The car giant started by marrying the daughter of the king

Chapter 541: A Private Entrepreneur with a Sharp Eye

"Boss Jiang, our Zhujiang 1100 has sold over 5 units in just one month since its launch."

"I expect to reach 10 next month."

The development speed of China's mobile phone industry in its early days was incredible.

The annual growth rate is not tens of percent, but hundreds of percent.

Historically, the sales volume of mobile phones in 1996 was only over million units nationwide.

But by 1997, national sales exceeded 2000 million units.

Most people can’t believe this speed of development.

Especially those foreign mobile phone giants are simply unable to keep up with the pace of market development.

This leaves room for development for many Chinese mobile phone manufacturers.

"You can be bolder. By this time next year, our Pearl River 1100 sales will be at least 50 units a month."

"If the export market can be successful by then, it will be possible to achieve monthly sales of 100 million units."

"That's why I reminded you to pay attention to the production capacity arrangement of mobile phones."

Jiang Hui was very calm.

In his opinion, selling 5 mobile phones a month is nothing to be excited about.

After all, in later generations, mobile phone sales are often measured in tens of millions of units.

The current data is not even a fraction of what we have today.

"Well, our previous factory building already has space reserved for expanding the production line."

"If the monthly sales volume is less than 30 units, there is no need to build a new factory."

"However, considering the explosive growth in demand in the future, I will continue to arrange for people to build a new factory building."

"By then, even if we need to produce 100 million units per month, there will be no problem."

Liu Donghui naturally had no objection to building a new factory.

The more the company invests and the faster it grows, the more valuable he will be as the general manager.

Later, when he went out to attend meetings, he was considered a well-known business manager.

The feeling is still very different.

"There has been a lot of activity in the industry recently. Nokia is building a factory in Dongguan, and Ericsson is building a factory in Shenzhen."

"Motorola will probably follow suit soon."

"Once their factory is built, the price of mobile phones will surely drop significantly, which will be a big threat to us."

"In addition to the Pearl River 1100, we will also launch other products as soon as possible."

This is not the era of smartphones, and it is not realistic to rely on one product to conquer the world.

Jiang Hui plans to learn from Nokia's approach in the early stages of development and make the products as diverse as possible.

No matter what kind of mobile phone you want to buy, you can find a satisfactory product here at Zhujiang Technology.

After the period of explosive growth in mobile phones has passed, we will control the product types and shift our focus to the development of smartphones.

At that time, everything was completely different.

"No problem. I have personally led the R&D team to develop two new mobile phones."

"It will be put into market sales gradually next year."

Compared with cars, the development cycle of mobile phones is obviously much shorter.

Various preparation times can also be much less, and less testing needs to be done.

Don’t just say launch a new model every year. If you can do it faster, half a year will be fine.

……

The big fuss made by mobile phone manufacturers such as Zhujiang Technology and Nokia naturally attracted the attention of many Chinese private entrepreneurs.

"Mr. Xu, I think the company can consider transitioning to the production of mobile phones. This is more promising than the current business."

As the deputy general manager of Bird Technology, Sui Bo has conducted in-depth research on the mobile phone industry during this period.

He felt that the mobile phone industry had reached a peak of development and that as long as the opportunity was seized, it would be able to develop within a few years.

"We didn't have any experience in mobile phone development and production before. Is it too risky to make a hasty transition now?"

Xu Lihua asked a little worriedly.

Bird was established last year, but it does not have any particularly outstanding products.

It's normal for him to have some doubts about making something as high-end as a mobile phone.

"Mobile phones are not as complicated as people think. In fact, if you disassemble and analyze them, you will find that they are very simple."

"Many of the components inside can already be purchased in the country."

"For example, for the Zhujiang 1100, it is said that more than % of the parts are purchased domestically."

"We just need to purchase various parts from outside and assemble them."

"If you are concerned about the risk, you can first import a second-hand production line from abroad for the mobile phone assembly line."

