Into Unscientific

“.That’s about it.”

Two days later.

In a conference room at the Academy of Sciences.

Xu Yun gently put down the memo in his hand, looked at the people in front of him and said:

“I personally prefer Zhengda Tianqing to discuss distribution cooperation. What do you think?”

At this moment.

In front of Xu Yun were Lu Xiao, Tian Liangwei, Zheng Zu, Zhou Shan and other senior executives of Huadun Biosciences. After receiving the news from Xu Yun yesterday, they quickly took a flight to the capital.

Xu Yun applied for a conference room from the Academy of Sciences through Academician Pan for today’s discussion.

“.”

After listening to Xu Yun’s introduction, Zheng Zu, the head of the University of Science and Technology’s New Venture Fund, pondered for a moment:

“Dr. Xu, if we choose Zhengda Tianqing as a distributor, how much will the distribution and sales slow down? - I mean compared with those large local distributors in Europe and the United States.”

It was mentioned earlier.

At the beginning, Huadun Biosciences’ registered capital was 13 million Chinese yuan, and the first installment was fully subscribed.

The leading investor is the USTC New Venture Fund, which invested 8 million Chinese Yuan and additional resources, accounting for 27% of the shares.

The follow-up investors are the USTC School of Physics and the USTC School of Life Sciences, each of which invested 2 million Yuan in cash flow and additional resources, accounting for 10% of the shares, totaling 20%.

The natural person Xu Yun invested in the form of capital + technology, with a cash injection of 1 million Yuan. The technology name is the fifth-generation imidacloprid and its commercial derivatives, accounting for 38% of the shares.

The remaining 15% is the employee option pool, which is used for ESOP rewards.

At the same time, Huadun Biosciences adopts the AB share model. Although Xu Yun only holds 38% of the shares, he actually has 90.1% of the voting rights.

In addition, Xu Yun's recent performance has been extremely impressive, and he has long been in the sight of the leaders of the Academy of Sciences and even higher levels. Therefore, in a sense, Xu Yun can decide the company's future strategy quite independently.

However, the New Venture Fund is also a shareholder of the company after all. In this case, Zheng Zu still needs to express his attitude.

"Sales volume"

Xu Yun had already prepared for this question. Upon hearing this, he immediately looked at a man sitting next to Tian Liangwei:

"Manager Lin, you will be the one to introduce this aspect."

The man called Manager Lin by Xu Yun was probably in his early fifties. His temples were slightly gray, but he was in good shape. He had a square face and very light eyebrows. Generally speaking, light eyebrows can reduce emotional expression during communication, so many negotiation experts will deliberately trim their eyebrows.

This person's full name is Lin Fei'an, who is the junior brother of Tian Liangwei mentioned by Academician Pan. He is now the distribution manager of Zhengda Tianqing's medical project in Europe.

Lin Fei'an took over the European distribution business in December last year. The performance in the past period can only be considered mediocre. There is no way. Domestic pharmaceutical exports have always been weaker than imports. This is a problem of the overall environment.

The board of directors asked Lin Fei'an to first layout Europe to see if there is an opportunity to expand the market for medical consumables in a few years. In a sense, this position is not easy to cause trouble, but it is also difficult to achieve results.

Therefore, after his senior brother Tian Liangwei contacted him two days ago and informed him of the relevant situation, Lin Fei'an immediately rushed from Huadu to Yanjing overnight to attend the meeting.

Then Lin Fei'an coughed twice, stood up and nodded slightly to Xu Yun and Zheng Zu, and said:

"Dr. Xu, Chairman Zheng, to be honest, from the perspective of volume, our Zhengda Tianqing's distribution channels and capabilities in Europe are definitely weaker than local traditional distribution companies."

"Currently, our group has a total of 4,671 pharmaceutical chain partners in Europe, covering 53,224 stores, 1,202 cooperative hospitals and medical institutions, and the coverage rate is about 3.5 per 100,000 people."

"Last year, our shipments of various drugs reached 150 million doses, and the channels were about 28.5% of Boots, and the shipments were about 23.8% of Boots."

Xu Yun nodded gently.

The Boots that Lin Fei'an mentioned is the largest international pharmaceutical health and beauty group in the UK, namely Union Boots. One of its subordinate industries is a skin care brand called Boots.

