goods are not being sold out.

Why couldn't he sell it? Because Europe itself could not digest such a huge amount of industrial goods, and the rest of the world's colonies were being robbed by Europeans to the point where they could no longer afford to buy your industrial goods.

What are we waiting for if not in excess? Sooner or later, this economic model will collapse, and it will collapse very miserably.

Furthermore, the economic crisis would directly trigger the urge to wage war on humans! Greedy humans would never think of changing themselves to solve a problem!

All they could think of was to go out and rob, rob like bandits, and put their own crisis above that of other weak nations!

However, when all the weak countries in the world had been bullied by them once, when all the weak countries no longer had any wool to cut, the only thing they could do was to be like vicious dogs that slaughtered each other!

The European powers began to kill each other, all hoping to shift the economic crisis to other European countries. So what happened? World War I, of course.

Xiao Letian coldly described a hell-like scene to everyone. He directly pointed out a dead end of Europe's current economic development, which was that traditional colonialism had already reached its end. If they did not take the initiative to carry out reforms, then Europe would definitely face the destruction of both sides.

"Now do you understand? Mr. Krupp, do you really think that there will still be a future if we continue to live according to this line of thinking? There's nothing left! "

"At this moment, you only have one path, and that is to bravely welcome the changes of this era and actively seek change! to take the initiative to change your business mind. "

"Don't always think about building your factory on your own land. "Bold up and build your factory into one of the world's target consumer markets."

Production, R & D, sales in the new market. Not only can you make a lot of money, but your local investment has also driven the economy of the target market country.

Only if the economy of the target market develops, they will mobilize more vigorous consumption capacity, thus promoting our commodity sales again.

Once a company like the Krupp arsenal had taken over Asia, it would benefit many industries upstream and downstream. First, in order to match the disposition of supplies in the arsenal, the railway system would have to be built up gradually, then mining, smelting, and, finally, mechanical processing, a series of industries would flourish.

Countless workers earn their wages and raise their living standards. Local governments have their revenues, and the money will flow back and forth in society, eventually forming a new purchasing power that will feed into your business.

This is the endless way of making money. Don't you understand?

Proactively build a financial ecological chain of your own, to create a business chain of your own.

All you have to do is control the business system from top to bottom, rather than continue to be those manufacturers and then go to market in a predatory manner.

This was the mainstream of the future. Whoever could grasp this mainstream would be able to control the future world. By then, you will be building not just a business, but a super empire.

How about it? Was he a little moved? But let me tell you, it's not as simple as what I just said.

Must choose in target market, build factory another main reason, that is safety!

This is my second point. Please bear it in mind!

At this moment, who was in control of the golden sea route? The control was in the hands of the British, and was under the control of the Royal Navy.

My dear sir, what if your Krupp goods were intercepted by the British on the sea route? Don't forget, when Benjamin was in power, he had already ordered a military embargo against the Chinese.

At that time we had sixteen Prussian arms, all seized by the British and French naval forces!

The rifled barrel used to produce Mauser's rifle s, as well as the high-strength firing pin … These are all industrial products that we, the Chinese, are temporarily unable to produce.

And the sale of these strategic industrial goods has always been under British control.

Was the taste of breathing pleasant? I think you know very well that the safety of business is in the hands of others? Have you ever thought about that?