Just after the New Year of '87, Shirakawa Kaede was staying in the courtyard of Setagaya Ward, bored watching the news.

Shirakawa Electric has undergone more than half a year of adjustment, and the pain of the yen's appreciation has basically passed.

At the end of last year, in October and November, the Walkman factory in Huaxia was successfully put into operation.

According to the statistical data, a Walkman of the same model. The cost of production in China is nearly 40% cheaper than that in neon.

Even if Shirakawa Kaede had expected it, this decline range still greatly exceeded his estimate.

Two of the most prominent cost savings are labor and material costs.

The monthly salary of a worker in Neon is now basically more than 300,000 yen.

However, the salary of a worker in Huaxia is only about 60~80 yuan, which is quite high.

Converted, Huaxia's labor cost is only less than 2% of Neon?!

When he first saw this data, Shirakawa Kaede was also stunned.

He expected that there was still a gap between Huaxia and Neon in terms of labor remuneration during this period, but he didn't expect it to be so big.

It is no wonder that in later generations, Huaxia will become the world's factory.

The choice of capital is the most practical.

In addition to labor costs, the cost of alternative raw materials and parts is also much cheaper than that of Neon in China.

For example, the transmission gears in the Walkman are also machined.

The cost of neon may be 200 yen, which is about 4 yuan when converted into RMB.

But in Huaxia, it only takes five cents to be enough, nearly ten times the difference. Not to mention Shirakawa Kaede, even Hasegawa they sighed again and again that it was incredible.

It's really too cheap, so cheap that Shirakawa Kaede specially called the local government to ask if he wanted to increase the wages of the workers.

Although chasing profits is what he wants, he also doesn't want to be infamous as a shady enterprise and exploiting workers.

As a result, I found out that the salary offered by Baichuan Electric to the big guy was already a top first echelon.

At this time, the salary level nationwide, the vast majority of people are between 30~50 yuan.

The high salary of Shirakawa Electric is already the envy of countless people, and it is too prominent, but it is a bit inappropriate.

After receiving such a reply, Shirakawa Kaede was relieved.

But then inside Shirakawa Electric, everyone had a heated discussion.

Everyone thinks that since the processing cost in Huaxia is so low, it is better to simply move most of the factories there.

But after careful evaluation, Shirakawa Kaede still gave up on this idea.

Because some parts cannot be localized in China, the more technically difficult the product, the more so.

For example, CD players and LCD TVs, in which the laser head, brushless motor, chip, and LCD panel are not satisfied.

If it is transported thousands of miles from neon, not to mention the high freight, the damage to the LCD panel on the way is a large amount.

So just take it step by step, there's no need to rush it.

And now the processing cost of the Walkman can actually be reduced, because some parts need to be shipped from Neon, which adds a freight fee.

Otherwise, it is not known that the processing cost will be reduced to 50%.

At the same time, because it is a joint venture, Shirakawa Kaede also thinks a little more.

After two years, Huaxia will approve the wholly-owned operation of the foundry.

The current Walkman has limited technology, so Shirakawa Kaede doesn't mind even if the technology is shared.

However, some core technologies, housekeeping skills, Shirakawa Electric must be in their own hands.

Of course, when the Chinese market matures in the future, and the technology is exchanged for the market, Shirakawa Kaede will also agree.

He won't be like his neon peers, holding his little things tightly like a baby bump.

Shirakawa Kaede sees very clearly that in the future, the neon manufacturing industry will only retain a part of the high-end.

Most of the others will slowly lose their competitiveness over time.

The local manufacturing industry is gone, what are you doing with those things?

Without continuous investment, if the technology is not updated and iterative, it will be a matter of time before it is caught up by Huaxia.

So Shirakawa Kaede thought very clearly, rather than holding the technology that was gradually depreciating, and not letting go.

It's better to open up the technology authorization to Huaxia as soon as possible, and no matter how bad it is, you can collect a little bit of the annual patent fee, right?

Otherwise, the counterparts here in Huaxia will be in a hurry, believe it or not, Huaqiangbei will go directly and will not give you a penny.

Weighing the two, Shirakawa Kaede still thinks it is cost-effective to directly open up the technology.

By the way, maybe you can get a wave of goodwill.

For now, Huaxia's joint venture factory produces radios and tape recorders in addition to Walkmans.

All three products are available in special versions for local supply, with Chinese characters printed on their bodies and manuals.

Originally, considering the consumption level of Huaxia, Shirakawa Kaede planned to suppress the price of the tape recorder at about 50 yuan, and the walkman around 90 yuan.

According to the salary level of Huaxia at this time, this is actually expensive enough.

After all, a worker's monthly salary can buy a radio, which is really very expensive.

However, when Shirakawa Electric reported its own pricing, it was called back by the Price Bureau.

The reason is not that it is too expensive, but that it is too cheap.

Similar products, Shanghai brand, Wu brand radio. The cheapest one is 50 yuan a piece, and the better one can be sold for 120 yuan.

Looking at the imported products of Sanyo and Sharp, the cheapest is more than 500, and the more expensive is more than 2,000.

The gap between these two is too obvious.