“There are very few such investments.”

After Sui Bo said this, Xu Lihua's interest piqued.

This mode of operation sounds like it might work.

He is also a person who just bought a mobile phone and knows how expensive a mobile phone is.
But adding up all the parts inside, it is actually impossible to cost that much money.

This leaves huge profit margins for manufacturers.

"Tell me your thoughts in detail and what we should do next."

Since you are interested, then naturally you should have a good communication and see what to do in the future.

In response to this, Sui Bo naturally reported all the information he had obtained to Xu Lihua.

Soon, Bird decided to officially launch the mobile phone business, aiming to become one of the first domestic private enterprises to produce mobile phones.

This will also be a good publicity point at that time.

A company that has a similar idea to Bird is Ludao Overseas Chinese Electronics Co., Ltd.

As the predecessor of the historical Amoi mobile phone, their main business now is black and white televisions and color TVs.

However, in recent years, China's television industry has developed rapidly and the competition is very fierce.

The sales volume of televisions produced by Ludao Huaqiao Electronics has begun to decline, and the situation is not very optimistic.

"Mr. Chen, I think it's too risky to continue investing in televisions."

“It’s better to find an industry where the competition is not so fierce and open up a new track.”

"This way, the subsidiary may have a different future."

As the head of sales, Mi Cheng has a relatively accurate grasp of market changes.

If it were ten years ago, it would have made sense to produce either black-and-white TVs or color TVs.

Basically, as long as you can produce it, people will rush to buy it.

At that time, you had to pay for a TV ticket to buy a TV.

But the situation is completely different now.

There are hundreds of television manufacturers across the country, and a variety of products are constantly flooding the market.

Competition is fierce and prices are falling rapidly.

"What new products have you taken a fancy to?"

They are all old friends. As soon as Mi Cheng said this, Chen Pingfan knew that the other party had made up his mind.

Otherwise, I wouldn’t have proposed this to myself.

"I've got my eyes on mobile phones!" "The country has moved from the era of analog phones to the era of GSM phones, and the communication quality of mobile phones has been greatly improved."

“The cost has dropped significantly.”

"I think the mobile phone industry will develop very fast and we have great opportunities."

"The mobile phones on the market now are mainly products from foreign companies such as Motorola, Nokia and Ericsson. There are very few products priced below 5000 yuan on sale."

"Even the recently listed Zhujiang Technology's Zhujiang 1100 costs almost three thousand yuan."

"Such a small mobile phone costs more than a color TV. You can imagine how lucrative the profits are."

After Mi Cheng said this, Chen Pingfan couldn't help swallowing.

The profit margin of mobile phones seems to be much larger than I imagined.

Why haven’t you considered producing mobile phones before?

"No one in our company has ever researched mobile phones before. If we start to transform into producing mobile phones now, we have no idea where to start."

What Chen Pingfan said actually meant that he was already moved.

As one of the first senior managers in China to own a business cell phone, he is naturally aware of the convenience and bright prospects of cell phones.

It’s just that I never thought about my own company going into production before.

"Most of the parts for our TVs are purchased from suppliers, and only the whole set is assembled in our factory."

“I think the same is true for cell phones.”

"So we only need to import a mobile phone assembly production line from abroad, and then purchase related parts from various suppliers."

"At that time, we only need to make some adjustments to the phone shell, and we will be able to launch our own phone."

Mi Cheng quickly put forward his own plan.

At this time, everyone's patent awareness is very weak.

Anyway, many similar products are made in this way.

Mobile phones are no exception.

“Is the price of this mobile phone assembly line high?”

In the past two years, the performance of Ludao Overseas Chinese Electronics Company has not been very ideal, and there is not much extra funds to introduce new production lines.

So even if the mobile phone is very promising, it will be useless if the price of the production line is too high.

"The production line for assembling mobile phones is not much more complicated than that for color TVs. In fact, it is a little simpler."

