Chapter 361: Cheap is the second way to the king
"Copy! These foreigners are so fast! Song Yu said.
Wang Weidong looked at the expressions on the faces of Ou Xiaoyang and Song Yu, and he found that both of them had changed, and their attitudes became no longer so firm.
There is a deep-rooted view in the hearts of the Chinese. That is, foreigners' things are good. Even the Chinese produce better things for export to foreigners than they produce for domestic sale.
This is the reason why in the 80s, when exports were turned to domestic sales, goods were robbed in China.
Now, since foreign companies have begun to sell VCD machines in the country, who will buy domestic products?
"It seems that I have to talk to Boss Fan Wenfu Fan." Wang Weidong said.
Wang Weidong was shopping purposefully in Qindao City that day, and he actually saw four VCD machines produced by foreign companies in one of the largest local department stores.
There are Samsung in the peninsula country, Sony and Sharp in the small book country, and Philips VCD players in Europe.
The VCD produced by Samsung can play CDs, regular VCDs and foreign LD discs at the same time.
The VCD produced by Philips is even more exaggerated, the machine is half a meter high, and can be used as a radio, tape recorder, CD player and VCD player at the same time.
Of course, the price of such a machine is also very expensive, costing 5,600 yuan.
The goods sold by foreign companies in China still can't be put on the shelves, and they put on a lofty posture, which makes the vast majority of Chinese people daunted.
Wang Weidong invited Fan Wenfu to dinner alone the next day.
"Mr. Fan, I have already understood, your Huali Optoelectronics is only a small company with more than 200 people on Taiwan Island. To tell you the truth, your company is much smaller than ours. Of course, our Xiangyang Electronics is also insignificant compared to companies like Sony, Sharp and Philips. Wang Weidong said.
"I've heard that mushrooms and beans can break cement when they sprout! We should have this kind of courage now, these big international companies are pressing on us like cement slabs, and it is too difficult to develop! In order to develop, we must join forces! Wang Weidong continued.
But Wang Weidong's ideological mobilization was of little use to Fan Wenfu, all he wanted was to make money. In order to make money, there is nothing wrong with giving a hand to those large international companies. When those big companies eat meat, a small company like him can drink a mouthful of soup, and he is satisfied.
"If our company purchases your laser head, what is your quotation?" Wang Weidong asked.
"Forty yuan." Fan Wenfu replied.
Wang Weidong shook his head.
"If I purchase overseas through a Hong Kong company, a laser head will only cost 50 yuan, and the quality is much better than your company's! Your offer is simply too high. Wang Weidong said.
"How much can you buy?" Fan Wenfu asked.
"At least 100,000!" Wang Weidong replied without hesitation.
100,000 laser heads is nothing for an international manufacturer, but it is definitely a big order for Fan Wenfu's small factory with 200 people on Taiwan Island, a very, very large order.
"Thirty-five, it can't be less." Fan Wenfu replied.
"Fifteen, no more." Wang Weidong said.
"Mr. Wang, you're not bargaining, you're stabbing me with a knife! In bloodletting! Fan Wenfu said.
"Twenty yuan a piece, we Xiangyang Electronics will purchase 200,000 laser heads from you! I'm a happy person and I like to make friends and do business with happy people, and if you agree to this price, we can sign a contract right away. If you don't want to, I'll find someone else to work with. Wang Weidong said.
Hearing that Wang Weidong wanted to purchase 200,000 laser heads, Fan Wenfu hesitated.
Twenty dollars a piece, they definitely make money. Although the income is small, but the amount is large, it is still very profitable.
"I'm just the manager of the branch here, I want to call my father immediately, don't worry, I'll give you news tomorrow at the latest." Fan Wenfu said.
Holley Optoelectronics was founded by Fan Wenfu's father, and he couldn't make the decisions alone, he had to consult his father.
Wang Weidong returned to the hotel.
Ou Xiaoyang and Song Yu were waiting for him in the hotel.
"I have already agreed with Fan Wenfu that if he is willing, I will purchase 200,000 laser heads from their company at a price of 20 yuan each!" Wang Weidong said.
"Weidong, I mean let's think about it again. Now those VCDs on the market are produced by large foreign companies, how can we compete with them? Song Yu said.
"I think we can still compete. Those VCDs cost four or five thousand yuan each, and most people in China may not have that much money in the bank now. We produce cheap ones, and if they go down three ways, we go down three ways! Wang Weidong said.
"As you said, a lot of the components on VCD have to be imported from abroad, even if we want to be cheap, we can't be cheap." Song Yu said.
Obviously, this kid is not determined, and this time he wants to retreat again.
"Xiaoyu, it's still the same sentence, I'll do this first, and then I'll follow up when the two of you think it's okay." Wang Weidong said.
"We're all good friends, how can you say such a thing? I must invest in it. It's just that you can't invest too much for the time being. Song Yu said with some shame.
In the evening, Deputy Secretary-General Qin called Song Yu and invited him to a dinner.
The reason is that several cadres in Qindao City knew that Song Yu was coming and wanted to invite him to a meal, so everyone would get together and connect with each other.
Song Yu politely invited Wang Weidong and Ou Xiaoyang to go with him, and both of them refused very interestingly.
When there were only two people left in the room, Ou Xiaoyang said to Wang Weidong: "Weidong, you know me, I have always fully supported you." It's the same this time! My family background is not as thick as you and my Song Yu, but this time I took out all seven million and invested it in this company! ”
"In fact, I have already calculated this matter, if the chip problem can be solved, we will completely copy the Wanyan VCD, and it is not a complete imitation, only two things are imitated, one is the movement, and the other is the decoder board." Wang Weidong said.
"You mean you're going to sell only the movement and the decoder?" Ou Xiaoyang asked.
"The core part of the VCD machine is the movement and the decoder board, with these two things plus a little simple auxiliary circuit, put them in a shell and it is a VCD machine! Even if a small family workshop buys it back with electric welding and screwdrivers, you can produce VCD machines! They can take it out with just a sign. The things produced in this way must be cheap! The quality and brand things are pushed to them, and we don't have to care about anything! Wang Weidong said.
What Wang Weidong means is that they hide in the back, allowing dozens or hundreds of family workshops and factories to compete with big foreign brands in front like guerrillas.
Cheap is king!
(End of chapter)