Volume 4 Chapter 49 Becoming a foreign company
“Sir chairman……”
Sebas handed the Frestech Chamber of Commerce’s last month financial report to Xu Yi with a strange look on his face.
“What is it? Is there a problem?” Xu Yi took it and asked in a surprised voice.
“There’s no problem, just…..our company’s revenue last month…..actually increased!”
Seeing Sebas’ look of disbelief, Xu Yi laughed. He went through the report in his hand and found that it was as Sebas had said.
According to the stats, the Frestech Chamber of Commerce’s net profit after deducting all costs last month had broken a million gold coins!
This was not just a large increase from the previous months, it was even an increase from this month last year.
It was no wonder Sebas had a strange expression. It was because according to the original estimates, the Frestech Chamber of Commerce would be affected by the ban and their performance would drop, which meant their profits would fall.
However, facts were different from what most people had expected.
Although in the first month after the ban, the Frestech Chamber of Commerce’s profits and gross sales had dropped, in the second month, this drop had stopped and kept climbing. It even reached the point where last month had surpa.s.sed the same month from last year.
“This isn’t anything strange.” The CEO Kennerad on the side said with a smile, “Although we’ve been banned from producing magic machines in the Lampuri Kingdom, the business department hasn’t banned us from selling magic machines in the kingdom, so there really isn’t that much of a difference.”
“Un, although relocating the factories affected the production, such a long time has pa.s.sed and our company is back to normal production. Actually we aren’t that different from before, but if you must compare it, we are no longer as restricted as we were in the Falling Rain Valley. Rather we have quite a few more factories compared to before, so our production capacity has increased.” The household magic department’s head Ankhto added.
“Right, I really don’t know what the idiots at the department were thinking with that d.a.m.n ban. Didn’t it make the people in the kingdom want to buy our magic machines more?”
“Right, right. There’s even a movement in Banta City now, calling everyone to only buy the Frestech Brand magic machines and to boycott the magic machines of the ten companies.
“I also heard that this movement has gotten bigger and even the surrounding cities are joining in. Now those companies can’t even sell products in Banta City or the surrounding cities……”
……
Hearing the discussion in the room, Xu Yi couldn’t help shaking his head.
The people at the department making this ban for the Frestech Chamber of Commerce were clearly trying to put them in a death trap.
However, they never would have thought that the Frestech Chamber of Commerce would be able to build a new production base in the Black Rice Wasteland in such a short period of time. It only took them a month to get back to normal production.
And the department targeting the Frestech Chamber of Commerce had triggered the doubt and anger of many people in the kingdom.
In the newspapers and advertising agencies close to the Frestech Chamber of Commerce, there was a surge of support for the Frestech Chamber of Commerce, resisting the wave of the magic machine industry management department.
It was because of this wave that the Frestech Chamber of Commerce’s sales had increased in the past few months. It even made a breakthrough in the last month, surpa.s.sing a record of a million gold coins in one month.
And accordingly, of the household magic machines made by the ten companies, they were being boycotted by the citizens of the Lampuri Kingdom and their sales were very bad.
There were even quite a few cities that erupted in protests against those ten companies. The ones that were a bit excessive even destroyed the stores of those ten kingdoms. It could be considered quite a stir in the Lampuri Kingdom.
After learning of this, Xu Yi didn’t know whether to laugh or cry.
Compared to the public, he knew more and could see things more clearly.
He knew that the public’s support for the Frestech Chamber of Commerce is real, but the riots being initiated weren’t that simple.
It was likely that these citizens were being used by someone.
The cities that these things happened in were cities that had supported Seveni before. It could be said that they were on a completely different side compared to the current King Eric and the conservative n.o.bles represented by the department.
This was a clear indication of their att.i.tude to the other side.
The department’s ban on the Frestech Chamber of Commerce gave them a good excuse.
To put it strictly, the Frestech Chamber of Commerce was being used.
But Xu Yi didn’t care that much about that.
King Eric’s side clearly didn’t show any support for him and suppressed him in all places, so naturally he didn’t need to consider anything for them.
If Seveni was willing to stand out, it was possible that Xu Yi could support her.
However, when he thought of Seveni, Xu Yi just gave a bitter laugh in his heart.
Since bringing five hundred guards here last time and helping Xu Yi with purging the beastmen on the Black Rice Wasteland, Seveni had returned to her territory and hadn’t taken a step out of her territory in the last two months.
Her methods clearly showed everyone that she wasn’t willing to interfere with the business of the kingdom.
Those cities that supported her did things, which was just a waste of time.
“It’s fine, I have no plans for the Lampuri Kingdom for now.” Xu Yi gave a sigh in his heart, lifting his hand to stop the discussion in the room.
Everyone looked over and Xu Yi looked at the report in his hand as he said to Sebas, “Sebas, don’t be happy too early. I’m certain that next month, the month after that, or even the following few months, our company’s finances won’t be that good.”
