Reborn since 1993

Chapter 544: Fire and Oil, Flowers and Brocade

Last year, when Xiaolingtong mobile phones were selling like hot cakes in China, under the strong advocacy of Li Dongling, Dongling Hi-Tech adjusted its strategy and did not put all its cards on the domestic market. Instead, it invested considerable resources to explore overseas markets.

Many people within Dongling Hi-Tech thought this was a thankless task. They would give up the money they could earn just by bending over and go about exploring overseas markets, a thankless task.

This year, after the first half of the year, starting from the third quarter, the domestic mobile phone market has entered the Shura era, and price wars have been raging. Previously, Dongling Hi-Tech's Xiaolingtong could be sold in China for around 5,000 yuan, but now the price war has almost reduced it to less than 2,000 yuan!
On the contrary, in overseas markets, the price of Xiaolingtong is much higher than that in China. Because the overseas pricing of Xiaolingtong is based on the price advantage over Nokia, Motorola, Ericsson, etc., its sales are very hot.

Ren Yuefeng also said frankly that in the fourth quarter of this year, overseas sales of Xiaolingtong may surpass domestic sales of Xiaolingtong phones.

The overseas sales and revenue of Xiaolingtong also proved Li Dongling's vision once again. This strategic vision and sense of smell made Dongling Hi-Tech no longer doubt Li Dongling's decision...

"Although the sales volume of Dongling Hi-Tech's PHS has declined in China and its market share has decreased, its profit has not decreased, but has increased instead!"

Ren Yuefeng said, it may sound unbelievable that the sales of Xiaolingtong in China are less but the profit is higher, but this is the fact!

"The mainstream PHS mobile phones in China, including UTStarcom, Amoi, BBK, Panda, Kejian, Bird, Eastcom, Southern High-Tech and other mobile phone brands, all use the patents and technologies of Dongling Hi-Tech Xiaolingtong.

The main components, including RF chips, mobile phone screens and other related components, are also supplied by Dongling High-Tech's component industry chain, including Dongxin Semiconductor and Dongfang Optoelectronics. This year, the profit of the PHS business will hit a record high! "

Just like Japanese manufacturers such as Toshiba control the domestic VCD and DVD industries, the domestic PHS mobile phone industry is controlled by Dongling Hi-Tech. From patents to technology to core components, all are controlled by Dongling Hi-Tech.

No matter how BBK, Starcom, Xaomi and other mobile phone brands fight each other, or how fierce the price war is, the money belongs to Dongling Hi-Tech, and not a penny can be lost.

Therefore, even if Xiaolingtong cannot sell a single machine in China, as long as other mobile phone manufacturers are still selling PHS phones, Dongling Hi-Tech will continue to receive profits.

Ren Yuefeng reported on several major businesses of Dongling Hi-Tech. The digital cordless telephone business is still as stable as ever. This business may not bring too many surprises, but it is stable and brings fixed income to Dongling Hi-Tech every month. US dollars, pounds and marks still flow into Dongling Hi-Tech's account.

As for products such as Shenzhou USB flash drives, Silver Sable mice, and Silver Sable keyboards, their costs have also begun to decline after large-scale mass production. After all, the R&D cost is only once. As long as the product is developed, the technology is continuously improved, the yield rate is improved, and the output is increased, the cost will continue to decrease. This has led to a 44% surge in Dongling Hi-Tech's profits in the first half of the year.

The experience of Dongling Hi-Tech almost completely conforms to the model of high risk, high investment and high return. This is of course because Dongling Hi-Tech won the bet. If it lost, it would probably be raising money to repay its debts.

"Dongxin Semiconductor, Dongfang Optoelectronics, Feiyan Technology, Focus Media, Torch Group and other companies owned or invested by Dongling Hi-Tech have also achieved record high performance in the first half of this year!"

After Ren Yuefeng, Hu Zixian, Zhang Ao, Gao Peng and others also stood up one after another and reported on the status of their respective departments.

Li Dongling listened to this and felt that it could be described in one sentence: oil boiling over a raging fire and flowers blooming in profusion!
Not only Dongling Hi-Tech, but also companies from all walks of life in China have achieved booming performance this year. Even the health care products industry has set a historical record, or it has reached its final moment.

When Li Dongling returned to Hanxi, a "small incident" occurred in the health care product industry. Sanzhu, now the number one health care product in China, had an accident, and a person who drank Sanzhu was admitted to the hospital.

The media has just started to report on this matter, and Sanzhu did not take it too seriously. As a company with an annual revenue of more than 8 billion yuan, Sanzhu is currently aiming to achieve a revenue of 10 billion yuan, expand beyond its borders, and enter the world. Sanzhu does not think that this "small" piece of negative news will have any impact on them, so they did not care at all and let public opinion ferment.

The entire health care product industry did not pay much attention to this matter and was still competing for territory. They would never have thought that the golden age of health care products would collapse because of the fall of a health care product empire.

“Dongling Hi-Tech must be well prepared, especially for the payment collection in Southeast Asia, which must be completed before the end of this year!

