civilwarnovels Chapter 997 A Plan to Turn the Tide
Chapter 997 A Plan to Turn the Tide
Before you knew it, the night had passed.
This was Lin Haoran's second day in Hollywood, February 8th.
There are only 4 days left until Chinese New Year's Eve.
Perhaps it's because I've gotten used to staying at the MGM Grand in Las Vegas, but suddenly coming to Los Angeles and the environment has changed makes me feel a little out of place.
So Lin Haoran got up early.
The Four Seasons Hotel in Beverly Hills where he stayed is a manor-style luxury hotel, not a high-rise building.
Because tall buildings are not allowed to be constructed throughout Beverly Hills, perhaps this is also for the privacy and security of the wealthy and powerful people living there.
Low-rise buildings mean fewer blind spots, are easier for security teams to manage, and are less likely to become targets of "accidents".
Lin Haoran stood in front of the floor-to-ceiling window of the room. Outside was a neatly manicured private garden, where the fountain danced with sparkling water droplets in the morning light, and several small birds chirped among the branches.
The environment is indeed superb, comparable to his villa on Shi Xun Road in Hong Kong.
Beverly Hills, next to Hollywood, is known as "the most prestigious residential area in the world".
This place is actually very special. It is surrounded by the entire city of Los Angeles, but it is a city within a city. Administratively, it is not under the jurisdiction of Los Angeles and can be regarded as an independent city.
The people who can live here are all either very rich or very powerful, so the safety here is among the best in the United States.
Police cars can be seen patrolling everywhere on the streets, and there are security posts at the entrances of each community, where vehicles and people entering and leaving must register.
The residents of Beverly Hills are mostly celebrities and the wealthy, and their security needs have spurred the creation of the densest private security network in the United States.
Lin Haoran is staying here, so at least he doesn't have to worry about anyone waiting for him at the hotel entrance.
After breakfast, Lin Haoran took a bulletproof Lincoln to the MGM Studios headquarters.
The car drove out of the Four Seasons Hotel's underground parking lot and slowly drove along the streets of Beverly Hills.
The morning sunlight shone on those multi-million dollar mansions, gilding the white walls with a golden halo.
Neatly trimmed palm trees line both sides of the street, swaying gently in the breeze as if greeting passing vehicles.
Every house here is incredibly valuable, comparable to the villas and mansions on the Peak of Hong Kong.
Lin Haoran sat in the car, having already made his decision.
After spending the Lunar New Year in Hong Kong, when he comes back to Hollywood, he will buy a super large and luxurious villa here.
No, he can have someone help him find one in advance, and then buy it directly when he returns after the New Year.
The Four Seasons Hotel may be nice, but it's not really your home.
Staying in a hotel always gives you a feeling of being a stranger in a foreign land. You can't just leave your things anywhere, and after a while, you feel uncomfortable.
Moreover, hotels are public places with a lot of people coming and going, and even the best security can't compare to the peace of mind you get from living in your own private villa.
A dozen minutes later, the convoy arrived at the MGM Studios headquarters again.
The car stopped in front of the Irving Talberg building and then proceeded smoothly to the CEO's office.
Inside the office, Ivan Fuller had already compiled the day's schedule and latest developments into a document, which he neatly arranged on his desk.
He was sitting in a chair, looking at a document.
Hearing footsteps outside the door, he looked up and saw Lin Haoran walk in. He immediately put down the documents in his hand, stood up and went to greet him.
"Good morning, Mr. Lin," Ivan Fuller greeted him.
"Good morning." Lin Haoran sat down in the leather chair, glancing at the documents on the table. "Any new developments today?"
"Citibank's intelligence department sent us information today that the six Hollywood giants have indeed contacted not only Stallone and Roger Moore, but also many of MGM's core directors, actors, and screenwriters. Here is a partial list."
Ivan Fuller pushed a document in front of Lin Haoran.
Lin Haoran opened it, and inside were densely packed names, positions, inviters, and current negotiation progress.
Citibank's intelligence work was very thorough; they even knew exactly what conditions the other side was offering.
Lin Haoran read it page by page, very slowly and carefully.
