Chapter 1686: Chapter 100: The Industrial Model of Borrowing Chickens to Lay Eggs_2
“Theoretically, there’s no problem, but how can you ensure you won’t evade taxes?
It’s all too easy to hide precious minerals among bulk commodities to deceive the tax officials.
If things go wrong, the tax revenue received by the Snow Moon Territory might decrease instead of increase after the tax law is amended.
Aside from economic benefits, we must also consider political implications.
The Orcs are the Kingdom’s great enemy. A large influx of Earth Core resources into the Orc Empire is like aiding the enemy!”
Hudson said with a smile.
Problems will always exist if you look for them.
Economic win-win scenarios do not equate to political win-wins. More often than not, political influence far outweighs economic interests.
“Marshal, what do you want?”
Elder Lutesya asked, trying to remain calm.
Reason told her that since Hudson was willing to see her, he must have some thoughts.
If he simply wanted to refuse, he could have easily shut the door on her.
The worst consequence would be a trade halt, a loss that the Snow Moon Territory could endure.
“It’s very simple: you sell the resources from the Earth Core World directly to me, and you can avoid all taxes.
Once you have the money, you can buy everything you need from the Snow Moon Territory, truly achieving a win-win situation for everyone!”
Hudson said without changing expression.
Collecting taxes amounts to only a small sum!
Keeping the Dark elves as raw material suppliers will truly maximize benefits.
Frankly speaking, this eliminates political risks, but increases economic risks.
A monopolistic raw material supplier holds significant leverage over downstream industries.
Should any unforeseen event occur, it would immediately affect downstream industrial development.
Hudson doesn’t have a perfect solution, but he does have a simple one: hoarding large quantities of goods.
The industrial level of the Snow Moon Territory is mid-to-high within the Alpha Kingdom, but it is insignificant on the entire continent.
To stand out in competition, relying solely on one’s own strength to upgrade the industry could take many years.
Instead of being tied down by this, it’s better to stand out in the competition with higher-quality raw materials.
Once the market is captured and profits are secured, it will be much easier to return to promote industrial upgrades.
“Marshal, selling everything to you is just… ”
Before Elder Lutesya could finish, Hudson interrupted:
“Don’t be hasty to refuse, this is also a good thing for the nobles.
Considering the distance, it’s over a thousand miles from the Cursed Land to your territory.
Plus the distance from the Earth Core World, transportation costs are definitely not trivial, and the distance severely restricts your industrial development.
Furthermore, the Dark Elf Clan has a small population. If most of your people are engaged in this, you will be in danger.
The Orc Empire is not a haven; without strength, it’s impossible to survive in a world where the weak are prey to the strong.
By choosing to cooperate with me, your people can have more time to train instead of engaging in these meaningless tasks!”
Listening to Hudson’s persuasion, Elder Lutesya’s stance began to waver.
Deep inside, she couldn’t help but curse Hudson’s entire family.
The current plight of the Dark elves was entirely caused by Hudson.
If it weren’t for Hudson’s coercion, they wouldn’t have settled thousands of miles away, far from the Earth Core Passage.
Even without the high tariffs and transportation costs, the journey itself is fraught with danger.
The Orc Empire is not a peaceful place, with bandits and robbers along the way.
The many Orc tribes in between are no pushovers. If large-scale transportation is undertaken, it would undoubtedly lead to significant losses.
Theoretically, shortening land transport by sea could reduce most troubles, but unfortunately, the Dark elves are not fond of water.
The merchants under the Snow Moon Fleet are numerous, yet they all rely on Master Hudson for their livelihood.
Without Hudson’s permission, no one dares to take the Dark elves’ transportation business.
When looking at the whole picture, it is clear that this has been a premeditated plan to force them to give up industrial development.
Knowing all this is futile; the Dark elves have been trapped from the very beginning without a better option.
Vaguely, Elder Lutesya even felt that Hudson’s proposal was not bad.
By using slaves for mining and selling the raw materials directly to Hudson, they only need to send a small number of Dark elves for supervision.
This not only saves on labor but also avoids envy from other Orcs.
Compared to constant caravan traffic, this transaction, existing solely between two major powers, is undoubtedly more secure.
Subsequent procurement of materials is not an issue at all.
Smuggling is rampant in the Orc Empire, with black market trades even surpassing legal volume.
If a tribe has never traded with Human Race merchants, it can only mean they are a backward small tribe.
When all Orc tribes trade with smugglers, originally illegal trades become a legitimate industry.
If not for the sake of face, the law prohibiting trade with Human Race merchants would have already been abolished by the Empire.
“Marshal, this matter is significant and has already exceeded my authority. I must report it to Your Majesty before a decision can be made!”
Elder Lutesya said slowly.
She seemed troubled but knew very well inside her heart that as long as the transaction price wasn’t too low, the deal would be done.