Guo Min cursed in his heart. Who said that low manufacturing profits are okay, but Changtian Technology cannot say this. It is widely speculated that the profit margin of each product of Changtian Technology is above 300%.
This is just a guess. Many people see Changtian Technology’s social responsibility approach all over the world and always feel that the profit margin should be above 500%.
But everyone has said this, so I can only continue the topic.
"Mr. Lu is too modest. Your company's current overseas orders should total hundreds of billions. How can you say there is no profit margin?
As you know, the OEM level of products is very important. The qualifications of those companies outside are still a bit inferior, which will ultimately affect the quality of your company's products. "The implication of Guo Min's words is that Foxconn's OEM level is very high, which has a high bonus on product quality.
This is where Guo Min's pride lies. In the past, it was able to become the global OEM for Apple mobile phones and also cooperated with Samsung. It can meet Apple's high requirements, which is simply not possible for another company.
Now that Apple is failing, it’s not that Foxconn’s manufacturing capabilities are failing.
"Don't worry, Mr. Guo. The manufacturing level of the factories in mainland China is now very good and has met our requirements." Lu Bo was very unhappy with Guo Min's tone, as if the quality of their products would be inferior if they left Foxconn.
Guo Min really thinks so. He tried his best to win the order: "Mr. Lu, take a look, you might as well let us try it, and then we will know how big the gap is."
Lu Bo shook his head: "We really don't have any extra orders. These cooperative factories have signed agreements with us very early, and the quotas given to them are all pre-set. If you come here and step in now, we won't have enough orders for others." , this is also a breach of contract.”
Lu Bo comes from a technical background. Although he is a CEO, he is still a man of science and engineering. He will try his best to learn the twists and turns, but he will not be too tactful and his words will be very direct. This left Guo Min speechless. Why is this young man so ignorant?
Guo Min also lamented at this time that times had really changed, and he was now at the point where he had to go back to Changtian Technology for orders, and he was competing for orders from manufacturing factories that he had looked down on in the past, and he hadn't even grabbed them yet.
Foxconn has always been very proud. Its arrogance comes from its own technology and related effects.
Wherever Foxconn sets up factories, the economy will take off, and many places will compete for Foxconn's location.
The direct income and taxes generated by orders are already very objective, and there is also the radiation effect of overseas assignment orders.
Foxconn's entry will also help local industrial parks build bridges and pave roads, and investment in network power will increase. This is the guidance of heavy assets.
It has also driven the transportation industry and service industry, directly and indirectly providing an unimaginable number of jobs, and the positive social effect is very high.
But Foxconn has forgotten that the reason why it can open such a large stall in mainland China, with millions of workers, is not because of how awesome it is, but because the conditions in Xia Guo are very good, with high-quality workers and transportation. With convenient logistics and concentrated human resources, other countries cannot imitate it and can only partially achieve it.
Vietnam and India have been imitating Xia Guo, and they have stretched their crotch as they learn.
Therefore, Foxconn and Xia Guodalu achieve mutual success, and it is not Foxconn that gives Xia Guoda their jobs.
Guo Min did not correct his mentality and position. He always looked at the mainland with a condescending attitude. Even when he came to see Lu Bo this time, he felt that he was condescending.
Lu Bo was very sensitive to Guo Min's mentality and never gave Guo Min an order. This guy was disgusting with Xia Guo Dalu when he followed Apple, so he couldn't be spoiled.
Guo Min left in despair. If Foxconn in the Xiaguo mainland area couldn't survive, the whole Foxconn would be finished. Guo Min had already seen the tragic situation of numerous factories closing down. He shouted angrily in his heart, it can't be like this. Sit back and wait for death.
So after Guo Min returned to the Bay Area, he still took the initiative to look for orders, and even reached out to factories further downstream to snatch orders that he had previously looked down upon.
But the effect is very small. Those factories are not in mainland China and there are not many orders.
In addition, Foxconn's own inherent costs are too high, and the profit margins on those orders are extremely low, and they may even lose money in the end.
Several Foxconn factories in Shenzhen City had no choice but to close down. A large number of employees were laid off. The stock market collapsed and continued to plummet.
