Holy Roman Empire

The news that the province of Bosnia and Herzegovina wanted to establish a strong province of heavy industry immediately caused a sensation in the capital circle.

The layman looks lively, the layman looks at the doorway.

Heavy industry has always been a large investment and a long-term investment. It is normal operation to make an investment for several years or ten years without recovering the cost.

Similarly, once this industry becomes larger, the profits it obtains will be much higher. This threshold alone eliminates most competitors. Compared with other industries, heavy industry companies have far fewer competitors.

At present, the Austrian economy has just emerged from the crisis and is now undergoing rapid development. Demand for steel and copper has increased sharply, and supply is in short supply.

In theory, as long as they are produced, these two products will not worry about selling at all. However, this is only modern. To join this industry, it will not be fruitful in a day or two.

According to previous experience, it takes at least two or three years from the start of finding the right factory building to the launch of the product.

In fact, it takes longer time. In advance, internal preparations need not be made. Such a large investment requires the organization of professional prospecting, comprehensive cost assessment, transportation, and market analysis.

In this era, there are not so many professional organizations to do the work for them, all of them have to be organized and judged by investors themselves. This is not enough. Even if it is invested in a bank loan, the initial investment cost is at least hundreds of thousands of SHIELD.

It can be said that most people were eliminated from the beginning. Don't come without money, this industry is a special event for capital predators, and small workshops now have no room for survival.

It is impossible for the empty gloves to be the white wolf. The banks are all private. One is stricter than the other. No collateral is required.

In this era, the investment in heavy industry has long climbed to millions of SHIELDs. Even if it costs millions of SHIELDs, it is not impossible.

The most valuable thing is not machinery, but mines that produce raw materials. There is no shortage of cheap mines in Austria. However, the fact that they are cheap also means that the difficulty of mining is greatly increased, or that they are poor mines with a certain mining value.

Experienced practitioners know that this is not cheap. If production costs cannot be controlled, they will be cold once they encounter an economic crisis.

As for the separate operation of mines and smelters, that does not exist. Currently, the most popular are grouping and industrial chain. Generally, one-stop services are provided from upstream raw material production to downstream product sales.

The industrial division is based on the situation where local raw materials are depleted and must be purchased from outside. This will increase costs significantly, and capitalists don't like it.

At present, the biggest problem for French industry is to import coal from the outside, which increases the cost of the industry. This is why Napoleon III stared at the Rhineland region.

The Starbucks Club in Vienna knew that this was Franz's bad taste at first glance. Most of the well-known companies in his memory had been set up in advance.

Of course, many may have changed. Time has passed too long, and memory will also be wrong. Sometimes vague memories, companies with the same name, have very different business scopes.

Michelin can become an ice cream brand, Country Garden can become a certain park, and there are many names of companies that have been ruined. If there is a cross, there will definitely be a loop.

These changes are destined for no one to know. Several middle-aged faces in the box are chatting while playing bowling.

A middle-aged man threw the ball in his hand and asked with a smile: "Thor, are you really going to invest in heavy industry in Bosnia and Herzegovina?"

Thor smiled and said, "All of you, Wells, your technology has improved."

Stepped forward, threw the ball in his hand, sighed, and then added:

"Yes, I have a plan in this area. At present, most industries in China are saturated. Emerging industries seem to have a lot of money, but we have no fun.

The advantages of the Austrian New Energy Power Company are too great. Even if we join now, we can only follow them.

It has been unreliable to do financial industry all the time. Investment is too concentrated and the ability to resist risks is too low. Although heavy industry investment is large in the early stage, its development potential is also large.

Compared to emerging industries, these technologies have matured. You know, I still have a semi-dead steel plant in my hand, and entering this industry is not completely without foundation. "

The people present were all shareholders of the Austrian Savings Bank, and also the bosses behind many securities companies. They even completed the transition to status and won the title of nobility.

However, these big men also have a sense of crisis. With the standardization of the financial order, the risks of manipulating the stock market are becoming higher and higher.

As a member of the emerging aristocracy, they also love feathers. No one hoped that it took a lot of hardships to enter the high society, and immediately lost their reputation.

You should know that they are nobles for life. They are also called as quasi-nobles, or nobles during the inspection period.

Usually at this stage, the old nobles will look at them with a magnifying glass. Once something is done, it is easy to be knocked down.

The title of aristocracy in Austria is not cheap. To smash the title of aristocracy with money, maybe tens of thousands of shields is enough if you are lucky. If you are unlucky, you can throw millions of shields into the water.

The military meritorious title system is full of discrimination against such gold players. Groups to go to the colony to brush up their military skills, the people below will also be divided, but not all of them fall on the boss behind the scenes.

It would be even more difficult if the title of aristocracy was painted in China. Only by making a significant contribution to society and receiving the recognition of Franz, is it possible to win the title.

For so many years after Franz's succession, two capitalists completed this feat. Rather, it was because of the invention of science and technology that more than twenty scientists have won the title of nobility.

