[War] China: "The Spanish Project"

Chazenesq2b at aol.com Chazenesq2b at aol.com
Sat Sep 13 11:39:56 EDT 2008


"The Spanish Project"
 
Some NPC Business Dude
Shenyang Railroad Industrues, Inc.
August 25, 2014
==============================================
 
President Gao Li of the Shenyang Railroad Industries Inc. was a man prone  
for business.  He enjoyed risk... and had done considerably well in the  
business world.  Shenyang Railroad Industries was at one point a number of  small 
companies that, through coercive (but legal) means he managed to  consolidate 
into a massive International Cooperation with an annual profit in  the billions 
and climbing.
 
Between 2005 and 2010, SRI managed to get several lucrative contracts to  
modernize the transportation infrastructure in Beijing for the olympics, and the  
National Rail Service passageways that served as vital links between the 
large  cities, some more isolated hubs, and the dozen plus large port cities which 
were  the bloodline of China's massive containerized shipping lines that 
allowed it to  provide it's goods to the world market.  The company expanded, it's 
 workforce exploded, and as it got larger so did the demand for it's  
products.  It's massive influx of capitol was partly responsible for the  incredible 
transportation revolution that took place in China starting in 2010,  and in 
many ways still continuing.  In 2010, then Congresswoman Xia Hong  fought for a 
major new railroad project to curb land and air traffic, and  facilitate 
transport across China.  It started with the "Coastal Corridor",  dual purpose 
railway systems that allowed high-speed passenger and freight  service from the 
Yalu River transfer station on the North Korean border, and  heading down 
China's coast; starting with Shenyang and continuing through  Qinghuangdao, 
Beijing, Tianjin, Qingdao, Zhengzao, Nanjing, Shanghai, Ningbo,  Hong Kong, 
Guangzhou, Macao, and terminating at the Ferry station to Hainan  Dao Island.
 
It was a hugely ambitious project, necessitating tens of thousands of  
workers building for 'years', hundreds of domestic and international  
subcontractors, dozens upon dozens of technology exchange agreements, years of  legal, 
political, corporate, and diplomatic wrangling... but it was now  estimated the 
line was the most traveled rail system in the world, brought in  huge profits for 
the government and private investors, and generated millions of  jobs 
directly and indirectly.  It was one of many massive civil service  projects that 
brought China's economy back to the forefront from a possible  depression... and 
Shenyang, despite the nay sayers, had been first in line to  receive those 
contracts.
 
And then there was no looking back.  
 
Currently Shenyang was overseeing the finishing touches on the Lanzhou  
international transfer hub which included lines that allowed cargo and  passengers 
by high-speed rail to reach across any province in China, as well as  Russia, 
India, Pakistan, Afghanistan, Turkmenistan, Kyrgistan, Uzbekistan,  
Kazakhstan, Mongolia, North Korea, and the 'Indochina' (historical reference  only) 
nations.  Shenyang had 250,000 employees in 18 different countries  and of 
immensely diverse populations.  Whether you spoke Mandarin, Russian,  Hindi, 
Pakistani, English, or what have you... Shenyang was looking to hire  you.
 
He'd been following progress on the Spanish rail system through various  
media outlets.  Projection overruns was nothing new in  European markets... 
extensive unionization, rising production costs,  needless bureaucracy, and 
purposefully low bids in the first place were chronic  problems in the European 
market.  That being said, Shenyang had a long and  established track record of 
building things earlier than deadlines and on  budget.  He analyzed the situation 
carefully through his subordinates,  forecasts of profit based on deductions 
for increased salary layouts, projected  delays because of government 
aquabbling, etc. etc.
 
In the end, he was convinced the benefits exceeded the potential  losses.  
 
The proposal was simple.  Highlight Shenyang's previous achievements,  then 
make a deal.  They could guarantee 90% of the workforce for  construction would 
be Spanish, and 99.9% of facility maintenance staff; and  that care would be 
taken to employ local sub-contractors when they needed  equipment.  They could 
also cut anticipated costs by 15% by switching to  Chinese suppliers rather 
than EU suppliers for things like steel and  concrete.  He firmly believed 
Spanish work and Chinese products would be a  good combination... one of those 
instances in International business where it  was a 'win win'.
 
=========================================================
 
ACTIONS
 
1.  Shenyang Railroad Industries offers Spain a deal.
 
    A.  15% reduction in project costs by  switching to Chinese suppliers for 
steel, concrete, building supplies of  comparable quality to what is being 
purchased already from EU nations.
    B.  90% Spanish workforce in construction, the  remaining 10% being 
reserved for foreign technical advisors, sub-contractors,  etc. which may not be 
available in Spain in sufficient numbers to meet our  requirements to finish 
this job on-time.  (Especially if it's already  delayed)
    C.  Should Shenyang be hired to maintain the  facilities as well, 99.9%+ 
of the workforce will be Spanish.  Shenyang will  open a wholly Spanish 
subsidiary to administer the contracts
    D.  Shenyang can also offer railway cars,  trains, and equipment equal to 
or better than what's available elsewhere, at  substantial savings should 
Spain decide to enter into a contract with it for  such items.
 
2.  Provide some background into the massive leaps forward China's  made in 
Transportation.



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