Coquettish Rebirth

"Manufacturing? What is that?" Ye Jing asked Jia Hongjian not quite understanding.

After Jia Hongjian lingered in the study for a long time, the whole plan roughly took shape.As a result, Ye Jing came in to give Jia Hongjian a cold drink, and after seeing such a plan, she asked curiously.Maybe this year there is no clear definition of OEM in China, or most people don't know what OEM means, so it's normal for Ye Jing not to understand. "OEM, this is ent-manufacturer. The literal translation is the original equipment manufacturer. To explain it in a more understandable way, it is OEM. It is domestic production and then pasted with foreign brands. It is not fake. Kind of, it means to really help with the production." Jia Hongjian gave a general introduction.

"Oh, it's fabless!" Ye Jing understood immediately.The so-called fabless generally refers to the practice in the semiconductor industry that is only responsible for design and then finds others to produce instead of producing it.Just like Nvidia in the field of graphics cards, that is the representative of fabless, they themselves do not have the slightest production capacity.But Ye Jing suddenly didn't understand another thing, "Why do we cooperate with others to make fabless? For example, Nike's fabless is produced by factories in Malaysia. It is said that there are child laborers everywhere. And the price is still very low. Why should we grab this kind of hard work? Do you need to invest so much at one time?" Ye Jing was quite puzzled.

"Hehe..." Who knew that Jia Hongjian smiled faintly, and turned to look at Ye Jing.She said with a kind of confidence that might be difficult for her to understand, "Although it is very low-end now, we will rise over time. Do you believe that within 15 years, our high-end digital machine tools can be exported to Germany? Even Germany's high-end Digital machine tools are sold all over the world..." "What? Chinese digital machine tools? Exported to Germany? Hahaha... not funny at all!" Ye Jing pretended to laugh a few times, but the smiling face disappeared instantly, and she looked at it with a hanging face Looking at Jia Hongjian, it seemed that Jia Hongjian was deliberately teasing her.

Seeing Ye Jing's reaction, Jia Hongjian smiled.Indeed, it is now telling others that a large number of future generations of China will export a large number of industrial products that are not low-level.Can anyone believe this?Even to 2012 words.Ordinary people might not believe this assertion if they hadn't shown statistics to others!We must know that in China's export data from January to November in 2011, the total export products were 1 trillion US dollars, of which mechanical and electronic products accounted for 11 billion US dollars.That is more than half!The export of electrical and electronic products has more than 1.72 billion US dollars!And this time.The total export volume of China's mechanical and electronic products has already ranked first in the world!That's right.China's exports of these technical products have already ranked first in the world!It's not just the simple export of clothes and shoes in the early people's impression!In comparison, the export of clothes was only US$9839 billion in the same period, and the export of shoes was only more than US$4000 billion!Is such a China still a simple low-end product manufacturing country?

In 2011, China successfully exported 5-axis digital machine tools to Germany.In this field where Germany is the strongest, we sold them our "low-end products" from China!What we sold to them was a behemoth with a maximum processing diameter of 16 meters, a maximum processing height of 3 meters, and a maximum workpiece weight of 250 tons!Of course, if you want to say that this thing has reached the highest level in the world?Of course not.But all things in Germany are at the highest level in the world?You must know that in the field of Seiko, in the field of high-end digital machine tools, Japanese things are also good!Germany can't say that it is alone in the world!Moreover, China did not have any foundation for digital machine tools decades ago. Since the reform and opening up in the early 30s, it has been able to export digital machine tools to Germany directly. The country can only produce all kinds of low-end products!

"Xiao Jing, how can it be possible to support a fat man with one bite? With Europe and the United States still imposing a lot of high-tech blockades on us, can we make something world-leading overnight? This is too unreasonable for other countries. Seriously? It’s like the cpu field. If we want to make cpu, we will start to make cpu for desktop and desktop computers from now on. How many years has Intel been researching, and amd has been researching for how many years. We can do it in one year Subscribe to them for ten years? We will reach their current level in three to five years? This treats Intel and AMD as waste? We also need to show them a little respect? We are underachievers and cannot compare with other top students. We can only compare ourselves. We can’t say that because we are far behind others, we either get the first place or the top ten all at once, or we don’t do it. It’s refreshing to be so straightforward, but is it the attitude of doing things? It’s like falling behind It’s useless for students to catch up. It’s useless to stare at top students. Maybe we can’t catch up with them in three years of high school. But it doesn’t mean we shouldn’t chase them. Besides, in the field of industrial production, on the surface it seems that the high-end market is the most important, but in fact the low-end market is the most important!"

