Rebirth 99 to become a car giant.

Chapter 584: The giant is coming, who will win?

"Yes, Mr. Wang, you are right!"

"The next step for the Honor Mobile Procurement Department is to confirm the production capacity of each supplier and see which parts will have supply problems."

"At the same time, we will also build a supply system that can meet the monthly production capacity demand of 400 million."

"We will continue to purchase some parts, such as cameras, from manufacturers such as Sony, while the other part will be produced by Nanshan Group itself."

"As for screens, we will purchase them from BOE and Sharp at the same time, so as to better ensure supply while maintaining competition."

Cao Yang smiled and answered Wang Fu's words.

In this answer, Cao Yang also implicitly expressed that the supply chain of Honor mobile phones will adopt a model of purchasing one part from several manufacturers.

This is actually the approach adopted by BYD Auto.

Parts with the same function can be installed normally no matter where you buy them.

At this time, it depends on whose price is cheaper.

This is what the automotive industry calls point AB.

Of course, some people will say that the two suppliers AB may communicate privately, and everyone can reach a cooperation plan and not easily engage in price wars.

That doesn't matter, they can go to Manufacturer C with the drawings, and then both of you will 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 Automobile Purchasing Department.

The same method can also be used with Honor phones.

Not only parts are available, but the mobile phone OEM business is also the same.

The smart Wang Fu naturally understood the meaning of Cao Yang's words.

So he did not continue to change the topic, but faced the problem directly and said: "Mr. Cao, we definitely hope that Honor mobile phones will reach the monthly sales level of 400 million units as soon as possible."

"However, there must be a transition process from 50 to 400 million, and we can gradually increase production capacity."

"Of course, since it involves the construction of new factories later, we will plan in advance and communicate with the equipment manufacturers."

"Ensure that our new production lines can always be introduced within half a year to avoid being unable to respond in time when market demand increases rapidly."

Wang Fu's answer can be considered sincere.

They are already preparing for a monthly production capacity of 200 million units, and facing the demand for a monthly production of 400 million units, they have also prepared the factory building in advance, which requires a long time to prepare.

The next step is to continuously invest in new production lines in the factory.

However, Cao Yang couldn't wait for the six-month preparation period.

Starting from this year, smartphones will enter a new rapid development track.

By then, sales growth will exceed many people's expectations, and a month's delay will be a huge loss.

Besides, Cao Yang is already preparing to use this to test BYD's determination, and he will naturally test it to the end.

"Mr. Wang, your plan is indeed relatively stable, but the mobile phone market is different from the automobile market. It changes much faster."

"Basically, a mobile phone needs to be upgraded after one year of sales, but it usually takes about five years for a car to be completely upgraded."

"This difference will also cause the mobile phone market to change rapidly. Models that sell well this month will not sell well in a few months."

"We cannot wait until the market needs the product before we start preparing production capacity."

"The monthly production capacity of 400 million is actually my 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 very clear that the goal of 400 million monthly production capacity must be achieved.

If BYD wants to take over this foundry business, it needs to prepare according to a monthly production capacity of 400 million. Otherwise, Honor mobile phones will have to consider finding other foundries.

Although it cannot be said that domestic manufacturers doing OEM business are everywhere, they still have some choices.

Wang Fu is naturally aware of this.

At this time, he was also having a fierce struggle in his heart.

With a monthly production capacity of 400 million yuan, this is only the mobile phone production line. If you add the tablet production line, the equipment investment that BYD needs to invest will be even more exaggerated.

Although he believes that if the funds for investment in these production lines can be borrowed from banks, there should be no pressure.

As a star company in Shenzhen City, it still does OEM business for Nanshan Group, so naturally many banks will be interested.

At worst, I'll ask Nanshan Group to help guarantee it.

However, even if the bank is willing to lend money, the risk will still be on BYD's side.

Is this risk worth taking?

It definitely needs to be carefully considered.

However, thinking of the hot scene at the launch conference of HONOR 3G, various world-first configurations, and various popular mini-games, Wang Fu gritted his teeth and said: "Okay, we will start to have it in January 2012." With the capacity to produce 1 million mobile phones per month, we need to build factories and add new production equipment!”

