The car giant started by marrying the daughter of the king

The Chinese mobile phone market seems to be about to explode prematurely.

The current market structure is somewhat similar to the situation around 1996 in the original time and space, and can even reach the level of popularity around 1998.

This is absolutely rare.

The impact brought by Jiang Hui, the butterfly, is still very huge.

Apart from anything else, the various industrial upgrades and industrial chain boost directly brought about by BMW Group, Lingnan Semiconductor and Zhujiang Technology have more than doubled China's industrial output value compared to the same period.

Especially the BMW Group, the driving effect of the automotive industry is very strong.

During this painful period of reform, there is a leading enterprise that is leading everyone in the right direction.

It's like someone is pointing you in the right direction when you are in the fog.

And it gave you a push from behind.

This effect can no longer be quantified with numbers.

Not to mention that Jiang Hui also activated China's motorcycle industry in advance and began to make efforts in the high-end semiconductor industry.

The enhancement of the strength of this multi-faceted industrial system can have a ripple effect on many other companies.

Take Nanshan Equipment for example. Many manufacturers wanted to upgrade their equipment in the past, but without foreign exchange, many plans were shelved.

Now with Nanshan equipment, many things no longer need to be imported.

Not only did we eliminate the foreign exchange problem, but the purchasing price also dropped significantly.

If you are lucky, you may be able to win the other party's investment by exchanging stocks for equipment.

Let enterprises spread their wings and take off.

These have had a great impact on China's economic development.

"Lingna, the price of Zhujiang 1100 is much cheaper than ours. You can contact each dealer. As long as everyone reaches the sales target set at the beginning of the year, we can give an additional 5% rebate."

As the general manager of Motorola China, Sennar has also felt a bit of pressure in recent days.

Unlike later generations, the leader in China's mobile phone industry today is Motorola from the United States.

The honeymoon relationship between China and the United States in the 1980s also brought many development opportunities to Motorola.

It was not until the 21st century that Motorola gradually fell behind and was eventually acquired by Lenovo.

It seems that both IBM's computer business and Motorola's mobile phone business were sold to Lenovo when the industry development entered the final stage.

I don’t know if they are just too lucky or if some people just have different plans in their bones.

How else could it be such a coincidence?

The first time was a coincidence, the second time was also a coincidence?
It's hard to believe.

"If there is only an additional 5% rebate, it is estimated that the appeal to dealers is still relatively limited."

"The performance of the Zhujiang 1100 is not inferior to our products in any aspect, but the price is more than 50% lower."

"A lot of consumers are definitely going to change their minds."

As the sales director of Motorola China, Shao Linna naturally hopes that the company can give her more sales policy support.

Otherwise, if the sales performance is not good, she will be under a lot of pressure.

“Let’s test the market’s reaction first.”

"If that's still not enough, then we will simply lower the guide price by 10%."

"As a brand-new mobile phone company, we don't need to worry about anything."

Sennar was a little reluctant to miss the opportunity to make money without doing anything.

Although sales in the Chinese mobile phone market are not very high, Motorola has been making money here at a very good rate in the past year.

Now that he has to cut his losses, Sennar is naturally unwilling to do so.

"Zhujiang Technology is a sister company of the BMW Group and has the same owner as Lingnan Semiconductor."

"Their influence in the field of Chinese propaganda is very great, and we cannot ignore it."

As a Chinese, Shao Lina is relatively familiar with the situation of Zhujiang Technology.

In China in 1992, doing business still required background and connections.

There is no doubt that Zhujiang Technology is a leader in this regard.

"To consumer products ultimately have to speak for themselves with their appeal."

"So what if Zhujiang Technology is backed by China's richest man?"

"We at Motorola are the world's largest mobile phone manufacturer. We must have our own persistence and pride. We can't just follow others in lowering their prices."

After Sennar said this, Shao Lina naturally couldn't say anything more.

I can only do as Sennar says for now.

