Wanjie Technology System

Chapter 500 Several joys and sorrows

Modern Group.

Zheng Dafu sat at the head of the meeting room, his face was extremely gloomy.Today is the annual summary meeting.But all kinds of reports are bleak.

"Mr. President, in the four quarters of this year, our car sales have continued to decline for seven years. Our Hyundai Motors sold a total of 7 million vehicles this year, and Kia Motors sold a total of 123 vehicles." A senior executive of the marketing department reported truthfully. (Kia is also part of the Hyundai group.)
"So little? The year before last, we sold 450 million Hyundai and 275 million Kia! How much less this year?"

"Yes, we have almost lost the huge market in China. The sales of our Hyundai and Kia cars in China have dropped by more than 80% compared with previous years."

"Our market sales in the United States have also declined a lot. The decline rate is more than 30%."

"Our sales in other regional markets have also declined. But not as big as these two markets."

After Zheng Dafu heard this, his expression was very ugly.The two major markets of their group, which are also the markets they value most, are the Huaxia market and the US imperial market.Most of the cars they produce are sold in these two regions.

"Our profit this year is only 3.72 million US dollars." The financial manager interface said.

"Only US$3.72 million?" Zheng Dafu frowned.This is the least profit he has heard in so many years.This profit is already terribly low.

"so little?"

"There was still a profit of 9.18 million U.S. dollars last year! Only about one-third of this year?"

"Ugh……"

A group of high-level people are all downcast.

Now the company is really getting worse day by day.If it can maintain a profit of $9.18 million this year.Not too bad.After all, the profit of $9.19 million is pure profit.Really excluding the money earned at all costs.

But this year, only $3.72 million in net profit is left, which is really too low.

At present, their company's annual profit has hit a new low in at least seven years. One of the important reasons is that the sales in the Chinese market have fallen sharply due to the birth of Star Motors.In the U.S. market, Hyundai and Kia Motors have a good market reputation, but in recent years, they have relied too much on SUV models such as Santa Fe (Kia Shengda in China) and other wrong strategies, resulting in less preference for SUVs in the U.S. market Poor performance.

Now, in the Huaxia market, one of the two major markets, few people buy their cars. In the US market, because of wrong decisions, people don't like their cars.

This is the biggest blow to them!
The two major markets are not good, how much can the other sporadic small markets sell?

There is also a scary reason why the company's net profit is low.That's because their cars are generally high-configuration, good-looking, and low-priced to gain market recognition.

But high configuration and low price cause their low profit.

Coupled with the current market downturn, they are really uncomfortable.

"Let me tell you another piece of bad news. Since our cars are no longer cared for in Huaxia, the board of directors will definitely withdraw from Huaxia in the first half of next year." At this time, Zheng Dafu said in a deep voice.

"What? Withdraw from the Huaxia market?"

"This……"

"Alright, it's better to withdraw earlier than in this dying struggle."

"The board of directors has now decided to start the motorcycle business and invest in other industries at the same time..."

"The pressure put on us by Xingchen Automobile Company has reached this point? Is the group going to develop other industries?"

Some high-level people panicked.

…………

Toyota headquarters.

Sato Kojiro sat above the shareholder meeting room.

Today is the general meeting of shareholders.As the president, he is reporting to shareholders all the company's situation this year.

"This year, our company has sold a total of 300 million cars worldwide, a decrease of more than 51% compared to last year. At the same time, the loss in the Chinese market is the most severe. Compared with last year, our sales have dropped by more than 70%."

"In the four quarters of this year, the turnover of our company's automobile sales is about 849 billion U.S. dollars, and the profit is about 56 billion U.S. dollars." Sato Kojiro reported while sitting upright.He knew that these shareholders would definitely be in a bad mood when they heard the news.He's ready to get sprayed.

"Nani? It has fallen by more than 50% compared to last year?" A major shareholder's eyes widened with anger.

"Last year, more than 600 million cars were sold, but only 300 million this year?"

"The profit is more than half less than last year! Baga."

"Kojiro Sato, what are you doing?"

A group of large and small shareholders are roaring.

Obviously, they are very dissatisfied with such turnover and net profit.

"The main reason is that our sales in the Chinese market are bleak. Many series of cars can hardly be sold. Especially our Corolla, Camry, Crown, etc..."

"Now the Huaxia people don't want to buy our cars. Most of them are considering Xingchen cars! Especially Xingchen A1 and A2, they like them very much."

"Hmph, it's Xingchen Automobile again! Didn't our car undergo three major price cuts? Why can't it be sold?" asked a shareholder.

"This..." Sato Kojiro didn't know what to say for a while.When you negotiate the price, others also lower the price slightly.Other consumers still choose Star Auto.

In the past two years, there have been more and more electric cars on the streets of Huaxia, and that is the Xingchen car.

Not only them, but other Volkswagens, such as Ford, are still unpopular there.

"Kojiro Sato, the year before last. Our company sold 1038 million cars a year, with a turnover of 2574 billion U.S. dollars and a net profit of 168.99 billion U.S. dollars. Among many car companies, although our sales volume is not the first, our net profit And the turnover is the first in the world!"

"But since last year, we have only sold more than 600 million cars in total, with a turnover of 1600 billion U.S. dollars and a net profit of 108 billion U.S. dollars!"

"But this year you said that you have only sold more than 300 million cars? The turnover is only 849 billion U.S. dollars, and the net profit is only 56 billion U.S. dollars! It is getting smaller every year, and the gap is still huge!"

"If this continues, our company will not be far from bankruptcy!" roared a shareholder.

"Isn't that right? Now our group doubts your ability, Sato Kojiro. Are you considering dismissing you?" Small shareholders clamored.

Sato Kojiro was very helpless after hearing this.He didn't want to either, mainly because Xingchen Automobile Company showed too amazing strength and potential.The company was established three years ago.Three years later, it has caused such a big fluctuation and impact on the global automobile.

(End of this chapter)