People in Hong Kong create super chaebols

Three days after the press conference, Wery and Landon Moore flew back to Hong Kong together.

Hutchison Telecommunications' headquarters is in Hong Kong, and they are needed to go back there to take charge of the overall situation.

Moreover, there is no choice but to go back, because the sales volume of Yunsheng S4 mobile phone is too terrifying.

Judging from the market reaction in the past two days, the Yunsheng S4 mobile phone is obviously a great success.

For example, they all stayed in a hotel next to Times Square, and the Oracle brand experience store was just downstairs. They naturally knew how busy this store was.

It can be said that at the Oracle Brand Experience Store Times Square flagship store, the queues were basically long from morning to night during these two days.

Although many people just want to experience this innovative product, there are also many people who buy it.

And, most importantly, some people who originally just wanted to try the game developed a strong desire to buy after trying it, so these people turned into buyers.

In just two days, all Oracle brand experience stores posted notices that their Yunsheng S4 mobile phone stocks had been sold out.

If you want to continue purchasing, you can only wait for the next batch of machines, and these can only be purchased through pre-order. As for the pick-up time, it will be shipped according to the pre-order time.

This is also the reason why Wery and Landon Moore hurried back to Hong Kong.

They have to go back and keep a close eye on output and speed up production.

The 4 Yunsheng S2 mobile phones that were prepared in advance were sold out in just two days. No one expected such sales volume.

When this news spread, it really alarmed many people around the world who were paying attention to this product.

Previously, Motorola's new product had received more than 10 pre-orders in two months, which had already made people in Europe and the United States feel that Motorola had won a great victory and officially surpassed the Yunsheng series of mobile phones.

But after the sales of Yunsheng S4 mobile phone spread, these people all shut up.

It took them two full months to sell 10 machines.

But Hutchison Telecommunications only took two days. This is the gap, a gap that cannot be made up.

Moreover, after all the spot stocks were sold out, there was no decrease in the number of people coming to Oracle brand experience stores across the country.

The trial machines are not for sale, so users who want to try it out can still do so.

Although many people regret not being able to get the machine in cash, they still cannot resist choosing to purchase it by pre-order.

Because Oracle Brand Experience Store has announced to the public that after making a reservation, the goods can be received in as little as half a month.

This Yunsheng S4 model is currently being produced simultaneously in Pengcheng, Hong Kong and Haojiang, with more than units produced every day. This productivity is sufficient to cope with today's orders.

Moreover, with Dali Logistics' current capabilities, these products can be quickly transported to major markets by shipping. To say that it will take half a month is actually an exaggeration.

Although Su Cheng didn't care about the launch of Yunsheng S4 mobile phone, he was particularly concerned about it. After all, it was making money for him.

Su Cheng was very satisfied when he learned that 10 units were sold in two days.

Since chips, logistics, etc. are all his own private industries and are also produced by his own manufacturing plants, the actual cost of a Yunsheng S4 mobile phone, minus all operating costs, material costs, labor costs, etc., the profit that can ultimately be created for Su Cheng is at least US$1500 per unit!
10 units in two days created the equivalent of US$1.5 million for him, which is equivalent to a profit of almost HK$8 million in Hong Kong dollars.

This is just two days. Even if Suzhou is rich, it will not take 8 million Hong Kong dollars lightly.

You know, in Hong Kong today, if one has assets exceeding 100 million Hong Kong dollars, one already has a certain status.

After returning to Hong Kong, Wery and Landon Moore focused their attention on productivity and quality. Every batch of qualified products was quickly transported to the world through Hong Kong's Kai Tak International Airport.

Every day, Landon Moore would report to Su Cheng the previous day's pre-order sales data for the Yunsheng S4 mobile phone.

On July 7, 4 units were booked, and a total of 38792 units were sold;
On July 7, 5 units were booked, and a total of 36888 units were sold;
On July 7, 6 units were booked, and a total of 33521 units were sold;
In just 5 days, the sales volume of Yunsheng S4 mobile phone officially exceeded 20 units!
That’s not all. The sales volume of Yunsheng S4 mobile phones continued to rise. Although it is getting less day by day, the total sales volume is enough to shock people.

On July 7, 7 units were booked, and a total of 32977 units were sold;
On July 7, 8 units were booked, and a total of 30667 units were sold;
On July 7, 9 units were booked, and a total of 24334 units were sold;
On July 7, 10 units were booked, and a total of 21331 units were sold;
……

Moreover, people all over the world have also discovered that although when placing an order, it is said that it will take more than 15 days, in fact, after placing the order, you will receive a pickup call within a week.

The quality of this product continues the previous quality of the Yunsheng series, and its reputation is getting better and better. The result of good reputation is naturally that more people will buy it.