He knew most of the people on the list, after all, he had already read the detailed information about MGM Studios a long time ago, and he had even met and shaken hands with many of them yesterday.
Among these people are directors who have been signed by MGM for many years, movie stars with good box office appeal, and screenwriters who have won awards.
Their names may not be top-tier in Hollywood, but they are certainly not unknown.
Looking at the names on the list, Lin Haoran asked, "Do you know who has decided to switch jobs?"
Ivan Fuller shook his head and said, "It's not clear yet. This information was only faxed to me this morning. To find out if they have changed jobs, I can only contact them one by one to verify."
Mr. Lin, the talent war among the six giants is truly fierce. In my career, I have taken over many large companies, many of which were in crisis, but I have never seen a company like MGM, which was simultaneously besieged by six competitors.
This is not a business competition, it's an unfair war. Our HR department will hold private talks with these people and try to keep as many as possible. But I'm worried that many of them have already agreed to the conditions promised to them by the six major companies.
If the majority agrees, it will be a heavy blow to MGM Studios, not only in terms of talent loss, but more importantly, in terms of morale collapse.
Ivan Fuller emphasized the seriousness of the matter.
This is indeed a tricky situation. Under normal circumstances, most people would feel like the sky is falling when faced with this situation.
The seriousness of the situation has exceeded Ivan Fuller's imagination.
"If, and I mean if, all the people on this list were poached by the six giants, what would be the best way to deal with that?" Lin Haoran asked again.
Ivan Fuller shook his head and said, "Hollywood's talent is almost entirely controlled by these squid conglomerates. Once all these people are poached, we can only prepare to start from scratch."
Selecting promising newcomers for training, or bringing in talent from Europe and Asia, can take at least several years to show results.
In the coming years, MGM's film production capacity will be severely insufficient, projects will be delayed, revenue will decline, and losses will widen.
Ivan Fuller was deeply worried and pessimistic about the matter.
After all, everyone in the United States knows that Hollywood is almost entirely controlled by the Squid Consortium. Now, MGM is not only being blacklisted by them, but the six major giants are also poaching talent from MGM itself. This is a truly disastrous start!
This was a situation he had never encountered before in his career.
However, Lin Haoran was not flustered at all. He smiled and said, "Ivan, don't be in a hurry."
Ivan Fuller looked at Lin Haoran in surprise.
Faced with MGM's current predicament, Lin Haoran, as an investor and boss, is surprisingly not worried at all?
Lin Haoran chuckled and continued, "Ivan, I know all of this. The six giants are joining forces to attack, talent is being poached, the media is pessimistic, and theaters are blocking the market. This is indeed a bad start. But let me ask you a question: Is MGM's film library still there?"
Ivan Fuller paused for a moment, then said, "Of course."
"Is MGM's IP still active?"
"exist."
"Does the MGM brand still exist?"
"exist."
“MGM won’t die. As long as the film library, the IP, and the brand are there, MGM won’t die. If you lose talent, you can hire more. If projects stop, you can restart them. If revenue drops, you can raise it again.”
As long as the foundation remains, everything can be rebuilt. The people poached by the six giants are branches, not the foundation. The foundation is the film library, the IP, and the brand.
They can't dig these things away or destroy them, so Ivan, you don't need to be too pessimistic. MGM will definitely suffer for a while, but he won't die.
"My intention in temporarily putting you in charge of MGM is not to restore MGM Studios to its former glory, but simply to do your best to stabilize MGM's foundation."
Ivan Fuller paused for a moment, then slowly nodded. “Mr. Lin, I understand. You want me to stabilize the foundation, not to fight the six giants head-on, but to protect MGM’s assets.”
Film library, intellectual property, brand – these are MGM's true value. As long as these things exist, MGM has the capital to turn things around.
Lin Haoran laughed and said, "That's right, your task is to guard it, guard the film library, guard the IP, and guard the brand!"
As for other issues such as talent loss, project delays, media pessimism, and cinema blockades, these are all superficial problems, not fundamental ones.
The fundamental question is whether MGM's foundation is still intact. As long as the foundation is intact, the superficial problems can be gradually resolved.
Talent can be recruited or trained, projects can be restarted, media pessimism can be ignored, and cinema blockades can be circumvented. But if the foundation is lost, then it's truly over.
