My rebirth is different

Chapter 719 The Great Smash Mode is On

Chapter 719 The Great Smash Mode is On

The launch of the legendary CQ1 has had a great impact on the domestic mobile phone market, especially the low-end market.

Although the number of the first batch of Taobao official flagship stores was only 100 million, they were all sold out in less than a minute.

As far as the 100 million units are not in stock, consumers who have already purchased them need to wait for five to half months before picking them up at the local Lenovo store.

But this has created many records in the mobile phone market!

In the domestic mobile phone market, or even in the global mobile phone market, there has never been a mobile phone that can sell 1 million units within 100 minute of its launch!
Of course, this is also due to the different sales models. Other mobile phones are sold offline, and the sales process is much more cumbersome. Even if consumers rush into the store to grab your mobile phone immediately after it is put on the shelf, one minute is not enough time.

However, from Lenovo Huimin computer to the legendary CQ1 mobile phone, many industries have re-recognized the power of e-commerce!
It turns out that e-commerce does not only sell low-priced items such as books, records, clothes and shoes, but also sells large, high-priced items.

Moreover, as long as the quality of your products is strong enough, the brand name is loud enough, and the price is low enough, it will be easier to create a sales miracle on the e-commerce channel!
There are still many discerning people. The biggest reason why Lenovo Huimin computers and Legendary CQ1 mobile phones dare to sell such low prices is because their sales channels are all concentrated online, not offline.

Anyone who does sales understands how high the cost of offline sales is, and it is a cost that cannot be compressed at all!
Sometimes it's not that the manufacturers are too black-hearted and want to make super high profits, it's just because the distributors and retailers also want to make money, and under normal circumstances retailers make more money than brand manufacturers and distributors!
The online e-commerce model is much simpler, cancel all distributors and retailers, and cut off all sales costs in the intermediate links, so that you can pass on profits to consumers, set an ultra-low price for your own products, and then cause panic buying by consumers.

Is this model good?
Of course it is good!

However, not every manufacturer can imitate, because it needs a lot of prerequisites to achieve the level of Lenovo Huimin Computer and Legendary CQ1.

It doesn't mean that any random manufacturer can imitate and achieve that kind of sales miracle.

When Lenovo launched Huimin Computer, it already met the conditions: Yuwenfei’s financial support behind it, someone from above supported it, CCTV news helped spread it, and Lenovo has a large-scale offline channel that can serve as a self-promotion point.

In addition, Yu Wenfei made up for the huge losses incurred on Lenovo Huimin computers in other fields.

With so many shares in Alibaba Group, it may not have been very valuable before.

But after the launch of Lenovo Huimin computer, after the launch of the legendary mobile phone, in a few years...

Legendary may not have the same hardware foundation as Lenovo Group, but don't forget that it and Lenovo Group are brother companies with the same big boss behind them.

As for the road ahead of Lenovo, the legend can just go straight!

What's more, the pricing of the legendary CQ1 did not cause substantial losses, nothing more than a relatively meager profit.

But it doesn't matter, exchanging price for volume is also a market strategy.

…………

Let other computer manufacturers and mobile phone manufacturers in China learn from the model of Lenovo Huimin Computer and Legendary CQ1, and they will not be able to compensate them!
Yu Wenfei also mentioned this issue within the company. When the Lenovo Huimin computer was just about to be launched, some senior executives of the Lenovo Group raised the question, what if a competitor becomes ruthless and follows up with a price war?
If it falls into a price war, the launch of Lenovo Huimin Computer will be meaningless, and it will pose a great danger to the group company.

If the sales volume does not increase, the purchase cost cannot be reduced, and the loss will increase rapidly.

At the same time, low prices will also have a negative impact on the brand. Consumers can easily accept brand price cuts, and they wish you could cut prices every day.

But for the brand price increase, no one can accept it.

If Lenovo can't bear the loss and wants to raise the price back, then the brand will probably be scolded!
Yu Wenfei just smiled and said a word.

"Those who learn from me live, those who imitate me die!"

Sure enough, after the listing of Huimin Computer, many peers have studied it for a long time, and it is not that no manufacturer wants to meet Lenovo and fight a price war.

But after careful calculation, all of them had no choice but to give up, because it was impossible to do it!

The sales model of Lenovo Huimin Computer developed by Yu Wenfei, just as he said, this way of thinking can be learned, and if you understand it, you can achieve good results in any industry.

But it cannot be imitated!

Without Yu Wenfei's strength, there is not so much foreshadowing, if you insist on imitating, it will really make you bankrupt...

…………

Faced with Lenovo and Legend's subversion of the computer market and mobile phone market, the choices of the two industry peers are not the same.

