บท 43: Chapter-43 : Ric's Buisness
After the huge profits from the investment on yen appreciation in 1985-1986 and the subsequent investment in the Japanese stock exchange in 1986-1989.
Ric had a capital of 18 billion, where his company <Wing ventures> had a capital of 25 billion when they cashed out the investment.
He first divided the capital into two and invested 9 billion dollars in developing his company <Feather Entertainment>, turning it into the behemoth <Feather Inc>.
As Ric becomes a media mogul, he expanded his hands to other business sectors, especially technology.
His first step towards the technology market is to buy back the share he sold from <Apple> in 1985.
As <Apple> is still going downhill, the stocks all-time low, Ric slowly bought a share of apple. Whether from the shareholders or stock market. He successfully bought 40% of the share by 1992. Effectively making him the largest shareholder in <Apple>.
Next, he increased his share in Microsoft to 10%. Allowing him to have a little power in the director board of the company.
He bought a 5% share in Oracle, Intel, and a 15 % share in Qualcomm in 1987.
And by 1990, he bought another 15% share in Qualcomm, making him the largest shareholder of the company while selling his 5% share in Intel.
If anything Ric, become the first investor of Dell in 1986, investing 10 million dollars and taking 40% of the share. He has been funding the company ever scene.
In 1988, Ric bought 60% of the company by a large investment of 100 million dollars delaying it to go public next year. And he also again made another investment of 100 million in 1989 from keeping his share from diluting. But it still diluted to 56% when the company went public.
Dell moved on its original trail after it went public but, the only difference was that from his previous version was that it bought Compaq.
It's the 90s, the era of the internet is just right around the corner, And Ric knows how far the effects internet will have in the entertainment world.
To become successful in not only entertainment but also the business. He must be the first one to cash it in.
The first step he took by having <Cisco> under him.
He founded <Cisco> when he first visited Silicon Valley in 1986.
So, then and there, he met with the founding team and expressed to fund the project.
They accepted it with much enthusiasm. He made an initial investment of 1 million dollars, taking 30 % of the share, and added an annual 500,000 dollars injection for the project's smooth progress.
And in 1989, he made another large investment of 30 million increasing his share to 60%, and made another one with 50 million to keep his share from diluting in 1990 when the company went public.
Unlike the previous Cisco, this one growth and development speed was faster due to Ric saving them from few detours by sharing his ideas, sold more of its products, and became popular and establish dominance in the router market much faster.
But Ric's plan for Cisco doesn't end there. He wants to make the company one of the top Internet Service Providers in the world.
So, it will not only provide a medium for internet network but also internet service as well.
Ric didn't invest in just the companies or projects that will be famous and successful in the future. But also in other unknown or rising projects across Silicon Valley, to avoid suspicion from the public and government scrutiny.
Due to this, he has created quite a reputation in Silicon Valley. The reputation brought Ric a nickname in Silicon Valley termed as "Young Master of Silicon Valley" due to his age.
That's not the end. Ric also established an electronic retail store named <TecMart> in 1986. Dedicated to selling all Ric's invested companies' computer-related products. Later as the company grew more popular, it also started selling products from non-invested companies like Sony, Nikkon, LG, Toshiba, Panasonic, etc.
It sells a wide range of electronic products like PC, laptops, motherboards, keyboards, mouses, headphones, walkmans, printers and small electronic appliances.
It's also the flagship shop of <Feather's Nest> games and consoles and a major store to sell game products.
<TecMart> gained foothold and popularity in the market quite faster than its competitors after its establishments.
By 1989, it had an outlet all across cities in the US.
By 1990, <TecMart> purchasing a few electronic retail stores and opening its own outlet, made itself a global enterprise.
The popularity of <TecMart> was not only for selling dedicated computer products, games, or game consoles owned by Ric or his invested companies but also Ric's own popularity.
Ric is a popular public figure. If he invests in any company, it automatically makes Ric endorsing the said company.
As a result that said Company gets an extra boost in popularity.
And a company gaining popularity is equivalent to profit.
So, when Ric becomes a major shareholder in a company. He also takes the position of a brand ambassador or endorses the company.
Or he asks other public figures he is well acquainted with to endorse or be the brand ambassador.
Thanks to this, the companies Ric owns or major shareholder of gets an additional edge in popularity.
Also, it indirectly helps Ric to keep his popularity.
Because for a star other than doing movies, TV-shows or publishing singles or albums, they also do endorsements. Not only to earn extra money but also to keep their popularity stable.
So for Ric, it's like hitting two birds with one stone.
Not only increasing profits in his companies but also to keep his popularity stable.
In just a few years, Ric's business empire has expanded from the media entertainment industry to the technology industry. This expansion bought Ric to the top 5 of the richest man in the world list by Forbes magazine.
But that's just the beginning as Ric's company will only grow bigger and powerful.
The first step towards that is the meeting that will take place in Silicon Valley with a lot of Tech company big wigs being present.
The meeting that Ric is going from his yearly family together.
And this meeting whose result will be the layout of a foundation to a future giant.
A giant in the tech industry that will not only far surpass the giant IBM. But also will dominate the future market.
The outcome of this meeting is not known to anyone but exceeds beyond anyone can imagine. Not even Ric himself, who is the essential person to ignite the engine for the giant to rise.
By calling for the meeting and proposing a plan.
A plan that will open the path.
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