I didn't expect MGM Studios to generate much profit for me in a short period of time when I bought it, so Ivan, you don't need to feel any pressure.
I've considered the worst-case scenario for MGM Studios' current situation. Even if all the core talent leaves, even if we can't make a single movie this year, even if we lose money for three or five years, I can still hold on.
I have plenty of money and plenty of time. The six giants want to crush me with a blitzkrieg? Then I'll fight them a war of attrition and see who gives in first.
Ivan Fuller looked at Lin Haoran and remained silent for a long time.
He has worked in crisis management for twenty years, and has seen many companies on the verge of bankruptcy, as well as many people trying to save them.
Some people succeed, some don't.
Successful people have one thing in common: they know what they want and how to get it.
Lin Haoran was the one who knew best what he wanted among all the people he had met, and also the one who was least afraid of losing.
Ivan Fuller solemnly said, “Mr. Lin, I understand. I will follow your advice and focus my work on safeguarding the foundation: film library, IP, and brand. I will not let these three things go wrong.”
Lin Haoran nodded.
He already knew Ivan Fuller's resume very well. It would be difficult for someone like him to make a company big and strong, but if he was just keeping the business afloat or even just turning a loss into a profit, that would be a piece of cake for him.
Lin Haoran used him because of his steadiness, and John Reed also commented on Ivan Fuller in the same way.
What MGM needs now is not sweeping reforms, but someone to steady the ship in this turbulent situation and prevent it from capsizing.
Just then, Rhys Hall, the director of human resources, hurriedly knocked on the door and came in.
Rhys Hall was also one of the team members brought by Ivan Fuller, and he was in charge of the personnel work at MGM Studios.
Rice Hall looked unwell, with a fine layer of sweat on his forehead. He was holding a folder in his hand and almost tripped over the threshold as he entered.
He walked quickly to Ivan Fuller, whispered a few words, and then handed him the folder.
Ivan Fuller glanced at it, his brows furrowing immediately, and his expression turning serious.
"What's wrong?" Lin Haoran asked.
Ivan Fuller looked up, handed the folder to Lin Haoran, and reported directly: "Mr. Lin, 25 people from the HR department have come. These people include 5 directors, 8 actors, and 12 screenwriters. Their purpose is to resign collectively, as if it were planned in advance."
Lin Haoran took the folder, opened it, and saw 25 neatly stacked resignation letters inside.
He randomly picked up a letter, which was from Michael Anderson. The wording was polite but distant: "Thank you for MGM's cultivation and support over the years. Due to personal career development plans, I have decided to resign from my current position. I hope the company understands."
He pulled out another letter, this one from a movie star, with content that was largely the same.
I pulled out another letter, this one from a screenwriter, and it was the same.
25 letters from 25 people, submitted to the HR department at the same time, with almost identical wording, as if they were copied from the same template.
Lin Haoran looked at it for a few seconds, then closed the folder and put it on the table.
"Approved. If any of these people have signed breach of contract agreements, the company will recover the amount of compensation they are owed according to the contract, not a penny less."
"As for those whose contracts do not have explicit breach of contract clauses, we will handle them according to the normal resignation process. We will pay them in full and ensure that all the work that needs to be handed over is completed," Lin Haoran said calmly.
Rice Hall paused for a moment, then said with a slight tremor, "Mr. Lin, these 25 people are all the backbone of the core departments. If they leave, MGM's film production capacity will drop by at least half. Are you really not going to consider trying to retain them?"
Ivan Fuller, on the other hand, didn't seem too flustered because he had already spoken with Lin Haoran.
"Try to keep me?"
Lin Haoran leaned back in his chair and asked with a smile, "Rice, why do you think they chose to submit their resignation letters on the same day?"
Rhys Hall thought for a moment and said, "It must be the six giants coordinating behind the scenes, with the aim of destroying MGM's internal confidence and accelerating our collapse."
"Yes, they chose to submit on the same day to create the biggest impact. There are 25 people today, maybe 20 tomorrow, and maybe 10 the day after tomorrow."
If I try to retain them one by one, offering raises, promotions, and other promises, how many can I keep? Ten? Fifteen? Even if I manage to keep them all, what will be the cost?
