Life 1984

Chapter 930 Rebuilding Glory

Chen Meilin insisted on opening her own factory and gave examples to illustrate that the larger automobile manufacturers in the world all have their own supporting factories for important parts and their own assembly plants. Only their overseas branches or cooperative factories will outsource production to foreign automobile manufacturers.

For example, the automobile brands that have entered our country, the vehicles they produce in our domestic factories are specifically for the local market and are not sold globally. Their local factories are responsible for supplying major markets around the world.

If the production capacity of the factory is insufficient, automobile brands will also look for suitable processing plants around the world to produce models for global sales.

As for those models produced in joint ventures in our country, they are exclusively for local sales.

Because the configuration of joint venture models and models sold globally is actually different. The joint venture factory has to pay more than 10% of the technology patent fee to the brand. In order to control the sales of the whole vehicle, it has to reduce the configuration. This is also a last resort. Therefore, many rich people would rather pay a higher price to buy imported cars.

There is no so-called global market for Sihai Group’s cars now.

We haven't even figured out the local market yet, so which country's dealers would dare to import the Sihai Xingguang model?
Therefore, Chen Meilin believed that Sihai Group must build its own automobile manufacturing plant and the production capacity must reach a certain level.

This is not only responsible to customers, but also responsible for brand reputation.

Chen Meilin added, to take a step back, even if Sihai Group's cars don't sell well and fail, the factory we built can also make money for other people's factories, or we can sell it directly, so the loss will not be too great.

Wu Yongli, Wang Jinwen, Liu Xiaoli and Gao Ping also have different opinions.

We are only responsible for providing suggestions.

The final decision on what to do will still be made by Li Yunhai.

Li Yunhai was also very conflicted.

In the end, he followed Chen Meilin's advice and decided to build his own factory.

Wu Yongli and others could only obey their boss.

Wang Jinwen said: "Boss, since we have decided to build a factory, we must hurry up. Race against time!"

Chen Meilin said: "For the factory building, we can directly order the steel structure factory frame and bring it back for assembly. Wasn't the previous factory building of Sihai Group also a steel structure factory building ordered in Hong Kong? For the floor, we can directly use resin flooring. It is quick and easy to lay, and it is also dirt-resistant, corrosion-resistant and easy to clean and maintain."

Li Yunhai said: "Oh, that's fine. We also need to purchase equipment."

Chen Meilin said: "Equipment is easy to get. We have a cooperative supplier before. We can contact them directly and ask them to ship it immediately. If sea transportation is not in time, we will pay extra to ship it directly by air! Once the factory frame is set up here, the machinery and equipment can be set up and tested at the same time. In this way, the time for building the factory can be compressed to a minimum. We will strive to complete the expansion of the factory within three months. Within six months, we will complete the delivery of 15 vehicles!"

Li Yunhai suddenly realized that he was a little old.

No one is more motivated and enterprising than Chen Meilin!

Chen Meilin is a young person. In addition, she received a different education since childhood. The companies she has been exposed to since childhood are all large companies. She has developed a way of thinking that is decisive, regardless of cost, and only focuses on results.

It has to be said that in this matter, Chen Meilin insisted on her own opinion, convinced everyone, and solved a big problem for Li Yunhai.

Li Yunhai said, "Okay! Then let's do as Mr. Chen said! All departments of the company must fully cooperate in expanding the factory, and no one should slow down without reason! Within six months, we must deliver 15 cars as scheduled."

Everyone answered in unison: "Understood!"

Chen Meilin said: "Within six months, we may receive other orders. Can we expand our production capacity in one step?"

Li Yunhai took a deep breath, then looked at Chen Meilin deeply.

Chen Meilin smiled and said, "I believe that the Sihaixingguang car will be a big hit! It is not impossible to sell 500,000 units a year!"

Five hundred thousand?

How dare she think!

That’s 1250 billion in sales!

Can Li Yunhai make a comeback with this car?
You should know that during the same period, the best-selling Volkswagen Santana in my country at the same price had an annual sales volume of less than 30 units!

