Episode 159
I burst out laughing after hearing Maru’s report. “They’re using gangsters to enforce discipline?”
“Yes, they’re stationed at the offices of the used car dealers who are doing business with us, harassing customers and disrupting their business. And they’re threatening other dealers with retaliation if they work with us.”
“Those gangsters, they’re all the same.”
“It seems to be working, though. The dealers are staying away from us.”
“That’s to be expected. Nothing works better than brute force.” I agreed, but I also smirked. “Of course, there will be side effects.”
The Korea Used Car Association was supposed to protect the interests of its members, but by using gangsters to threaten them, they had lost their legitimacy. Cracks were appearing in their facade.
“I was planning to stop soon, since we’ve already achieved our goal, but this is getting interesting.”
Our initial goal had been to acquire enough inventory to meet customer demand. We wanted to offer a wide selection of cars, even if we couldn’t fulfill every customer’s specific requirements.
And we had achieved that goal of 20,000 cars. But the association had made a mistake.
“Can they really monitor all the dealers who are doing business with us?”
“They’ve deployed hundreds of men, it seems.”
“Hundreds? That’s not just one or two gangs.” Even after the government’s crackdown on organized crime, the largest gangs in Korea only had about 100 members. Hundreds was a significant number. “Maybe they’re using temporary workers, but it’s still a lot.”
“I’ve heard that many used car companies are connected to gangs, and it seems to be true.”
“What should we do? Should we back off?”
I shook my head. “Absolutely not.”
It would be foolish to let such an opportunity slip away.
“How can we use this to our advantage…?”
There were countless options.
I could send in my heihaizi to eliminate them, or use my political connections to have them investigated by the authorities.
But those were all inferior options. Using heihaizi would tarnish my image and blur the line between me and those gangsters. And using political connections would come at a price.
“The best way to destroy the association is to make its members defect. So let’s think from their perspective.”
The used car dealers had joined the association out of fear of Chunha Group.
But some of them, tempted by the 20% premium, had sold their cars to us.
And then the association, using gangsters, started threatening them with retaliation.
They were caught between a rock and a hard place.
They were afraid of the association but couldn’t afford to lose the profits from selling to Chunha Group.
They had joined the association because they had no other choice, no other way to resist us.
My eyes gleamed. “Then we just have to give them an alternative.”
“Let’s celebrate!”
The chairman of the Korea Used Car Association was in a celebratory mood. The director who had suggested using gangsters had a flushed face, already slightly drunk. He raised his glass and said, “I told you Chunha Group wouldn’t be a problem!”
Chunha Used Cars had stopped offering the 20% premium shortly after the association deployed its men. The dealers had returned to their usual business, and the association had regained stability.
It was a significant victory against a powerful enemy.
“Hahahaha, those large corporations are nothing special.”
“It’s not that they’re weak, it’s that Chunha Group is incompetent. They backed down in less than a week. They have an idiot for a chairman.”
“I’m ashamed that we were even slightly worried.”
The directors, elated by their victory, started bragging about their exploits.
“The Chunha Used Cars representatives who came to buy our cars were so intimidated by our men that they left without saying a word.”
“Hahahaha.”
Then a director said with a sly smile, “They’re not that tough, are they? How about we target Chunha Group itself, not just Chunha Used Cars?”
“Chunha Group? How?”
“We can figure something out if we join forces. We could become like Yooji Construction. Chunha Group is ranked 17th in the business world, with 10 trillion won in annual sales. They must have a lot to offer.”
Yooji Construction was a former gang that had successfully transitioned into a legitimate business. It was a well-known success story.
Of course, comparing a mid-sized construction company that wasn’t even in the top 100 with Chunha Group, ranked 17th, was ridiculous. But they were drunk, emboldened by their victory, and the idea gained traction.
“That’s true. Chunha Group only has a few subsidiaries, and I heard that a few key executives control the entire group.”
“If we could secure a contract to supply food to Daehoo Electronics, it would be a huge deal.”
“Even Chairman Park needs people to handle his dirty work. We can do that for him and gain influence.”
Choi, the director who had initially approached Park Sol, sat there with a worried expression, more anxious than before. “This is strange. Too strange. Why did they back down so easily?”
