The industrial upgrading of Yangcheng City was a policy that Wang Yong, the ****, finally took action after he proposed many proposals.

This is a huge project that requires linkage in financial policies, policy support, land approval, tax incentives, housing subsidies, industrial and commercial administration, urban planning and other aspects.

Industrial upgrading cannot be accomplished by just talking about it. For example, eliminating backward production capacity is a pain in the city, and a large proportion of tax revenue will be lost.

How long has China been reforming and opening up? It has only been more than ten years since the full scale.

Therefore, most of China's production capacity is backward, and everyone is still in a stage of learning and exploration, and is far from being advanced.

Especially in Yangcheng, because there are too many old urban areas, there are a large number of village-level industrial parks to accommodate primary production capacity and industrial upgrading, which was something that no leader dared to imagine before.

But Wang Yongren proposed that it was because Dolphin Technology set an example. Dolphin Technology did not rely on any advanced foreign technology, but it developed into a banner of national industry.

This forced leaders to think seriously whether to continue extensive development or selective development.

Because resources and markets are limited, the development of some people will definitely prevent the development of another group of people.

To give a simple example, the country is currently full of counterfeit goods and sub-products, which makes it difficult for regular products to open up the market, because the people are not rich at this time, and the people save one point.

But in fact, are counterfeit goods really cost-effective? It may not be, because counterfeit goods are basically disposable products and the quality is very unreliable.

When I was young, I saw screwdrivers made of six-code wire and hammer visors made of cement. What's the use of those things that are cheap? They are completely unusable and are purely a waste of money.

Therefore, industrial upgrading is very necessary and is a great thing that benefits the country and the people. The first thing is to crack down on counterfeit and shoddy products, which requires the vigorous actions of the industrial and commercial administrative departments.

It is not a one-size-fits-all approach. If the company is not sufficiently funded, unable to develop brand products, and has to counterfeit it, the government should provide financial support policies to help them upgrade their products.

The key here is the product quality, which is almost counterfeit, but it is just unable to promote the brand, so it can be supported.

If you don’t have the technology at all and just make profits, you must resolutely crack down on what should be caught and what should be shut down.

This is the first step. The Sheep City Government is vigorously implementing it. This task is very arduous because there are so many companies with low-end production capacity.

The second type is the technological upgrade of small and medium-sized enterprises. This step was proposed by Wang Yong. The Fuguo Fund and Small and Medium-sized Enterprises Federation established by the Yangcheng CPPCC have already taken the lead and strongly supported such enterprises.

The Federation of Small and Medium Enterprises organized them together and carried out unified actions in both purchase and shipment, effectively saving expenses, and having the ability to compete with large domestic and international enterprises on the same stage.

A chopstick is easy to break, and ten chopsticks are held together to organize thousands of small and medium-sized enterprises in the city, which is a huge force.

This is just one aspect. Fuguo Fund is a financial institution that specializes in serving small and medium-sized enterprises. On the one hand, it issues loans to small and medium-sized enterprises to help them upgrade their technology or expand their production capacity. On the other hand, it absorbs the remaining funds of small and medium-sized enterprises in the city and continuously strengthens itself.

Because of its clear positioning, Fuguo Fund is a semi-official and semi-enterprise nature, and profitability is not its sole purpose, because its founder and major shareholder are Wang Yong and other outstanding entrepreneurs of the CPPCC. At the beginning, it basically invested free of charge and had no idea of ​​making profits.

This makes its business strategy very open, and it allows small and medium-sized enterprises to deposit the remaining funds into shares.

Of course, this is also the nature of the foundation. It is not a bank and is not qualified to absorb deposits. Therefore, it counts all such residual funds as corporate investments, and is flexible and convenient, and can withdraw cash at any time. It is equivalent to deposits. It is just a different saying, playing the edge.

However, in this way, the profit from the dividends of the shares is far greater than the interest deposited in the bank, which has led these small and medium-sized enterprises to invest actively. So Fu Fargo Fund is like a snowball and quickly becomes a large financial institution comparable to Yangcheng Development Bank.

It is precisely because of the rapid development of Fuguo Fund that the loan needs of small and medium-sized enterprises have been fully guaranteed.

Therefore, although the Small and Medium Enterprises Federation has only been established for only three years, they have helped the city's small and medium-sized enterprises to upgrade their industries and achieve Feiran. It can be said that they have basically achieved their original goals.

Today, small and medium-sized enterprises in Yangcheng City are not just simple upgrades, but also hundreds of excellent enterprises that are best-selling at home and abroad have been born among them.

They followed Wang Yong's opinions and did not blindly expand their rules. Instead, they kept striving for excellence, constantly improving their core competitiveness, and bravely competing with global giants.

Compared with large enterprises, small and medium-sized enterprises have disadvantages, but also advantages. Due to their own limitations, this type of enterprise cannot make high-tech and high-integration products. A considerable number of enterprises only make a single component.

I take Yangcheng Kaifuli Hardware Standard Parts Company as an example. It actually only produces simple hardware products such as screws and nuts.

Before the technology upgrade, their products were not of high quality and lack competitiveness, and they could only fight guerrillas in the vast rural markets in China. After a long time, they would become bad. They could only change another brand and deceive consumers again.

Because of the poor quality, the price is cheap and the profit is very meager. In addition, the marketing and promotion costs are too high, the company faces bankruptcy several times and lives a very difficult life.

Without the Wealth Fargo Fund and the Small and Medium Enterprises Federation, such companies will definitely not be able to escape the market elimination.

It is precisely because of this that the boss of this company has a deep understanding that the company must be upgraded and even if it is sold out, it must be promoted.

After two years of hard work, the company vigorously absorbed high-end talents in material research and spent huge amounts of money to import today's most advanced vacuum smelting furnaces and CNC metal quenching equipment. After countless failures, it finally improved the product quality to the world's most advanced level in one fell swoop.

Not only that, they also invented self-tightening screws, and the product quality improved. They opened up the international market in one fell swoop and seized a considerable number of similar Japanese and Korean companies.

The reason is very simple, because they are small enough, right! Sometimes small businesses are also a huge advantage because you do not have the ability to pose a threat to large international companies. When purchasing, if the quality is the same, any company will tend toward small and medium-sized enterprises like Café.

This is human nature. If you don’t talk about it, most people will not realize it.

For example, the Automotive Research Institute under Dolphin Technology has made it because Wang Yong promised that the Automotive Research Institute will not produce cars in the future and will only focus on being a car solution provider.

This shows that the Automobile Research Institute does not compete with domestic automobile companies and will only cooperate. Therefore, without surprise, almost all domestic automobile companies have placed orders to purchase the Automobile Research Institute's powertrain system.

Some companies with weak technology have also purchased a complete set of technologies such as the unique automotive chassis system of the Automobile Research Institute, MCU automotive central control system, etc.

On the first hand, the Automobile Research Institute's products are indeed excellent and reach the top in the world. On the other hand, they are very trusted in the Automobile Research Institute and know that they will not support an automobile company to compete with them on the same stage.

These two alternative business ideas actually have the same principles, which is to make customers feel at ease.

So Wang Yong has been talking to them endlessly that if you do not have the ability and ambition to grow into a Fortune 500 company, it is best to be a small and medium-sized enterprise with peace of mind and not expand blindly, otherwise you will never know how you die.
Chapter completed!