"Boss, although you hate Bangzi very much. But for Shuanglong Automobile itself, I think it is still worth acquiring. Do you need to consider it carefully?" Wuzhi Xiaoji created the automobile manufacturing company of Fan Investment Group. He has a special liking for this industry and is always considering expanding it. Therefore, he is more interested in Shuanglong Automobile's acquisition.

The reason why Shuangyong Automobile proposed the intention to be acquired this time is mainly because it was severely affected by the Southeast Asian financial crisis, and the entire South Korea's finance and economy have been hit hard, especially the automobile manufacturing industry, which is more affected by the environment, is a severely affected area.

Since the second half of 1997, the South Korean economy has fallen into a serious financial crisis. After more than two years of hard work, the South Korean financial market has now basically returned to stability, the foreign debt structure tends to be reasonable, exports and foreign investment absorption have increased, the unemployment rate has declined, and the economy has shown a strong recovery momentum. This year, the GDP growth rate is expected to reach ten percentage points.

The reason why the South Korean economy was able to emerge from the dilemma of the financial crisis in such a short period of time was that it rejected the huge aid from the International Monetary Fund, and obtained huge foreign exchange support through the private cooperation between Samsung Group and Fan Wubing, which expanded exports and suppressed imports through the depreciation of the local currency. In addition, the rebound in the world economic growth has quickly improved the balance of payments. The deeper reason is that it takes advantage of the huge pressure of the financial crisis to form consensus and cohesion among the Chinese people, and accelerates the adjustment of the economic structure.

During the crisis, South Korea implemented a government-led market economic system. With the improvement of South Korea's economic development level, economic activities are becoming increasingly complex, and the changes in the international economic environment and competition are becoming increasingly intensified. The drawbacks of this system are becoming increasingly apparent. The accumulation problems are becoming increasingly serious, and a serious financial crisis is finally exploding.

Before the financial crisis, many large South Korean business groups blindly implemented diversified business strategies, which not only prevented the advantages of the core competitiveness of each group, but also increased operating risks, becoming an important reason for the financial crisis to put companies in trouble.

To solve this problem, under the promotion of the South Korean government, the five major corporate groups replaced important industries such as refined oil, chemicals, semiconductors, railway locomotives, aircraft, electrical equipment, and ship motives.

For example, in the semiconductor industry, there were mainly three major groups: Samsung, Hyundai and 1g before the replacement. After the replacement, the 1g semiconductor company was merged by Hyundai.

The automobile industry originally had five companies, including Hyundai, Kia, Shuanglong, Daewoo and Samsung. The government requires that automobile production be concentrated in Hyundai and Daewoo.

All types of enterprises have been largely merged and sold, and subordinate enterprises that have no direct relationship with the main business have been liquidated.

Although this adjustment has encountered resistance from the company and is very difficult, and some measures have not achieved the expected goals, overall progress has been made and the company's core competitiveness has been enhanced.

After the financial crisis, the South Korean government and enterprises increased their investment in technology and development, allowing South Korea to have independent technology and advanced world-class technology in high-tech fields such as semiconductors, mobile communications, computers, and networks, forming strong competitiveness.

This year, South Korea's exports of information and communication products are nearly US$40 billion, with a surplus of more than US$14 billion. It is estimated that by the end of this year, the length of optical cables laid in South Korea will reach 80,000 kilometers, and more than 10 million people will access the Internet.

The high-tech exhibition has played a very obvious role in South Korea's economic recovery, but the prospects of SSYNYN are not very optimistic at this time. They mainly produce diesel-powered cars. However, the current international oil prices have been rising all the time, which has a great impact on them. In particular, SSYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNYNY

"Although diesel-powered passenger cars account for most of the automobile market in the international market, China's current diesel car development is very slow, with diesel passenger cars accounting for only about one percent of the annual new car market. Compared with the development trajectory of diesel cars in China, it is not difficult to realize that China's diesel car market is still a new territory that needs to be opened urgently. With the deepening of environmental protection issues, diesel cars are increasingly valued and supported by national automobile industry policies, and the future development potential is huge." Wuzhi Xiaoji tried his best to lobby Fan Wubing, "SuV sales have grown rapidly this year. With the change of consumption concepts, SUV will gradually enter middle-class families. The concept of energy conservation and environmental protection has been increasingly put on the agenda. SUV's SUV is also entering a good place. As a world-class diesel-powered SUV expert, I think acquiring SUV is obviously a trick."

Fan Wubing knew that Wu Zhixiaoji was not very familiar with South Korea and only considered this matter from a technical perspective, so he said to him, "If it was from another country, or I would think about it seriously, but for Korean companies, they can basically not discuss this kind of acquisition issue."

"Why?" Wu Zhi asked in confusion.

"The trade union organization in South Korea is too strong." Fan Wubing replied.

South Korea's investment environment is not as good as expected. Facts have proved that many companies lack sufficient understanding of the Korean business environment, especially the South Korean trade union culture.

In the opposition, friction and struggle of the interests of the South Korean trade unions and trade unions year after year, they have abandoned the traditional general interest demands of labor wages and other labor wages, and have moved towards management, power, and politics.

What this brings about is no longer the status and function maintenance of a representative or spokesperson of a labor interest, but has become a manager, power owner and political institution.

People who are familiar with Korean trade unions think that Korean trade unions are powerful, but most of them do not clearly see that the effectiveness of Korean trade unions is no longer the strength of being a trade union organization, but as management agencies, power agencies and political organizations. Just imagine, which country's traditional trade unions are comparable to such a special kind of power?

From the perspective of trade unions moving towards power, this has brought about the possibility of bribery and scandals. In recent years, bribery and other bribery in South Korean trade union organizations have increased significantly, which is directly related to the fact that they have gained considerable power after their power demands, but have no power constraint mechanism.