Sebas’ expression changed, “Sir chairman, have you thought of some new investments? I have to remind you, our company has invested too much this year and we don’t have much funds left. If you’re not careful, we’ll be in a difficult situation.”
“You don’t need to remind me, I know.” Xu Yi waved his hand, “Things like investments are to make money, but we can’t go into financial trouble for them, wouldn’t that be a pit? Moreover, of all the investments that I’ve made now, have we suffered a loss?”
Everyone in the room fell silent.
Everyone recalled the investments that the Frestech Chamber of Commerce had made so far and found that it was like Xu Yi said, there was no loss. Rather whichever investment it was, they weren’t determined good at first and people even called Xu Yi crazy, but it had been a great source of income for the Frestech Chamber of Commerce.
After experiencing this many times, there was no one in the Frestech Chamber of Commerce that questioned Xu Yi’s investments.
But to be honest, if Xu Yi’s investments this time failed and they failed greatly, it would have a profound influence on the Frestech Chamber of Commerce.
That was the investment in her highness Seveni.
Of course, this political investment was different from business investments.
“Alright, sir chairman, I won’t question your investments, but I want to remind you that you need to take care of the company’s current finances.” Sebas fell into thought before tactfully saying, “If it isn’t a necessary investment, I advise we wait several months. At least we should wait until the base on the Black Rice Wasteland is finished before considering it.”
“I will remember this suggestion. But Sebas, I’ve suddenly found…..I’ve been misled by your words. Actually I wasn’t talking about any new investments, rather I received some news which makes me think that the company’s finances will be bad for the next few months.”
“What news?” Everyone curiously looked at Xu Yi.
A piece of news that could make the Frestech Chamber of Commerce’s profits drop for several months? This was just too unbelievable.
Xu Yi put down the finance report and his expression became serious.
“According to this new information, the Lampuri Kingdom’s business department will be implementing new rules that will cla.s.sify the various products that circulate in the kingdom. Those produced in the kingdom will be one kind of product and will be considered internal products. Those that are produced in another country and brought in to sell will be considered imported goods…..”
“Then what about us who produce somewhere else and sell in the kingdom?” Ankhto couldn’t help cutting Xu Yi off.
Seeing the anxious Ankhto, Xu Yi said in a deep voice, “This is the same as producing it in another country and selling it in the Lampuri Kingdom, it will be considered imported goods.”
Kennard’s brows jumped up, “This means that we will be treated the same as other companies and will have to pay tariffs?”
“That’s right.” Xu Yi nodded.
As soon as his voice fell, everyone in the room couldn’t help shouting out.
“It can’t be, right? Our company is a Lampuri Kingdom company, how can this be considered importing?”
“That’s right, we are a company under Banta City, so we’re clearly a local company. Why do our things become imported goods? Could it be that by building foreign production bases, we are considered a foreign company?”
“Humph! What is there to not understand? It’s clearly those ten companies being unable to compete with us, so they thought of this new shameless move!”
“Right, it must be this! Those fellows really are shameless!”
“Too low! Too shameless!”
……
Xu Yi silently waited for a bit and when everyone slowly calmed down, they turned their eyes back to Xu Yi.
“I understand your anger, but to be honest, I wasn’t that angry when I received this news, rather I found it very funny.” Xu Yi revealed a smile, “Look at it, they even had the magic machine industry management department ban us from producing magic machines in the country, so what is strange about this?”
Kennard knit his brows, “But sir chairman, like this, our costs will greatly increase if we sell magic machines in the Lampuri Kingdom because of the tariffs. Our profits will greatly drop.”
“That’s why I said that in the next few months, our finances will look ugly.” Xu Yi spread his hands and said with a smile, “After all, the Lampuri Kingdom is our company’s biggest market right now, it will definitely seriously impact us.”
Ankhto thought for a bit before loudly saying, “Sir chairman, how about we increase our prices?”
“No.” Xu Yi shook his head.
“Why not?” Ankhto was confused, “This is a problem of the business department, if we increase our prices with the high tariffs, what’s not acceptable about that?”
“Transferring the problem of the business department to the normal people who need to buy magic machines, that is not what I want to do.” Seeing that Ankhto still wanted to speak, Xu Yi’s tone became heavier, “I have already made my decision on this matter, there’s no need to discuss it.”
Ankhto paused and could only swallow the words that were in his mouth.
Kennard looked at Ankhto. He thought that after this fellow had been with sir chairman for this long, he still didn’t understand sir chairman’s personality?
Thinking about it, Kennard asked Xu Yi, “Then sir chairman, what should we do next?”
With everyone looking at him, Xu Yi revealed a faint smile, “I’ve said it long ago, our company needs to make a big cake and we shouldn’t steal from others. Since the Lampuri Kingdom doesn’t welcome us, then we’ll just turn our eyes to places that do welcome us. The Lampuri Kingdom isn’t the only country on this continent, right?”