Chapter 595: The giants are coming, and the deer will die
"Yes, Mr. Wang, you're right!"
"The next step for Honor's mobile phone purchasing department is to confirm the production capacity of each supplier and see which parts will have supply problems."
"At the same time, we will build a supply system that can meet the monthly production capacity demand of 4 million units."
"Some parts, such as cameras, will continue to be purchased from Sony and other manufacturers, and the other part will be produced by Nanshan Group itself."
"For example, we will buy from BOE and Sharp at the same time, and in the case of maintaining competition, we can better ensure supply."
Cao Yang replied to Wang Fu's words with a smile.
In this answer, Cao Yang also vaguely expressed that the supply chain of Honor mobile phones will adopt the model of finding several manufacturers to buy one part.
This is actually the way BYD Auto is adopting.
Parts with the same function can be installed normally by anyone who buys them.
At this time, it depends on whose price is cheaper.
This is the so-called AB point in the automotive industry.
Of course, some people will say that it is possible for the two suppliers of AB to communicate privately, and everyone reaches a cooperation plan, and it is not easy to engage in price wars.
It doesn't matter, people can take the drawings to find the C manufacturer, and then both of you will have to lose the order.
Anyway, unless it is a particularly core part, there is no choice in the market, otherwise the initiative must be in the hands of BYD Auto Purchasing Department.
In the same way, Honor mobile phones are naturally possible.
Not only parts can be used, but also the mobile phone OEM business.
The smart Wang Fu naturally heard the meaning of Cao Yang's words.
So he didn't continue to change the topic, but directly faced this problem, saying: "Mr. Cao, we definitely hope that Honor mobile phones will reach the level of 4 million monthly sales as soon as possible." ”
"However, from 500,000 to 4 million, there must be a transition process in the middle, and we can gradually increase production capacity."
"Of course, due to the construction of the new plant, we will plan in advance and communicate with the equipment manufacturer."
"To ensure that our new production line can always be introduced within half a year, to avoid the rapid increase in market demand, the response is not timely."
Wang Fu's answer can be regarded as sincere.
They are ready to prepare according to the scale of 2 million units per month, and in the face of the demand for a monthly output of 4 million, they have also done the work that requires a long time to prepare in advance.
The next step is to continuously invest in new production lines in the plant.
However, with a six-month preparation cycle, Cao Yang can't wait.
Starting from this year, smartphones will enter a new and rapid development track.
At that time, the sales growth will exceed many people's expectations, and a month of delay is also a huge loss.
Besides, Cao Yang is already ready to use this to test BYD's determination, so he will naturally test it to the end.
"Mr. Wang, your plan is indeed relatively safe, but the mobile phone market is different from the automobile market, and it changes much faster."
"Basically, a mobile phone needs to be upgraded after a year of sales, but it generally takes about five years for a car to be upgraded."
"This difference will also lead to rapid changes in the market of mobile phones, and the models that sell well this month will not sell well in a few months."
"We can't wait for the market to need the product before we start preparing capacity."
"The monthly production capacity of 4 million is actually my more conservative estimate."
After Cao Yang finished speaking, he looked at Wang Fu with a smile.
Now the pressure is completely on Wang Fu's side.
Cao Yang's words have made it clear that the goal of 4 million monthly production capacity must be achieved.
If BYD wants to eat this foundry business, it needs to prepare according to the monthly production capacity of 4 million, otherwise Honor Mobile will have to consider finding other foundries.
Domestic manufacturers who do OEM business, although it cannot be said that they are everywhere, there are still some options.
Wang Fu naturally knows this.
At this time, his heart was also engaged in a fierce struggle.
The monthly production capacity of 4 million, this is only the mobile phone production line, plus the tablet production line, BYD needs to invest in equipment investment is even more exaggerated.
Although he believes that if the funds invested in these production lines are borrowed from banks, there should be no pressure.
As a star enterprise in Shencheng, it is still doing OEM business for Nanshan Group, so naturally many banks will be interested.
It's a big deal to find Nanshan Group to help guarantee when the time comes.
However, even if the bank is willing to borrow money, the risk is on BYD's side.
Is the risk worth taking?
It's definitely something to think about.
However, thinking of the hot scene at the HONOR 3G launch conference, various world-class configurations, and various popular games, Wang Fu gritted his teeth and said: "Okay, we will build a factory and add production equipment according to the ability to produce 4 million mobile phones per month from January 2012!" ”
"I believe that the Honor phone will not disappoint everyone!"
