Rebirth 99 to become a car giant.

Chapter 165 Strategic Partners
A hero with three gangs.

Whether it is Nanshan or BYD, if they want to develop rapidly now, they definitely hope to have a few relatively stable partners to jointly develop together.

Ford Motor, General Motors and Volkswagen are now Nanshan's key customers.

In addition, Cao Yang, a domestic independent brand, does not want to give up.

Changan Automobile, Great Wall Motor, Geely Automobile and Chery Automobile, together with BYD, which is now on the doorstep, are basically the key expansion targets of Nanshan in China.

So naturally, he would not refute what Wang Fu said casually, but expressed more approval.

"It is indeed as you said, a good product requires a good platform."

"Otherwise, the pearl will be dull and won't get everyone's attention and recognition."

"In this regard, Nanshan is also looking for some strategic partners to strengthen cooperation between the two parties."

When Cao Yang said this, Wang Fu immediately felt that the opportunity had come.

"Mr. Cao, to tell you the truth, I have been thinking about BYD's next development direction for the past two years."

"In terms of the battery business of consumer electronics, BYD has become the strongest in China and a leader in the world."

"But now we have entered a development bottleneck, and we want to further broaden our product types."

"With the rapid development of China's economy, I think the development of the auto market will also enter a blowout period."

"Compared with developed countries such as the United States and Japan, our car ownership is still very low, and our potential is very large."

"So after careful internal discussions, BYD is preparing to enter the automobile manufacturing industry."

"According to our plan, we will officially start the car-making project this year, and strive to launch BYD's first model by the end of 2003."

Wang Fu said while watching Cao Yang's reaction.

BYD makes cars, not to mention what people outside think, even many people inside don't understand.

So if Cao Yang scoffed at this, Wang Fu was also mentally prepared.

However, Cao Yang's answer surprised him.

"Mr. Wang has a good vision. The automobile industry is indeed a sunrise industry for China, and the development prospects in the next 20 years are very bright."

"In today's domestic passenger car market, all available products are produced by joint ventures."

"Even if it is a so-called self-owned brand, most of the core parts on it are the technology of international parts giants."

"This situation requires more manufacturers to work hard and change it."

"Nanshan is willing to assist domestic enterprises that are interested in developing complete vehicle production to break through the shackles of GM, Ford, Toyota, and Honda, and seize our own market."

Although other people had a big reaction to BYD's car making, Cao Yang was not surprised at all.

Isn't this something we have known for a long time?
"Mr. Cao, do you also think BYD's entry into the car manufacturing industry is a correct choice?"

"After all, we don't have any accumulation in the field of auto parts, let alone complete vehicles."

Although Wang Fu is a very persevering person, if he chooses to build a car, it is obviously a lie to say that he is not guilty at all.

Now seeing Cao Yang, a rising star, recognize his judgment, he is quite excited.

"No accumulation is not terrible, as long as you are willing to try."

"Didn't Dongying learn from the European and American giants when they made cars?"

"I don't think there is anything embarrassing about BYD taking this path when it first started."

"Find a best-selling model in China, ask the R&D personnel to make the size of the car part by part, and then reverse design it, and find a suitable supplier to produce it. The difficulty is not necessarily that great."

"For example, the Accord of Yangcheng Honda, they are very popular now, but the price is very expensive."

"If BYD produces a model similar to the Accord, but the price is only 10 units, do you think you need to worry that no one will buy it?"

Anyway, BYD is going to follow the path of imitation, Cao Yang felt that it would be better for him to push behind it.

In this way, Biya's car sales will be better, and the business of supporting them with spare parts will be more promising.

Originally BYD's first model, the F3, borrowed from Toyota's Corolla.

This car is not bad, but Cao Yang thinks it is not as suitable as the Accord.

Chinese people still like to buy larger cars when buying cars, but for car manufacturing, the difference in cost between a larger car and a smaller car is actually very small.

In other words, for BYD, the cost of imitating the Accord and imitating the Corolla is similar.

