The U.S. Department of Defense military vehicle bidding qualification has driven the enthusiasm of the American media. Bao Zixuan's remarks have not been felt much before; after all, no matter where the company is registered, it has little to do with ordinary people. Now that even the Ministry of Defense has taken action, it shows that the problem is already very serious. Even if there is a higher level involved, the answer is self-evident.
Sure enough, that sentence was verified, as long as Bao Zixuan went where. Where the news is, the saying still applies in America.
Before Bao Zixuan went to the Middle East, the situation in the Middle East changed instantly. In mainland China, Shanghai Pudong New Area was established. After arriving in Japan, it made headlines one after another. Coming to the United States does not stop, let the US Department of Defense revise the bidding requirements and rules.
This young rich man must be the protagonist in the movie, and he has his own aura of the protagonist. Or the illegitimate son of God, or else how can the rules be changed.
The media is extremely excited, but for other automakers, they have to face difficult choices. If you want to continue bidding, you must follow the requirements of the Ministry of Defense. If you don't want to do business with the US side in the future, then it doesn't matter.
But now the situation makes them dare not ignore defense orders. After all, the civilian market has been eroded by Japanese, European, Heiyun and other car manufacturers, and there is no sales at all.
Henry Ford II returned home and saw that the family was all there. He said with a smile: "At present, it seems that the Ministry of Defense must have a copy of Ford's order, which is a good thing. But I don't want to see any negative news from the Ford family at this time. After all, this time it is to make money from the government. Let the media get any hold of Ford and the Ford family."
For family children, Henry Ford II has always had no good feelings. You can say that it is the cold blood of the big family, or it can be said that no children of that family can get into his eyes.
To survive in a big family, you must abide by the family rules. Now that Henry Ford II, the patriarch, has made a statement, no one else dares to say anything more. At most, be careful when you go out to play, and don't get caught.
And it is only forbearance for a while, as long as the military order is obtained. What does it matter if the media reports indiscriminately, at this time the children of the Ford family know what to do.
Unlike the lighthearted atmosphere of the Ford family, GM was a little nervous.
At this time, General Motors is holding a board meeting, mainly to discuss the pros and cons of canceling the Cayman Islands company.
Although MacDonald agreed very readily, at that time he did not dare not to agree or express his position. But GM's board of directors still has some objections, and he, a professional manager, has to explain to individual directors.
MacDonald said with a serious expression: "Because of the remarks made by Bao Zixuan of the Black Cloud Group, the media has already paid attention to the issue of companies registered in tax avoidance islands. Now not only the media is paying attention, but even the White House has begun to pay attention."
"I suspect that it is the White House's intention to ask the Department of Defense to cut off business cooperation with companies associated with tax havens. It is not what we have to choose. And what the White House wants us to do, what President Reagan wants us to do."
"The two branches must be written off, although some extra taxes will be paid each year. But this money must be spent, otherwise GM can say goodbye to the military in the future, and the Department of Defense cannot be handing over orders to us."
Anyone who can be a director of General Motors is a smart person. Of course, I know the twists and turns here, but there are still some directors who are not reconciled. Mainly Cayman Islands registered companies, with too many ties to their interests. Once GM writes off the company, it's not going to be easy for their other companies.
One of the directors said: "We haven't received the military order yet. Do we just give up our existing interests for something on paper. General Motors' performance has not been good in recent years. If it does not adopt a reasonable tax avoidance method, then all that is waiting for everyone this year is a loss. "
"At that time, not to mention the dividends at the end of the year, the assets may be greatly reduced. We can split the company's business, and we can completely divest the two offshore companies. This not only meets the requirements of the military, but also can be reasonably applied when necessary. its function."
There's some truth to that, but Mike Donald knows it. This kind of fooling behavior is unacceptable, and don't treat the military as a fool.
MacDonald: "This time it wasn't just the military who took action, but received instructions from the White House. It can be said that it was President Reagan's request. Do you think the CIA or the FBI are easy to deceive?"