The colleagues in the computer machine industry chose to avoid it and turned around to make PC peripheral products.

And colleagues in the mobile phone industry are not quite reconciled, because the mobile phone market is not the same as the computer market. And can you be willing to give in?

The resistance still needs to be resisted.

Therefore, several domestic brand manufacturers jointly sent representatives to report the situation to the Ministry of Industry and Information Technology.

Originally, everyone's intention was to let the higher-ups warn the legendary mobile phone that the price should be restrained, so as not to mess up the peers.

The result exceeded everyone's expectations.

This time, the Ministry of Industry and Information Technology responded very quickly, and issued a notice directly within two days.

"Several Opinions on Promoting the Development of the Mobile Communication Industry", which was later called the "No. [-] Document".

In the opinion, it was officially announced that the restrictions on the production of mobile communication equipment in the domestic market will be fully liberalized.

In other words, if you want to produce and sell mobile phones in the future, you don't need those two production licenses!
Whether it is a domestic brand or a foreign brand, or even a small workshop in Huaqiangbei, as long as you are willing to produce, as long as your mobile phone can be sold, you can make mobile phones openly!

On a certain level, the country has indeed reduced the cost for many mobile phone brand manufacturers, and they no longer have to pay for OEMs.

This is also to encourage everyone to actively participate in market competition.

Because only an enterprise that can survive and grow in the incentive competition is an excellent enterprise.

Only in competition can better products be born and technological progress stimulated.

The competition in the mobile phone industry is clearly seen by the relevant national departments. It is nothing more than the legendary mobile phone "hastily" entering the mobile phone industry, and because the price of the mobile phone is too low, it has touched the "cake" of the original mobile phone manufacturers.

In the final analysis, the legendary mobile phone only hurt the mobile phone manufacturers, but it did not hurt the entire industry, let alone consumers!
So, why does the state interfere with the normal operation of Legend Mobile?

At most, it is to help small and medium-sized brand manufacturers in the entire industry reduce costs, remove the "shackles" around their necks, provide a fair market platform for all mobile phone manufacturers, and then encourage them to participate in the competition together.

…………

In recent years, the development of the domestic mobile phone industry has gone astray.

The relevant departments also saw it in their eyes and were anxious in their hearts. They were worried that they could not find an opportunity to intervene, and the opportunity came to them.

In the past few years, quite a few mobile phone manufacturers in China adopted the practice of outsourcing mobile phone design in order to save trouble, or because they did not have the corresponding technology. This approach also led to the rapid growth of many mobile phone design companies.

Mobile phone design companies introduce mobile phone chips or modules from international mobile phone core module manufacturers, design mobile phones, and then sell mobile phone solutions to mobile phone manufacturers for production and sales.

The mobile phone industry quickly and independently formed an industrial chain after a detailed division of labor: module providers, mobile phone solution providers, mobile phone design companies, and mobile phone manufacturers.

For some mobile phone manufacturers, they may only do sales work instead of running a real industry, more like a trading company, with no technical content at all!
And this has also caused a strange phenomenon of domestic mobile phones, that is, mobile phones of various brands do not have their own distinctive features, and the functions and appearances of mobile phone products launched by different companies are very similar!

Because they may all be purchased from a mobile phone design company, and may even be produced and assembled in the same factory...

A good high-tech industry has been turned into an OEM marketing industry by those "smart businessmen" in China.

This time the Ministry of Industry and Information Technology has also laid a heavy hand. Since you are not thinking about making progress and only care about making money instead of investing in research and development, then don't live in your comfort zone.

In the future, the days of lying down and making money are gone, or die!
Or just grit your teeth and spend a few years of hard work developing something with your own characteristics to make a living.

Facing the announcement of the Ministry of Industry and Information Technology, domestic mobile phone manufacturers have mixed feelings.

Those original vested interests are of course dissatisfied, because they already have mobile phone production licenses, and before that, they didn't even need to make their own brands.

Just relying on OEM, each mobile phone can make a net profit of two or three hundred for other manufacturers, not to mention how moist life is.

But in the future, this kind of good life will never be again, and the production license that was obtained with great effort turned into waste paper in an instant...

And more small and medium-sized mobile phone manufacturers are of course rejoicing, especially those who have made relatively large-scale counterfeit phones.They are no longer satisfied with making counterfeit phones, they want to make their own brands, but before, they were limited by production licenses and could not compete with big manufacturers.

Because of the same thing, your cost is directly 300 yuan higher than others!
In addition, there is no way for small brands to sell high prices, and the profit margin is not big, so how can they play?
(End of this chapter)

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