33 Business Progress(1)
A 250ml bottle of Red Bull costs almost $0.5 in American supermarkets, and there is a certain discount when sold by the box, which can be said to be very expensive, you must know that in this era, even in the United States, many people have a monthly salary of less than $1,000.
Of course, this is only the average low-income group, and there are still a lot of rich people, as long as the advertising is in place, some people buy it.
And the cost of Red Bull, Plus cans are less than 0.5 Hong Kong dollars, this is really an unprecedented profiteering, counting the transportation costs in the middle, the tariffs entering the United States customs, the cost of several layers of distributors in the United States, etc., Red Bull company's profit from a bottle of drinks is as high as 1.3 Hong Kong dollars, and a million bottles can net 1.3 million Hong Kong dollars, these money will be left in overseas capital transfer companies, so as to avoid high taxes in the United States, which is actually a routine of many large companies, in the era of no Internet monitoring, even if the European and American governments know that there is this loophole, there is no way to check, can only keep an eye on the internal market of various taxes.
The first wave of orders from the United States for 3 million bottles, however, Chen Zhiwen is not ready to transfer back the profits of the United States, and Hong Kong is not short of money for the time being.
The first principle is to enter the American market in the shortest possible time, so that all people in the United States think of energy drinks and think of Red Bull, just like thinking of Coca-Cola, the reason why they are so anxious is also because the two beverage giants in the United States, maybe they don't care about Red Bull now, but as long as Red Bull makes the market bigger, they will not hesitate to enter the market to grab the cake.
This time will not be very long, as long as the first few years of success, then the market is stable, do not make big mistakes, it is difficult for the two music to catch up, although they have money, but Red Bull's high profits are not afraid to burn money to advertise, in the history of later generations, Red Bull in Europe and the United States advertising investment in one billion dollars per year, become the largest financier in the sports industry and advertising industry, it can be said that the cost of a bottle of Red Bull drink, more than half are advertising.
Coca-Cola has a variety of beverages, Pepsi has other food businesses, burning money in the energy drink market, it will soon be unbearable, and their other internal businesses will not support it, as long as it waits until that time, Red Bull can lie in bed and collect money, and another benefit of becoming a financier in the advertising industry is naturally the incidental influence, and the media giants are also to make money in the final analysis.
The current beverage filling machine is only semi-automated, and the production capacity is far less than the equipment with the production speed of tens of thousands of bottles per hour in later generations.
And the United States company, more than 20 sales were sent to the Middle East, they are all going to several big cities in the Middle East powerhouses, directly with samples to find local distributors, although the United States is not famous, but the Middle East is too short of air conditioning and refrigerators.
Europe, the United States and RB electrical brands themselves have been affected by the oil crisis to increase costs, their own domestic market has shrunk because of the oil crisis, and now see a new market such as the Middle East and this group of local tyrants who have become rich, naturally with the same tricks as later generations for the mainland, joint price increases, one is more ruthless than the other.
Although there is money in the Middle East, dealers are not stupid, they have always wanted to find cheaper suppliers, but in the era of no Internet, it is inconvenient to make phone calls, and they are slaughtered like other trading companies, until Midea's sales take the initiative to come to the door.
The principle of Midea is that there will be no significant price increases, and after deducting all production costs and transportation costs, it is enough to maintain a gross profit margin of 30%, which is much cheaper than the normal prices in Europe, America and Japan.
After a few more performance tests, although there were doubts about the quality, considering that even if it was repaired again, it would still be profitable for these dealers, so a batch of orders was placed.
The demand in the Middle East is massive, even if most of it is eaten by European, American and Japanese brands, the remaining small part is enough to support Midea, so Midea's factories have also begun to recruit people on a large scale.
"8,000 refrigerators and 3,000 window air conditioners will be shipped within a month, is it too late?" After Chen Zhiwen came to the factory in Yuen Long, he looked at the order in his hand and asked.
"Chen Sheng rest assured, no problem, I have already prepared enough compressors and some electronic components, and other materials are purchased in Hong Kong. Lei Shengli said confidently.
"Okay, then go all out to produce, we should also pay attention to the quality, a few more ways to check the quality, in addition to the problem of a product, our loss is enough to catch a worker for several months of labor." Chen Zhiwen nodded and said.
To do the overseas market, the most troublesome is after-sales, an after-sales problem, is the same type of local after-sales problems several times or even ten times more, and therefore, such a small place like Hong Kong, without the local market, it is difficult to produce a large manufacturing brand, because the big manufacturing brand is also from a small company, there is not enough local market, it can not cultivate this kind of enterprise, relying on the overseas market, no one to cover the bottom, a number of quality problems may make a good enterprise bankrupt.
Lei Shengli said: "Chen Sheng, rest assured, I have referred to Toyota's quality requirements for our car radio project, and also started to benchmark other electrical products, in addition, I also invited two retired RB quality engineers from Toyota to consult, one of whom is now in charge of the electrical project." ”
"Okay, in the manufacturing sector, learning from Toyota is a good way." Chen Zhiwen nodded and said that Toyota, as the most successful manufacturing giant in the 20th century, has a management style that is the object of study for all factories around the world, even if it is not the automotive industry, and can learn a lot. Of course, you don't have to learn everything, but you also need to optimize it appropriately according to your actual situation.
Chen Zhiwen then asked: "How is the car radio project?" Toyota agreed? ”
"Not yet, but the procurement over there said that there would be no big problems, and eight or nine will not leave ten." Lei Shengli said.
"In the end, I can't say for sure, Toyota chose our company, but it just wanted to use us to lower the price of its other suppliers." Chen Zhiwen shook his head and said, this kind of routine, he knew from the acquisition of Global Electronics, the bigger companies will play like this, the difference is that the better will eventually pull you into his supplier, and then give you some soup to drink, almost kick it away.
But even if he knows this, Chen Zhiwen still agrees with Midea to take this step, anyway, the investment is not much, and it will be three or five hundred thousand Hong Kong dollars, but if it succeeds, it will open a new door to the development of Midea's radio industry, and the car radio market is still very promising in the next 20 years, even after 20 years, it is not difficult to upgrade the central control system.
In many industries, getting started is the most important.