But when the price is about the same, consumers are definitely willing to choose a model of the Accord level.

"What Mr. Cao said is very reasonable. Originally, I was still struggling with what model to produce, but now it seems that the Accord is indeed a very good choice."

"If we can produce similar products that cost 10 yuan a piece, or even 8 yuan a piece, then we will definitely not have to worry about no sales."

Wang Fu felt that his trip to Nanshan was not in vain just because of the information exchanged at this stage.

Although he was a generation behind Cao Yang in age, he felt that this was his bosom friend.

"Yes, if there are no problems with the two key parts of the engine and gearbox, even if there are some minor flaws elsewhere, this car can become a hot model."

"Don't talk about tens of thousands of monthly sales, at least monthly sales of over ten thousand is not a dream."

Since BYD intends to enter the field of car manufacturing, Cao Yang naturally hopes that Nanshan can have another big customer.

So he kept helping Wang Fu with his ideas.

It is unrealistic for self-owned brands at this time to take the high-end route.

Consumers simply won't agree.

So we can only rely on low prices to win and earn a little hard money.

Nanshan plans to build cars in the future, but not low-end models.

At least at the beginning, it was not a low-end model.

It is very difficult to establish a brand, but it is very easy to destroy it.

If everyone thinks you are a low-end car, then it is too difficult for you to change this label.

Later generations of BYD did not tear off the label of their own low-end cars until the era of electric vehicles.

So in recent years, Cao Yang has no plans to build cars.

Isn't it just a matter of one sentence to develop a parts company with peace of mind and want to build cars in the future?

Even the money earned by a car now may not be as much as Nanshan supplies parts and components.

"Then I will borrow Mr. Cao's auspicious words."

"I think BYD makes cars and Nanshan provides core components such as gearboxes. It is a win-win situation for both of you and me."

At this time, Wang Fu naturally wants to formally cut into the topic.

Didn't he come to Nanshan today just to find cooperation in parts?

After all, BYD at this time really doesn't have any accumulation in auto parts.

It is too difficult to do it on your own.

This affects when the first car will be launched.

At that time, it will definitely not be worth the candle.

"Nanshan is willing to form a strategic partnership with BYD and provide BYD with all parts that Nanshan can produce."

"Even if you can't find a suitable supplier for some parts, you can come to Nanshan to discuss research and development."

"In a car, apart from glass, seat assembly, and ordinary interior and exterior trim parts, which are relatively low-threshold parts, Nanshan is very interested in other technical parts."

"Not to mention the gearbox, but the engine ECU, the main shaft bearing of the engine, the starter motor of the engine, the oil pump, the intake and exhaust control mechanism and other parts, we are all researching."

"BYD can hand over these parts to Nanshan to make them, and concentrate on the design of the whole vehicle by itself."

Nanshan is a company.

As long as it is a company, it is impossible not to consider making money and development.

Cao Yang is not here to do charity.

Now to support BYD's development, it naturally has its own purpose.

One of the most important purposes is to have a suitable platform for various new parts of Nanshan.

Otherwise, you just keep saying how advanced your ECU, ABS and DA are, and no one will believe it.

"Strategic Partners?"

"Mr. Cao, this proposal of yours is very good, and I have exactly the intention."

"As long as Nanshan can produce parts, BYD will use Nanshan's products."

"Of course, the price of our products is only one-third of that of the Accord, so I hope Mr. Cao can understand more about the cost of parts and components."

"Not to mention letting Nanshan do business at a loss, but at least the price cannot be higher than that of domestic counterparts."

Wang Fu is also a very shrewd person.

At this stage, BYD wants to build cars, and many parts companies may not be willing to believe and cooperate with you.

As Nanshan is a leader in the domestic auto parts industry, Nanshan is willing to cooperate with BYD in all aspects, which is definitely a good thing for Wang Fu.

He has no reason to object.

Of course, he was also worried that Nanshan would be embarrassed if he used this opportunity to blackmail BYD.

So the ugly words have come to the front.

And seeing Wang Fu say that, it's talking about business.

