Manufacturing Empire in the Valley

Chapter 1077 Teenagers' Demand for Motorcycles

It's not that Niu Xiaoqiang never thought about exporting motorcycles abroad. There are two main reasons why he didn't put this idea into practice.

First of all, there is the problem of production capacity. At present, Fang’s motorcycles are in short supply in China, and even the domestic market demand cannot be met. How can they have the ability to export?
The second question is even simpler: Niu Xiaoqiang is not so confident in the technical performance of Fang's motorcycle.

When it comes to building cars, Niu Xiaoqiang is absolutely confident, especially after acquiring Packard Motors, he obtained many high-end technologies from this company and greatly improved his own technology system. As the technology improves, the cars he produces will be highly competitive in the international market.

Motorcycles are different. The reason why Niu Xiaoqiang put into production of motorcycles was completely forced and helpless. Before he put into production of motorcycles, he didn't have the slightest relevant technology accumulation.

At the beginning, the Asian Machinery Factory was suppressed by the two major domestic automobile factories, and could not even purchase the spare parts needed for the production of automobiles. In order to make a living, Niu Xiaoqiang made the decision to use the existing equipment to switch to motorcycle production.

In the final analysis, this is just a stopgap measure, and Niu Xiaoqiang did not make sufficient preparations in advance.Later, the motorcycle factory was very profitable. Niu Xiaoqiang only started to pay attention to the technology research and development of this area after earning money, so that Wang Tao and others should not forget to engage in motorcycle technology research and development when they are developing automobile technology.

Due to the short time, the motorcycle factory has not developed a technology that is truly internationally competitive.Under such circumstances, Niu Xiaoqiang naturally would not rashly start the motorcycle export business.His motorcycle products have no technical advantages, which means that they have no competitiveness, and blindly exporting will only lose money.

Of course, this is just Niu Xiaoqiang's idea, but Luosang doesn't think so.She smiled slightly: "Boss, I think you ignore the actual situation in the United States and don't agree with your point of view."

Niu Xiaoqiang hesitated: "What situation did I ignore?"

Lausanne talked eloquently: "The United States is different from China. I heard that bicycles are expensive commodities in China, and motorcycles are a symbol of wealthy families. As for cars, this is a luxury that only a few extremely wealthy people can afford. products, but the United States is different. Bicycles are a symbol of health in the United States. Cycling is more for exercise considerations. Cars in the United States are equivalent to the positioning of bicycles in China. Ordinary families buy cars for the convenience of travel. As for motorcycles car, it has a somewhat special status in the United States."

Lausanne paused here, took a breath and continued: "There are generally only two types of people who buy motorcycles in the United States. The first is motorcycle enthusiasts, just like my brother. They are purely out of love for motorcycles. I just bought it."

“The other kind of people are teenagers. They are still young and do not have the financial ability to buy a car, and their parents will not support their idea of ​​buying a car. One reason is that American parents are very concerned about their children’s ability to live independently. If the child wants to buy a car, he must earn part of the money. Parents generally will not pay the full amount. Second, because the child is still young, it is not appropriate to own a car prematurely. Parents generally do not want to buy a car. I will support it. Motorcycles are different. Teenagers can save enough money to buy motorcycles by themselves. Because of this, I propose to let the boss start motorcycle business in the United States. Under the condition of low prices, as long as we If we do a good job in marketing our products, we will definitely make money.”

Lausanne took a sip of coffee at this point, wiped his mouth and continued: "In this case, motorcycle riders have become the first choice for many young people. As long as our motorcycles adopt a low-price strategy, the price If it is set below [-] US dollars, our products will definitely be competitive in the market. Even if teenagers still can’t afford the money, the cost is much lower than buying a car, so many parents are still willing paid the money."

Niu Xiaoqiang's eyes became brighter the more he listened, and he felt that what Luosang said was very reasonable.

Niu Xiaoqiang has some understanding of the situation in the United States. Young people in the United States generally only buy cars when they graduate from college.They don't buy cars to show off, but to facilitate work.

The layout of cities in the United States is completely different from that in China. Residents live in very scattered places, so every household basically buys a car for transportation.American households would struggle to get anywhere without a car.

College students who have just graduated have no financial foundation, so they usually ask their parents for help when buying a car. Generally speaking, graduates will work to save part of the money, and then the family will help them with part of the money, and use the money to buy a second-hand car.

Few graduates can afford new cars, and the vast majority buy used cars.The used car market in the United States is very mature and the cars are in relatively good condition, so there is no problem buying a used car and driving it for a few years.

After a few years, graduates will basically be able to buy a new car, and at that time there is no need to pay for it at all.

Graduating from college is just a stage in life, and teenagers before this stage can only pursue motorcycles.For them, motorcycles can be used for transportation and driving, and the price is cheaper than cars. If they can't afford cars, they can only choose to buy motorcycles.

The retail price of motorcycles in the United States ranges from three to four thousand dollars, because motorcycle companies have not yet paid attention to the market needs of young people, and most of their products are aimed at adults.If Niu Xiaoqiang does a good job in brand and price positioning, it is not impossible to reap success.

Thinking of this, he couldn't help laughing and said: "Your proposal is very feasible. I think you can try it. You first formulate a marketing plan for the product. I will call the country and ask them to get a thousand motorcycles first." Come over and equip them with various models to see how the American market responds, and then determine the follow-up plan based on the market response.”

Niu Xiaoqiang knows that domestic motorcycle production capacity is not sufficient, so why does he export motorcycles to the United States?There are also two reasons for this.

The first one is that the new motorcycle factory is under construction, and it is estimated that it will be officially put into production in three months. At that time, the production capacity of Fang's motorcycles will be increased by a full ten times, which can greatly alleviate the problem of insufficient production capacity.

This is only the first phase of the capacity expansion plan, and there will be second and third phases of planning in the future.As long as the plan is implemented, by the end of the year, the annual output of Fang's motorcycles will reach a terrifying 60!

This figure is not to say that it is the number one in the country, but it can also be ranked in the top three.

　Thanks to the book friend "Shen Lang Tian" for the reward and support!bow!
　　
　
(End of this chapter)