Top of the big era

In addition to Kakao Group, Ziweixing also has an "agent" for its Internet business in South Korea, which is JTmall, an e-commerce company. The person in charge is Kim Jong Hyuk.

That night, Zhou Buqi invited Jin Jonghyuk and several of his friends to have dinner together.

In terms of development level, JTmall is far inferior to Kakao.

However, JTmall is equivalent to half a subsidiary of Jingtao, and it is engaged in self-operated e-commerce... With Jingtao's full technical guidance and business model reference, it is difficult to do anything wrong.

Jingtao holds 56% of JTmall’s shares.

Jingtao’s market value now reaches US$21.6 billion, of which US$1.6 billion is probably contributed by JTmall. In other words, JTmall’s valuation can reach US$3 billion.

Kim Jong Hyuk's father is a modern executive, a pure modern type.

He is also completely different from Jin Beomxiu in terms of thinking.

Jin Beomxiu is planning to develop into a chaebol. Instead of relying on modern times, it is better to rely on himself. In the future, he will become a new generation of big chaebol based on the IT industry!

Kim Jong Hyuk does not have such ambitions and is tied to Hyundai.

So much so that JTmall has a very important business, which is car sales. It can sell modern cars online, as well as many official accessories of modern cars.

Zhou Buqi's meeting with him was more of a formality, telling the other party and modern times that Boss Zhou has not forgotten you, and you must continue to work hard!

In fact, Boss Zhou has now focused all his attention on Jin Beomxiu.

This man is really extraordinary!

Waiting for the second game in the evening, Zhou Buqi's view was once again confirmed.

After meeting with Jin Jonghyuk, Zhou Buqi came to a second dinner party, treating the team of Changyou Vice President Li Ye, who had just finished working overtime, to dinner.

They just concluded negotiations with Kakao.

Li Yedao: "Kakao owns the game division Kakaogame and wants to become Changyou's main agent in South Korea. They have great expectations for this business and may separate it and list it separately in the future."

Zhou Buqi smiled and said, "Is this going to be a circle?"

Li Ye said: "I'm not sure, but they want priority for all games."

Zhou Buqi nodded, "Not surprising."

Li Ye said: "However, they will not pay a penny in agency fees. The revenue share is also divided into 40% and 60%, with Changyou getting 40% and Kakao getting 60%."

"Ah?" Zhou Buqi was a little surprised, "This condition?"

This agency condition is a bit excessive.

Generally, there are three modes for game agents.

1. Buyout system.

The game agent pays a buyout fee every year, and whether the game makes a loss or makes a profit has nothing to do with the game manufacturer.

Second, sharecropping.

If the agent is poor or lacks courage and wants to reduce risks, it will be a share-sharing model. When you make money, everyone shares the money. It's usually 50-50.

The conditions offered by Kakao Game Division are this sharing system.

They don't pay agency fees.

However, the share is a bit low. In theory, it should be 50-50, but they are only willing to offer 40-60, which somewhat damages Changyou's interests.

Changyou's "Tian Long Ba Bu" is distributed in Baodao, Malaysia, and Thailand, and they all adopt this share-sharing system, which is 50-50.

Why is Kakao opening 40 or 60?

It should be six//four!

Changyou is six and Kakao is four.

Because Kakaogame's business strength is still very weak, it must give up more benefits to win the opportunity to cooperate with a large company like Changyou.

There is also a third model, which is “agency fee + share”.

These are generally top-notch games.

For example, Changyou's domestic agency for "World of Warcraft" requires not only paying an expensive agency fee, but also paying 50% of the profit share every year. Changyou's "League of Legends" is very popular in South Korea. It also uses this model. It is currently operated by South Korean gaming giant NCsoft. The contract has been signed for five years, with an agency fee of US$18.5 million and a 56.5% profit share.

Li Ye acted very calmly and said slowly: "It's up to you to decide. The cooperation conditions provided by Kakao are zero franchise fee and 50% profit sharing. However, they promised shares."

"oh?"

Zhou Buqi's eyes lit up.

Li Yedao: "They said that the Kakaogame business unit will be spun off in the future and listed separately. Once it is spun off, Changyou can invest in the intellectual property rights that have been damaged during this period of cooperation, and after evaluation, it can get a minimum of 15% Up to 25% of shares.”

Zhou Buqi immediately became serious, "This is Jin Fanxiu!"

Li Ye didn't know why and asked tentatively: "How is it?"

Zhou Buqi was angry and funny, "I'm trying to show my goodwill and give me gifts. What do you think?"

"Giving gifts?" Li Ye was a little confused, "How can anyone give gifts like this?"

"Giving" 15%-25% of the shares to Changyou is indeed a gift on the surface.

But there is a prerequisite for this. Kakaogame must succeed and be actually launched. Otherwise, if Kakaogame fails, not to mention 25% of the shares, even 99% of the shares will be worthless.