FAW Xiali, which opened up the market with low prices, only has annual sales of over a hundred thousand units!

In Li Yunhai's opinion, it is a brilliant move that the Sihai Xingguang has just been launched and has received orders for 15 vehicles!

As long as he can complete these orders this year, Li Yunhai has nothing else to ask for!
Unexpectedly, Chen Meilin's appetite is much bigger than Li Yunhai's!

Li Yunhai patted his forehead with his hand and said with a smile: "Okay, okay! Mr. Chen, if we can really achieve the sales volume of 50 as you said, then I will reward you with one million in cash. I will never break my promise! But we can't be blindly confident! I believe you all know the sales volume of Santana and Xiali cars, right?"

Chen Meilin curled her lips and said with disdain: "I am talking about one year! That is to say, from now on, it will be one year until this time next year. As for the Santana, it is just a castrated German car. Xiali can't even be compared with our Sihai Xingguang! Besides, the automobile market is constantly growing. Who knows, our cars can grab their market share?"

Li Yunhai had absolutely no confidence in this.

His sales target is 200,000 vehicles per year!
As long as he can achieve this goal, Li Yunhai will feel that he is successful and Sihai Xingguang is successful!

Chen Meilin said: "In fact, we should set a longer-term goal. We want to produce cars independently!"

Everyone was shocked!
Independently produce cars?

Are you kidding me?
Although this is also Li Yunhai's goal, he thinks that he doesn't know whether he can achieve this ambitious goal in his lifetime.

Independent automobile production means that an automobile company can be completely self-sufficient, from the source to the end of the vehicle production line, without the need to purchase external parts.

However, in reality no car company can truly produce cars completely independently.

The automobile industry is a huge system that covers multiple industries including metallurgy, steel, plastics, rubber, electronics, petroleum, glass, textiles, CNC lathes, automation, and the Internet.

Even well-known automobile companies such as Toyota, Honda, Hyundai and Kia only have a self-sufficiency rate of around 70%, which is still a long way from 100%.

This 70% of self-sufficiency is not entirely controlled by themselves, but also involves other capital.

Let alone Sihai Group, a car company.

Even for my country, it can be said that we still have a long way to go to independently produce automobiles.

my country's automobile industry has experienced a spiral development process from self-reliance to opening up the world, from seeking joint ventures to the gradual maturity of national independent brands, from nothing to something, from small to big, from birth, growth to maturity.

In the following decades, my country's automobile industry has continued to develop and formed a complete industrial system with all industrial enterprises, which can completely independently build a car. Although some parts may not be produced by domestic manufacturers, in the context of the globalized economy, vehicle manufacturers will not give up cost-effective foreign brand parts in pursuit of 100% autonomy. This does not mean that my country cannot produce cars independently, but it reflects the importance of rationally utilizing global resources in the context of globalization.

By the same token, even if Sihai Group has such a possibility, it does not need to achieve completely independent production of a car. It is worth mentioning that in the short decades of development of my country's automobile industry, multinational car companies have made an indelible contribution, even if this was achieved at the cost of market share, reduced configuration of cars and backward technology.

With the rapid rise of domestic automakers in recent years, joint venture automakers have been the first to be hit hard, as if my country's auto market will move towards a pattern similar to that of Japan and South Korea, where domestic automakers dominate.

This is also the best opportunity for Sihai Group to seize the domestic market.

Li Yunhai has never thought about seizing the foreign automobile market.

And he has a trump card in his hand, which is the luxury car Maserati.

Maserati focuses on overseas markets, while the Sihai brands mainly compete in the domestic market.

So, which automobile company in the world can produce cars independently?
There isn't, and there can't possibly be!
If we talk about capabilities, there are definitely companies in the world that have the ability to independently produce cars, including auto parts, but the quality of products produced by such companies is not necessarily the best. There is no need to do so because the technology industry is specialized and the company's advantage in producing parts lies in its in-depth research on vertical technologies.

The key for automobile manufacturers is to integrate resources and connect upstream and downstream capabilities. Parts suppliers and OEMs each perform their duties and give full play to their own advantages, just like a team. Everyone cooperates with each other to ultimately produce a good product.