"This will bring General Motors into the abyss of doom, and it will no longer be able to get military orders in the future, and it will even be difficult for GM to gain a foothold in the United States."
“If you want to get military orders, you have to clean up the Cayman Islands companies. General Ian Wright made it very clear on the phone that this time is just a test. If in the process of testing, General Motors dares to If yang follows yin and violates yin, then there will never be a good life in the future.”
In fact, as we all know, the Ministry of Defense is definitely not that easy to fool. But I still wanted to try it out with a fluke, but now it seems that the idea is too idealistic.
MacDonald continued: "General Motors will definitely be able to get the order for the so-called Department of Defense tender. It's just a question of how much, you can rest assured. And it will definitely take the lead. Now it's up to GM to choose."
“If GM is still thinking about doing business with the Department of Defense in the future and receiving orders from the military, then it cannot have any involvement with the Cayman Islands. Even if it gets away with it this time, it will definitely be disqualified next time.”
"If the directors do not agree, there is another way for us to maximize our profits; to sell Hummers. When the Ministry of Defense replaces military vehicles, there are definitely many companies in Hummers willing to take over, and they will surely be able to sell for a good price."
"It's a tough time for American auto companies; if you don't want to go bankrupt, you have to change. Either get the military orders all the way, or sell Hummers."
Hearing that MacDonald had the idea of selling the Hummer brand, the directors present knew that this was a real move. Although there are some people who have different opinions, they must also serve the overall situation, so no one dares to say anything more.
General internal decision-making reached consensus, but also left some hidden dangers. Several directors became dissatisfied with MacDonald, which paved the way for the subsequent removal of his CEO.
At this time, other U.S. auto companies have fallen into a more difficult choice. Ford itself does not have a tax-avoidance island registered company, and GM also dared to make a decision because of the guarantee of the Defense Department's order.
But for many companies, it is impossible to survive without registering a company on a tax haven island. If the company is cancelled, it can be said that the order from the Ministry of Defense cannot be obtained, but the big deal is to apply for registration again.
It is no problem to get a larger order, at least in a short period of time, there is no need to worry about the survival of the company.
I am afraid that the amount of the order will be very small, and the military order cannot be delayed. Tax haven islands dare not register companies anymore, and companies must go bankrupt.
The famous Mack truck had this problem, and several roads were in front of them at this time. .
American Mack Trucks Co., Ltd. was established in 1900 and is a powerful heavy-duty truck manufacturer in North America.
During World War I, more than 5,000 Mark AC-type trucks were in service with British and American forces. When other trucks got bogged down, British and American soldiers always called in the Mark AC to pull them out. British soldiers called the trucks "bulldogs" because of their super power and flat nose-shaped hood reminiscent of bulldogs.
The Mack trucks had already cooperated with the US military in the First World War It is inevitable for the Ministry of Defense to replace the military trucks. At this point, Mark Trucks faced the same problem as other businesses, cutting all ties with the tax haven island.
French Renault Trucks and Mark have extensive cooperation; it is normal for companies from two different countries to jointly register a company on a tax haven island. Mark's directors were worried that Renault would disagree, but what Mark's CEO had to say. Let the directors know that it doesn't matter if you lose Renault as a partner if you get the military order.
Everything has to make way for military purchase orders at the moment, as for the rest, we will talk about it later.
This is a reshuffle, a reshuffle of the American auto industry. At present, a certain effect has been achieved. At least many car companies have begun to write off tax-avoidance island affiliates. This is the actual result.
But including President Reagan, we all know that these are just appearances. The automotive industry is a traditional industry with a very early establishment and a relatively long history. Most of the registrations in tax haven islands are subsidiaries, purely for tax avoidance.
Other industries are not so easy to handle. Many large companies and parent companies are registered in tax haven islands. When running these businesses, it will definitely be extremely difficult.