I See through Everything

The question was, who would they sell the Egyptian Catfish Meal to once it was produced?

After all, the high-yield feed for Egyptian Catfish was a patented product from Cyrus. Producing Egyptian Catfish Meal elsewhere was not cost-effective.

As long as Nanyue Company’s Egyptian Catfish Meal was priced similarly to the one in mainland Cyrus, Hailufeng Company and other feed producers in Cyrus would immediately realize that Nanyue Company had stolen Hailufeng Company’s patented feed.

If they wanted to sell the product in Cyrus, they’d have to pay the patent fee first. Failure to do so would be an infringement of Hailufeng Company’s patent, and the product would be barred from entry.

As for selling the Egyptian Catfish Meal to other countries...

Hailufeng Company could still sue Nanyue Company.

Moreover, with Cyrus reducing its imports of fish meal from Peru, the Peruvian producers, who now had excess capacity, would not easily cede the remaining market.

Duan Wei looked at the shrewd and calculating Du Liye. "Liye, since you’re the one who suggested stealing Hailufeng Company’s feed formula, you must have a plan. Let’s hear it."

"Hailufeng Company also has an internal-use feed that can eliminate the earthy taste of Egyptian Catfish in a short period. Haven’t you all noticed that our recent exports of Basa Fish products to Cyrus have decreased?"

At Du Liye’s reminder...

Duan Wei opened a file and saw that, sure enough, starting from November of last year, their company’s Basa Fish exports to Cyrus showed a slow downward trend.

"Are you saying that processed products made from de-tasted Egyptian Catfish are impacting our market?"

Du Liye nodded. "I’ve seen the report. Hailufeng Company purchases Egyptian Catfish in their hometown for 2.5 Hua Yuan per kilogram. We’re all aware of this cost."

Wu Bin, the head of the marketing department, raised his eyebrows. "Our high-tech farms can currently achieve a cost of 4.4 Hua Yuan per kilogram. The cost difference shouldn’t be that much, right? After all, they buy regular Egyptian Catfish and still have to raise them for a second phase, which is bound to increase their costs."

However, Hu Xin, the head of the technology department, shook his head. "That’s not how the math works."

"Was I wrong? I don’t think so," Wu Bin said, confused.

"Our Basa Fish have a crude protein content of only about 13% and a meat yield of around 46%," Hu Xin explained. "But Hailufeng Company’s Egyptian Catfish can reach a crude protein content of about 25% and a meat yield of around 72%."

"Let me put it this way: one ton of our Basa Fish can only produce 200 kilograms of fish meal with 66% crude protein, or yield 460 kilograms of fish meat."

"But one ton of Hailufeng Company’s Egyptian Catfish can produce 373 kilograms of fish meal, or yield 720 kilograms of fish meat."

The comparison made it clear.

Wu Bin understood.

The existing cost difference of nearly 1.7 Hua Yuan was clearly not enough to bridge the gap between the two types of fish.

Even if Hailufeng Company had to raise the fish for another month, their cost would probably only increase to 3 Hua Yuan per kilogram.

The cost difference between them would then be 1.6 Hua Yuan, only narrowing the gap slightly.

At this moment, Du Liye finally revealed his true intentions. "Therefore, we must steal Hailufeng Company’s internal de-tasting formula."

"Hold on. Even if we steal this formula, we still can’t close the gap, can we?" Wu Bin asked, looking puzzled.

Du Liye smiled and shook his head. "You’re overlooking a key point. Hailufeng Company acquires its Egyptian Catfish through purchasing and then raises them in a second phase. There’s a profit margin in that transaction."

A look of realization dawned on Duan Wei. "That’s right. If we raise them ourselves, we can probably cut costs by 30%. Then we’ll be able to compete with Hailufeng Company."

However, Hu Xin, the head of the technology department, threw cold water on their enthusiasm. "Chairman, General Manager Du, surely everyone hasn’t forgotten what happened to Ryukyu West Sea Company and South Korea’s West Yuan Group?"

A chill went through the hearts of everyone present.

Duan Wei chewed his thumbnail. "We do have to be wary of that. If it’s a fake formula, we’re not the cash-rich West Yuan Group. We can’t possibly withstand such a heavy loss."

"We can just test it slowly."

"But time is not on our side!"

"Exactly."

"Chairman, we have to lay people off! We must sacrifice the pawns to save the king. Otherwise, we won’t last long enough."

The executives all voiced their opinions.

Duan Wei made a decision. "Alright. First, we’ll lay off some of the fish meal factory employees and cut salaries by 20% at the same time."

The head of the HR department nodded. "I’ll arrange it as soon as possible."

Duan Wei then looked at Du Liye. "Liye, you arrange for someone to steal Hailufeng’s confidential formula. But don’t get caught."

Du Liye replied with grave earnestness, "I will definitely get the formula for the company."

And they were not the only ones. Quite a few other fish meal producers in An Nan, as well as those in Siam, had similar ideas.

Unfortunately, their thinking was too naive.

They had overlooked the fact that Hailufeng Company was no longer what it used to be.

The security planning and consulting firm that He Youwei had introduced last time had already been at Hailufeng Company for over a month, continuously perfecting various confidentiality regulations and security plans.

In addition, Hailufeng Company’s security department had expanded from 27 to 58 people, with many professionals joining the team.

This included two managers from the security industry, three anti-hacking network engineers, three confidential security planners specializing in preventing industrial espionage, five anti-assassination bodyguards with special operations experience, and a formidable security team composed of over twenty regular veterans.

Currently, a comprehensive new confidentiality system had been established in all areas of Hailufeng Company involving sensitive information.

Employees working in confidential areas received a special secrecy stipend. They were also scheduled for various confidentiality training sessions, which included watching case studies of what happened after leakers were caught. These cases served as a reminder not to test the law.

After all, Hailufeng Company had been designated a national high-tech enterprise, and one that was receiving special attention.

Its key technologies—including artificial eel breeding, artificial White Truffle cultivation, high-yield feed for Egyptian Catfish, and the de-tasting feed for Egyptian Catfish—were all among Hailufeng Company’s most critical assets.

If any other domestic company dared to steal and use these technologies without authorization from Hailufeng Company, the consequence would be a lifetime in prison.

As for foreign companies, although they were somewhat beyond reach, if it was confirmed that they had stolen Hailufeng Company’s technology, then that company would definitely be barred from the market in Cyrus.