Guo Min couldn't sleep at all these days, worrying all night long. After careful consideration, he finally made up his mind that something must be done.
As he matured, he understood Xia Guo's system. He planned to shift the pressure to the Shenzhen Stock Exchange. Since he couldn't handle Changtian Technology, he would find a department that could manage Changtian Technology to put pressure on him.
Guo Min proposed to move out of the Shenzhen market and package and sell the existing production lines and equipment together, so that he could make some money.
The Shenzhen market is now anxious. Foxconn has hundreds of thousands of workers here. If they evacuate suddenly, the consequences will be extremely serious.
Let’s not talk about whether there are so many jobs to accommodate so many people. Even if there are, it will take a certain amount of time to accept them. How will the economic losses, employment rate, and investment be adjusted during this period?
The Shenzhen Stock Exchange tried its best to save Foxconn and gave it a bunch of preferential policies, including taxes, land, and import and export subsidies. They tried every means except real money, but it still didn't work.
Guo Min has long understood that it is difficult for Foxconn to stand up in mainland China.
If the Shenzhen market cannot come forward to get orders this time, then we can only take this opportunity to sell production lines and equipment to Changtian Technology. At present, only this company can give a more reasonable price, and other small companies are simply Take advantage of the situation.
The result still disappointed Guo Min. Changtian Technology did not place an order. In order to expand production capacity, Tiangong Technology agreed to acquire production lines, equipment, and even factories.
However, there are prerequisites for this. Foxconn must pay off the rent and wages before the contract is signed, and cannot hand over the account with the account. Changtian Technology is not taken advantage of. The factory is valuable and can be kept in its entirety, and even the managers can keep part of it. However, wages will be reduced by 20%, and workers' wages will be increased by 10%.
Executives in the Gulf region are now full of complaints. They rely on the cheap labor force in the mainland in exchange for low costs and high profits. In the past, their wages were very high, but relatively, employees' wages were lower than those in other regions, and there were obvious differences in treatment.
Lu Bo still has not gotten used to this group of eccentric Wanwan executives. He stated in the pre-issued document that if it were not for the sake of a smooth transition, none of these people would be retained!
At worst, the production time of Changtian Technology will be extended a little longer, and workers can no longer be wronged. Everything must be run according to Changtian Technology's model!
After saying the harsh words, the Wanwan executives fell silent one by one and stopped talking. They even held a welcome ceremony when the people from Tiangong Technology handed over.
They are not stupid either. Except for Xia Continent, the development speed of the whole world is obviously not very high. It is impossible to find a job with such income anywhere else.
Besides, with Changtian Technology, no matter how low the salary is, how can it be so low? Once the order comes in, your performance in the future may be even better than before!
The final purchase amount was very low, and was not discounted based on market value, because everyone knows that market value is a lie, and no dog will believe anything that is piled up with capital.
Tiangong Technology makes its own valuation to squeeze out the water. Only consider tangible things such as the value of fixed assets, inventory value, and raw material value, and leave the goodwill value and brand value to deceive investors!
Guo Min looked angry. He always emphasized the possibility of Foxconn, but Changtian Technology was not a vegetarian.
"The recent movements of several capitals are not normal. A large amount of funds have settled in, and various good news have been released. We haven't signed a contract yet, and various articles and videos that are optimistic about Foxconn's development have appeared on the Internet. Do you dare to say that these are not related to Foxconn's development? You have no relationship?" Changtian Technology's negotiator told some facts.
These facts were indeed done by Foxconn’s public relations team to make the market look favorably upon Foxconn again.
They even got through the work of some rating agencies, giving Foxconn a very high credit rating, causing Foxconn's stock price to rise in the short term and its market value to be overvalued.
This is why Changtian Technology has to do its own evaluation. In its view, in the manufacturing industry, only physical objects and related technologies, and personnel are the most valuable, and everything else is nonsense.
After several days of debugging day and night, the production line is ready to be put into production. It will be renovated while being put into production, and whatever can be built will be built.
Three months after the press conference, Changtian Technology only delivered 5 million mobile phones, 2 million ephemera and 1 million wearable devices. The number of people with purchase intentions is more than ten times that, which is a drop in the bucket.
