New Employees With an Annual Salary of 1 Trillion Won - Chapter 116

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This chapter was translated by Lunox Team. To support us and help keep this series going, visit our website: LunoxScans.com
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Chapter 116. Time of Harvest (6)

 

The Macworld event caused a bigger stir than expected.

 

More precisely, the iPod launched at Macworld sparked intense interest.

 

“Employee Lee, the iPod sales figures are quite extraordinary, aren’t they?”

 

“I also saw media reports about many people lining up in front of Apple Stores from dawn to buy iPods.”

 

“Online orders are also flooding in, and although it’s only officially sold in the United States and Canada for now, resale orders are pouring in from overseas as well.”

 

I had already anticipated this aspect.

 

If the iPod had been released exclusively for Mac, it wouldn’t have attracted this level of interest.

 

But thanks to the Rollbook player, it was compatible with Windows, which significantly increased the number of customers hoping to purchase it.

 

“I sent a report suggesting that iPods should be sold not only at Apple Stores but also at general electronics stores, but that proposal doesn’t seem to have been accepted.”

 

“They probably didn’t expect such an explosive response. But won’t they change their minds now?”

 

The shortage of retail stores was a problem.

 

But there was even a shortage of iPods to sell.

 

“But even if they increase sales outlets now, it’s still a problem. I heard they’re urgently operating production lines because of insufficient iPod inventory.”

 

“They’re even discussing expanding production lines. The demand is far exceeding expectations, probably because of the good compatibility.”

 

However, this wasn’t necessarily a bad situation.

 

The shortage phenomenon caused by surging demand could be used as a promotional effect.

 

“The more the shortage phenomenon occurs, the more the iPod can become a luxury brand.”

 

“Indeed, in the resale market, iPod prices have already risen more than double.”

 

“In the current situation, monthly sales of over 100,000 units would be possible.”

 

“Apple was predicting a maximum of 20,000 units.”

 

It was a complete prediction failure.

 

With a difference of as much as 5 times, it would never be easy to overcome the current situation.

 

“The supply shortage will continue at least until the end of this year.”

 

It would be difficult to secure parts procurement and even complete product assembly lines within a year.

 

“Although royalty revenue will decrease, in the long term, there’s nothing bad about it. It seems like it will become an opportunity for iPod recognition to increase further.”

 

“If monthly sales reach just 50,000 units, total sales would exceed 20 million dollars. That’s more than enough to achieve our target amount.”

 

The iPod launch price was $399.

 

Therefore, even selling just 50,000 units would result in total sales of 20 million dollars.

 

The net sales amount after deducting taxes, distribution margins, refunds and returns would also be over 13 million dollars.

 

“We agreed to receive 6% of net sales. So monthly royalties alone would be $780,000.”

 

“That’s over 1 billion won in Korean currency coming in as royalties every month. In a year, it would exceed 12 billion won, and since royalty amounts could increase monthly, it could even exceed 20 billion won.”

 

The minimum royalty alone was 12 billion won per year.

 

If supply became smooth, royalty revenue of over 30 billion won, not just 20 billion won, would be possible.

 

But there was an even greater benefit remaining for us than royalty revenue.

 

Before the iPod launch, we had gradually secured Apple shares.

 

“Thanks to the iPod launch, Apple’s stock price will also rise significantly.”

 

“It hasn’t jumped dramatically yet, but once the iPod shortage phenomenon is reported in the media, the stock price will rise. If the current situation is maintained, the stock price could easily rise more than double within a year.”

 

“What percentage of shares have you secured?”

 

“We secured 20%. I would have liked to secure over 40%, but it was more difficult than expected. Still, there probably isn’t anywhere that holds more Apple shares than us.”

 

A full 20%.

 

This meant Tiger Fund had taken the position of Apple’s largest shareholder.

 

But to be satisfied here, Apple’s gear structure was running too perfectly.

 

“We need to secure more shares. Apple will definitely continue to grow rapidly starting with the iPod.”

 

“If Employee Lee helps, that will naturally happen. So we plan to continue buying Apple stocks released in the market. And we’re also thinking of purchasing Apple shares held by other funds or financial companies, even at a premium.”

 

It was an investment that had no choice but to succeed.

 

I had seen many corporate structures so far, but I had never seen gears that played such beautiful and magnificent harmony as Apple’s.

 

“It’s definitely better to hold as many Apple stocks as possible.”

 

“I think so too. But right now, we need to focus a bit more on the Middle East receivables issue rather than Apple.”

 

“Did you receive contact from the White House?”

 

The General Manager nodded carefully.

 

“We’ll need to attend the inauguration ceremony to get more accurate information, but it seems we’ll have to go through quite a complex process to recover the receivables.”

 

“Still, we can’t give up 900 million dollars, so we’ll find a way somehow.”

 

“We have to. Oh! And there’s a Tiger Fund New Year meeting tomorrow, so Employee Lee must attend as well.”

 

If I were in Korea it would be different, but as long as I was in the United States, headquarters meetings were unavoidable.

 

Moreover, new positions were scheduled to be assigned at this New Year meeting, so attendance was essential, not optional.

 

***

 

The next day, Tiger Fund Headquarters main conference room.

 

Upon entering the meeting hall, nameplates were placed at each seat.

 

I looked awkwardly at my nameplate positioned around the middle for a moment.

 

Just a few months ago, I didn’t have a seat.

 

I only sat on a folding chair behind the General Manager and listened to the meeting content.

 

Now I was officially given a seat with my name engraved on it.

 

“Now that everyone is seated, we’ll begin the New Year meeting. First, we’ll have remarks from the Chairman.”

