Magic Industry Empire - Volume 3 Chapter 169




Seveni looked at Xu Yi with a hint of bitterness in her eyes.

“I’m not rich like a certain chairman who not only can give high grade equipment to each of his guards, he can even give them the upscale Magic Repeating Crossbows. For the private guards of a poor person like me, being able to give them a set of armour and weapon is already good enough.”

Xu Yi couldn’t help smiling as he shook his head, “Alright, dear your highness, since you are a poor person, on behalf of the Frestech Chamber of Commerce, I’ll let you buy on credit. What do you think?”

Seveni revealed a trace of happiness as she pursed her lips into a faint smile, “How does that seem right?”

Xu Yi spread his hands, “Alright, I don’t mind, so what are you embarrassed about. It’s settled, your five thousand private guards will receive top grade equipment and I’ll also give you two new Magic Trebuchets. As well, you’ll receive fifty large scale transport Magic Cars which we’ll be promoting next year.”

“Chairman Xu, are you forcing me to buy?” Seveni said, “The equipment that you mentioned should cost at least a million gold coins, right? I can’t take out the cash to pay you.”

“I’ve already said it, it’ll be on credit.” Xu Yi said with a faint smile.

“Then what’s the time limit on this?” Seveni kept asking.

Xu Yi looked at Seveni, “Don’t ask this kind of meaningless question again. In short, it’s settled. If you really feel embarrassed, you can think about how to compensate me in another method.”

Seveni looked at Xu Yi for a while before her expression became serious.

“Xu Yi, I have to remind you, although I support you and the Frestech Chamber of Commerce and thank you for your support of me, if you or the Frestech Chamber of Commerce does anything to hurt our Lampuri Kingdom, I definitely won’t be polite with you. Moreover, I will not let you take any compensation that will harm the kingdom.”

Xu Yi gave a shrug, “Relax, at least I’m satisfied with this kingdom now and don’t plan on committing treason. Moreover, I really wish for the Lampuri Kingdom to become stronger, the benefits of the kingdom also benefit me.”

Seveni nodded and ended this topic. She took out the plan for Banta City of next year and discussed it with Xu Yi.

After the discussion was over and Xu Yi left the City Lord Manor, it was already close to evening.

Because it was close to New Years, most of Banta City’s foreign workers had gone back home and Banta City was much more quiet.

But because it was close to New Years, all the households in Banta City were prepared to celebrate New Years and were filled with happiness.

With the magic machine industry driven by the Frestech Chamber of Commerce, the economy in Banta City soared and each family had much better income compared to before. When they celebrated the new years this year, the households of Banta City prepared much more compared to before.

As the new year came, many citizens in Banta City were worried about how to spend the new year and this year they were worried about how to spend the New Years better.

Food was no longer a concern for them, so the citizens of Banta City were now looking for a better life.

So with the new concept magic room that the Frestech Chamber of Commerce proposed became popular in Banta City. Almost every household purchased every kind of household magic machine and arranged the new concept magic room the Frestech Chamber of Commerce proposed.

Because of this request, the «Household Magic Machine System Construction» that Akali had published before had sold over ten thousand copies in just three months. Whether people could read or not, they had a deep understanding of the magic room in Banta City.

When the people of Banta City chatted, they would be looked down on if someone said they didn’t understand this magic room.

It was because of this that the Frestech Chamber of Commerce’s household magic machine sales had exploded in Banta City, suddenly almost doubling.

Thinking of this, Xu Yi suddenly felt that the proposal chairman Cruise had about working with the Frestech Chamber of Commerce to design custom household magic machines would definitely bring about good results.

Of course, Xu Yi already felt that this idea was good when chairman Cruise raised this idea.

But other than the lack of developmental resources, there was another important reason why Xu Yi had declined chairman Cruise’s suggestion. It was that Xu Yi was not willing to have the Frestech Chamber of Commerce take all of the household magic machine market, he wanted to leave some opportunities for the other household magic machine companies.

Just two days ago, Xu Yi held a conference for the Banta City Magic Machine Business Union. In this conference, he put the proposal forward for companies that made household magic machines to cooperate with the Amrit Chamber of Commerce to build custom household magic machines.

Xu Yi even promised that the Frestech Chamber of Commerce would pay attention to this project and would give a certain amount of technological support.