One of the core businesses of Union Boots is the wholesale and distribution of pharmacies and medicines. It is probably similar to the local Neptune Star or Kangbaijia Pharmacy, but it is much larger than them and ranks among the top few in Europe.

Lin Fei'an was able to use Boots as a comparison object, and his attitude was relatively frank. If it were replaced with some other distribution companies outside the top ten, the percentage obtained should be more than 3.

"More than 20%"

Zheng Zu frowned slightly when he heard this, and said softly:

"It seems a bit low."

As a businessman, Zheng Zu is more concerned about the sales of products than Xu Yun's preferred state-owned background.

After all, the company's financial report is directly linked to his future and money prospects in the Academy of Sciences. The better Huadun Biosciences products sell, the higher his performance will naturally be.

Zheng Zu's goal is to be promoted from the chairman of the fund to the head of a large enterprise under the University of Science and Technology within three years. The current leader of that enterprise will retire in the summer of three years. Zheng Zu is currently a strong contender for that position.

But if the distribution speed slows down due to dealers, even if it is slower than expected by half a year, it is hard to say what will happen to Zheng Zu at that time.

Of course.

Zheng Zu’s thoughts cannot be said to be profit-seeking. After all, everyone has their own demands and plans, and the issue of whether to choose a state-owned dealer does not rise to the level of stance.

"Chairman Zheng, please don't be impatient."

Looking at Zheng Zu who looked hesitant, Lin Feian laughed instead:

"Chairman Zheng, our country's pharmaceutical export industry developed relatively late. At the same time, there is a relatively obvious generation gap with foreign countries in terms of chemicals and pharmaceuticals. Therefore, our company's share in Europe and the United States is not high, and there are also external objective factors. "

"In fact, not only our company Zhengda Tianqing, but also companies such as Guangzhou Pharmaceutical and Guosheng are in similar situations, and the data is only a few percent different."

"Of course, this objective factor mainly affects dealers like us. For exporters like you, they do not accompany us to bear the pressure of this situation."

"At least, just talking about friendship is not enough."

This time, many people in the conference room nodded.

From the beginning to now, Lin Feian has been very honest at least in terms of attitude, and has not engaged in moral kidnapping or playing friendship cards.

This may be due to Lin Feian's character, or it may be due to the words he prepared in advance. In short, everyone currently has a pretty good impression of him.

Then Lin Fei paused, picked up a document from in front of him, and continued:

"Dear directors, since you have no reason to help us unconditionally due to love, then the only thing we can impress you with is interests."

Lin Feian gently raised the document in his hand and explained:

"The document in my hand is a letter of intent authorized by Chia Tai Group before I came here. It contains some rate agreements and commitments. I believe you will not be disappointed."

After saying that, Lin Feian handed the document in his hand to Xu Yun's assistant Tang Li.

Xu Yun winked at Tang Li, who placed it in front of Zheng Zu knowingly.

"."

Ancestor Zheng glanced at the thin stack of A4 paper, then looked up at Lin Feian, and then opened the page.

The content of the letter of intent is very simple. After all, Huadun Biotech has only one product to export this time, and the license has already been issued, so most of the content of the letter of intent directly involves the product itself.

For example, Huadun Biotech must ensure how many products it exports in a year, what the dosage of a single vial is, and the defective rate cannot be higher than 3 out of 10,000, etc.

Then quickly.

Zheng Zu then saw the relevant rates given by Party B, Zhengda Tianqing.

As a result, after just a few glances, he looked up at Lin Feian in astonishment:

"Manager Lin, your distribution commission is only 11 points? Does it also include offshore transportation costs and insurance?"

Lin Feian smiled and nodded:

"That's right."

As everyone knows.

Whether it is medicine, food or daily necessities, as long as a large amount of cross-border trade is involved, then for the companies or individuals who undertake the transfer, it contains extremely amazing profits.

There are three main aspects of profit here. One is pure distribution commission, that is, you provide the goods, I will provide you with local sales channels to distribute the goods, and then I will take a heavy cut from your profit or purchase price.

The second is transportation costs. Today’s bulk goods are usually shipped by sea. Those large distribution companies usually have rebate agreements with shipping companies. For example, the rebates from dealers of large car companies can sometimes reach hundreds of thousands of dollars.

If not, there would be no concepts of FOB and CIF prices in business.

Finally, there is transportation insurance. This part is also expensive, and many dealers will also designate cooperative insurance companies to insure it.

