Many children bring happiness, a shameless start

Chapter 40: Chapter 40



"Lip, I am the eldest daughter of Hongmen Zhi Gong Tang, and my great-grandfather is Situ Meitang," Jessica said calmly.

"Oh, Hongmen…" Lip began, then suddenly reacted. "Wait a minute, what did you say? You're the eldest daughter of the Hongmen Zhi Gong Tang?"

"Yeah~"

"And your great-grandfather is… Situ Meitang?"

"Yes!"

Lip swallowed hard.

He had always known Jessica wasn't simple, but he hadn't expected her to be this extraordinary.

Situ Meitang!

That name was a legend among legends in Chinese history!

Fragments of information Lip had read in history books flashed through his mind. Situ Meitang had connections with President Roosevelt, helped rescue Mr. Sun Yat-sen, became his sworn brother, was warmly received by Zhou Enlai, climbed the Tiananmen Tower with Mao Zedong, and was grandly buried in a prestigious cemetery after his death.

Oh my God! Lip's face showed rare shock.

Jessica, seeing his expression, guessed he understood the significance of her great-grandfather. A subtle pride and confidence appeared on her face.

"Didn't you say your surname was Wang?" Lip asked.

"My surname is from my mother's side."

"Oh… oh."

"My family's influence in Chicago has continued to grow. We've become one of the three major Dragon forces."

"Shouldn't one family dominate?"

"I think so, but it's not that easy! The Qing Gang and the Bamboo Union Gang aren't pushovers."

"That makes sense."

"Initially, the three of us focused on different industries and mostly coexisted peacefully. Since 2000, aside from smuggling and gambling, Hongmen has abandoned most illegal activities and transitioned into legitimate businesses."

"With technological advancement, the items we smuggle have shifted—from meat and arms to cars and electronics."

"As electronic devices have become necessities, smuggling them has become increasingly lucrative."

"That's why Akun from the Bamboo Union Gang tried to steal our business today."

"The profit from smuggling just one truck of mobile phones is no less than $100,000."

"I assume each truck carries only seven or eight hundred units?"

"Exactly. Even though the unit price is only $200–300, the profit margin is massive! We earn nearly half per unit."

"That's impressive."

"Lip, how much do you know about smuggling?"

"Not much, just the basics."

"You must've noticed our team breaks electronic products into parts, smuggling them in batches. That's just one method."

"Makes sense—putting all your eggs in one basket is risky."

"Our main strategy now is acquisition: purchasing high-value electronics at low prices through informal channels. Only extremely valuable products are disassembled and transported piece by piece."

"Ah, I see. That's intensive cost control and profit optimization."

"Exactly. But, Lip, this method has significant fluctuations. Sometimes we secure six months' supply in one month, while other times, we go months without receiving anything substantial."

"Fluctuations are expected in this kind of business."

"Our most stable source of electronic products now comes from OEMs and direct production factories of major brands."

"Wait, you're not stealing directly from factories, are you?"

"Of course not! Besides, how often can you steal? That's unsustainable."

"Then what's the method?"

"This is our ultimate smuggling secret. Insiders call it magic."

"Magic?"

"Yes, we take something good, label it as bad, and then relocate it to turn it back into something good."

"That sounds… complicated."

"We partner with factory quality inspectors and managers."

"You mean falsifying defects?"

"Exactly. Lip, you're sharp."

"Our partners classify fully functional products as defective within the permissible defect rate set by the brand. These 'defective' products are then disposed of."

"And the defects are usually on core components, right? That way, the brand doesn't bother with costly repairs or recalls."

"Exactly. We purchase these so-called defective products at a fraction of their actual value—less than one-thirtieth of their market price."

"The price is that low? Do your partners agree to this?"

"Absolutely. Take the 160GB iPod Classic released by Apple this September as an example. It retails for $249, but our partners earn $8 per unit they label as defective."

"For those $8, all they have to do is fill out a form and sign it."

"Additionally, for long-term collaborations, we give them a cut of the sales. On average, they earn another $5 per unit."

"Our data shows that even the partner with the lowest income can earn $70–80 a day just from this."

"Wow!"

Lip immediately grasped how lucrative and terrifying this operation was.

Earning $70–80 a day, over $2,000 a month, and $20,000–30,000 a year for essentially doing nothing?

Jessica had effectively bound these so-called partners to her operation through irresistible financial incentives.

Suddenly, Lip was reminded of similar schemes from his past life. During special periods or in certain industries, he'd seen similar tactics used by others: cafeteria workers taking home leftovers, charitable organizations distributing "old clothes," or recycling "expired materials."

Sure enough, wherever people exist, so do interests, and where there are interests, there's business.

Human nature, after all, is about seeking benefits and avoiding losses.

In that moment, Lip felt as though he'd gained profound insight into the workings of human behavior.

4o


Tip: You can use left, right, A and D keyboard keys to browse between chapters.