Whether it is in the domestic account or in the Hong Kong City company account, you must reserve sufficient cash flow! "

Li Dongling brought up the "old-fashioned" issue of reserve cash flow. In fact, Li Dongling began shouting the slogan "The wolf is coming" within Dongling Hi-Tech last year. By now, people within Dongling Hi-Tech have become a little numb to this slogan.

After all, the slogan of "the wolf is coming" has been shouted for more than a year, but no one has ever seen the shadow of the wolf. Even people with the highest vigilance have become somewhat indifferent.

Even Hu Zixian, who attached the most importance to cash flow, did not have any special feelings about Li Dongling's words. He just responded a few times, not to mention others.

"Manager Zhang, before the end of this year, all payments to the marketing department, including Feiyan Technology, Focus Media and other companies, and distributors must be settled and recorded in full, regardless of the domestic or overseas market!" Li Dongling turned to Zhang Ao and instructed. Zhang Ao originally just wanted to respond casually, but seeing Li Dongling's serious expression, his expression also became a little serious.

"Starting from this quarter, the marketing department will begin to settle accounts with domestic and overseas dealers, agents, and channel partners. We will try to sort out all the accounts before the end of the year!"

"It is a must. If the accounts are not settled, then the cooperation will be terminated!"

Li Dongling's words were so murderous that Zhang Ao, Ren Yuefeng, Hu Zixian and others were all shocked.

Currently, Dongling Hi-Tech has advertisements, sales channels and agents throughout the country, Hong Kong, Siam, Singapore, America, old Europe and other places. These are sales systems that have been established with great difficulty. Under normal circumstances, they will not be particularly drastic and will not be easily replaced, but Li Dongling seems to be ready to do it for real.

If we don’t settle the accounts this year, especially for the dealers in Southeast Asia, it’s hard to say whether these dealers can survive when Soros comes next year, let alone pay back the money to Dongling Hi-Tech!

In the next few years, the business in Southeast Asia will basically be destroyed, and Dongling Hi-Tech must be prepared to temporarily lose the entire Southeast Asian market.

Even markets such as Brazil in South America and Colombia in North America will be affected. Dongling Hi-Tech's performance next year will probably be very ugly, but it will not be to the point of survival.

However, other companies may not be able to survive. If they lose the Southeast Asian market, countless domestic companies will lose orders. In addition, those companies that owe foreign debts will probably die a miserable death, as their roots will be cut off by Wall Street.

"I see!"

Seeing that Li Dongling was serious, Zhang Ao also spoke seriously. The others, such as Ren Yuefeng, Hu Zixian, Gao Peng and others, also looked at each other. They all felt that Li Dongling seemed different this time.

"How's the development of new products going in the technical department?" Li Dongling turned to ask Chen Tao, who was in charge of Dongling's high-tech department.

"The electronic dictionary has already produced a prototype. Kingsoft is helping to improve the software functions. It is expected to be completed next month!"

Chen Tao stood up and said to Li Dongling that the drawings of the electronic dictionary were all designed by Li Dongling and given to him. If he couldn't even do it by copying others, then his job as a technical manager would be over.

Leeks are harvested bit by bit, and the functions of electronic dictionaries must also be improved bit by bit. Only by constantly innovating and upgrading new versions can new machines be sold continuously.

What Chen Tao said about Kingsoft helping to improve the software was actually helping the electronic dictionary develop a game called "The Legend of Conquering the Demons".

Electronic dictionaries have to have some special features, right? The inland version of the handheld game console is not just a boast. It has normal learning and work functions, and it has to have advantages to attract young people. Otherwise, how can it attract young people?

"The electronic dictionary must be developed as soon as possible, and Japanese, Korean, German, Russian and other versions of the electronic dictionary must be launched. Tanglin Hi-Tech will launch it online and sell it simultaneously in inland areas, Hong Kong, Japan, Korea, Singapore, India and other places!"

Li Dongling explained to Chen Tao that Li Dongling was not only making profits from the electronic dictionary in China, but was also planning to sell it overseas, especially in areas where people needed to learn English. There was a market for electronic dictionaries, and they could earn a lot of foreign exchange for Dongling Hi-Tech.

"What about the repeater project?"

"It is currently under research and development and is expected to go into production later than the electronic dictionary!" said Chen Tao.

Li Dongling nodded. The repeater is basically comparable to the Sony Walkman and CD player, which is equivalent to the inland version of the Walkman. Not only can it be used to learn English, it can also play song tapes. In the future, it will be another national-level and campus artifact-level leisure and entertainment product. If you can't afford a Sony Walkman worth thousands of dollars, can you afford a repeater?
Li Dongling looked at everyone in the conference room and said, "Electronic dictionaries and repeaters will be the most important projects for Dongling Hi-Tech in the second half of the year. They must be released as soon as possible!"

Li Dongling is also a little worried. The Southeast Asian market will be destroyed by Soros next year, which will affect the sales of electronic dictionaries and repeaters. They must be released this year.

However, Soros’ arrival may not necessarily affect the sales of electronic dictionaries. Instead, it may become a catalyst that makes them sell well!

(End of this chapter)