However, with such a sales volume, Changtian Technology can secure a net profit of tens of billions. It is unprecedented to have such performance in one quarter. If the production line is fully put into production later, the subsequent profits will be even more unimaginable.
While Changtian Technology was developing steadily, the anxious US military finally bought the equipment it wanted. Their special agents took several rounds of team shots before they got the equipment.
"Quick, quick, quick! Everyone gather together! What? Fuck your mother-in-law? I'll fuck your mother!"
"How can you curse someone like that?"
"Changtian Technology's products are back! If we can't find a way to crack it, we will all be unemployed in the future, you know?"
"oh!"
The science and technology department of the US military quickly gathered together. Everyone looked at the Hanhai T1 and couldn't believe how powerful this thing was.
The experiment started soon. The first test environment was a strong magnetic field. Not to mention signals here, even the metal in the magnetic field will be magnetized and controlled by the magnetic field.
The person in the distance dialed the cell phone, but in less than a second, the cell phone rang immediately, and everyone had a look of disbelief on their faces.
The next test was conducted in a claustrophobic environment, that is, making calls hundreds of meters below. A de facto birdcage effect has been formed here, and only wired calls are allowed.
The result is still the same, there is no shielding at all, and the connection is instantaneous. Then it was tried in deep seas, deep mountains, desert areas, and even tested in space environments. All were smooth, and even the exchange of information was not blocked.
All tests have been conducted, and the people in the US military are becoming more and more disheartened. Many environments have exceeded the most severe use environments and are simply impossible to encounter in reality. Even so, Changtian Technology's products do not operate at a discount.
The American military gave up this time, and they sat together with ugly expressions.
"Tell me, can we analyze and imitate it?" The lieutenant general who presided over the meeting was very pragmatic. He couldn't even say the word "beyond", so it would be good if he could get close.
As a result, he was disappointed, and the people present did not dare to talk to him.
"You can't even guarantee the analysis? Speak!" the lieutenant general got angry.
Finally, someone chimed in: "Even disassembly may not be possible. According to the current product performance of Changtian Technology, and combined with the previous disassembly results, we are likely to directly dismantle the equipment, causing the product's protective self-disassembly. destroy."
At this point, everyone remembered the embarrassing scene of dismantling the mayfly last time. It was a nightmare. Now quantum technology has been added, who knows what the structure inside is. The current quantum technology in the United States is very immature.
"You have to dismantle it even if you don't understand it! Then ask Xia Guo's special agents to line up to buy! While we are dismantling it, we continue to conduct research in quantum science. Changtian Technology can open the way, at least proving that the conjecture in some directions is correct. , this is not our opportunity!" The lieutenant general's words silenced everyone. It is rare to see such optimistic people.
After the meeting, the people in the United States started the reverse cracking process.
The result is exactly what they thought. It is easy to disassemble the mobile phone, but when it comes to quantum accessories, it becomes extremely complicated. Changtian Technology does not hide anything, you can see it if you want. Anyway, the chip and processing calculation method are different. If you can’t learn it, what can you do if you read it?
This is even more uncomfortable than having a wrong train of thought. People have obviously gone to the front. After dismantling a few products, the gains were very small. Apart from getting inspiration on chip layout, there was no progress at all in quantum science.
"We have to make up lessons again. The massive outflow of the manufacturing industry has finally had a vicious backlash, and the consequences of the hollowing out of the industry are emerging.
We always think that we leave low-end industries to others, and we are responsible for high-end manufacturing such as chips, but we ignore the possible consequences of decentralized manufacturing, that is, the industry is not concentrated, and it is very difficult to improve the overall level.
The Xia Kingdom has always maintained a complete industrial system, but we continue to move out. In the past, our level was at a high level, so there was no big problem. Once others came close to or even surpassed us, we had to refocus our manufacturing industry and return to our home country! "The U.S. government think tank came to the final conclusion.
Now they have to wait for the overall manufacturing level to catch up with Changtian Technology before they can achieve overtake, but this may be very low. The higher the level, the harder each step is to follow!
(End of chapter)
