Reborn since 1993

Chapter 1232 Magical Clash: Offense is the Best Defense
The trees planted by Dongling High-Tech are now flowering and bearing fruit.

Li Dongling's initial plan for Dongling High-Tech's automotive division was simply to ensure its own survival.

Even with the influence of Dongling High-Tech, newcomers to the automotive industry are still considered greenhorns and may not be able to support themselves.

Then let's start with some "side businesses," like producing electric bicycles, electric tricycles, and Lynx motorcycles, to support ourselves first.

Or even if they can't make a living, these side businesses will prevent Dongling High-Tech from losing too much money by entering the automotive industry.

The automotive industry is a high-investment industry that does not necessarily yield high returns. Entering this industry, going bankrupt with hundreds of billions in debt is not uncommon. If you don't owe hundreds of billions, can you even call yourself a car manufacturer?
Of course, when they start making money, it's equally frightening, with revenue often exceeding hundreds of billions of dollars, but the profit margin is uncertain.

Some companies have revenues of hundreds of billions of US dollars and earn five or six billion US dollars, while others earn four hundred billion RMB. Yet, when the final calculations are done, their net profit is less than one billion, which is astonishing. Even worse, some companies work hard all year and end up owing tens of billions...

Some companies even held car launch events for dozens of hours and claimed to have received tens of thousands of orders, with the total order amount exceeding 10 billion RMB.

As for how much of these orders are inflated, that's a matter of opinion, but one thing is clear: in the automotive industry, different people have different fates!
Whether Dongling High-Tech's cars will become an overnight sensation or fade into obscurity after they go on sale remains to be seen.

However, Mr. Li has prepared many contingency plans for the automotive division. Even if the market really turns bad in the future, it won't necessarily go bankrupt. With his side business, he can still make a living for many years.

As long as you're alive, there's always a chance. Don't you see, who could have imagined that the Xiaokang minivans running on the streets of Pingyang today, after a few years, after changing their names and identities, and by siding with the Chrysanthemum Factory, would be transformed into leaders in the automotive industry?

Listening to Wei Taining's report, Li Dongling looked at him and said, "Dongling High-Tech Automotive Department, professional automotive issues should be handled by professionals. I trust you!"

These words stirred Wei Taining's emotions. Li Dashanren's approach of entrusting professional matters to professionals truly resonated with Wei Taining's mindset of supporting Yulong to the death for his lord, especially for someone with a technical background.

A car project, from site selection to factory construction and equipment import, involved more than several hundred million US dollars, yet the philanthropist Li entrusted it entirely to Wei Taining as the person in charge.

For tech executives, such trust from major investors is something that is almost impossible to come by.

Li Dongling rarely interferes in professional matters. The title of "micro-operation master" is unacceptable. Seeking validation from technical personnel is something only a fool would do.

"Since we're going to build an automobile production base, let's build the supporting facilities for automobiles at the same time, and also build Dongling High-Tech's own automobile proving ground and automobile testing center!"
Alternatively, the automotive sector could cover the costs, inviting the Ministry of Machinery Industry, the Market Supervision Administration, the Quality Inspection Center, the Environmental Protection Administration, the Economic and Trade Commission, and other testing institutions to set up operations there, allowing these departments and units to review and certify the test track results.

"Automobile production bases need to reserve enough land for future expansion and the establishment of other supply chain manufacturers!"

Although Dongling High-Tech's first model, the Land Rover Range Rover Executive SUV, is still only on PowerPoint presentations, it's unclear when it will be put into mass production.

But that doesn't stop us from reserving land now. It's always better to have enough space now than to have no land available when we expand production capacity later.

After all, no one can say for sure whether the Dongke version of the domestically produced luxury car Land Rover will be able to sell. But what if it becomes a bestseller? Who can predict anything in this world?
"To reiterate, the safety of Land Rover vehicles must be guaranteed. They must undergo sufficient testing and test runs, as well as testing in extreme road conditions and weather!"

Dongling High-Tech's Land Rover SUV needs to have its own selling points and features. With a song like "Blue Lotus," does it sound like you could step on the gas and head straight for the Potala Palace? Off-road performance must be one of the selling points of this car, and its performance must be guaranteed.

Otherwise, if you run on mountain roads and break down halfway through, in those desolate wilderness areas with low temperatures and wild animals, you could easily lose your life.

Anyway, Li the Philanthropist's principle is that, to put it bluntly, if two cars collide, the Land Rover can be repaired, but the driver cannot be injured. Even if an accident occurs, the driver absolutely cannot... do *that* in the car...

"Build your own test track?"

Wei Taining exclaimed in surprise that Li Dashan's boldness in building his own automobile production base was already astonishing enough, but he never expected that he would also build a test track.

