Chapter 397 095-096: Man can conquer nature! (5000 words)
At this moment, everyone was trembling with fear, not knowing how to deal with the situation before them.

However, after they came to their senses, they understood Feng Tianzhangnan's concerns.

That is the fear of a crushing defeat!
The average selling price of Fengtian Automobile has dropped by 10%, which means that the profit has been directly reduced by a corresponding proportion, or even more.

Because we need to consider channel subsidies and other factors.

However, within the authority of Feng Tianhua, the president of the national region, sales are still declining.

The problem is big!

This shows that the advantage of price reduction has not been transformed into direct product strength.

In other words, consumers didn’t buy it.

This is the scariest place.

If no action is taken, it is highly likely that Fengtian Automobile's market share will be slowly eroded in the future.

"Don't worry. Just tell us briefly about the products of that so-called Hillhouse Auto. Are you prepared?" Feng Tianzhang said casually.

He probably knows something about Hillhouse's products.

However, when it comes to core decisions, they naturally need to be carefully reported by Nobuyuki Nitta before they can be made.

"Yes, yes... yes!" Xin Tianxin remembered a market research report that the marketing department sent him some time ago. He glanced at it and didn't expect that he could use it directly now.

As he spoke, he asked his assistant to find the PPT, and then briefly introduced Hillhouse's two cars, Hillhouse Dolphin and Hillhouse Song.

Although Fengtian Automobile is an all-round automobile company, its key products are actually the A-class Corolla and the B-class Camry.

These two products also account for about 65% of Fengtian Automobile's sales share, and can be said to be the core of the core.

The main decline of Fengtian Automobile now lies in these two models.

When other executives of Fengtian Automobile who were present saw the PPT, they did not take it seriously at first.

Although Hillhouse Capital is a small company that is considered a good enterprise in China, it is definitely far behind Fengtian Automobile.

With sales of tens of millions, Fengtian is one of the largest companies in a world-class economic power like the island country.

It can even be said that it is the leading company!

Since the decline of the island nation's black and white home appliances, followed by the gradual demise of the semiconductor and shipbuilding industries, the automobile manufacturing industry has become the cornerstone for these chaebols, led by Fengtian Automobile, to protect the island nation.

As for industrial products such as high-end machine tools and high-end cameras, the export volume that year was only a few tens of billions of yuan, which cannot be compared with automobiles at all.

But. . .

Even the executives of such a large chaebol company, when they saw the exterior and interior decoration of Hillhouse Dolphin and Hillhouse Song, they restrained the contempt in their eyes and their faces became solemn.

Then, there was a slight surprise after a solemn look!
“This car looks very stylish!”

“It’s not only stylish, but the interior decoration is also very high-tech, which is worthy of being a company that started out as an electronic technology product company.”

"More than that! They are very intelligent and highly integrated."

"It seems that Fengtian Automobile's China region is indeed in some difficulties."

The executives in the audience were whispering to each other.

Where there are people, there is the underworld, and where there is the underworld, there are gangs.

Fengtian Automobile is an automobile company with several decades of history. It has complicated internal interest disputes, and there is also the intervention of the interests of Zheng Zhi. Even Fengtian Zhangnan can barely suppress them.

Feng Tian Zhangnan's face turned quite ugly when he saw them whispering or gloating.

"His mother-in-law." Feng Tianzhangnan rarely cursed in a low voice.

Afterwards, the other executives suddenly felt something was wrong and stopped the discussion.

"Hillhouse Automotive has certain R&D capabilities."

"But their product has only been on the market for a short time, so further observation is needed!"

"As for Fengtian's development of new energy vehicles... from the perspective of the development of pure electric vehicles (BEV), it is expected to occupy 30% of the global automobile market. The remaining 70% will be HEV, hydrogen fuel cell (FCEV), hydrogen fuel engine vehicles, and fuel vehicles, which I believe will definitely have a place."

"The fuel vehicle market will definitely occupy more than 50% of the market share for a long time, so don't be too nervous."

Feng Tianzhang said slowly.

In his opinion, Hillhouse Vehicle's products are pretty good.

But it's just good.

Even so, if you want to replace Fengtian Automobile's brand in China, you still have a long way to go.

His idea was to let Xin Tianxin from Fengtian Automobile's China District find a solution first, and then talk about it.

Feng Tian's family is large and powerful, and they have many interests at stake.

Develop new energy vehicles?
Think more!
The executives present were also stunned after hearing this, wondering why Feng Tianzhangnan was taking this matter so lightly.

I guess it's just a warning to Nitta Nobuyuki.

So what if you have a big boss behind you?
You still have to be obedient!

They thought so too.

Fengtian’s hybrid car has been around for many years, but it has not been able to completely defeat Dazhong.

Whether it is an extended-range vehicle or a pure electric vehicle, it is a product with extremely low technical content. Fengtian is not making a large investment now, probably because it wants to avoid the edge of Hillhouse Capital.

