Wang Laixi has been having a good time during this period. Ever since his rising position was taken away by an airborne connection account a few years ago, he has begun to feel that his life has begun to go wrong. In the end, I just quit my job and went to work.
I regretted it at first when I went to sea, and everything still didn't go well. Especially after he lost his position as deputy director of a state-owned enterprise, all the people who had been fawning over him disappeared. The women in the factory didn't let him touch them either. He was used to this and his boss felt very lost for a while.
But the sky is the limit, so in the end he grabbed a life-saving straw and quickly started to start a building materials business by using his relationships with his comrades and the contacts he had in his previous state-owned enterprises.
This reversal changed his entire life in an instant, making him feel that his resignation was the right word. Now I sit in a car and visit various entertainment venues. I can play as much as I want with the little girl, and no one will do anything. This is the magic of money.
More than two months ago, someone came to him and wanted to cooperate with him in the VCD business. If the other party provided the technology, he would pay 82% of the profit, and he would get 20% of the profit if he offered the technology.
At first, Wang Tianxi was not interested in this door-to-door business. He was engaged in building materials through connections, and you asked me to play high-tech. Is it really because I have a big face and a thick neck that I have no brains?
But he didn't care. He found someone to inquire about the VCD market. His eyes got stuck in his eyes and he couldn't pull them out.
Several hundred million, and it is likely to grow into a large market of more than one billion or even billions in the next few years. If he could go in, let alone eat meat, he could drink soup, and he would have more building materials than he has now.
After all, although it is very profitable to sell building materials, there is still a lot of money to be made by dividing the money among people. It looks like he can earn millions, or even tens of millions, by supplying building materials for the next project he takes on. But it would be good to have one-tenth of what you actually get.
This VCD is different in that the 20% of the shares given to the other party are removed. I can take out at most 30% of the shares to manage the relationship, and then the remaining half is my own. No matter how big the share is, even if I can only sell two or three thousand units a year, it is still several million. The income is a little more than the money he has now.
So this project that he didn't care about immediately made Wang Laixi's heart move, but he didn't take action immediately. After all, he is also the deputy director who has played tricks in a state-owned enterprise. City management and caution are the most basic skills, otherwise he would have been played to death long ago.
So while dragging out the technical staff here to prevent him from finding a new home, he got an in-depth understanding of this market. He also heard about the fact that several pirate manufacturers went bankrupt and even went to jail.
Because it wants to deter pirates, Dongxu Technology did not conceal these cases, but instead promoted them. After all, if those who want to pirate are not allowed to see the consequences of piracy, how can they deter them?
Seeing these cases, Wang Laixi retreated a little. The other party was obviously not a person without foundation. Pirating one's own version is equivalent to taking advantage of someone else's pot and eating it. This is obviously a mortal enemy.
But one person's advice made him change his mind about giving up. This person's words had some weight. Especially when he analyzed it further and analyzed that as long as he could manage it properly and pay enough taxes, even if he was a pirate, he would be protected, he felt that this matter had great potential.
After all, as long as the place can protect him, he is not greedy and can just drink soup on his own one-third of an acre. As long as the relationship is smoothed out, he will definitely not go bankrupt and go to jail like the previous pirates. He still has this confidence.
So the factory construction and VCD production started, but everything was carried out quietly. After testing the waters in some small markets, Wang Laixi's investment money came back quickly.
Then he decided to make a big wave. The reason why he made such a big wave was because Dongxu Technology had obviously noticed him.
So he decided to go crazy for the last time. After making a lot of money, as soon as Dongxu Technology came to his door, he would close the factory and stop working. He would immediately give in.
But what he didn't expect was that the people he managed were so capable that they would just leave if he wanted to grab a handful. As a result, they helped him block the first wave of pressure. Seeing that there was still time to grab a second handful, Wang Laixi naturally wouldn't Let this opportunity pass.
Then... when he saw the opportunity to make a third fortune, someone with a good background actually came to cooperate with him. Then more and more people came to him to cooperate, and more and more production lines were built. In just half a month, he sold more than 2,000 CVD units.
It's better to scoop up this and that and leave. This is obviously a bite of fat meat that can be eaten continuously. Integrate your own resources and connections to become qualified to compete with the other party.
Wang Laixi also did the same, and quickly took advantage of his low piracy price to directly start crowding Dongxu Technology's market. And he stood firm when he reacted and was ready to deal with it seriously.
"What are they planning to do?" Wang Laixi sat in the boss's chair with a swagger, a cigar in his mouth and a newspaper in front of him.
This is a provincial daily newspaper with a large coverage, although many companies have now followed up with Millennium Supermarket and Gome to follow up and promote it after placing small advertisements in newspapers. However, there are currently not many advertisements that occupy the entire second page of a provincial daily newspaper.
