I Am the President of the University

Chapter 509 Polylactic Acid Development Industry Alliance

After the call was connected, we chatted for a few words, all of which were everyday polite words.

Before Chen Hao said anything, Zhang Ye couldn't help but asked, "Principal Chen, after the recent implementation of the plastic restriction order, the industry situation is very good, and major companies are increasing prices, so should we follow suit?"

Everyone is raising prices, but you don’t. What will be the consequences?

The consequence is less money earned...

Even if you don’t increase prices, but downstream companies increase prices, consumers will still have to spend more, which will actually benefit the subsequent industries of lactide.

Therefore, Zhang Ye thought that Chen Hao would not refuse this. After all, he would be a fool if he did not increase the price.

However, Chen Hao's answer made him startled.

"Does Mr. Zhang think we should increase the price?" Chen Hao asked noncommittally.

"Shouldn't the price increase? At this time, the price increase is in line with the laws of the market." Zhang Ye frowned after speaking. What did Principal Chen mean by this? It's impossible to be aimless, right?

"Mr. Zhang, what you said is good, but have you ever thought about why NatureWorks has not increased its price in the past few years?" Because of the lactide issue, Chen Hao also specifically asked a consulting company to conduct some research on this market.

It was later discovered that NatureWorks, a world giant in this field, controls most of the market in China and even the world, but the prices of lactide and polylactic acid are very stable. \b

According to the saying, even if NatureWorks raises its prices, other companies can't do anything about it and they still have to make the necessary purchases.

As an industry veteran, Zhang Ye naturally understands the reasons.

"The reason is of course to stabilize the market so that it can be popularized, but..." Zhang Ye still frowned and asked in a daze, "It's just that the nature of enterprises is to pursue profits, and everyone has become fanatical and wants stability. Living is easier said than done.”

The future market for the environmental protection industry is definitely not small, but it is still outmatched by the plastics industry.

What natureworks company aims to do is to gain market share, live and eat, and then steadily promote the popularity of this industry to make money in the future.

It's just like the situation in China these days, all major companies are going crazy, no matter whether it is upstream or downstream, prices are rising.

Such consequences are not conducive to the popularization of the industry. After all, there are more than one degradable materials that can replace plastics, as well as paper straws and other materials.

On the contrary, it is easy to push some merchants into other areas.

If the price of a paper straw is 30 cents and the straw is 50 cents, the catering company may purchase the straws for the sake of taste.

But if it becomes 3 cents or 7 cents...you can already think about it with your buttocks.

"There are many ways." Chen Hao chuckled and revealed his plan.

"Polylactic acid development industry alliance?"

Zhang Ye murmured and looked at Zhou Guowei on the side, both of them were a little shocked.

To put it simply, it is to establish an industrial alliance in the polylactic acid industry, bring in all the polylactic acid companies, and set an upper limit on the price. If the price exceeds this price, an alliance will be proposed.

As for the proposed consequence, of course it would be to cut off the supply of lactide.

The premise is of course to monopolize the domestic lactide market and not provide polylactic acid raw materials. Just like Huaxing this time, it has no chips and no mobile phones.

If the polylactic acid here is replaced by housing prices, it will be more appropriate to understand.

The purpose is to stabilize prices and promote the healthy and sustainable development of the industry.

It seems feasible, but Zhang Ye is still a little worried, "Principal Chen, this seems feasible, but what if people don't join the alliance and purchase lactide from Natureworks and sell it at a high price?"

Chen Hao on the other end of the phone showed his white teeth and smiled brightly, "If you really do this, don't blame us Guanghua for being unkind. Originally, I only thought that lactide technology was limited abroad, but if I'm getting closer. When it comes to the polylactic acid industry, the price is lower than theirs, and I don't believe what everyone will choose."

Our own lactide has a higher molecular weight and is cheaper than Natureworks's. If other companies really ignore Guanghua, then don't blame him for his fate.

Zhang Ye's heart beat faster, and deep down he was expecting Guanghua to do this, so that their Jindan Company could eat meat together.

"That's okay." Zhang Ye nodded and said.

"By the way, Mr. Zhang, you can ask more about Natureworks to see if their prices have changed." After speaking, Chen Hao suddenly thought of something and said in a reminder.

"No problem, we will take this matter seriously." Zhang Ye nodded solemnly.

The domestic lactide field is simple, and they are currently the best, but there are still a few foreign companies that are quite powerful.

While Chen Hao and Zhang Ye were discussing, beautiful country.

natureworks corporate headquarters.

In the conference room, Weber also discussed the price.

"I think we should also increase prices, otherwise even if we don't increase prices, other companies in China will also increase prices."

"I don't support price increases. Excessive prices will bring havoc to the fragile market!"

"Yes, our purpose is to promote the development of the market, but this is contrary to it."

"Prices must be raised so that we can gain more wealth and continue to invest in research and development."

"..."

Feeling the noise coming from his ears, Weber had a gloomy face and just listened quietly.

It wasn't until someone noticed the expression on Weber's face that he shut his mouth instantly.

After a while, silence returned to the conference room, and everyone was looking at Weber.

Weber looked at these people coldly and said directly: "Not only can the price of lactide at Natureworks not be raised, it must also be dropped!"

"Walter?!"

"Thank you for your generous gift!"

The meeting room went crazy.

It’s okay if the price doesn’t increase, but what’s going on with the price reduction?

Could it be that Weber was kicked in the head by a donkey?

"Guanghua's lactide technology is far better than ours now. We must capture the market before the other party rises! We must do it even if we have to pay for it!" Weber said in a deep voice.

China is such a big market, and he will never give up easily.

Before Guanghua Biotech has risen, they will use price strategies to kill Guanghua. As long as the market is still in their hands, making money will be a matter of time.

If it doesn't work, we can only give up the Chinese market and then attack Guanghua in overseas markets.

ps: I have a severe cold. I took medicine today and I feel a little sleepy, but my condition is still not good.

I wish our country’s Olympic athletes to win gold medals enthusiastically!

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