The reason why the price bureau returned to the pricing of Shirakawa Electric was actually to protect the development of local enterprises.

Baichuan Electric's radio is much more advanced than Shanghai brand and Wu brand, it sells for 50 yuan a piece, who still buys local products.

So there was no way, until Shirakawa Electric raised the price of the radio to 150 yuan, and the price bureau finally passed the review.

As for the Walkman, because there is no benchmark product in China. In the end, it can only be priced according to domestic cassette recorders such as Panda, Peony, and Haiyan.

The price of Shirakawa Electric's Walkman is fixed at about 200 yuan, which is still the cheapest of imports, but it is also the most expensive in China.

However, what is more dramatic is that buying an original imported Shirakawa Electric Walkman from Neon is only about 125 yuan.

The fact that the authentic local production is as high as 200 yuan, which makes Shirakawa Feng helpless.

But Huaxia's market rules are like this, and he can only abide by them.

However, because the market has not yet developed, Shirakawa Kaede does not care too much about the profits of Huaxia for the time being.

The most important thing is that with the strong assistance of Huaxia and the replenishment of production capacity in Yizhou.

Most of the Walkmans supplied overseas are supplied by these two places.

As for the remaining local production capacity of Neon, it can meet its own digestion.

What are the benefits of this? This is also related to Lao Mi's anti-dumping strategy.

The United States stipulates that the export products of Neon here cannot be sold at a price of less than a percentage of the cost in the North Rice market.

Let's say a product costs $100. Then it sells for at least 150% of the cost, or 300% of the cost.

Below this price, then you are suspected of dumping.

Now the cost of the Walkman produced in Huaxia and Yizhou is only 60% of that of Neon Local, so my price in Beimi can be set according to the production cost of Huaxia.

For example, what used to cost $100 is now $60. Then it's 150% or 300%, that's a lot cheaper.

This means that Baichuan Electric's products can continue to reduce prices in Beimi without violating the regulations of the Ministry of Commerce of the United States.

Therefore, with this move of Huaxia, Baichuan Electric not only reduced costs and kept profits, but also kept the market of North Rice.

Win-win! And also bypassing the various agreements between Mi and Neon.

For this loophole, there is nothing to say about the United States.

After all, if you look at the walkman on the shelves in the supermarket in the United States, it must be printed on the bottom, Made In CN.

Or maybe other Southeast Asian countries want to change the place of origin, it's too easy.

By assembling the parts of Huaxia and pulling them to the sticks next door into finished products, the production area became Made In Korea.

In short, as long as it is not put in the neon of the soaring yen, the reduction of production costs is a sure thing.

Because it was the first to create this game, Shirakawa Electric has been slowly recovering its profits since the end of 86.

After seeing the operation of Shirakawa Electric Appliances within the Economic League, they were shocked and began to follow suit.

There is no doubt that the layout was laid out from before the Plaza Accord began.

Shirakawa Electric is the first company to move its production capacity to Southeast Asia, and Panasonic and Sony are not as fast as him.

After all, before the Plaza Accord was signed, everyone's estimate was that the yen would appreciate by 20%.

As for the current 35%, that is what everyone did not expect, and no relevant preparations have been made.

So after seeing Shirakawa Electric eat crabs, Panasonic couldn't wait to set up a joint venture TV factory in Yanjing.

The size of the investment is 28.7 billion yen, or 175 million US dollars at the exchange rate.

Tsk, it was also a big deal, and it was ready to be put into production in the fall of '87.

Look, my peers are very fast.

Because of the recovery of the market and the hot sales of LCD TVs and LCD notebooks, Shirakawa Kaede can now lie at home and watch the news leisurely.

LCD TVs and LCD laptops, these two things are no substitute in Beimi.

It's also Sharp that can compete with Shirakawa Electric on LCD TVs a few times, as for the notebook, now Shirakawa Electric is the only one.

Therefore, in the North rice market, such products maintain ultra-high profits, and there is no worry about sales.

Shirakawa Kaede, who is in a good mood, is called a leisurely.

"Yuko, don't be busy, be careful with your body."

Seeing Yuko Tanaka standing up and bringing a plate of fruit for herself, Shirakawa Kaede hurriedly beckoned her to put it down.

She is already pregnant again, and she still doesn't stop.

"I've been in a good mood lately~" Yuko Tanaka put down the fruit plate and walked over with a smile.

Helping her sit down, Shirakawa Feng said triumphantly, "Of course, your son's milk powder money has been settled." ”

"Eh" knew that he was joking, but Yuko Tanaka still cooperated with a curious look.

"Ahem~" Shirakawa Kaede just wanted to speak, but a piece of news on the TV caught his eye.

"In '86, the country's fiscal deficit hit an all-time high, reaching an unprecedented $168.7 billion.

Compared with 148.5 billion US dollars in 85 years, it increased by 13.5% again.

On January 8, Treasury Secretary Baker said in Congress that it was more in line with market rules for the dollar to continue to fall. ”

Now, the neon bubble is going to obscure the sky.

Shirakawa Kaede stared at the TV, stunned.

(End of chapter)