Chapter 511: A Series of Moves Linked Together
Looking at the changes in all the senior executives, Chen Changliu nodded with satisfaction, and then continued:
“Second, another announcement will be made at the same time to tell everyone that the price of the domestic Mizu Pangu series mobile phone, that is, the P1, has also been reduced. The regular version has dropped from 468 to 398, and the P1 deluxe version has dropped from 588 to 518.
Yes, didn’t they promise not to reduce the price? Are you accusing us of starting a price war in Africa?
Well, we are also starting a price war in China. We are now directly reducing the price of each model by 70 yuan. I see if they will reduce it. If not, then we can eat into their market share. If they reduce it, then they will This commitment letter is just a piece of waste paper. "
Chen Changliu's decision still made everyone take a breath of cold air. This decision may mean that he will kill 1,000 enemies and lose 800 himself, unless he grabs a lot of market share and uses volume to make up for the decrease in profits.
In the past, the price of P1 was 468, and flower growers could earn 200 yuan per unit. Now, flower growers sell it for 398, and each unit can only earn 130 yuan.
If shipments cannot be increased by 30%, it will definitely affect the profits of flower growers.
However, everyone became excited again when they thought about the potential expansion of the company's market share once this price war started. However, no matter what, other companies would be in a more difficult situation once the price war started.
You must know that the sales channels of the flower grower are direct sales and direct flagship stores opened on Dibao. There are no middlemen to share the profits. In addition, the current Dibao does not charge fees. It can be said that on this point, the profit of the flower grower is They are 15%-20% more than other manufacturers.
The net profit of PhD last year was only 2%. If there is another price war in China, and Africa is still losing money, it will definitely be a cut for manufacturers like PhD. Although it is impossible to give them a fatal blow, it will definitely be very painful. It hurts a lot.
"Okay, Mr. Chen, this way we can directly cancel their letter of commitment. Our public relations department will give guidance at this time, so the grievances imposed on us before will probably be transferred to them. ,Ha ha."
Feng Lin, the manager of the public relations department, had already thought about the subsequent public opinion war. All the executives were smiling, but only Zhao Na smiled bitterly.
Originally, funds were tight due to excessive R&D expenses, and the main source of profits was the domestic mobile phone business. Not to mention that the P1 series sold a stable 300,000 units a month, and the Jade Bird and Suzaku series sold a stable 200,000-250,000 units. About, but the profits of these two are high.
But now the price of P1 is reduced by 70 yuan. If the market share does not change, selling 300,000 units a month is equivalent to a loss of 21 million yuan, which is 200 million yuan a year.
Chen Changliu seemed to have read through Zhao Na's thoughts and continued to arrange:
"Mr. Huang, how is the performance and reliability of this wafer from Zhanxun Communications?"
Huang Zhang looked solemn, then nodded and said:
"Mr. Chen, although the test has not been completed yet, judging from the previous tests, it is very good. Basically it will not be worse than Lianfa's previous wafer, and because it was developed later, the performance It’s still a little ahead, but it’s still a little behind Lianfake’s new generation chips.”
Chen Changliu nodded, then looked at Feng Xiao and said:
"Mr. Feng, you and Mr. Huang will first have substantive negotiations with Zhanxun Communications. The price must be as low as possible. It must be lower than the 90 yuan we and Lianfake got. Finally, I will negotiate with them talk.
Now that the nine major manufacturers have united to make this commitment, they will definitely unite to negotiate with Lianfa, and then Lianfa will definitely make a profit, so our costs must be further reduced.
At that time, we can use it on the ordinary version of African P1 first. "
Hearing what Chen Changliu said, Feng Xiao and Huang Zhang nodded immediately, but Zhou Liming immediately said:
"Mr. Chen, if we use Zhanxun's wafers, we will still have 9 million Lianfake wafers from our previous order of 10 million."
Chen Changliu said with a smile:
"Don't worry, Mr. Zhou, this is exactly what I want to say.
Third, aren’t they criticizing our low sales prices in Africa and subsidizing Africa?
Now the domestic price of P1 is reduced by 70, which is enough for them to drink a pot, but it is not enough. Mr. Huang transplanted the African version of PI ordinary version to China and developed a P1E product with the same configuration and sold it at the African price. No one should have said anything in response. "
Huang Zhang thought for a while and said:
"It's simple. Just change the battery to a smaller size, bring the thickness of the phone back to the domestic mainstream, and change some configurations. We can have it on the market in less than a month."
"Okay, Mr. Feng, together with the two announcements just now, I will make another announcement that this mobile phone will be launched on November 1.
At the same time, P2 will be launched on the market for two months. We will start the price war first, and then launch P2 in December. During this period, we can carefully control the price of Lianfa's new generation wafers. "
After hearing Chen Changliu's arrangement, everyone had no objections. If you use the above tricks, who cares if you can't buy a new phone now? Besides, if you do it well, you can keep the price down.
Chen Changliu looked at Zhou Liming again and said:
"Mr. Zhou, are the domestic versions of P1, P1E and the African version of P1 Deluxe, plus the period before using Zhanxun wafers, enough to digest these 10 million wafers?"
Hearing Chen Changliu's arrangement, Zhou Liming grinned. This arrangement was enough to digest the 10 million chips.
It would take at least two months to use the chips of Zhanxun. With the current price war in Africa, at least 4 million units can be sold in two months. In addition, 2 million chips have been used in the past two months, which means that 6 million chips can be consumed.
For the remaining 4 million chips, the monthly sales of P1 in China will not be just over 300,000 as before when the price war starts. It is no problem to sell more than 1.2 million in the two months before December, so about 7.2 million chips have been consumed.
Although the domestic P1E version does not have a camera, the configuration is quite different from the current P1. Young and middle-aged people will definitely not use it. After all, isn't it better to spend more than 100 yuan to buy a P1 with a camera? Although the salary in China is not high, it is still no problem to buy a better mobile phone with more than 100 yuan.
But there will definitely be many elderly people willing to use it. After all, 10 years later, those feature phones without cameras will still be used by the elderly for tens or hundreds of yuan, so there is no problem in consuming 2.8 million.
All the executives present have already imagined that the domestic mobile phone industry will usher in a subversion. At that time, I don’t know how many unlucky small brands will be reshuffled, and those big brands will also be hurt.
The boss is indeed the boss. He is worthy of being a tough guy who can start from scratch and create Zhonghuajia Technology Co., Ltd. in such a short time.
Once the chain of moves is released, these guys will cry.
Chen Changliu didn’t know that his anger directly changed the pattern of the entire mobile phone industry.