Anyway, whenever Feng Tian wants to do this thing seriously, he can make a decision the day before and hand in a satisfactory answer the next day. After a week, the comprehensive competitiveness of the product (mainly the balance between product strength and price) can be among the top few.

They themselves are also speculating that Fengtian may be more hesitant about PHEV. If policymakers in the United States and Europe are more radical in their attitude towards environmental issues such as reducing carbon emissions, then PHEV will have a greater demand for electricity. Conversely, more R&D and manufacturing resources will have to be invested in improving fuel efficiency.

As for the so-called "Hillhouse-style smart car".

Don't worry, this thing won't cause any big waves worldwide in the next ten years.

The reason why the government is making such a fuss in China is purely because it wants to make big news and gain political achievements.

China is a country with a shortage of energy resources, especially oil resources.

There are almost no large oil deposits in this country, and the transportation of oil resources from abroad to China is blocked.

So they encourage the rise of new energy vehicles.

As for China's automobile manufacturers.

The idea is to kidnap users, use "precise" marketing and differentiated pricing like mobile APPs to ultimately gain excess profits. This approach is effective in the short term, but once the stimulus is over, it will no longer work.

After the meeting, Feng Tianzhang called Nitta Nobuyuki and gave him more flexibility in price discounts, and the rewards for 4S manufacturers were also higher.

That's all.

He thought for a moment and still felt that Hillhouse Vehicles' products posed little threat to Fengtian Automobile at present. The real threat would come from the price cuts and promotions of automobile companies such as Dazhong, Volt, and Bentian.

If we give a little more profit, the car price increase in China will not be so severe, and the speed will probably be able to increase!

China's long-standing customer base cannot be easily overturned.

. . . . . .

Just as Gao Huaijun predicted, many companies began to respond as soon as Hillhouse Group’s annual report came out.

Electronic technology manufacturers, while studying the wealth code of why Hillhouse Technology's performance has grown so rapidly, are also beginning to seriously consider whether they should operate and build the so-called ecosystem over the long term like Hillhouse.

A small number of manufacturers are considering Hillhouse's so-called "ALL IN AI" strategy.

Is artificial intelligence technology really that amazing?

Or is it a big pit dug by Hillhouse for its competitors to jump into?

Artificial intelligence is not something that can be created by simply changing its skin. It requires a large number of mathematicians to develop algorithms, and that is really expensive!

After all, in China, people are extremely impatient in doing anything.

When making mobile phones, they would like to produce seven or eight models of phones a year with a different skin. If they find a model that consumers like, they will produce it as fast as they can, squeezing out every last bit of their energy.

When it comes to making cars, especially the large state-owned enterprises in joint ventures, they are all obsessed with the high profits of the joint ventures. They have never thought about whether they can be self-reliant and develop better independent brand models. Even if they do develop independent brand models, the suppliers they use are the suppliers of the cooperating car companies. It is completely a product with a different skin.

Playing football, let alone.

Every World Cup is a gamble, and with the exception of 2002 when promotion and relegation were cancelled at the expense of significant damage to the league, the gamble has failed every time.

They have never thought about making their own league more profitable, using the profits to attract investors, and gradually forcing the upgrade of youth training.

With twenty years or more of preparation, given China's size, it would be very easy for China to enter the World Cup, let alone become one of the superpowers.

But it's just short-sighted and short-sighted, what can you do?
After the big gamble, a group of people would always go in.

So it's the same old saying, the only lesson mankind has learned from history is that mankind cannot learn any lessons from history. Some car companies are shocked by the sales of the A0-class car Hillhouse Dolphin!

Sales of over 300,000 are not something that can be achieved simply by bragging.

this means...

A medium-sized enterprise can completely rely on a low-end A0-class car!
If this isn’t the code to wealth, what is this?
Some large foreign brands are also beginning to pay attention to a small company like Hillhouse Vehicles.

It hopes to crush Hillhouse by relying on its size advantage.

For a while, their enthusiasm was high, and everyone started a round of promotional wars tacitly.

The purpose of this promotional war is not to crush you immediately.

Instead, it forces you to follow the sales rhythm of large companies.

Many car models produced by large manufacturers have been sold for several years or even decades.

Change the skin to Corolla, change the skin to Sylphy, change the skin to X3.

Their R&D costs have long been recovered, and all that remains is the production cost.

Moreover, large manufacturers produce larger quantities and obtain lower component costs from suppliers. They even have a so-called annual price reduction policy and a system of making payments within 12 natural months.

How do you play cash flow with me?

After a few rounds, you can’t even cover the R&D costs, you will be killed!
In fact, this is the true background of business war.

The moment you step onto the gambling table, their resources are no longer just the products. They also include the supply chain, financing costs, and even policy support.

This is also the core reason why many companies dare not enter the super large industry such as automobile.

Gao Huaijun was not indignant about this.

One of the important reasons why Hillhouse was able to keep a low profile and seize the opportunity in the past was that it was not large in size.

Ants can easily plan calmly in front of elephants, but you can't do that once you become a lion!
People are not fools. If you don't show your skills, others will think that this is all you have and you are easy to bully!
If you are scared, you will lose everything.