The result was unexpected.

In the letter of intent given by Lin Feian this time, he actually took the initiative to undertake the transportation and insurance aspects, and the distribution commission was only 11% of the gross profit.

To know.

There is a company under the HKUST New Venture Fund that produces carbamate insecticides. The products are also exported to Europe. The German distributor VlITIEO who undertook the project asked for a commission as high as 38%.

Not an exaggeration.

After deducting the transportation and insurance expenses, Zhengda Tianqing will not lose money, but it will not make much money.

Zheng Zu's shock was clearly seen in Lin Feian's eyes, and Xu Yun's uncle in a sense could not help but slightly raise the corners of his mouth.

like he said.

There is indeed a certain amount of 'affection' between him and Huadun Biotech, but this affection can only give Lin Feian the qualification or opportunity to stand in this conference room, hoping to get the final contract. It's a bit unrealistic.

But after feelings no longer apply, all Zhengda Tianqing can show is sincerity.

Lin Feian's letter of intent came from the decision-makers of the CP Group and was a collective decision made by the CP Group after emergency discussions.

Of course.

These concessions on conditions are not an attempt by Chia Tai Group to kneel down to Huadun Biotech, but a layout for a longer-term strategy:

Nowadays, Chia Tai Group, to be precise, Huaxia's medical field has an increasingly high position in the world, especially in the field of medical consumables. Huaxia's export volume is rising every year.

The reason for this situation is simple, because Huaxia Volume.

The volume here not only refers to labor costs, but also includes R\u0026D costs and equipment costs. Therefore, the cost of medical consumables has been compressed to a level that seems exaggerated in Europe and the United States.

It is foreseeable that after a few years or more than ten years, China's medical resources will definitely counterattack the European and American markets.

In this case, if there is a large-scale distributor of China's "own people", how much profit can it make from it?

More importantly.

Nowadays, whether it is Guangzhou Pharmaceutical, Yangtze River, Guosheng or Zhengda, the shipments of all state-owned distributors are almost the same. For a period of time, the ranking of distributors is even different every month.

And [One Roaches Killer] is a generation-breaking product with a dimensionality reduction attack level. If Zhengda Group can expand its channels by giving [One Roaches Killer] the opportunity to distribute goods, then it will not be as simple as making a few points in the long run.

Zhengda Group had the courage and vision to invest in "Zhengda Variety Show" in the 1990s, and later launched the "Guinness China Night" series. There is no doubt about its strategic judgment.

Therefore, after learning that Huadun Biotech was interested in itself, Zhengda Group immediately formulated such a letter of intent.

"."

Looking at the clear terms in the letter of intent in front of him, Zheng Zu's expression was a little complicated.

What else can he say?

The distribution fee is 1/3 lower than that of other companies. This alone is enough to make up for most of the disadvantages of the distribution channel, not to mention freight and insurance.

The combination of the above may still be inferior to Boots, but at least there is no difference in magnitude.

In this case, one is state-owned and the other is a pure foreign company. Is there any need to say the answer?

Thinking of this.

Zheng Zu couldn't help but smile bitterly and raised his head helplessly:

"Manager Lin, I have to say that you are indeed sincere. I have no objection."

Lin Fei'an's eyes immediately showed a hint of joy when he heard the words, but he still kept restrained on his facial expression. Then he turned his head and looked at Xu Yun.

Xu Yun understood the meaning of the song and quickly looked at the other directors of the company:

"What do others think?"

The remaining directors at the scene were all leaders of the School of Physics and the School of Life Sciences of HKUST, and one was a member of the HKUST board of directors. After hearing Xu Yun's words, they all expressed no objection.

After all, Xu Yun and Zheng Zu both voted in favor, and the CP Group was indeed sincere. If they all disagreed, it would be a bit unreasonable.

Xu Yun nodded with satisfaction, pondered for a moment, and took the initiative to extend his hand to Lin Fei'an:

"In that case, Manager Lin, let's have a happy cooperation."

Lin Fei'an had been waiting for this moment for a long time. The smile on his face could no longer be suppressed, and he shook Xu Yun's hand heavily:

"Dr. Xu, happy cooperation!"

Note:

At the request of several big guys, a leader group was opened. Big guys who meet the fan value can join the group. The general group has also been unlocked. There are probably not many people in the leader group, so there is no need to reward specifically to join the group.