After saying this, Wang Fu breathed a sigh of relief in his heart.
No matter how much it is, take this big business down first.
Although BYD's mobile phone OEM business, the biggest customer is still Nokia, but after using Nokia's mobile phones and Honor mobile phone products, Wang Fu actually has the answer in his heart.
"Mr. Wang, happy cooperation!"
Cao Yang was also relieved that Wang Fuhui made this choice.
Honor Mobile has its own mobile phone factory, which can produce a part of the mobile phone.
The rest is done by BYD, so that the advantages of the number of units can be concentrated and the production cost can be reduced to the greatest extent.
He really didn't have a lot of interest in finding other foundries.
is like a certain Kang, he doesn't plan to give a single business to others.
"Happy working together!"
Wang Fu shook hands with Cao Yang in a complicated mood.
However, soon, Cao Yang's words made him happy.
"Normally, the cost of production line investment will be allocated to the processing fee and slowly recovered."
"But this time, the number of production lines invested is relatively large, and the occupation of funds is also relatively large."
"Our Honor Mobile is willing to take out 500 million yuan as an advance payment for production line investment, and when the time comes, it will be slowly deducted from the processing fee!"
The reason why Cao Yang waited until Wang Fu agreed to expand the monthly production capacity to 4 million units before telling the other party that he was willing to pay was naturally to test the courage of BYD to cooperate with Honor mobile phones.
The more BYD attaches importance to the OEM business of Honor mobile phones, the more it is willing to take risks.
The more BYD attaches importance to the relationship with Nanshan Group, it will not easily give up the OEM business of Honor mobile phones.
Judging from the final result, Wang Fu's performance still made Cao Yang very satisfied.
And Wang Fu, who got the unexpected joy, also had a lot of smiles on his face, and said: "If that's the case, then it couldn't be better." ”
"Maybe we don't have to wait until January 2012 to form the capacity to produce 4 million mobile phones per month in advance."
"In terms of flat plate production capacity, we will also expand it at the same time."
Scratch someone's back!
Wang Fu saw that Cao Yang gave such sincere conditions, and he was secretly glad that he had just made the right choice.
Otherwise, it's going to be embarrassing now.
Nanshan Group is not short of money, even if there is any problem with BYD's foundry in the future, it will be with Nanshan Group to help behind it.
Of course, it is limited to the OEM business of Honor mobile phones.
And when Cao Yang took a group of people to visit BYD's foundry, Apple, which was far away in the United States, also moved.
"Mr. Wang, everyone generally believes that the imperial capital and the magic capital are the most important markets in China, and the first stop to enter China is either the imperial capital or the magic capital, will it be a little strange for us to choose Yangcheng directly?"
Lin Rong is Apple's sales director in Huaxia, and this time she came to Yangcheng with Wang Ziming, general manager of Huaxia, to inspect Apple's first flagship store in Huaxia.
Although last year, the limelight of the iphone 3GS was stolen by the HONOR 3G.
However, ninety percent of the sales of HONOR 3G are in China, and the impact on Apple's mobile phone sales last year was actually very limited.
In the American market, the iPhone 3GS is still the best smartphone on the market.
Of course, those actions of the Honor mobile phone naturally fell into the eyes of the Apple gang.
Otherwise, it would not have been so soon to build a flagship store in Huaxia.
According to their planning, this kind of flagship store is not the kind of sales store that covers an area of one or two hundred square meters, but will choose a large shopping mall in the local landmark building or core CBD, and rent at least 500 square meters of space, preferably with two floors.
Such a large construction plan naturally means that Apple has great ambitions.
Although China's economy cannot be compared with that of later generations, it is now the second largest economy in the world, and the spending power of consumers is getting stronger and stronger.
"Lin Rong, don't look at the sales of mobile phones such as Nokia, Samsung, and LG are still very large, and they firmly occupy the largest market."
"But the development of smartphones will be faster than everyone imagined, especially our new generation of products are already in preparation, and will be officially released in June this year."
"At that time, the company's mobile phone sales will enter a new height."
"We naturally can't give up on the Huaxia market, and in Huaxia, the best smartphone business is naturally Honor mobile phones."
"In this case, then we will build Apple's first flagship store in the most prosperous business district in Yangcheng, and directly compete with Honor mobile phones."
"If our products can open up the situation in Yangcheng, then there will naturally be no problem in the imperial capital and the magic capital."
"In my eyes, in the entire Chinese market, only Honor mobile phones are competitors worthy of our attention, and other manufacturers are not worthy of our attention at all."