The company's salary structure has been completely disrupted, and those who haven't left are also demanding raises, leading to a surge in labor costs and squeezed profits. No matter how you look at it, this is a bad deal.
Rice Hall fell silent.
"Moreover, since these people have already decided to leave, it shows that they have no feelings, no confidence, and no loyalty to MGM. Keeping such people around is not an asset, but a liability."
They won't fight tooth and nail for the company, and they won't stand by the company during difficult times. Rather than keeping a ticking time bomb around, it's better to let them go. Once they're gone, the company will be cleaner," Lin Haoran said with a smile.
At this point, Ivan Fuller also spoke up, saying, "The six giants may seem to have poached half of MGM's core strength, but none of this is fatal to MGM."
First, they only poached replaceable middle managers, while truly irreplaceable ones like Mr. Broccoli and Mr. Stallone stayed.
Then, they must have offered these people salaries far exceeding market value, which greatly increased their own cost burden.
Ultimately, MGM's core foundation is never its employees, but rather its film library, intellectual property, and brand. With this foundation intact, even in a downturn, MGM has the potential to return to its peak!
Lin Haoran gave Ivan Fuller an approving look. It seemed that his words had taught this seasoned crisis manager a lot.
He said with a smile, "Ivan, you and Rice handle this matter. Keep a close eye on the handover, and make sure the penalty for breach of contract is paid in full."
In addition, have the legal department review all the contracts again to see if there are any loopholes in the non-compete clauses. While this might not necessarily stop them from joining the Big Six, it will at least make things difficult for them for a while.
Seeing that Lin Haoran and Ivan Fuller had reached a consensus, Rhys Hall knew that there was no point in continuing the discussion, so he nodded.
Ivan Fuller did not rush to leave, but continued, "Mr. Lin, since they have all resigned, the six big bosses must have other plans, such as having the media hype it up and filling all the pages with news of MGM's talent exodus."
Tomorrow morning, the whole of America will know about this. At that time, not only will the outside world's confidence in MGM collapse, but those who have not yet left the company will also be filled with anxiety.
This is definitely a coordinated strategy by the six major players, employing a two-pronged approach of talent war and public opinion war.
Lin Haoran nodded, signaling Ivan Fuller to continue.
"Why don't we take advantage of the fact that the media hasn't had a chance to report on it through television and newspapers, and instead hold a press conference to announce that MGM Studios is undergoing a comprehensive strategic restructuring?"
In order to adapt to the new era of the film market, we have decided to streamline the film division and invest more resources in home entertainment and television business.
During this period, 25 employees chose to leave the company to pursue other career opportunities. We thank them for their contributions to MGM and wish them all the best.
At the same time, I want to assure everyone that MGM's core assets, the 007 and Rocky series, will continue to be produced by the original team, and Mr. Albert Broccoli and Mr. Sylvester Stallone will not stop working with MGM Studios.
This completely disrupted the public relations plans of the six giants, turning the mass exodus of talent into a strategic restructuring of the companies; at the same time, it made those who had already decided to switch jobs look like losers eliminated by the companies, rather than hot commodities that the giants were vying for! Ivan Fuller finished speaking in one breath.
Lin Haoran's eyes lit up after hearing this. He had to admit that Ivan Fuller was indeed a capable person.
Ivan Fuller's proposal was far more brilliant than he had anticipated; it was not a passive response, but an active one.
Turn the "talent exodus" into a "strategic restructuring," the "mass resignation" into "optimization and adjustment," and the "being poached" into "voluntary departure."
The same news, viewed from a different angle, can evoke completely different public opinion.
“Ivan, that’s a good idea. You’ll host this press conference. You’re the CEO of MGM now, so your words carry more weight than mine.”
"If I were to speak out, the media would say I'm defending myself. But if you speak out, you represent the company's management and MGM's official position, which carries different weight," Lin Haoran said with a smile.
He had no intention of personally holding a press conference, and the actions of the six major figures did not worry him at all.
"Mr. Lin, I know what to do. I'll handle it right away!" Ivan Fuller said, then hurriedly left the office with his men. (End of Chapter)