“I believe that Honor mobile phone will not disappoint everyone!”

After saying this, Wang Fu breathed a sigh of relief.

No matter how many things there are, let’s take down this big business first.

Although BYD's largest customer in its mobile phone OEM business is now Nokia, Wang Fu actually already has the answer in his mind after using Nokia's mobile phones and Honor mobile phone products.

"Mr. Wang, happy cooperation!"

Cao Yang was relieved that Wang Fu would make this choice.

Honor Mobile has its own mobile phone factory that can produce some mobile phones.

BYD will do the rest, so that we can concentrate on the number of units and reduce production costs to the greatest extent.

He really has no particular interest in finding other foundries.

Take Kang, he doesn't intend to give any business to anyone.

"Happy cooperation!"

Wang Fu shook hands with Cao Yang with mixed emotions.

However, Cao Yang's words soon made him overjoyed.

"Normally, the cost of production line investment will be allocated to the processing fee and recovered slowly."

“But the number of production lines invested this time is relatively large, and the occupation of funds is also relatively large.”

"We at Honor Mobile are willing to use 5 million yuan as a prepayment for production line investment, and the processing fees will be slowly deducted back when the time comes!"

The reason why Cao Yang waited until Wang Fu agreed to expand monthly production capacity to 400 million units before telling him that he was willing to pay was to test BYD's courage in cooperating with Honor mobile phones.

The more BYD attaches importance to the OEM business of Honor mobile phones, the greater risks it is willing to take.

The more BYD attaches importance to its relationship with Nanshan Group, the less likely it will give up its Honor mobile phone OEM business.

Judging from the final result, Wang Fu's performance still satisfied Cao Yang.

Wang Fu, who received the unexpected joy, also had a smile on his face and said: "If this is the case, it would be great."

"Perhaps we can form a monthly production capacity of 2012 million mobile phones in advance without waiting until January 1."

"We will also expand our tablet production capacity simultaneously."

Give back!

When Wang Fu saw that Cao Yang had given such sincere conditions, he was secretly glad that he had just made the right choice.

Otherwise it would be embarrassing now.

Nanshan Group is not short of money. Even if there are any problems with BYD's foundry in the future, Nanshan Group will still be there to help.

Of course, it is limited to the OEM business of Honor mobile phones.

And just when Cao Yang was taking a group of people to visit BYD's foundry, there was also news from Apple in the United States.

"Mr. Wang, everyone generally believes that the imperial capital and the magical capital are the most important markets in China. The first stop when entering China is either the imperial capital or the magical capital. Isn't it a bit strange that we choose Yangcheng directly?"

Lin Rong is the sales director of Apple China. This time she came to Yangcheng with China General Manager Wang Ziming to inspect Apple's first flagship store in China.

Although last year, the iPhone 3GS took a lot of the limelight away from HONOR 3G.

However, 3% of the sales of HONOR [-]G are in China, and its impact on the sales of Apple mobile phones last year was actually very limited.

In the US market, the iPhone 3GS is still the best-selling smartphone on the market.

Of course, the actions of Honor mobile phones have naturally fallen into the eyes of the people at Apple.

Otherwise, we would not have built a flagship store in China so quickly.

According to their plan, this kind of flagship store is not the kind of sales store that covers an area of ​​one or two hundred square meters. Instead, it will choose a large shopping mall in a local landmark building or core CBD and rent a space of at least 500 square meters. It is best to There are two floors up and down.

Such a large construction plan naturally means that Apple has great ambitions.

Although China's economy is not yet comparable to that of later generations, it is now the second largest economy in the world, and consumers' spending power is getting stronger and stronger.

"Lin Rong, don't look at the current sales of Nokia, Samsung, LG and other mobile phones. They have firmly occupied the largest market."

"But the development speed of smartphones will exceed everyone's imagination, especially as our new generation of products is already being prepared and will be officially released in June this year."

"The company's mobile phone sales will reach a whole new level by then."

"We naturally cannot give up on the Chinese market, and in China, the best smartphone business is naturally the Honor mobile phone."

"In this case, we will build Apple's first flagship store in the most prosperous business district of Yangcheng and directly compete with Honor mobile phones."

