Extraordinary Genius

Chapter 1122 - Exchanging shares

Chapter 1122 – Exchanging shares

“Feng, you mentioned that you will be giving me some Amazon shares yesterday. When are you giving me?”

Feng Yu was stunned. Damn! I had drunk fruit wine last night, and did I got wasted?

Feng Yu recalled what happened yesterday. He did mention something like this, but it’s not like what Kirilenko said. Kirilenko had only mention half of it.

Last night, when Feng Yu and Kirilenko were chatting, Feng Yu told Kirilenko about Alibaba.

Kirilenko heard Feng Yu had invested in an eCommerce company in China. He is more confident in this industry.

Kirilenko thought Feng Yu is trying to do what eBay did. Sell the concept, get listed, and dump the shares for profits after the share prices rose.

Since Feng Yu said that Amazon will be listed in another two years and invested in a similar company in China, he is serious about it. This industry will be profitable in the future.

Feng Yu told Kirilenko to wait for Alibaba to grow for two years and exchange eBay shares with Alibaba. This will maintain cooperation between both companies and lower their risk.

Kirilenko will not reject Feng Yu, as this is a good thing.

Kirilenko does not know the difference between B2B, B2C, etc. and only knows Alibaba, eBay and Amazon are all eCommerce companies.

Feng Yu told Kirilenko that although all three companies are eCommerce companies, the operating models are different.

Alibaba is currently a platform between companies and is serving suppliers. The trades are all in large volume.

eBay targets individuals, where individuals sell their items to another individual, and eBay charges a nominal fee.

Amazon is selling its products to individuals, as Amazon will buy books and then sell them online to consumers.

Alibaba and eBay are more advantageous than Amazon as their cost is lower. They don’t own any goods and are only providing a platform.

But Amazon is different. Amazon’s books are all purchased and resold, and their capital usage is much higher.

You can see Alibaba and eBay as a shopping mall. They rent out the shop spaces to retailers and earns from the rental. These two companies only need to manage those companies and do not need any more capital.

Amazon can be seen as a supermarket. They need to bring in the goods before selling them to their customers. Their cost might seem to be higher, but in the long-run, their cost will be lowered.

For example, Tai Hua Supermarket. Their suppliers are providing them the goods first, and Tai Hua Supermarket will settle the credit monthly or quarterly.

The similarities between all the eCommerce websites are their funds must go through the internet companies, and Amazon has a higher advantage over the other two companies.

This is because Amazon will hold on to the funds for a longer period and has better cash flow. This is like the supermarket, where there will always be funds in the accounts.

Feng Yu had told Kirilenko that he will give him Amazon’s shares and wants eBay shares in return.

The shares they are exchanging are voting shares, as those non-voting shares are meaningless.

Feng Yu nodded and said. “We can do that anytime. I will be going to the US in a few days. If you are going, we can do the exchange there. But if you have no time, we can wait until after your wedding.”

“I cannot leave Russia during this period. My father had scolded me for being away most of the time. Why is he scolding me? I am going to the US for work! I am going there to earn their money, yet he is still unhappy with me.” Kirilenko grumbled.

“It’s fine. There’s no hurry. You can rest at home as you are getting married soon. But if you want to have children, I suggest you should cut down on drinking. Didn’t you notice that you had slept with so many women, yet none of them got pregnant?”

Kirilenko’s face changed. “Feng, don’t curse me... Are you saying that I have potency problems?”

Feng Yu waved his hand and spoke like an expert. “I am not sure, but I know heavy drinking will have affect potency. For example, I can do it several times a night and don’t need the help of Viagra. Can you?”

Feng Yu had said these proudly. Although Viagra is produced by his company, he does not need to use it. That medicine is for losers!

Kirilenko laughed suddenly. “I have potency issues?! I think you are the one who has issues! I already have a child in the US. Don’t need to look at me like this. I had confirmed it. It’s you who should be worried. Your Chinese girlfriend, and Elena, are not pregnant, right?”

After Kirilenko finished saying that, he looks at Feng Yu proudly.

Feng Yu did not expect Kirilenko to have a child in the US. No wonder his father does not allow him to go to the US. Kirilenko has a political marriage here, and it is very important for his family. But his first child is not by this wife.

Kirilenko will have a big problem in the future.

“Tsk... tsk... tsk...” Feng Yu made this sound and look at Kirilenko without saying a word.

Kirilenko got mad. What do you mean by tsk... tsk... tsk...? You don’t believe me?

Feng Yu saw Kirilenko is going to explode and laughed. “How are you going to leave your fortune? Which child will you give it to? In China, there is a saying. Both the palm and the back of the hand are made of meat. An illegitimate child is still your child!”

Kirilenko rolled his eyes. “I had not finished earlier. My child in the US is a daughter. When she got married, I will prepare a large dowry, and my fortune will be left for my son.”

Feng Yu’s laughter stopped, and almost choked. Damn! I had made the wrong assumption again. That illegitimate child is a daughter.

That means Kirilenko will have no problem. Unless he is living in a feminist country. If not, most daughters will be married off, and prominent families like Kirilenko’s family will not mind.

This is very common in China. The illegitimate sons will be harmed because of the family’s fortunes. But most illegitimate daughters will be unharmed and even well taken care of. This is to use them for political marriages and help the first wife’s son.

Feng Yu decided to change the topic. He cannot win against this Russian bear on this topic!

“Brother Ki, I had forgotten to tell you something. We need to develop payment software, and this will bring us the highest profits in the future!”