Having said this, Jia Hongjian did not give Ye Jing a chance to ask questions, but directly explained, "The low-end market looks weak and lacks technical content, but it has the largest sales volume and is relatively easy to enter. Therefore, it is easiest for people without a foundation to enter the market." Enterprises entered, and after entering the low-end market, they can actually slowly encircle the mid-to-high-end market! Just like Procter & Gamble, how cheap and how low-end are they at the beginning? But in the field of women's cosmetics, they are With Estee Lauder and other high-end brands attacking Revlon up and down, Revlon is now shrinking! Like swatch watches, how low-end, you can buy them for two to three hundred yuan, this is still a Swiss watch! It can’t be compared with Tissot or anything else , the result? People rely on low-end to dominate the market, and develop into the mid-end and high-end markets a little bit, so what can the original mid-end and high-end companies do? Can they invade the original low-end market of swatch? Impossible But their market will only be eroded by swatch little by little! As long as swatch erodes a little bit at a time, it will be enough for high-end companies to bear it!"

That's right!From Jia Hongjian's point of view, this is the case!Even take the domestic auto market as an example.If Jia Hongjian and his Huaxia Automobile can dominate the domestic low-end market, such a camp from 3 to 20 has absolute dominance, then although it seems that the profit is not much, the so-called added value is not Not many, but with such a market, they Huaxia Automobile can attack the inherent market of high-end BMW!BMW's market is from 30 to 100 million, and they all compete in such a range.It's okay for Jia Hongjian and the others to lose once in the competition for the high-end market. Anyway, this market is not their own, and if they can grab a little bit, it's a little bit!But what about BMW?Can they put aside their stature and so-called brand value, and come up with a civilian car that can be bought for 10 yuan?Is BMW willing to make so little money?They sure don't want to.So unless BMW continues to attack the higher-end market.Otherwise, what they face is that their inherent market will be invaded a little bit.Even if it is not attacked this time.I will be attacked next time too!Anyway, looking at it over a period of ten or twenty years, their share in their inherent market will continue to decrease!There is no escape for them!

Of course, this is just a strategic consideration, a large-scale design.How to compete with BMW in the market competition is of course not an easy task.But anyway, it can't compete.We tried every means.As long as you can get a little bit, you are successful!Toyota and the others will also think of various ways or even establish a new sub-brand to break into the higher-end market!There is always a way!This is similar to the fact that it is easy to go from frugal to extravagant, but difficult to go from extravagant to frugal - when businesses or countries occupying the low-end market slowly climb to the high end.It was meant to save more labor and make money by occupying a little bit, so it was relatively easy to adapt.But what about premium brands and premium countries?They have long been used to high added value, used to half of the profit of a car, and now they are faced with only 10% of the profit of building a car, can they bear it?Can they get used to it?In later generations, the younger generation of migrant workers in China will not be able to endure hardship. Let the young people in the United States try to work in sweatshops?See if they are happy or not?

Where does Jia Hongjian's confidence come from?It came from wto!He knew that since entering the WTO, to be precise, since 02, the concept of "Made in China" suddenly appeared in the world overnight!All of a sudden, a joke appeared - I finally went to the United States for a trip, but the good things I bought back were made in China!It can be said that almost overnight, everything from small things to big things suddenly became made in China!From various souvenirs from the World Cup to jerseys, scarves, football socks and even fan wigs bought by fans, hundreds of thousands or even millions of them were produced and sold to Japan and South Korea!Just like the buzzing group of the World Cup in South Africa, they are all produced in China and then cross the ocean!

From 1990 to 2000, China attracted more than 2000 billion US dollars of foreign investment in ten years, accounting for 45% of the foreign investment in Asia!One country accounts for almost half of a continent!And the top priority of investment is in the manufacturing industry!And the manufacturing industry's down-to-earth step-by-step approach, rather than opportunistic financial gambling, has allowed China to generate strong economic growth!China has maintained an annual growth rate of more than 20% for almost 8 consecutive years!This made the former Japanese Prime Minister Ryutaro Hashikita so envious that he was about to cry!When people came to China for interviews, they said it face to face, so envious!Some foreign scholars of the so-called China Threat Theory even conducted a survey and found that during the period of the fastest-growing industrial revolution in the UK, their highest annual GDP growth was only 1.5%!In the United States, from the end of the Civil War in 1860 to the end of World War I in 1918, even if the United States officially became the world's largest economy for such a period of time, the highest annual GDP growth rate of the United States was only 3%!

So China can grow from only one-third of the GDP of the United States in 1978 to almost half of the GDP of the United States in 2012!This is the result of manufacturing!And the manufacturing industry, after entering the wto, will show its power!The scourge of Chinese manufacturing is coming, and then Chinese manufacturing will destroy the real economy of most countries!The factories that employed their civilians were closed and production lines were sent to China.Then their common people have no money and are unemployed, so they can only buy more cheap products from China!

After entering the WTO, the process of China's deindustrialization of developed countries is now officially about to kick off.And the instigator is now Jia Hongjian!He once participated in the negotiations for China to enter the WTO, and now he wants to personally promote many well-known companies in the United States and Europe to close their local factories, and then move their production lines to China! (To be continued..)