 

“Hmm, I should start by saying you’ve worked hard. Thank you for weathering well through the crisis where Tiger Fund’s history almost disappeared.”

 

Chairman Robertson’s voice carried sincerity.

 

The major crisis where operating funds were reduced to less than half – without the Korea Branch’s performance, Tiger Fund could have been relegated to a small-scale fund or even dissolved.

 

“I’m grateful just for overcoming the crisis and regaining our former position. But shouldn’t things be different starting this year? I hope we’ll rise not just as one of Wall Street’s top 3 funds, but as the overwhelmingly number 1 fund.”

 

In fact, even being one of Wall Street’s top 3 funds didn’t have that much influence.

 

Even looking at operating funds alone, no matter how much money a fund had, it was difficult to surpass banks or large asset management companies.

 

So we had to first capture the industry’s number 1 position.

 

And if we achieved the same performance as this year, it was something we could sufficiently accomplish.

 

“I hope Tiger Fund will emerge as the kind of financial company that can dominate Wall Street’s hegemony. To do that, you must trust and follow Mike General Manager.”

 

The Chairman naturally passed the turn to the General Manager.

 

And the General Manager, who had been waiting, began announcing this year’s performance first.

 

“To fulfill the Chairman’s wishes, we need more achievements. First, I kept the promise I made at the general manager inauguration ceremony. Tiger Fund’s operating funds, which were only 12 billion dollars, have now grown to 25 billion dollars.”

 

It was a return rate that no other fund had achieved.

 

It was a return rate well over double.

 

But looking at Tiger Fund Headquarters alone, the operating funds had merely increased from 22 billion dollars to 25 billion dollars.

 

“Last year was a year focused on recovery. But starting this year, we plan to expand aggressively. Our goal is to increase operating funds to 50 billion dollars within this year.”

 

The executive team stirred.

 

There had been no historical precedent of operating funds doubling in just one year.

 

Someone leaned forward and watched the situation, while several others turned their heads, even trying to avoid the situation.

 

Whether because of the overly ambitious goal.

 

Or because of the pressure emanating from the General Manager, the air in the conference room grew increasingly heated.

 

“It’s not an impossible goal at all. If we just maintain high returns, more customers will naturally come to Tiger Fund. First, we’ll start by winning back the customers who left us due to the IT bubble.”

 

The marketing point of funds was ultimately high returns.

 

If returns were high, customers would naturally come looking.

 

“For that, we need aggressive strategies and major position shifts. First, I will promote the branch manager of Tiger Fund Korea Branch, which achieved the highest profits this year, to Asia Headquarters Manager, and appoint the deputy branch manager as branch manager.”

 

No one raised objections.

 

The Korea Branch was the place that had substantially sustained Tiger Fund this year.

 

Moreover, this personnel change was a matter for the Asia Branch and Korea Branch, not headquarters executives, so there was no reason to oppose it.

 

“Everyone must join forces to discover more diverse high-profit investment destinations. We must move as one. I hope you will trust and follow even instructions that seem questionable. If you do that, I will ensure everyone achieves the best performance.”

 

Applause erupted.

 

Actually, the General Manager’s remarks could have hurt people’s pride.

 

It meant to unconditionally trust and follow only his opinions.

 

But the current Tiger Fund had been completely reorganized around the General Manager.

 

During the IT bubble crisis, all the strong-willed individuals had left, and most of those remaining were people with passive tendencies.

 

A structure close to dictatorship.

 

Not desirable in the long term.

 

It was the optimal structure for achieving high performance in the short term.

 

“This concludes our New Year meeting. I hope everyone will work hard so that Tiger Fund can leap forward as the number one fund. Now, return to your positions and start working!”

 

The New Year meeting ended faster than expected.

 

Rather than a meeting, it was more of a session to imprint the General Manager’s will onto the executives.

 

The executives left the conference room with his intentions etched in their hearts, and soon only the General Manager, the Chairman, and I remained in the conference room.

 

“Your ambitions are quite impressive. Can you really build up our managed funds to 50 billion dollars?”

 

“If the Branch Manager delivers the same performance as this year, wouldn’t it be entirely possible?”

 

Both of them looked at me simultaneously.

 

I received their burdensome gazes with an awkward smile and opened my mouth with difficulty.

 

“I’ll do my best. I can’t guarantee achieving 50 billion dollars within this year, but I’m confident that Tiger Fund will continue to grow.”

 

“If you need anything, just say so anytime. Ah! I’ve already secured the promise for Korean production rights of American brands. The contract should arrive soon.”

 

“Thank you!”

 

“Feel free to use me whenever you need to in the future. What else would an old man who’s lost his touch do besides this kind of work?”

 

The Chairman spoke jokingly.

 

Meeting directly with American brands for negotiations was something only the Chairman could make possible.

 

“Because you’re here, Chairman, I can plan business ventures with confidence. Thank you so much.”

 

“Haha, you really do speak so nicely. So what are you planning to do next?”

 

“First, I want to focus on Middle East outstanding receivables and Korea.”

 

Could I find another opportunity like the IT bubble this year too?

 

Such opportunities couldn’t come frequently.

 

However, I had already made several plans, and even if things went according to those plans alone, Tiger Fund could sufficiently claim the industry’s number one position.

 

“I’m sure you’ll handle things well on your own. Come on, let’s all head home early today. We need to start preparing now if we want to attend the inauguration ceremony.”

 

This year’s first project would begin tomorrow.

 

Though the face value was merely 900 million dollars worth of bonds, the real purpose was to solidify our relationship with the Bush Administration, making it more important than any other project.

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This chapter was translated by Lunox Team. To support us and help keep this series going, visit our website: LunoxScans.com
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