"Even if it's a Nokia that's in full swing, I don't think I need to worry about it."
"As far as their stubborn management is concerned, we don't need to worry about him holding the number one position all the time."
Wang Ziming's understanding of the smartphone industry is also relatively profound, otherwise Jobs would not have arranged for him to develop the Chinese market.
Now, although many people think that the share of smartphones will definitely get higher and higher, few people will think that in just a few years, smartphones will directly kill traditional mobile phones.
Can you still find the mobile phone brands that everyone was familiar with back then?
Nokia and Motorola are not to mention, as well as LG, Sony Aison, HTC, Sharp and other mobile phone companies, these years have been good.
But in a few years, it slowly disappeared into the long river of history.
There are not many people or companies who can see this trend clearly.
Apple is naturally this kind of company, and Wang Ziming is also this kind of person.
"That's right, Yangcheng has now been promoted to the largest city in China's economy, and there is no problem for us to open a flagship store here first."
"It is even estimated that more and more enterprises will pay more attention to the market in Yangcheng in the future and pay attention to the different situation in Lingnan Province."
Although Lin Rong has already obtained a green card, she grew up in China before going to graduate school.
Therefore, it is naturally more familiar with the domestic situation.
"But then again, in fact, we and Honor Mobile are not rivals now, but partners."
"Only when everyone works together to raise the influence of smartphones and make more people want to use smartphones, can the overall business develop and grow."
"If the cake is small, even if we eat it all, how much will it have?"
"On the contrary, if we can join forces to grab the market of companies like Nokia and Motorola, and let smartphones replace traditional mobile phones, then the final business will definitely continue to expand."
Apple's influence is not so exaggerated right now.
After all, their most classic iPhone 4 has not yet come out.
EVEN AFTER IT COMES OUT, THE SITUATION WILL CHANGE, BECAUSE THE HONOR 3G HAS FINISHED PEOPLE'S ROADS AHEAD OF SCHEDULE.
Fortunately, Apple is indeed a capable person, and people can quickly adjust the plan and continue to develop towards the goal of looking no worse than Honor mobile phones.
"That's true, I hope that Honor mobile phones can also have this kind of understanding."
"Otherwise, we will definitely have some conflicts with them in the future."
As soon as Lin Rong said this, Wang Ziming nodded.
That's the truth!
And Apple's action, Cao Yang naturally received the news quickly.
"Mr. Cao, the Apple company in the United States has leased 1,200 square meters of shop space on the east side of the north gate of Tianhe City, and the area on the first and second floors in the northeast corner is basically owned by Apple."
"I heard that they are going to build Apple's largest flagship store in South China in Tianhe City, so that more consumers can know Apple's products."
As soon as Xia Qingqing received the news, he came to report to Cao Yang.
She knew that Cao Yang attached great importance to this company in the United States.
Xia Qingqing, who started using Apple computers and MP3 a few years ago, naturally knows how strong Apple is.
When the time comes, if she competes with Honor mobile phones, she will still be under a lot of pressure.
After all, the name of a man is the shadow of a tree!
"Apple's mobile phone is going to have a flagship store in Huaxia so soon?"
"You also chose to open your first flagship store in Yangcheng?"
Although Cao Yang knew that Apple's mobile phone would definitely enter the Chinese market soon, he didn't expect the other party to set up the first flagship store in Yangcheng.
This is for the Honor phone?
It seems that those who come are not good, and those who are good are not coming!
Although Cao Yang attaches great importance to this opponent, he is not afraid of it!
"Yes, I asked someone to inquire, and the other party has officially signed a lease agreement and rented it for five years in one go, and it is said that the rent is quite high."
"Mr. Cao, I feel that Apple regards us as its main rival."
"After all, in the Chinese market, only our HONOR 3G has the strength to occupy a dominant position in front of the iPhone 3GS."
Speaking of this, Xia Qingqing's face was also full of pride.
Sometimes, others are willing to treat you as a competitor, which is actually a recognition of you.
It's like BMW always treats Mercedes-Benz as a competitor, when did you see it treat Zotye as its rival?
"Is there any media on the Internet that broke the news about what the fourth-generation Apple mobile phone released in June this year will look like?"
Cao Yang still wants to know what surprises the other party can come up with after being cut off by HONOR 3G iPhone 4.
This will also have a certain impact on the next development of Honor mobile phones.
Apple's strength cannot be underestimated.
Especially now that Lao Qiao is still alive, it is not strange to come up with some product designs that exceed everyone's expectations.