This proposition was immediately welcomed by those companies. With Xu Yi making the contracts, they reached an initial agreement with the Amrit Chamber of Commerce and were planning to enter the research phase next year.

In fact, although the Frestech Brand household magic machine had an absolute advantage in Banta City and the surrounding cities, capturing over 70% of the market, the Frestech Brand’s sales weren’t that high in the further cities.

The reason was very simple, household magic machines from the other brands were cheaper and it wasn’t just by a bit.

Take the Magic Air Conditioners now that winter was here. The Frestech Brand’s Magic Air Conditioner cost twenty six gold coins and the highest price among the other brands was twenty gold coins. The lowest price was only at twelve gold coins.

For the other cities that weren’t as rich as Banta City, if they had a choice for a cheaper Magic Air Conditioner, why would they choose the Frestech Brand?

Although the Frestech Brand’s performance and quality was the best, also it was much better designed compared to the others, when comparing these factors, price was the most important.

So when it came to Banta City and the surrounding cities and the further cities, the sales of the Frestech Brand and other brands were very polarized.

All the nobles, even those that weren’t rich all bought the Frestech Brand Magic Air Conditioner.

Then when it came to the nobles and slightly rich citizens, most of them bought the Frestech Brand.

As for the rather common families, there were few who bought the Frestech Brand and most of them chose other brands.

There were far more common families than nobles and rich merchants. Although the profit was much less, when calculating it in the end, the Frestech Brand’s sales in other regions were much lower than the other brands.

For this reason, Kennard, Sebas, Heinz, Ankhto, and even Still had asked Xu Yi before, why didn’t he lower the price of the Frestech Brand Magic Air Conditioner?

With the Frestech Brand’s large room for profits, even if they decreased the price from twenty six gold coins to twenty gold coins, they would still earn more than ten gold coins.

Like this, they could take part of the market back from the other brands.

Counting it, it would increase their total profits in the end.

But their proposals were all rejected by Xu Yi.

It was the initial development phase of the magic machine industry, if they started a price war now, although the Frestech Chamber of Commerce would gain in the short run, it would actually hurt the other magic machine companies in the long run. This would be a fatal blow to the development of the magic machine industry.

Xu Yi naturally wasn’t willing to see this.

He already treated the magic machine industry as his child. He wanted it to develop well, so he racked his brain for ideas to protect it.

However, while protecting the development of the magic machine industry, he also needed to pay attention to the development of the Frestech Chamber of Commerce.

How to guarantee that the benefits of the other companies weren’t infringed which guaranteed the development of the magic machine industry, while also guaranteeing that the Frestech Chamber of Commerce had their advantage so they could lead the development direction of the magic machine industry, that was a problem that Xu Yi needed to seriously consider.

So far, it should be said that Xu Yi was doing well.

According to the stats of Banta City’s Magic Machine Business Union, the sales for all the magic machine related companies had reached a total of over fifteen million gold coins.

Although the Frestech Chamber of Commerce took half of that, the other companies had earned at least seven million from participating in the magic machine industry.

Even if the profit margins of the other companies couldn’t compare to the Frestech Chamber of Commerce, they earned at least a profit of three million from this seven million income.

Even if each company didn’t receive that much, for the emerging industry to earn this much in just a single year, it was a very exaggerated matter.

For example, with the small company support plan of the Frestech Chamber of Commerce, there were over a hundred small companies related to magic machines. Their chairmen and investors were nothing more than normal farmers before, earning no more than a hundred gold coins before.

But after establishing a magic machine company with the help of the Frestech Chamber of Commerce, they now earned over ten thousand gold coins a year.

Compared to before, this was a large difference.

And take the Ireland Chamber of Commerce that had the best performance, their net revenue last year was over two hundred thousand gold coins.

When he saw Freeman last time, he proudly said that he had received a bonus of twenty thousand gold coins and had become the richest man in Ireland Village.

Thinking of how Freeman kept smiling when he said this number, Xu Yi couldn’t help smiling.

Twenty thousand was a sky high figure for Freeman, but it was far from being enough to him.

The development of Banta City shocked many people, but it was far from being enough for Xu Yi.

To develop even better, he had to let the fires of industry burning in Banta City spread, not only burning through the Lampuri Kingdom, even spreading across the entire Sines Continent.

(Volume 3 The Force of a Prairie Fire End)