Wells shook his head and said, "Thor, you are too optimistic. I think that mining salt in Bosnia and Herzegovina will have more money than heavy industry, and at least it will pay back faster.

The leader of the heavy industry is the Austrian Iron and Steel Group. This state-owned company has too much advantage and monopolizes nearly half of the domestic steel production.

It is too difficult to defeat them, but not as good as other industries. Even the newly-rising Austrian New Energy Power Company does not have such a big advantage. "

Thor threw the bowling ball in his hand again, saying, "It seems that it is difficult for us to persuade each other.

The Austrian New Energy Power Company relies on a win-win cooperation model. It has seized ground in continental Europe. Even in Britain and France, they have a large market share.

Although this share is potential, but they have established a system, most power companies have become their strategic partners, as long as no accidents occur, it will become a reality.

Once the copper output increases and the cost of power equipment decreases, most of Europe's power supply will be monopolized by this alliance. I don't think that the power companies you trouble can achieve breakthroughs.

On the contrary, the Austrian Steel Group is easy to deal with. They are state-owned enterprises. They will not kill us except normal commercial competition.

No direct conflict will occur until the supply and demand relationship changes. Such a long time is enough for us to grow and develop. "

This is the fact that the monopoly established by the Austrian New Energy Power Company is mainly a standard system that, by the way, sells equipment.

Among the subsidiaries established in various places, Austrian New Energy Power Company did not take the leading role, most of the shares were divided out, and in some regions it was simply technology shares.

This is the advantage of mastering the core technology. Even if it is not a major shareholder, the right to speak in the company is not low, so there is no need to worry about being squeezed out.

As a latecomer, it is very difficult to break this monopoly. The biggest problem is that they have no core technology and cannot break patent barriers.

No one knows when they will come up with another system. The market is not waiting for people. Once the standards are popularized, it is difficult to get involved.

You can't dismantle the installed power supply network. Replace with their new technology standards? This is not a question of okay, but why everyone should change.

Without sufficient benefits, who would abandon the mature equipment and replace it with new power equipment that failed the test.

Unless they can come up with a new technical system before the technology is popularized, and apply it in practice, they will have the ability to compete.

Welles waved his hand, with an innocent expression on his face, and said, "Well, I've given up on persuading you. But, my friend. Who told you that I'm going to compete with them?

I am investing in a power company. Yes, but the difference in strength between the two sides is too big. If you want to jump into the pit of the power supply system, you can only become cannon fodder.

According to engineers, don't say to bypass patent barriers, even if there are no patent restrictions, if you want to copy their technology, it won't be possible without three or five years.

This is a complete technical system, but it is not just a technology, it is not possible without any link. Otherwise, the British and French will not buy patent licenses, but start a new stove.

The electric power company I invested in researched and developed the use of electric power in the industry and replaced the steam engines on the market with electric machinery and equipment. The two parties are not competitors at all. "

Theoretically, these technologies have unlimited potential, however, the funds required are not small. Wells wants to convince Thor, in fact, is also a financial issue.

It is not that he has no money, mainly because new technology research and development is full of uncertainty, and someone needs to be shared to share risks.

From the current market situation, the lifespan of this new technology company is the shortest, which is the main force to reduce the average lifespan of Austrian companies.

In contrast, traditional enterprises have much more vitality, and it is normal for them to survive for two or three decades.

After all, traditional industries are assets, and they can also be sold. Many companies changed hands many times and still survive.

In contrast, high-tech innovation industries are different. If good luck develops new technology, then the enterprise still has value; if bad luck, nothing is made, and such a company is worthless.

Non-fruitful companies have not lived long, investors have limited patience, and no one waits for them to sharpen their swords in ten years.

The shortest technology company has only a few months of life. Develop a certain technology, because competitors first work out the results, they will be abandoned by investors who think there is no potential.

The capital market is so cruel, weak and strong, and the fittest survive.

It is not surprising that capitalists are not willing to invest in new high-tech companies. Not only is it risky, but even if it is a result, it may not have commercial value.

As a result, most of the 19th-century technological innovations were personally driven. After the results were achieved, capital swarmed up to advance the technological revolution.

If it were not for the emergence of the Austrian New Energy Power Company, a city that never sleeps will be built in Vienna, let everyone see the importance of electricity, and the power industry will not be favored by capital.

Even so, capitalists are looking for ways to reduce risk. This is why the strategic expansion of the Austrian New Energy Power Company has been so smooth.

This is a dispute between the two of them. There is no right or wrong, only suitability.

Failure to enter the light industry fight is enough to prove their vision. Of course, the economic crisis that has just ended should also be an important factor.

Capital does not avoid risk, but capitalists have the instinct to avoid risk. There is an overcapacity industry, and everyone knows that it is a sunset industry.

It is not easy for the sunset industry to survive, and it is obviously impossible to obtain huge profits.

Seeing that the scene was a bit awkward, Lawrence Lovsky of the companion shifted the topic and said, "It's almost 12 o'clock, and we should have lunch. I think the beef in the restaurant next door is good, why not try it?"

Thor smiled. "I like their goose more. How about you?"

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