Some people even think that Apple's things should be different from those on the market.
"At present, there is still very little information in this regard, and it is estimated that their new generation of products has not officially entered the trial production process."
"Otherwise, there are so many suppliers, and it is impossible to have no news at all."
"Sometimes they deliberately release a little news to attract everyone's attention for the sake of publicity."
"I guess it will take another month to get the relevant information."
As soon as Xia Qingqing said this, Cao Yang didn't delve any further.
No matter how Apple tosses, Honor's own products maintain full competitiveness, and they are not afraid of bad sales at that time.
Compared with traditional mobile phones, today's smartphones simply have a crushing advantage.
Even if the Apple mobile phone is excellent, there is enough market space for the development and growth of the Honor mobile phone.
Of course, with the rapid development of smartphones, it is natural that Apple mobile phones and Honor mobile phones will not only have exclusive cars.
Previously, BYD's Wang Fu reminded Cao Yang that Huawei was also arranging the production of smartphones.
And when the news of Apple's first flagship store in Yangcheng spread, Warwick also launched a discussion on this matter.
"Mr. Xu, the board of directors now let you also be in charge of the business of Huawei mobile phones, and then we need to face the competition of Apple and Honor mobile phones at the same time, and it is very difficult to break through."
Lian Zhitian looked at the several mobile phones on the desktop, his face sad.
Whether it is the HONOR 3G or the iPhone 3GS, they are all very good in his opinion.
In addition to these manufacturers, the flagship products of traditional mobile phone giants Nokia and Motorola are actually not bad.
Even the products of manufacturers such as BlackBerry and HTC are unique.
In this case, it is not a little difficult for Warwick to stand out.
You must know that the current Warwick mobile phone business is far from being compared with its heyday.
The entire consumer business, within the company, is even positioned as a business that wants to be sold.
Even if I am engaged in the smartphone business now, it is just to sell it at a good price, and I don't really think that this part of the business is worth investing in.
However, Warwick is too fierce, and he has been as successful as his main business when he is engaged in it.
It is said that the board of directors of Siemens once made an internal evaluation material, but made a portrait of Warwick's employees.
This portrait includes the following key words: poor, full of vitality, ambitious, hard work, etc., which is basically a portrayal of a young and promising, energetic, and hard-working young man in a small town who has just entered a first-tier city.
The average annual working hours of these persons is about 2,750 hours, while the average annual working hours of European R&D personnel are about 1,360 hours (about 35 hours per week, but there are many holidays), and the ratio of time invested per person is about 2:1.
The per capita cost of Huawei R&D is 25,000 US dollars/year, while the per capita cost of Siemens R&D is 120,000~150,000 US dollars/year, which is 6 times that of Huawei.
Of course, this cost not only includes salary, bonuses, benefits, etc., but also includes various business expenses such as business trips and instrumentation.
It can be said that since 2000, Warwick has entered the international market, which has posed a huge threat to the leaders of the telecommunications industry such as Siemens, Nokia, Lucent of the United States, Maple Leaf Guobeidian, and Alcatel of France.
This kind of strength has been fought in bloody battles.
"The market for smartphones is huge, whether it is Apple or Honor, although they are all excellent, they have not completely opened the smartphone market."
"The stage left for us to play is still very huge, and we don't need to worry about it in particular."
No matter what Xu Jun thinks in his heart, he must be very confident in front of his subordinates.
Otherwise, the team behind will not be easy to lead.
"That's right, my wife uses HONOR 3G, I have experienced it, and it is indeed very different from traditional mobile phones."
"This time, our new mobile phone uses the Android system, even if the appearance is not as amazing as the Honor phone, the experience is much better than Nokia's products."
"If we can expand the smartphone business to a scale of several million units this year, the consumer business may change a lot."
In those days, the consumer business was not Warwick's focus.
Therefore, Warwick's popularity in the ears of ordinary people is very low.
To put it mildly, 90% of Chinese people don't know that there is such a powerful company as Warwick.
After all, even if Warwick started making mobile phones for a long time, it was also a contract machine.
Many people, even if they are using Warwick mobile phones, have no concept of the name Warwick.
"I don't think it's a big problem, in two months our smartphones will officially go on sale, and there is still more than half a year for us to play."
"It's time to surprise the board and see if we can change the focus on consumer business."
Since he is in charge of the mobile phone business, Xu Jun must hope to do it well.
This is his principle of doing things!
Either you don't do it, or you have to do it to do your best!
(End of chapter)