You know, South Korea is the kingdom of games.

There are so many game companies here and so many types of video games. This has resulted in Korean gamers being very picky and having the most sophisticated gaming tastes in the world.

In this field, it is ranked first in the world.

It has to do with geographical conditions. Young people all work in Seoul. Of the 50 million people in South Korea, Seoul accounts for 25 million. As a result, this country has a very serious tendency towards big city aesthetics.

In many countries with underdeveloped game industries, such as Southeast Asia, any junk game can be a hit. Not so in Korea, it must be a top-level game.

Generally speaking, if a game is popular in South Korea, it also has the potential to be a hit in other markets. If a game sells well in most other markets, it may not be popular in South Korea.

Why can Kakaogame definitely succeed in the red sea game market in South Korea?

If Changyou cooperates with Kakaogame, it means that Changyou will also bear part of the risk. If Changyou distributes its games to NCsoft, NHN, Naxon and other Korean game giants, it can steadily make a lot of money.

The difference in this thinking is that the butt determines the head.

Li Ye is a senior executive and is responsible for management's decision-making thinking; Zhou Buqi is the big boss and is responsible for entrepreneurial decision-making. The former relies on precise calculations and analysis of various data, while the latter relies on... inspiration, vision and mysterious and superstitious luck.

For Zhou Buqi, there is another more core element - foresight.

He became more confident in his "talent".

Seeing that Vice President Li Ye was a little confused, Zhou Buqi simply explained: "Jin Fanxiu is very ambitious and plans to attack all aspects of the Korean Internet industry. He is short of money. If Kakaogame wants to develop, it must This leaves more money to grow the business.”

Li Ye twitched his lips and said, "Keep it from Changyou's profits."

Zhou Buqi glanced at him and said, "Didn't I say that I would be compensated with shares? Just treat it as a shareholding. When Kakao's game business develops, is split, and makes money, there will be no need for this kind of compensation clause. Both parties can then sign the contract normally."

There is no way, I have to do a good job of appeasing him.

Li Ye is the person in charge of Changyou's Korean business. The higher the income in the Korean market, the better his performance, the greater the bonus, the more options, and the higher the probability of promotion.

But now Kakao has no money. In order to develop its game business, it can only reduce its payment to Changyou, leaving more money for its own development.

As a result, Changyou's income in the Korean market will be reduced, Li Ye's performance will be poor, and his income will be less. Naturally, he does not like such a plan.

Li Ye sighed, too embarrassed to argue with the big boss, and continued: "Kakao means that when the agency contract between Changyou and NCsoft based on "League of Legends" expires in three years, they want to take over this game. I When I come to Korea this time, one of the most important things is to negotiate contract renewal with NCsoft."

Zhou Buqi said without hesitation: "Suspend contract renewal!"

"All right."

Li Ye was helpless.

Zhou Buqi said: "I'm not sure about your specific work assignments in South Korea, but you can make it clear to Ren Yuxin later. Your most important job in South Korea is to cooperate with Kakao to help them develop their game business. Let’s do it! After Kakaogame is spun off, get as much compensation as possible in the form of shares.”

In this way, the nature of Li Ye's work in South Korea has changed.

Previously, the more money you made, the better. Now, the more shares you get in Kakaogame, the better. The KPI criteria have changed, and Li Ye's bonuses, options, and promotion space have all returned.

At this time, Li Ye was very happy. He was very satisfied with the big boss's fair arrangement. He was grateful and admired. He smiled and said, "Okay, I will discuss this matter with Mr. Ren later."

Zhou Buqi said: "Don't worry, a market like South Korea, a small country with few people, is seriously lacking in innovation. Kakao can do anything by relying on KakaoTalk's traffic advantage. The environment is more relaxed than in China. Korea is owned by Kang Caien. The monopoly model is not allowed at all in China, but it is popular in South Korea. Monopoly is the number one tool for making money, so why is there no reason for Kakaogame not to succeed?"

There are many forms of monopoly: cartels, syndicates, trusts, and corporations. Among them, the Concern monopoly model is the highest level of monopoly. It is the best way for capitalists to control the economy and politics summarized by the commercial society over hundreds of years.

South Korea’s chaebol model is a typical representative.

This is a legal monopoly.

Politicians who have a monopoly advantage may still make a mess of their monopoly business and still lose tens of billions every year selling oil and minerals. Businessmen are different. After obtaining this kind of monopoly license, the probability of success will be much higher than that of failure. Probability.

Jin Beomxiu is that kind of elite businessman, with a sharp vision, bold style, and clear thinking. This gives him this advantage, and with the help of super traffic tools, it is difficult to fail.

However, there will eventually be some possibility of failure.

Just like Zhou Buqi had previously placed bets on Kim Beom Soo and Kim Jong Hyuk. In the game business, you can’t just bet on Kakaogame. Boss Zhou has long been eyeing another Korean gaming giant.