As for the move to the political stage, this is completely contrary to the traditional functions of trade union. When trade union organizations have won certain political status, their status as representatives of labor interests or spokespersons will naturally weaken. Because it must be based on the production of a group of politicians. These politicians' performances on the political stage are only the representatives of laborers when they need the support of workers. If the support of investors is required and it is unrealistic to expect them to represent the interests of labor.

Among the industrial union organizations in South Korea, the union of Hyundai Motor Group is quite representative.

In recent years, during the annual summer strikes between trade unions and investors, the requirements put forward by the strikes organized by Hyundai Motor Trade Unions are no longer just improvements or improvements in labor wages and benefits, but are added with clear requirements for participating in enterprise management.

Trade unions try to add an authoritative management organization outside the corporate management level. The trade union’s opinions must be taken seriously and implemented. Even if the company produces new models, the trade union’s participation opinions must be held.

In South Korea, the workers of Hyundai Motor Group are treated quite high, and the trade union organizations seem to have no effect in this regard. They naturally turn their goals to the management and power of enterprises, rather than reducing union activities or even extinction of such organizations on their own.

In fact, this situation exists in many countries, and almost every overseas merger and acquisition of Chinese companies will encounter the problem of strong union power.

Seven years ago, Steel Group Co., Ltd. spent US$1.2 billion to acquire Peruvian iron ore, becoming the first Chinese state-owned enterprise to successfully acquire foreign companies.

After that, under the sluggish operation of the Steel Peru Company, strikes by Peru iron mine workers continued. According to local laws, enterprises cannot expel trade union leaders, but the tough Chinese management firmly expelled the trade union leaders in the mining area, thus intensifying the conflict.

Faced with the striker's union members, Gang did not insist on getting them back to their posts through negotiations, but instead hired labor workers through labor companies to save expenses. As a result, the labor workers also went on strike and demanded equal pay for the formal workers.

Until now, the steel Peru company has often stopped production due to workers' strikes, causing huge losses every year, making it difficult for steel to get off. I don't know whether to leave or stay.

Fan Wubing said to Wu Zhixiaoji, "The strength of South Korea's trade unions is something you would never expect. Whenever those union members with red turbans on their heads shouted and smashed the management and died with the company, no foreign investor would be happy. This excessive labor dispute completely distorts the image of South Korea. In the face of South Korea's extreme trade union struggle, what will foreign investors who have no knowledge of South Korea feel? They probably will feel cold on their backs."

Wu Zhi Xiaoji didn't understand the situation here at all, and he couldn't help but be stunned when he heard this.

South Korea has never been able to get rid of this struggle and consuming labor culture. At this point, some large trade union organizations that regard the labor movement as realizing outdated ideas should be held responsible.

These unions have forgotten the natural mission of protecting workers' rights and interests, but have frequently intervened in political movements and have been on the streets to protest and march, and have carried out illegal strikes without regard to the specific situation of the entire country and the company. Faced with the slogans such as "died with the company" and "defeated management", which foreigner can tolerate investing in South Korea when personal safety and property are threatened?

It is no wonder that there were such rumors in the international market a long time ago that if you want to invest in South Korea, you either invest in companies without unions or sign a treaty prohibiting disputes with the union in advance. Such rumors are obviously related to the frequent excessive struggles of South Korean trade unions.

It can be seen that in the eyes of foreign investors, South Korea's labor-management relations have exceeded the risk.

"It's a pity that something like this happened." Wu Zhixiaoji said very regretfully.

Recently, Fan's investment group's automobile manufacturer has been developing and manufacturing SUV models. It is obviously beneficial to accept the relevant parts of Shuanglong Automobile. However, after hearing Fan Wubing's words, Wuzhi Xiaoji himself felt a little hesitant. After all, when he encountered such a strong trade union organization, he intervened in the most difficult time of the other company. God knows what kind of rebound sentiment will the players who have always had very high national sentiment?

If you let your funds fall into such a quagmire of trade unions, it would be more than worth it. Although Fan's Investment Group has strong assets and will not feel too distressed to lose billions of dollars, it would be unwise to know that it is impossible to do it and not to operate this matter. Wu Zhi Xiaoji is not so persistent in trying to accomplish this matter.

However, Shen Ying, who was standing by, listened to the generals and understood this matter, so she suggested to Fan Wubing. "Since you are interested in their companies, but are very disgusted with their trade union organizations, why not try to talk about whether it can limit the activities of their trade union organizations, or simply remove the trade union organizations from their companies? If this goal can be achieved, Shuanglong Automobile's muddy waters will not be impossible to give it a try."

"It's not easy to talk about-" Fan Wubing said after a wry smile, "The stubbornness in Koreans is deeply rooted, especially the Chinese people's guardianship is deep-rooted. After all, it's been a vassal state for thousands of years, and it's hard to be independent and keep its word. How could it be willing to buy your account again? If it weren't for a special reason, they would never have anything to do with China."

However, Fan Wubing considered that Shen Ying said that he could try it, so he discussed with Wu Zhi Xiaoji and asked him to send a negotiating team to South Korea for acquisition intention negotiations with Shuanglong Automobile people, and at the same time expressed his position, that is, the premise of the acquisition, that is, the trade union organizations with strong activities must be restricted or banned.

"As the saying goes, ask for a price everywhere, pay back the money by land, and then negotiate slowly - we can't afford the food and accommodation costs for dozens of people? As for the cakes given to them, we can draw them larger. Even if we can't negotiate, we have to delay the negotiations for a long time, making their companies not as high as possible. The more difficult the situation is, the more beneficial it will be to us-" Fan Wubing gave Wu Zhi a brief moment.
Chapter completed!