This is true for countries and also for companies.

In the office, Gao Huaijun looked at the market changes reported from various places.

Who would have thought that Hillhouse Group’s release of just an annual report would trigger such a violent market reaction.

It's only 2015 now.

At this time in the previous life, new energy vehicles were just starting out, and had not yet reached the stage where they could compete with fuel vehicles.

But in this era, Gao Huaijun directly brought it forward.

Now is the time when new energy vehicles are on the eve of an explosion.

He said with some emotion, "These companies are really crazy."

"They make enough money in China."

"The IQ tax is also enough to make money."

"How dare the three Japanese aunties sell their cars for more than 100,000 yuan? I see their cars can't even reach 70,000 yuan!"

Hearing what Gao Huaijun said, Ning Yuan on the side smiled bitterly.

Now only Gao Huaijun dares to brag like this.

If other people heard this, they would burst out laughing.

Although the three Japanese brands are lousy, if they really cut prices to less than 70,000 yuan, they can definitely subvert the market.

It is a basic consensus that the brand influence of Chinese automobile brands cannot be compared with that of foreign brands.

"The prices of the three Japanese models have already dropped. The average price of A-class cars has dropped from around 13 yuan to around 12 yuan. The market is very competitive now."

"And this price can be bought with a one-time payment (the 4S shop cannot get the financial service fee brought by the loan, so the price of a one-time payment car is often higher than that of a loan model), which is very cheap. The current price is the lowest price in history."

"I estimate that they still have room for a few thousand yuan to drop, but as things stand now, huge consumption potential has already exploded."

“The market is getting more and more competitive now!”

At the end, Ning Yuan couldn't help but sigh.

Ten years ago, he never dreamed that the company he worked for could cause targeted price cuts by competitors, large companies that often appeared in the media.

No matter what, Hillhouse has won this time before the battle even began.

If others target you, it means you have strength!

"roll?"

“Still a long way off!”

"You don't really think 12 is the end point!"

"They won't be able to keep trading at the 12 yuan price for many years. I estimate that in a few years, the price will drop to the price I just mentioned."

Gao Huaijun glanced at Ning Yuan, took a sip of the tea on the table, and said with a sneer.

Wang Fengying, who was drinking Egg at the side, couldn't help but look stunned.

A Japanese three-star brand for less than 70,000 yuan?

This price... Just 10,000 US dollars for a new car?

This has never happened in history!

Will Ryoda and Dajung be pushed to this point?
impossible!
This is absolutely impossible!

Boss Gao is just promising them something!

"You don't believe it?"

"Hey! Wait!"

"Be prepared to meet the enemy!"

Gao Huaijun said lightly.

Not to mention that Wang Fengying and Egg didn't believe this kind of thing, even if he hadn't experienced it himself, he wouldn't believe it.

Before his reincarnation, Liangtian had already been slashing prices crazily, as if they were free of charge.

Who would have believed that the once-mighty Liang Tian and Nanbei Dazhong would have ended up like this?
However, at this point in 2015, the two Tian companies and Dazhong were still very powerful. Not to mention ordinary people, even Wang Fengying and others did not dare to imagine that Hillhouse could reach that step.

"Mr. Gao... do you really think that we can, when the three major Japanese car brands reduce their prices to the extreme level of 60,000, Hillhouse Vehicles... oh no, Chinese local car companies can also survive?" Wang Fengying asked with difficulty.

"How about winning?"

"So what if I lose?"

"If the automotive industry group represented by Hillhouse wins, then China's automotive industry, and even the entire world, will belong to our Chinese automotive industry! China will become the only king on this planet!"

"If we lose... China will most likely become a large-scale South America. By then, we will only have one card left: agriculture. We will use unsuccessful industries to maintain agriculture and let the people have a simple meal. If things get more difficult, it will be like Argentina, with the streets full of hungry people. Do you want China to become like this?"

Everyone present immediately stood up excitedly and expressed their determination.

"Can't!"

"We will never let this happen!"

“Hillhouse is definitely a company with a sense of social responsibility!”

Gao Huaijun nodded with satisfaction and said, "Gaoling Song PLUS, we must win a breakthrough in front of these monsters, and we must break through."

"Without a breakthrough, we simply cannot compete with these big companies given Hillhouse's size."

"You guys, do you understand what I mean?"

Having said that, how could the executives below not understand what Gao Huaijun said?
This is not an order, this is a military order!

Hillhouse Song PLUS not only aims to be completed, but also to be completed with a very high degree of completion!
For most of the time, China's industrial workers and researchers have been at the bottom of the industrial chain of this era.

Are they not smart enough?

Not!
It is the foreign-funded enterprises that have taken the first-mover advantage and they have captured absolute profits!
Now, Gao Huaijun needs to break out of their squeeze.

This is not an easy task.

Gao Huaijun saw that the emotions were rising, and said in a deep voice, "From the perspective of history, in this era, in the face of the torrent of history, we just need to do our own job well."

"But I like another saying: Man can conquer nature!"

(End of this chapter)

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