"If our products can make a splash in Yangcheng, then there will naturally be no problem in the imperial and magical cities."

"In my eyes, in the entire Chinese market, only Honor mobile phones are competitors worthy of our attention. Other manufacturers are not worthy of our attention at all." "Even Nokia, which is at its peak, I don't think we need to be particularly worried."

"With their stubborn management, we don't need to worry that he will always occupy the number one position."

Wang Ziming has a relatively deep understanding of the smartphone industry, otherwise Jobs would not have arranged for him to develop the Chinese market.

Although many people now think that the share of smartphones will definitely become higher and higher, few people think that in just a few years, smartphones will directly overtake traditional mobile phones.

Can the mobile phone brands that everyone was familiar with back then still be found on the market now?

Not to mention Nokia and Motorola, there are also mobile phone companies such as LG, Sony Ericsson, HTC, and Sharp, which have all done well in recent years.

But after a few years, it slowly disappeared into the long river of history.

There are not many people or companies who can clearly see this trend.

Apple is naturally considered this type of company, and so is Wang Ziming.

"That's true. Yangcheng has now been promoted to the city with the largest economy in China. There is no problem for us to open a flagship store here first."

"It is even estimated that more and more companies will pay more attention to the market in Yangcheng and the different situation in Lingnan Province in the future."

Although Lin Rong has obtained a green card, she grew up in China before going to graduate school.

Therefore, he is naturally familiar with the domestic situation.

"But having said that, in fact, we and Honor Mobile are not competitors now, but partners."

“Only when everyone works together to increase the influence of smartphones and make more people want to use smartphones, can the overall business develop and grow.”

"If the cake is very small, even if we eat all of it, how much will it be?"

"On the contrary, if we can join forces to seize the market of companies such as Nokia and Motorola and let smartphones replace traditional mobile phones, then the final business will definitely continue to expand."

Apple's current influence is not that exaggerated.

After all, their most classic iPhone4 has not yet come out.

Even the situation will change after it comes out, because HONOR 3G has already completed its journey ahead of time.

Fortunately, Apple does have talented people. They can adjust the plan quickly and continue to develop towards the goal of making the appearance no worse than Honor phones.

"That's true. I hope Honor phones can also have this understanding."

"Otherwise we will definitely have some conflicts with them in the future."

When Lin Rong said this, Wang Ziming nodded.

This is indeed the truth!

As for Apple's move, Cao Yang naturally received the news quickly.

"Mr. Cao, the American Apple company has leased 1200 square meters of space east of the north gate of Tianhe City. The first and second floors in the northeast corner basically belong to Apple."

"I heard that they are going to build Apple's largest flagship store in South China in Teemall to let more consumers know Apple's products."

As soon as Xia Qingqing received the news, she came to report to Cao Yang.

She knew that Cao Yang attached great importance to the American company.

Xia Qingqing, who started using Apple computers and MP3 players a few years ago, is naturally very aware of how powerful Apple is.

If the time comes to compete with Honor phones, she will still be under a lot of pressure.

After all, a person’s name is like the shadow of a tree!
"Is Apple going to open a flagship store in China soon?"

"You also chose to open your first flagship store in Yangcheng?"

Although Cao Yang knew that Apple mobile phones would definitely enter the Chinese market soon, he did not expect that the other party would actually set up its first flagship store in Yangcheng.

Is this for Honor phones?
It seems that those who come are not good, and those who are good will not come!

Although Cao Yang attaches great importance to this opponent, he is not afraid of it!

"Yes, I asked someone to inquire. The other party has officially signed a lease agreement and rented it for five years. It is said that the rent is quite high."

"Mr. Cao, I feel that Apple regards us as its main opponent."

"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 filled with pride.

Sometimes, others are willing to regard you as a competitor, which is actually recognition of you.

Just like BMW always regards Mercedes-Benz as a competitor, when did you see it regard Zotye as its rival?
"Has any media on the Internet revealed what the fourth-generation Apple mobile phone released in June this year will look like?"

Cao Yang really wanted to know what surprises HONOR 3G could come up with after his iPhone 4 was blocked.

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 surprising at all to come up with some product designs that exceed everyone's expectations.

Some people even think that Apple’s products should be different from those on the market.