"If we prepare according to the price of the color TVs we imported before, there will definitely be no problem."

"I even think we can consider purchasing directly from China. I think the price may be a few cents lower than we imagined."

Many times, when people consider introducing production lines, they import them from abroad.

Because over the past decade or so, many domestic production lines have been imported from overseas.

The gap between domestic and foreign countries is very large.

However, the situation in many industries has begun to change in recent years, and Mi Cheng naturally felt it.

“Do you have any specific intentions or ideas for purchasing from China?”

Chen Pingfan could feel that Mi Cheng's proposal to produce mobile phones was not a whim, but the result of certain research and preparation.

"Nanshan Equipment is now the most important equipment manufacturer in China, and they are able to produce a wide range of equipment for various industries."

"For example, it is said that most of the mobile phone production lines of Zhujiang Technology are handed over to Nanshan Equipment."

"If we also go to Nanshan for equipment, theoretically they can definitely provide it, it's just a matter of whether they are willing to do so."

After Mi Cheng said this, Chen Pingfan completely understood.

Nanshan Equipment is indeed a very good choice, provided that they are willing to sell you mobile phone assembly lines.

"Mr. Chen, there is nothing to lose for us to give it a try."

"We are definitely not the only manufacturer in China that wants to produce mobile phones."

"If Nanshan Equipment rejects us, it means giving the order to foreign manufacturers, which does not mean they can help Zhujiang Technology eliminate a competitor."

"I believe that Nanshan Equipment and Zhujiang Technology can understand this situation."

Mi Cheng further explained his thoughts.

At this point, Chen Pingfan had made up his mind. "Then I'll do as you say. I'll contact Nanshan Equipment directly."

"You should sort out the mobile phone project as soon as possible."

"However, the company's main business now is the production of televisions, and it is not realistic to immediately transform into the production of mobile phones."

"We might as well register a separate company and call it Xiaxin Mobile."

Now that the mobile phone project has been successful, Chen Pingfan has more ideas in his mind.

Register another company separately, and then use the strength of the original company to develop the new company.

In the future, there will be much more room for maneuver in some things.

It can be said that under the stimulation of Zhujiang Technology, more than a dozen new mobile phone companies emerged in China in just a few months.

Of course, it is impossible for every one of these companies to successfully launch their own mobile phones.

Even if you mass-produce your own mobile phone, you may not be able to survive in the end.

The average lifespan of start-ups in China is very short.

This situation exists both now and in the future.

"Mr. Jiang, recently more than five domestic mobile phone companies have been discussing the purchase of mobile phone assembly lines with us."

"I haven't directly refused yet, but I haven't agreed yet."

Lin Qiaosheng told Jiang Hui about this matter, obviously wanting to hear Jiang Hui's opinion.

Should these production lines be sold or not?

Lin Qiaosheng believed that Jiang Hui was clear about the pros and cons.

It’s just a matter of how to make the final decision.

"As long as the price is right, I'll sell it."

Jiang Hui was not surprised at all that there were so many mobile phone companies in China.

In this era, the profit margins in the mobile phone industry are too high.

Just by making a GSM mobile phone, even if all the parts are imported from abroad, it is easy to make a profit of more than 1000 yuan per unit.

This was 1992 yuan in 1000.

Even if the economic development speed is better than the same period in history, the value of the RMB is lower than the same period in history.

But 1000 yuan is more than most people’s monthly salary.

No wonder so many people want to come in and get a piece of the pie.

"Okay, then I understand."

"When the time comes, I will differentiate these mobile phone production lines from those used by Zhujiang Technology."

"Some of it is equipment for domestic sales, and some of it is equipment for export."

Although Jiang Hui did not give such instructions, Lin Qiaosheng also knew what he should do.

It is impossible for Nanshan Equipment to treat users within the group and users outside the group equally.

That is impossible and unnecessary.

As for whether other customers will be satisfied with this?

Do you have a better alternative?
If not, then just forget about it. (End of this chapter)

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