Cao Yang smiled unceremoniously and said: "That's natural, as long as Nanshan provides parts, we will definitely not be higher than domestic counterparts."

At present, the parts selected by Cao Yang are all products that domestic enterprises cannot manufacture.

Compared with international component giants such as Bosch, Denso, and Mainland China, Cao Yang is really not worried at all.

Even if the profit is properly lowered, it is still very interesting.

Of course, the most important thing is that Nanshan really needs some platforms to prove that there is no problem with his technology.

Otherwise, giants such as General Motors and Ford Motor would not easily cooperate with Nanshan on control parts.

"Besides, I am also a villain and a good gentleman. I have an agreement that I hope Mr. Wang can understand."

Just after Cao Yang finished talking about the price, he was about to put a curse on BYD.

Otherwise, it would be ridiculous for someone to kick himself away after successfully embarking on the road of building cars.

"Please speak!"

"As long as BYD can do it, we will fully cooperate."

Wang Fu looked at Cao Yang half-truthfully, and also wanted to know what other conditions the other party had.

"Whether it's an automatic transmission or ECU and other parts."

"After Nanshan supplies to BYD in the future, then BYD can't build a factory by itself or use Nanshan's drawings to find other manufacturers to open point B."

"I hope this point can be reflected in the "Basic Transaction Contract" between the two parties in the future."

BYD has entered the field of car manufacturing from scratch. Whether it is in terms of the appearance of the vehicle or the specific parts, many manufacturers have become victims of others.

Cao Yang could see this very clearly.

After a supplier chooses to enter BYD, it supplies several models. Later, BYD's technicians master your technology and start to build their own factories for production.

This point is difficult for Cao Yang to accept.

He also knows that even if there is a contract, there is probably no way to completely eliminate this situation.

But at least it can make BYD have great scruples and give priority to products from other manufacturers.

"no problem!"

"I fully understand Mr. Cao's concerns."

"As long as Nanshan can always provide competitive parts, we BYD don't need to ask for trouble."

At this time, Wang Fu obviously did not expect that BYD would develop so well in the automotive field.

And in the future, he wants to take advantage of BYD's advantages in the battery field to produce electric vehicles or hybrid vehicles.

These are obviously areas that Nanshan has not covered at present.

That's why he readily agreed.

"By the way, I think electric vehicles should also be a development direction in the future."

"BYD already has a wealth of experience in the battery field, and the parts that Nanshan plans to produce include car smart keys, which also need to use batteries."

"If electric vehicles are to be produced in the future, battery technology will also need to be developed."

"So I think the two sides can actually form a cooperative project team to conduct research on battery technology together. What does Mr. Wang think of it?"

It's impossible to let BYD take away all the benefits, but Nanshan is like a big fool.

So when Cao Yang said this, although Wang Fu had some concerns, he thought that everyone was already a strategic partner.

If I don't bring out anything, it seems a bit unreasonable.

So after thinking for a while, he immediately replied: "No problem, I also think that electric vehicles will be a direction in the future."

"Since Nanshan is interested in battery research, we will form a team to jointly research car batteries."

Wang Fu specifically emphasized the word "car".

Obviously, he cannot accept Nanshan's entry into the consumer electronics battery market.

This belongs to BYD's ban.

"No problem, when the time comes, I will arrange for the personnel of Nanshan R&D Center to connect with BYD's personnel."

"List the projects that we need to cooperate with each other, and combine BYD's new car launch schedule to formulate a specific promotion schedule for each part."

"Strive to make this model we cooperate with a hot model, so that consumers have more choices."

"At that time, the cooperation between Nanshan and BYD will also be a classic."

On the first day of the meeting, the two parties finalized the general framework of the strategic cooperation agreement.

This kind of cooperation between the husband and the concubine is the smoothest in the initial stage.

Only after a few years, the contradictions between the two sides will start to grow.

At that time, Nanshan's scale will no longer be comparable to today's.

Of course, these are all later stories.

Now neither side will mention this matter.

(End of this chapter)