"There is currently very little information in this area. It is estimated that their new generation products have not officially entered the trial production stage."

"Otherwise, there are so many suppliers and there would be no news at all."

"Sometimes, for the sake of publicity, they will deliberately release some news to attract everyone's attention."

"I estimate that there will be relevant information slowly in another month."

When Xia Qingqing said this, Cao Yang did not go into details further.

No matter what Apple does, Honor Mobile's own products have maintained full competitiveness, so they won't be afraid of poor sales by then.

Compared with traditional mobile phones, today’s smartphones simply have a crushing advantage.

Even if Apple phones are excellent, there is enough market space for Honor phones to develop and grow.

Of course, with the rapid development of smartphones, it is natural that only Apple phones and Honor phones will not be exclusive to cars.

Wang Fu of BYD had previously reminded Cao Yang that Huawei was also arranging the production of smartphones.

When the news of Apple setting up its first flagship store in Yangcheng spread, Warwick also started discussions on this matter.

"Mr. Xu, the board of directors has asked you to also be responsible for the business of Warwick mobile phones. At that time, we will need to face the competition of two smartphones, Apple and Honor mobile phones at the same time. It will be very difficult to break out."

Lian Zhitian looked at the mobile phones on the table with a sad expression.

Whether it is HONOR 3G or iPhone 3GS, they are both excellent in his opinion.

In addition to these manufacturers, the flagship products of traditional mobile phone giants Nokia and Motorola are actually not bad.

Even products from manufacturers such as BlackBerry and HTC are unique.

In this case, it is not difficult for Warwick to stand out.

You must know that Warwick's mobile phone business now is far from comparable to its heyday.

The entire consumer business is even positioned as a business that is wanted to be sold within the company.

Even if we are engaged in the smartphone business now, we are just trying to sell it at a good price, and we don’t really think this business is worth investing in.

However, Warwick is so powerful that it has continued to develop its side business and it has become as successful as its main business.

It is said that the Siemens board of directors once made an internal evaluation material, but made a portrait of Warwick employees.

This portrait includes the following keywords: poverty-stricken, full of vitality, ambitious, hard-working, etc. It is basically a portrait of a young, promising, energetic, and hard-working young man from a small town who has just entered a first-tier city.

这些人年均工作时间约为2 750个小时，而欧洲研发人员的年均工作时间约为1 360个小时（周均工作时间约为35个小时，但假日很多），两者的人均投入时间之比约为2∶1。

Warwick's per capita R&D expenses are US$2.5/year, while Siemens' per capita R&D expenses are US$12-15/year, which is six times that of Warwick.

Of course, this expense includes not only salary, bonuses, benefits, etc., but also various business expenses such as business trips, instrumentation, etc.

It can be said that since Warwick entered the international market in 2000, it has posed a huge threat to telecommunications industry leaders such as German and Italian Siemens, Nokia, American Lucent, Maple Leaf Nortel, and French Alcatel.

This kind of strength was gained through bloody battles.

"The smartphone market is huge. Apple and Honor, although both are excellent, have not yet completely opened up the smartphone market."

"The stage left for us to perform is still very huge, so there is no need to worry."

No matter what Xu Jun thinks deep down, he must be very confident in front of his subordinates.

Otherwise, it will be difficult to lead the team behind.

"That's true. 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 stunning as the Honor mobile phone, the experience is much better than various Nokia products."

“If we can scale our smartphone business to millions of units this year, our consumer business may see big changes.”

These days, consumer business is not Warwick’s focus.

Therefore, Warwick's reputation in the ears of ordinary people is very low.

To put it bluntly, 90% of Chinese people don’t know that there is such a powerful company like Warwick.

After all, even if Warwick started making mobile phones very early, it was still a contract phone.

Even if many people are using Warwick mobile phones, they have no idea about the name Warwick.

"I think it won't be a big problem. Our smartphones will officially go on sale in two months, and we still have more than half a year to play."

"At that time, I will give the board of directors a surprise and see if we can change the emphasis on consumer business."

Since he is in charge of the mobile phone business, Xu Jun definitely hopes to do it well.

This is his principle of doing things!

Either don't do it, if you want to do it, you must do your best!
(End of this chapter)