But the bad thing is that if the relationship with a certain country is not good, there is a possibility of a supply cut of parts.

Therefore, for the same component, there are often several backup suppliers, and you cannot put all your hopes on any one supplier.

Sihai Group currently does not have the ability to produce independent spare parts.

Li Yunhai’s idea is that it would be good if more than 50% of the main parts and components can be self-developed and self-produced.

Because he understands that the real track for the automotive industry will be new energy vehicles twenty years later!

Moreover, Li Yunhai not only has the Sihai Group, he also has the Sanjiang Company!
He now focuses his main energy on developing the automotive business because the development of Sanjiang Company has entered a virtuous cycle stage and does not require him to devote too much time and energy.

Every two years, Sanjiang Company launches upgraded versions of chips, new operating systems, new mobile phones, computers, graphics cards and other accessories.

This industrial chain has been established by Li Yunhai. Even if he does not manage it, he can gain favor from emerging markets by continuously developing new products.

Sanjiang Company's electronic products have been occupying an increasing share of the global market.

It is impossible to achieve a huge market breakthrough.

The electronics industry has already formed a three-way competition among the United States, South Korea and my country.

Li Yunhai, with his own efforts, led my country's electronics industry into the stage of three-kingdoms competition, and he has used up all his strength.

Next, if we want to expand the scale of our country’s electronics industry, we need more talented and ambitious people to join this industry!

Li Yunhai has driven the great development of the entire domestic electronics industry!
This significance is far greater than making Sanjiang Company the largest and strongest!

As the former Sihai Group and now Sanjiang Company have successively achieved great success in the electronics industry, more and more capital and talents have poured into this industry.

Some people say that industries where beautiful women gather must be sunrise industries and profitable industries.

This is not without reason.

In fact, beauties are attracted by money.

Industries with concentrated capital are the most profitable sunrise industries!
my country's electronics industry, or even the global electronics industry, is no longer what Li Yunhai remembers.

As time went on, the knowledge reserves in Li Yunhai's memory bank were no longer sufficient.

His arrival has created a huge butterfly effect, at least in the electronics industry.

This effect also affected Li Yunhai's memory accordingly.

With his personal abilities, it will be difficult for him to stand out again in the future global competition in the electronics industry.

The only thing he can do is to continue to recruit talents, let excellent talents work in this industry, and let them move forward along the established path towards victory.

As for how far he could go, Li Yunhai had no idea.

The global landscape of the electronics industry has changed.

This change not only made Li Yunhai gain countless profits, but also made him secretly frightened.

He was afraid that one day the entire Sanjiang Company would collapse and die at the hands of its competitors!

This competitor may be a foreign company or a domestic company!
So Li Yunhai couldn't wait to start another business, which is the automobile industry he is currently engaged in.

Unlike the electronics industry, the automobile industry has been developing step by step without the intervention of the reborn.

The automobile industry in this world is still familiar to Li Yunhai.

Only by staying in such an environment can he feel at home.

After all, he is not a genius, nor is he a super genius with an IQ of 250.

He is just an ordinary person who used a little knowledge of the future to leverage a trillion-dollar industry in this world ahead of time.

Now, he plans to switch to a more familiar track and repeat the same trick to leverage new industries.

However, his mentality and his thinking are different from when he was just reborn.

Now, he is used to living a comfortable life as a wealthy man and enjoying the life of a gentleman surrounded by beautiful women.

Is he still the street artist Li Yunhai who worried about his three meals a day?
In the automotive industry, Li Yunhai is obviously more conservative and cautious.

Fortunately, he has a good helper in Chen Meilin!
I just don’t know if, with the help of Chen Meilin, Li Yunhai can make waves in the automotive industry and create glory again?

No matter what, Li Yunhai has no way out!
All his money, including funds provided by his women, had been invested.

If he fails, he and his woman will probably be reduced to their original state.

Therefore, Li Yunhai only wants himself to succeed! (End of this chapter)

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