Motorola, as the market leader, noticed the moves of Pearl River Technology. As a market leader, Nokia would naturally not ignore Pearl River Technology.

"Bai Yang, how do you think we should deal with the rise of Zhujiang Technology?"

As the general manager of Nokia China Sales Co., Ltd., Bertram once studied abroad in the Chinese Department of Capital Language and Culture University for several years, and after graduation he spent half of his time working in China.

Therefore, he has a relatively clear understanding of the national conditions in China.

Because of this, when China began to enter the GSM era, Zhujiang Technology immediately launched Zhujiang 1100, and he attached great importance to it.

"I think we should build a mobile phone assembly factory in China as soon as possible and assemble our mobile phones in China."

"In the future, we can even purchase mobile phone parts from China, further increasing the localization rate and reducing production costs."

“Only in this way can we ultimately win in the market competition.”

"Because the current price of Zhujiang 1100 is only half of our similar products, there will definitely be a large number of consumers who choose to buy it."

As Bertram's right-hand man, Bai Yang has excellent abilities and vision.

The other party just asked a few simple questions, and he immediately started to give his own solution.

The current import tariff on mobile phones is over 100%. How can those foreign giants be cost competitive?

If we simply calculate the profit margin, the profit margin of Pearl River 1100 may not be much lower than that of Motorola's similar products.

Therefore, achieving domestic production in China is the best way to reduce costs.

Even if only parts are imported and assembled domestically, costs can be greatly reduced.

Because the import tariffs on parts and components are completely different from the import tariffs on mobile phones, the difference is several times.

"Can China find enough suitable industrial workers and technicians to assemble our mobile phones?"

Bertram did not directly oppose Bai Yang's proposal.

After all, he knew very well what the purchasing power of the Chinese people was like now.

The prices of mobile phones nowadays are indeed too high.

In the past, mobile phones were just toys for rich people, so it didn’t matter if they were a little more expensive.

But the situation is different now. Mobile phones are beginning to enter thousands of households.

At this time, the price naturally cannot be so exaggerated.

“I think there is absolutely no problem with this.”

"First of all, the technical content of assembling mobile phones is not particularly high. As long as the workers on the assembly line assemble the parts according to the requirements of the procedure documents, it will be fine."

"As for the technical personnel, at worst we can arrange for a group of people from the headquarters to come on business trips in the early stages, and slowly train our own talents."

Bai Yang's proposal is quite reasonable. Foreign companies at this time also attached great importance to the cultivation of internal talents.

Bai Yang's proposal is completely in line with the company's procedures and development direction.

"So where do you think it would be better to put our factory?"

It was obvious that Bertram took Bai Yang's words to heart.

As a global company, setting up factories in major markets is part of Nokia's strategy.

Now we are just implementing the development strategy in the Chinese market in advance.

Bertram felt confident that he could convince headquarters to accept this plan.

"In terms of the maturity of supporting facilities for the electronics industry, I think the Pearl River Delta is the most suitable."

"Among them, Shenzhen, where Zhujiang Technology is located, is the most suitable."

"But Shenzhen is the headquarters of Zhujiang Technology, and it was difficult for us to enjoy extra care in the past."

"I think Dongguan, which is next to Shenzhen, is a better choice."

"On the one hand, there are already many electronic companies there, and on the other hand, it is relatively close to Shenzhen."

"If we build our factory there, I don't think we will have to worry about recruiting industrial workers."

"If the technical staff from the headquarters are not used to the living conditions, they can go directly to the port city for vacation on weekends."

After Bai Yang gave several reasons, he immediately mentioned Bertram.

Nokia's first mobile phone factory in China was located in Dongguan.

Soon, he took the plan to the headquarters for reporting.

This plan, which was obviously beneficial to the company's development, was naturally approved quickly.

Bertram immediately took Bai Yang and others to Wancheng for inspection.

Dongguan City certainly attaches great importance to and welcomes foreign companies like Nokia.

Various preferential conditions are basically fully utilized.