He knew the Park Sol he had met wasn’t so easily intimidated.
There had to be another reason, but the atmosphere wasn’t conducive to expressing his doubts.
‘I have to prepare myself,’ he thought.
Just then, the door opened, and an employee approached the chairman and whispered something in his ear.
The chairman’s smile faded.
“Is it true?”
“Yes.”
“Alright, you can leave.”
After the employee left, he said to the directors with a serious expression, “Gentlemen, please calm down and listen to me.”
The excited directors fell silent, and he continued, “Chunha Used Cars has announced a ‘win-win cooperation plan.'”
“A win-win cooperation plan? What’s that?”
“They’re offering to let the dealers who have been harmed by their entry into the market operate their businesses at Chunha’s car lots.”
“That’s nothing new. It’s the same as joining a used car dealership.”
“…The conditions.”
“The conditions are amazing!” A used car dealer exclaimed, looking at the flyer. “They’ll let us use the Chunha Used Cars brand, and they’ll even buy our unsold inventory? Free maintenance at their repair shops, and they’ll even compensate us for any losses, including a 10% profit margin? This is insane.”
They were offering full service and a guaranteed profit.
And they were letting them use the Chunha Used Cars brand. Chunha Group was an icon of honesty and trust.
It would be much easier to attract customers using the Chunha name than using their own small-time business names.
“This is a no-brainer! I was so jealous of those who sold their cars to Chunha for a 20% premium. We have to do this!”
Another dealer said worriedly, “The conditions are great, but will the association allow it?”
“Ah…”
“They won’t let us get away with defecting. They’ll send their gangsters and destroy our cars.”
“Ugh… but this is too good to pass up… and we have to hurry.”
He pointed at the flyer. “It says they’re only accepting the first 100 applicants.”
“Think carefully. Those gangsters don’t care about consequences.”
The dealer, looking dejected, suddenly brightened up as he read something on the flyer. “They’re providing security and relocation support to the first 100 applicants! And they’ll compensate us for any losses from the association’s retaliation!”
“Really? They’re covering everything?”
“Yes, it’s right here.”
He handed him the flyer.
“It’s true…”
“This is a jackpot! We’re making money in our sleep! Think about it, it’s a guaranteed profit!”
The dealer, his eyes gleaming with greed, said,
“I’ll buy a 10 million won car from a friend for 15 million won and then sell it to someone else for 5 million won. Chunha will compensate me for the 10 million won loss, plus a 1.5 million won profit margin! How much can we make from this?!”
He had already figured out how to exploit the system, like a true scammer.
“We have to do this!”
“How many applicants?”
Maru, looking at the documents, said, “About 500.”
“Only 500? With those conditions?”
“The association is cracking down on defectors, so many people are hesitant to apply.”
I chuckled. “I see.”
The conditions we had offered were so generous that it was almost foolish.
We had to offer a substantial incentive to overcome the threat of the gangsters.
“Let’s select another 300 applicants through a lottery in two weeks.”
“Yes, sir.”
My plan was similar to a Ponzi scheme.
Lure in the initial investors with an attractive, but ultimately worthless, offer.
The first step was to make them a lot of money.
Then they would spread the word, advertising the new opportunity.
And by then, it wouldn’t matter if the opportunity was real or not. There were people who had already profited from it.
And the next wave of investors would earn less, but they would still earn something.
As the number of investors increased, the profits would decrease, and eventually, they would start losing money.
But people, remembering the initial investors’ success, would keep joining, like moths to a flame.
But my goal wasn’t money.
“We’ll make a lot of money for the first 100 applicants, and then reduce the benefits for the next 300, and then the next 500. By then, there will be countless applicants.”
“That’s right. Why wouldn’t they join Chunha Used Cars if they can make more money doing the same job?”
I smiled. “Maybe even some established companies will apply.”
“Not maybe, definitely. They joined the association because they had no other choice, but they would gladly join Chunha Group if they could. Especially since they can make more money.”
“And from the association’s perspective, these applicants are all traitors. There will be tens of thousands of applicants by the third or fourth round. And then…”
I clenched my fist and then opened it slowly. “Boom.”
I smirked. “We expose the list of traitors, and it’s game over.”