"I feel like something will happen if I come here to commit crime. After all, we are not soft persimmons. If we come here to commit crime, we have some bad rules, and the consequences cannot be completely controlled. The accusation through normal channels has been blocked again. This is obviously a price war." Han Yunyu said He stirred the coffee in front of him with a spoon. He wore gold-rimmed glasses and looked like a scholar.
He is one of the big fish who took the initiative to seek cooperation with Wang Laixi. As for who else is standing behind such a big fish, there is no need to ask.
"Our profit margin is now about 35%. As a factory with mature technology and mature production lines, Dongxu Technology's profit margin is at least controlled at around 75%, which is 40% higher than ours. It is a huge profit margin. If there is a price war, it is prepared to lower the price. How much?" A middle-aged man on the other side with a teacup in front of him asked thoughtfully.
Zhou Jianfeng is 41 years old. In an era when millionaires are extremely rare, he is already a billionaire. His net worth is higher than that of Han Yunyu and Wang Laixi. It is currently the biggest fish in Tianwang Technology Company.
"What we can calculate, such as space, they can obviously calculate too. So they may directly squeeze our profit margin to 0 and force us to death." Han Yunyu thought for a moment and expressed his opinion.
"Are they crazy if they just let 35% of the profit go out?" Wang Laixi's eyes widened and the cigar in his mouth almost fell out.
Although the direct profit transfer is 35%, Dongxu Technology still has about 40%-50% profit. But this is equivalent to cutting your profit margin in half and earning hundreds of millions of dollars in revenue.
"Whether it's so much depends on how determined the boss of Dongxu Technology is. Anyway, if it were me, it would definitely be done in one step. Anyway, I still make money. Although I make less than before, as long as I control With a monopoly position, the money lost will be earned back sooner or later. But if another big fish comes in to share the food, it will not be certain who has the final say in this pond in the future." Han Yunyu picked up the coffee in front of him and took a sip.
"I prefer Mr. Han's judgment. Since the other party has decided to take action, it is definitely not a trivial matter. Therefore, we cannot place our hopes on others' determination. We also need to be strong enough ourselves. How does the technology department say when the production technology will be available? Completely mature? Let’s not say that compared with Dongxu Technology’s profit of nearly 80-90%, 60% is fine.” Zhou Jianfeng said.
"We have overcome a difficulty, but it still takes time. After all, although we have samples that can be imitated, the debugging of the manufacturing material production line and the proficiency of the workers cannot be solved in a short time.
So it will take at least another month, and our profit margin can increase to about 45% in one month. Although this improvement is small but crucial, it has almost overcome most of the technical difficulties.
In addition, production line efficiency and worker skills will also be improved to a higher level by then. Therefore, the next technological upgrade may not take more than a month, and our profit margin can reach 60%, or even 70%, and the minimum will not be less than 60%. "Although Wang Laixi still has to be a bit bureaucratic when doing things now, after all, this is his own company and not a public company, so he takes important matters very seriously.
"Then let's extend the time to 2 months. The minimum profit margin in two months is 60% at the current price. Because Dongxu Technology wants to fight a price war, we assume that he will beat us to death first-hand. .
Then the room for price reduction should be at least 35% of the current sales price, and a further 50% would be better. If you calculate it this way, if the market you don't want to occupy shrinks too much in the first month, you will definitely have to follow him to lower the price, so losses will be inevitable.
By the second month, we can basically protect our capital, and then as time goes by, our technology will catch up and start making profits. "Zhou Jianfeng analyzed bit by bit.
"It may not be profitable in the second month, if the other party sees that we are still persisting. It is not impossible to reduce the price for the second time. After all, they have technical advantages. When will our technology reach the same level as theirs?" Han Yunyu asked. Congratulations to the king.
"Three months, at most three months. Except for our technical team, D technology seems to be high-tech, but in fact the threshold is not high. In three months we will definitely catch up with the technology, and may even surpass the other party." Wang Laixi assured .
"Then let's tentatively plan for three months. Not to mention technological catch-up, it's enough to be at the same technical level as theirs. So we have to be prepared to lose money for three months."
"They shouldn't be so cruel, right?" Zhou Jianfeng felt that he had calculated according to the maximum danger level, but Han Yunyu seemed to have a higher danger level than the one he assessed for the other party.
"Be prepared. Anyway, if I don't kill my opponent, I will definitely not give up. So we have prepared according to the three-month loss budget."
"Then how much money do we need to prepare?" Wang Laixi asked with a frown.
Although I know that as long as I survive these three months, my future will be bright, losing money will always make people unhappy.
However, he also understood that even if they lost money, they could not let the market they currently occupy out. Otherwise, with the vigilant Dongxu Technology, it would be impossible to give them a second chance to occupy the market.
"Let's allocate 10 million in the first month, and we'll see what happens in the second and third months. But to be on the safe side, we need to prepare about 40 million." Han Yunyu thought about it in his mind and said.