It only took a week for Nokia to officially decide to set up a new factory in Dongguancheng, and planned to build the new factory in a year.

This speed is definitely much faster than other markets.

However, Bai Yang didn't think it was a big problem.

After all, building factories in the south is not like in the north, where construction cannot be carried out once winter comes.

In Dongguan City, construction can basically be carried out all year round.

As long as the money is in place, there will be no problem with construction working in three shifts a day and without holidays all year round.

The Chinese workers during this period worked so hard.

After Nokia's move, Ericsson also took action.

Many people in later generations no longer know that there is a company called Ericsson in the world's mobile phone industry.

But in the 1990s and even in the early 21st century, Ericsson's influence was still quite large.

Ericsson also has a strong presence in the Chinese mobile phone market.

"Helmut, our mobile phone sales have dropped significantly in the past few days."

"I specifically confirmed and analyzed it, and the most critical reason is that Zhujiang Technology's Zhujiang 1100 was launched on the market."

"For mobile phones with the same performance, their prices are less than half of ours, which makes many consumers choose them."

As the sales director of Ericsson, Ye Benman has been a little worried these days.

Their company's product sales have shown a significant decline, and someone will definitely have to step up and take the blame.

"China's tariffs are so high, and our phones are imported from abroad, so the selling price cannot drop significantly."

"Zhujiang Technology has the advantage of playing at home, and we cannot engage in a price war with them."

Helmut has always felt that it is very important to manage a corporate brand and that price cannot be compared alone.

However, Ye Benman disagreed. "In fact, we have ways to lower the price of mobile phones. As long as we change the product from imported to domestic, the cost will be greatly reduced."

"For parts like mobile phone cases, it is entirely possible to find qualified suppliers in China."

"At worst, we can just find the same manufacturer as Zhujiang 1100 to produce it."

After Ye Benman said this, Helmut's thoughts changed slightly.

"You mean to set up a factory in China to produce our mobile phones?"

In the past few years, the overall sales of mobile phones in China were relatively limited, and Helmut had never really considered building a factory in China.

But now that the situation is beginning to change, his attitude will naturally adjust accordingly.

"Yes, we will set up a factory in Shenzhen just like Zhujiang Technology."

"At that time, we will purchase as many parts as possible from China, and only import those parts that China cannot produce."

"Then our prices will be able to drop significantly immediately, and then the Zhujiang 1100 will no longer have any price advantage."

Ye Benman’s analysis naturally makes sense.

During this period, as long as the imported goods were seriously produced in China, it was possible to make money.

The difference is whether you make more or less money.

It can be said that the next ten years or so will be the best period for foreign-funded enterprises to develop in China.

In most industries, the influence of Chinese local companies has not yet emerged, and people's recognition of foreign brands is relatively high.

So you can do pretty well no matter what you do.

The entire 1990s was also the time when foreign companies offered relatively the best treatment.

Companies like Siemens provide travel subsidies of one to two thousand yuan a day for business trips to remote areas.

This is already higher than the monthly salary of employees in most companies.

It is conceivable how good the treatment in foreign companies is now.

No wonder many graduates from good universities in the 1990s rushed to work for foreign companies.

Only if you really can't go there will you consider going to large state-owned enterprises or central enterprises.

As for becoming a civil servant, it was not a popular choice in the 1990s.

It’s not like a few decades later, when almost everyone took the civil service exam.

The scale is terrifying.

"Do you think this will be troublesome?"

Helmut began to seriously consider the feasibility of this plan.

"No trouble."

"Especially if the factory is located in Shenzhen, the procedures there are very simple."

"We just need to comply with the requirements announced by the government affairs center."

"Besides, if we are a foreign-funded enterprise investing in the local area, the relevant departments will take the initiative to help us solve these problems."

Ye Benman's words made Helmut completely determined to build a factory in China.

The entire Chinese mobile phone market has begun to fall into a crazy development scene. (End of this chapter)