A test track needs to be built with highways, ramps, curves, and various harsh road conditions, including cobblestone roads, twisting roads, and washboard roads.

However, the cost of these road conditions is only part of the expense; the bulk of the money comes from the purchase of various equipment for acceleration, braking, noise, and engine and noise testing.

The cost of building a state-of-the-art test track is not much less than the cost of building a car factory.

In my past life, building a test track was enough to directly lead to a company going public; you can imagine how much it cost. "If we need to build our own test track, we should!"

Li Dashanren said meaningfully to Wei Taining, "Indeed, he is a master of technology," Li Dongling admitted.

While Wei Taining is adept at office politics and industry intrigue, he will definitely need a new professional manager to work with him when the automotive division begins mass production.

At that time, Wei Taining will be in charge of automobile research and development and production, while the other person will be in charge of sales, public relations and other affairs.

"If Dongling High-Tech wants to gain a voice in the domestic automotive industry and participate in the formulation of automotive standards, this test track must be built!"

Li Dongling said, "Is there any reason to build a test track for nothing? It's the same principle as whether money is wasted."

How are the various standards and rules for automobiles in China formulated?
It was jointly formulated by car companies, cutting-edge test tracks, the Ministry of Industrial Machinery, and various regulatory agencies, among whom the role of test tracks is absolutely indispensable.

To put it another way, wouldn't it raise doubts and make people feel that it's unfair to hear that a certain car company sets industry rules?

But what if the rules are issued by a test track or car testing center? Don't they seem particularly reasonable and authoritative?

In reality, these test tracks and vehicle testing centers are closely related to various car manufacturers. They are paid by the car manufacturers. The only difference is which car manufacturer they support.

How does one gain industry influence? It comes from various aspects, including car sales. Without sales, no matter how loud the rhetoric, it's all just empty talk.

Sales volume is one aspect; on the other hand, data and statements from test tracks and vehicle testing centers are also important channels for making a voice heard.

Through the data and statements provided by these professional organizations, coupled with the overwhelming media coverage, the final product becomes what countless car buyers remember: which brand is the most fuel-efficient, which model is the safest, which engine is the best, and so on. This is all part of a complete process.

Wei Taining hadn't expected there to be so many twists and turns involved, while Li Dashanren's gaze was already set on the industry's discourse power a few years from now!
Currently, domestic automobile manufacturers are still too weak, and the competition for industry discourse power and influence is not yet very intense.

However, in recent years, the domestic car market has begun to explode, with annual sales soaring from millions to tens of millions. As a result, the competition for this market has also intensified.

The key point is that for many years to come, foreign car brands will take the most lucrative share in China, while the rest will belong to domestic brands.

This is very similar to the domestic computer market before Hasee appeared. Various domestic computer brands were so desperate for the scraps left over from foreign brands that they were practically brain-dead.

Of course, the computer market has changed now. Domestic computer brands are no longer fighting amongst themselves. In fact, many domestic brands have started to merge with foreign brands because they are all in the same camp, which is called the anti-Shenzhou computer camp...

The automotive industry is expected to repeat the experience of the computer industry, forming a pyramid structure.

Brands like BMW, Audi, Volkswagen, and Porsche dominated the high-end car market in China, then joint venture brands took over the mid-range market, leaving the low-end car market to be fought over by purely domestic brands.

To avoid its car brands becoming targets of attacks from the automotive industry, with accusations of substandard technology, faulty engines, poor chassis, and unreliability being leveled against them, Dongling High-Tech must establish its own voice and channels of communication within the automotive sector.
At worst, everyone can expose each other. If brands like Land Rover under Dongling High-Tech are attacked, then test tracks and car testing centers can also issue statements saying that a certain brand of car engines has been falsifying fuel efficiency and failing to meet quality standards for decades.

We can also address issues like poor-quality body materials (thin skin, large filling), oil leaks, broken bearings, and unusual noises!

If you're truly being slandered, don't think about responding or explaining; those are useless. The most direct approach is to engage in a magical duel, focusing solely on offense and eliminating your opponent. Only then can you offer explanations.

Magical clashes are the greatest invention of the 21st century!
The executives of Dongling High-Tech, sitting in the conference room, were astonished when they heard Li Dashan's theory. Only then did they realize that there were so many tricks and ways to play.

"The automotive industry developed much earlier overseas than in China, and has completely seized control of the industry's discourse power."

Dongling High-Tech wants to enter the automotive industry, not only to manufacture cars, but also to gain a voice and the right to set standards!

Otherwise, no matter how well the car is made and how much it outperforms those foreign brands, it will still be synonymous with unreliability and shoddy workmanship!
"Dongling High-Tech must gain control over the automotive industry and its standards!" said Li Dashanren.

(End of this chapter)