A recommendation letter from Citibank can basically make an appointment with anyone you want, provided that you have a certain amount of capital and resources.
"Hello, Mr. Knight." In the presidential suite of a four-star hotel in downtown Portland, Chen Zhiwen made an appointment with Phil Knight, the founder of the later sports brand Nike.
"Mr. Chen? Hello." Phil Knight, who had just walked into the suite, was greeted by a very enthusiastic Chinese and shook hands. He naturally guessed that this was the Chinese from Hong Kong who wanted to meet him.
He originally didn't want to come, but the person in charge of Citibank in Portland personally called him, and Citibank is Nike's largest creditor, and Nike has been having trouble with its economic problems recently, so it had to give him face.
"Please take a seat. What would you like to drink? Mr. Knight." Chen Zhiwen took Phil Knight to the sofa room inside. At the same time, he had already prepared several drinks to entertain the guests.
"Just regular coffee." Phil Knight said politely while looking at the scenery outside.
This is one of the tallest buildings in the entire city of Portland. The presidential suite is also located in the corner of the highest floor. You can see half of the city at a glance, and not far away, a huge lake is full of life under the sun.
"The scenery here is very good. Mr. Knight, haven't you been here before?" Chen Zhiwen handed over the prepared coffee.
"Thank you." Phil Knight took the coffee and said, "I have been here before, but I have never been to this presidential suite. The height is different and the scenery is different. But I often go to the lake to fish, just I can’t go now.”
"Why?" Chen Zhiwen asked.
"The land nearby was acquired by a large fund and a farm was opened. Mr. Chen is also a businessman, and he also knows that international food prices have increased a lot during this period." Phil Knight said while drinking coffee.
"I've heard that food prices have risen quite dramatically." Chen Zhiwen thought for a while and nodded.
In the 1970s, the global climate was very unfriendly to agriculture, resulting in a severe reduction in grain production in the northern Big Bear, which forced the country to seek food imports in the international market. Under the oil crisis, the United States was also severely short of oil. The two sides of the Cold War invariably cooperated through transit companies. , leading to a global normal food shortage of up to 30 million tons, and food prices rising 2.5 times in just 4 years.
Under the huge profits, capital that had nowhere to invest due to the oil crisis naturally focused on land. In recent years, farms around the world have begun large-scale mergers and acquisitions. Some governments have also taken the opportunity to release land and even cut down forests to convert into farms.
If he had spare money, Chen Zhiwen would also like to invest in a farm. It would be best to become the world's largest landowner. However, investing in land in the past ten years may not be possible, but there is no problem in buying a small farm for fun.
"I heard from people at Citibank that Mr. Chen made an appointment with me because he wanted to invest in my company?" After finishing the coffee, Phil Knight turned to the topic.
"Yes." Chen Zhiwen nodded and said. He informed Citibank of the purpose when he entrusted it to Citibank. There is nothing to hide or keep secret about this kind of thing.
"Nike has not yet entered the international market. How did Mr. Chen know about our company? And why should he invest in our company?" Phil Knight asked.
"Have you ever heard of the drink Red Bull?" Chen Zhiwen asked, pointing to a can of drinks in the corner of the table. He brought this here specially. There is no such drink in the hotel. Even in Portland, he sent people to three supermarkets to find it. This is enough to show that Red Bull is still not popular enough in the United States.
"I've heard of it, I've seen it on TV commercials, but I've never drank it." Phil Knight said after taking a look at Red Bull.
"This is my company's product. It focuses on helping athletes quickly replenish their physical strength after exercise. We have also found many well-known sports stars in the United States to endorse them. For publicity reasons, we also selected some sports shoes on the market. This It was originally a small matter, but the feedback we got was that athletes like Nike brand shoes very much, so I checked your information and felt that your company has high development potential, so I came." Chen Zhiwen opened his eyes The eyes tell the truth.
Although investing does not necessarily require a clear explanation of why you want to invest, Chen Zhiwen also thinks it is better to find a reason casually. If you don't explain the reason, it will be easier for the other party not to accept the investment.
"Which sports stars? Are our sneakers on your advertisements?" Phil Knight suddenly became interested. Although he does not follow Red Bull, he also knows that this Red Bull drink often appears on TV. If the stars in it are wearing their own shoes, Shoes, aren't they also a kind of advertisement? Although it’s not much exposure, it’s better than nothing!
"This is confidential, and I can't reveal other people's names casually. As for the brand issue, Mr. Knight doesn't have to worry. For legal reasons, even if we use Nike shoes, we have covered the trademark." Chen Zhiwen laughed. said with a smile. Not only in the United States, but also in many countries, other brand logos cannot appear in the advertising laws, even in positive publicity, because in many cases the law cannot distinguish between eccentricity or ridicule and simply bans them.
"Actually, we don't mind. Mr. Chen doesn't need to cover our brand." Phil Knight said.
"This can be discussed. I think we may have deeper cooperation." Chen Zhiwen said with a smile.
"Mr. Chen, we won't stop because of an advertisement," Phil Knight said.
"This is not an ordinary advertisement. It's just that this year, Red Bull's advertising budget is 5 million US dollars. Although it has not been determined for next year, doubling it should not be a problem." Chen Zhiwen said lightly: "And my requirement is investment, a real investment. The funds will not take any advantage of Nike, and at the same time, I can also help solve Nike’s current supply chain problems.”
"Five million dollars?" Phil Knight was shocked. He was not sure whether the person in front of him was bragging, but it is true that not everyone can get a letter of recommendation from Citibank headquarters. If there is such a thing, Large-scale advertising, and your company will follow suit, which will also have an unprecedented exposure effect.
After a while, Phil Knight asked: "Mr. Chen also knows about our supply chain problems, and the bank is also suing our company. Is there any good solution?"
Nike was in big trouble during this period. Because it had developed very well in the past few years, the company spent a lot of money to purchase an old shoemaking factory and invested a lot of money in maintenance and renovation. However, it had only been engaged in terminal sales before. Nike management underestimated the cost of the manufacturing plant, which ultimately seriously affected the company's capital chain. At the same time, the account was frozen because it failed to notify the debtor bank, and it was also sued in court.
This matter is not a big secret. Since the other party wants to invest in it, they will definitely find out.
Chen Zhiwen said with a smile: "The problem with the Nike factory is not a big problem. The banks are just worried that you can't pay back the money. As long as there are enough funds, they will naturally withdraw the lawsuit. As long as Nike accepts my investment, the problem can be easily solved."
The supply chain issue I am talking about is not this matter, but the future. "
"The future of the supply chain?" Phil Knight asked with a frown, he didn't quite understand.
Chen Zhiwen smiled and said, "Yes, making shoes requires a lot of manpower. The cost of manufacturing in the United States is too high. Even if Nike is a high-end brand, it cannot bear the cost. The only way is to move out and move to Asia."
(End of chapter)
