Rebirth of the 1980s: The Military Industry Empire

#356 - Chapter 356: What about the bargaining?

At noon that day, Li Ming sidled up during lunch.

"President Qin, how did your talks go?"

"While discussing the script with the Americans, I went to great lengths to finally steer them towards the J-8 modification."

"Uh-huh, what did the Americans say?"

"They said that if they didn't know the aircraft's structure, there was no way to estimate the cost." Qin Yang said, "I told them that if we didn't know the cost, we definitely wouldn't hand over the aircraft data to them. This created a problem, and if there's a problem, we have to solve it, right?"

"That's right, we have to solve the problem. So, how do we solve it?"

"I suggested to the Americans, why don't you just quote a low price first? Anyway, this isn't a one-time deal." Qin Yang said, "Later on, our J-8 will need to have its avionics and engines upgraded. If you lose money on the nose modification this time, you can make it back in subsequent contracts."

"That's right, they have to give us a price first, so we have a better idea." Li Ming nodded, "President Qin, thank you for mediating. Whether this deal goes through or not, we appreciate you."

"If our aviation industry can make progress because of this, then I'll feel a great sense of accomplishment." Qin Yang said, "I'll do my best. Of course, you should also know that as a representative of Fangbei Company, I will do my utmost to help you. As a representative of Factory 960, I require that you purchase our bulletproof vests at foreign trade prices."

Li Ming took a deep breath, "Yes, President Qin, I understand your meaning."

This was the first time Qin Yang had stated his position: he wouldn't interfere with the aviation industry's affairs, as long as they didn't exploit Factory 960! This condition was, of course, agreed upon. Without President Qin, without that Tomcat fighter jet script, this project wouldn't have been possible to negotiate.

"That's right, we think so too, so we decided to compromise a bit and give you a quote first. After careful study, we believe that the design cost for modifying the nose would be approximately one hundred million US dollars…"

What? As soon as he said this, everyone in the room was stunned.

Li Ming only felt a thunderbolt strike his brain, shattering all his fantasies with a crack.

The Americans had already been persuaded by Qin Yang to quote a low price first, even if it meant losing money on the deal, because there would still be avionics and engine upgrades later on, where they could make money back.

But now?

Just modifying the nose would cost so much? This loss-making quote was already one hundred million? How much would it be if they weren't losing money?

Hearing the other party's quote, Qin Yang finally felt relieved.

He had given two options, a low price and a high price. He didn't know which one they would choose, but now it seemed that the Americans hadn't disappointed him and had chosen the high-price option.

The reason was still one word: poor!

Although Grumman Corporation was producing the Tomcat, they had been losing money all along. They were now in dire need of funds to fill their hole, so they chose the high price. According to Qin Yang, they would quote a high price, and the other side could bargain, and after several rounds of negotiation, they would reach a final price that would make both sides happy.

But obviously, there was no need to continue negotiating with such an insincere price.

Li Ming clenched his fist.

Old Lin had a sneer on his face. Hmph, it was just as President Qin had guessed. These Americans only had money in their eyes, demanding so much!

Pelley Hawk was also a little puzzled. The other party's expression clearly showed dissatisfaction! Was President Qin's suggestion not working? He looked at Qin Yang with a pleading gaze.

"Mr. Pelley Hawk, this price is unacceptable to us. Can you lower it a bit?"

"This is already the lowest price, but since we're sitting here discussing business, we're friends. For the sake of friendship, I'll give you a one percent discount. How about ninety-nine million?"

"No, it's too high."

"Ninety-eight million, this is already the lowest price…" Pelley Hawk began to reel off the negotiation techniques that Qin Yang had taught him, but before the long negotiation could even begin, there was a loud bang, and someone actually slammed the table?

Old Lin stood up in a rage, but was glared at by Old Liu.

So, Old Lin could only obediently sit down.

"Sorry, everyone, we were rude." Old Liu said, "We are very pleased to have visited Grumman Corporation and seen your fighter jet's wonderful performance. However, we will reconsider the matter of cooperation."

The people at Grumman Corporation were dumbfounded, watching the Eastern guests stand up and walk out with some dissatisfaction.

Pelley Hawk became anxious and followed behind Qin Yang, "President Qin, President Qin?"

Qin Yang shook his head helplessly, "Mr. Pelley Hawk, your appetite is too big. I heard that the development of the F-16 fighter jet only cost six or seven hundred million US dollars. You're asking for so much just to modify our nose?"

"President Qin, I was following your instructions…"

"Alas, greed is the original sin. You know, if you had quoted a modification fee of ten million, you could have asked for additional fees later if it wasn't enough, right? You came up with one hundred million right away. Even if you wanted a high price, you couldn't quote it like that!" Qin Yang said, shaking his head repeatedly.

"President Qin, don't leave."

"I just patted my chest and guaranteed them that the deal could be made. I'm afraid I'll get scolded if I go back like this." Qin Yang said, "I can't say too much!"

"Then we can't continue to cooperate?"

"Isn't there a script? If you want to make a movie in the future, feel free to contact me anytime. I have to go now."

Qin Yang left these last words and quickly caught up with the people in front.

He had given the choice to the Americans, but Grumman was too greedy. Now that the cooperation had fallen through, he couldn't be blamed. This was fate.

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