Chapter 298 Cash cows
Ye Dongqing has a clear understanding of the environment she is in, and the scale in her heart has been weighing the pros and cons.
In his opinion, Skype's development potential is no longer great in the short term, especially after Mexican Telecom took the lead in banning, it would be better to cash out some of it and invest in other places. It is the first company to be picked by him. The initial investment has already received a lot of returns.
This is just a tricky little thing.
Let’s look at Silicon Valley. Since Fidelity Investment Group suddenly intervened, the confrontation between Ye Dongqing and the board of directors has been broken. Mr. Tim Cook successfully took over the position of Apple’s interim CEO, while the real nominal CEO Steve Jobs recently entered the Stanford University Medical Center. The operation is under preparation and it seems that it has not begun.
I was going to take time to visit him in California, but I couldn't get away for the time being. I had something to do in New York that needs Ye Dongqing to deal with.
The secret development plan that was originally discussed with Jobs is now being implemented under the leadership of Mr. Cook, and the already insufficient funds are continuously invested in, so the financial report in the first quarter of this year is a bit embarrassing. That is because of the acquisition and merger of five companies, they are all upstream companies in the industrial chain of mobile smart products, including battery technology, microprocessor technology, touch LCD panel technology, etc., which cost a lot of money.
In fact, Apple's performance this year is very good. With the support of App-Store, PC products have enriched the user's operating experience and use pleasure. Hundreds of games, hundreds of office programs, and countless third-party programs have been added to the online program store, which has led to a rare increase in sales, with an increase of 43.8% compared with the same period last year, and its revenue is very good.
Another main product, iPod, has the support of iTunes, which can be downloaded and deleted songs in the Windows operating system, and the battery life is increasing, and the sales volume is quite good. The shipments in the first quarter of this year have exceeded the total sales in the second half of last year. Major cities in the United States are building Apple's direct flagship stores, both stores and fixed advertising spaces, mainly concentrated in major business districts, and there are already two on Fifth Avenue.
It’s right to make money, but it’s also a lot of investment. I only say that I am developing an epoch-making product in an attempt to stabilize other investors and avoid the stock price being affected.
Now Ye Dongqing has mastered more than two-fifths of the company's shares, and it is unlikely that he will make a significant increase. He is trying to make Apple issue new shares, but Cook is still unsure of his mind. As Apple's stock price rises one after another, it means that even if he decides to issue new shares, the price it needs to pay will increase.
Overall, it is enough. While having the right to speak, it also has the right to make decisions. Now it depends on whether Apple can develop a successful mobile terminal smartphone like in the previous life. At least there is no problem with the current R&D direction. Ye Dongqing will occasionally spend his energy to stare at himself...
While maintaining success, he also has to open up a new battlefield. The reason why he feels that he should stay in New York is mainly because he hopes to invest idle funds on the company's books through Tamsui Investment Group and exchange them for shares.
The land acquisition matter is temporarily deadlocked. It is true that he has the urge to build that building, but it has not yet reached the point where it will be implemented this year. It is temporarily deadlocked. It depends on whether the real estate company is willing to suppress the price, involving hundreds of millions of dollars in huge funds. Ye Dongqing is quite patient with this. In the next two weeks, he has been constantly in contact with representatives of different institutions and CEOs of the company.
Take Green Mountain Coffee for example. This company has little to do with Blue Mountain Coffee. It has agreed to accept Ye Dongqing's strategic investment of US$230 million, allowing him to hold 64% of the shares. The negotiation process is still smooth. The other party lacks expansion funds. Ye Dongqing is optimistic about its development model, so the two sides hit it off. The investment memorandum has been signed, and some procedures have been processed and then delisted directly from Nasdaq.
Green Mountain Coffee Company was founded in the United States and is headquartered in Vermont. It was founded in 1981 and listed in 1993. Until recently, it has not performed well in the securities market because it has embarked on a wrong development model.
Having seen the future, Ye Dongqing knew very well how to sell coffee and tea. If Starbucks is suitable for shopping or buying a cup at work, then Green Mountain Coffee is more suitable for home use, and is more suitable for company or sold by retailers.
The model is like the razor and blade of Geely razor. The former is low in price and can’t make much money. What really makes money is blades and bubbles. He is planning to develop a new coffee machine through Green Mountain Coffee and then make money through cheap "K cups".
The so-called "K cup" refers to a patented design that ensures the maximum aroma of coffee. It looks like a paper cup on the outside and has a smaller paper cup-shaped penetration device inside, which can only penetrate liquid, contains coffee or tea, and is sealed with an aluminum foil cover to ensure that the aroma of coffee will not be emitted.
Put the K cup into a special coffee machine, press the button, and the pressurized water injection pipe will penetrate the aluminum foil cover and enter the filter cup, inject hot water, and a cup of hot coffee or hot tea will be done like this. Compared to the three or four US dollars and four US dollars and four US dollars per cup of coffee in fast-sales stores such as Starbucks or Costa, this thing only takes a few dozen cents to handle, which can be said to be a model of success through small profits and quick turnover.
He has recently become obsessed with business projects that can change people's lifestyle through himself. These projects that penetrate people's lives often mean more secure, long-term, and abundant cash flow.
If it weren't for the right person at hand, Ye Dongqing was even planning to develop several e-cigarettes, including the heated iQOS. Smokers are already smokers. These e-cigarettes are certainly harmful, but the ones he was planning to develop must be slightly better than traditional burning tobacco. They are barely considered good things and can make money, which can be said to kill two birds with one stone.
It is definitely not in his interest to just enter but not exit. Now he has to pay a lot of interest every day when he opens his eyes. So he is trying to cultivate some cash cows to improve his financial situation and realize a diversified business development model. He just has cash in his hand and can't lie in his account to pay interest in vain.
Chapter completed!