The sales volume of Yunsheng S4 mobile phones is basically announced every day, and these published data will also be reprinted by the world's mainstream media.

Everyone knows that this product is destined to be a successful product and a best-selling product.

You have to know that this era is not like later generations, where almost everyone has one or even multiple mobile phones, and the sales of a single model of phone can easily reach millions, tens of millions, or even hundreds of millions of units. This is basically impossible in this era.

In this era, mobile phones are still a luxury item. Not many people can afford them. Only rich people can afford them. With many brands competing for the market, it is already a very impressive thing for a product to sell 100,000 units.

Therefore, when Motorola's new mobile phone sold 10 units in two months, everyone thought that Motorola had succeeded and had the potential to surpass the Yunsheng series of mobile phones.

After all, sales of 100,000 units is already an extremely exaggerated and remarkable achievement.

But the result was that the Yunsheng S4 mobile phone slapped everyone in the face in just two days, letting everyone know who is the king of mobile communication devices!
All the fans of Yunsheng brand are proud of their favorite brand at this moment. This is the brand they like. In front of Yunsheng brand mobile phones, other mobile phone brands are simply garbage!
The London Times even published an article saying: The success of Yunsheng S4 is well-deserved, and its success comes from its innovation, quality, and reputation!
Some U.S. congressmen even tried to raise issues in the House of Representatives, hoping to have Yunsheng S4 declared a monopoly product.

However, this proposal was opposed by many congressmen, and these congressmen basically represent the technology giants of the United States, such as IBM, Texas Instruments, HP, etc.

The main reason they oppose this, apart from the good relationship with Suzhou, is that, more importantly, if even the success of innovation of technological products is defined as a monopoly, then who will innovate and develop new products in the future, and how can technology continue to progress?

The news of the House of Representatives soon reached Su Cheng's ears. After learning about it, he was also a little surprised.

I didn't expect that I would get so much support from so many people in the United States without realizing it.

While Hutchison Telecommunications was cheering for the popularity of its new products, Motorola encountered difficulties, and even the top executives were feeling overwhelmed.

The next day after Hutchison Telecommunications' press conference ended, Motorola received some cancellation messages.

A small number of cancellations will naturally not have any impact on them.

Moreover, their new products are also being produced at an accelerated pace. Since the production costs in the United States are too high, their productivity is not high and they can only produce a few thousand units a day.

Therefore, in order to prevent more people from canceling their orders, they decisively distributed all the machines that had been produced to various markets and delivered them to the customers who had placed orders.

As a result, what Motorola did not expect was that as the reputation of the Yunsheng S4 mobile phone became better and better, more and more people tried this phone, including a large number of customers who had already placed orders for Motorola's new products.

How could these customers who have tried the Yunsheng S4 mobile phone still be interested in Motorola's new product MicroTAC?
Plus, the price difference between the two products is not that big, only a difference of two hundred dollars.

As a result, more and more people chose to cancel their orders and instead went to the Oracle Brand Experience Store to order the Yunsheng S4 mobile phone.

Every day, Motorola faces a large number of cancellations.

Even when the goods were delivered and already in stock, those people chose to refuse to accept them, just to get their deposit back.

What if Motorola does not cancel the order? They will call the police directly. On their side, the deposit can be refunded after it is paid.

At Motorola's headquarters, President Robert Galvin had a worried look on his face.

In his hand was a report on the number of cancellations over the past ten days.

On July 7, the number of cancellations was 2;
On July 7, the number of cancellations was 3;
On July 7, the number of cancellations was 4;
On July 7, the number of cancellations was 5;
On July 7, the number of cancellations was 6;
On July 7, the number of cancellations was 7;
On July 7, the number of cancellations was 8;
……

In just 10 days, 53721 units of Motorola's new Motorola MicroTAC were canceled!
If Motorola didn't have many loyal fans, the consequences would be disastrous.

They produced so many machines, but they might not be able to sell them all.

Fortunately, those loyal fans chose not to cancel their subscriptions in order to support Motorola, otherwise their losses would have been even greater.

Faced with this situation, President Robert Galvin has held several high-level meetings to discuss countermeasures.

But it still doesn't work.

They invested more than $100 million to develop the Motorola MicroTAC.

But now, let alone making money, it is difficult to get your money back, and there is basically no chance.

Faced with this situation, their production line has already stopped production.

The question now is what to do with these canceled products.

After all, they produce according to the order quantity.

"Secretary, arrange a high-level meeting for me. The meeting will start in an hour." Robert Galvin made a phone call.

"Okay, Mr. President!" the female secretary responded immediately.

An hour later, in Motorola's conference room, Robert Galvin faced more than twenty senior members.

The purpose of his meeting this time was not to discuss how to respond to the challenge from Hutchison Telecommunications, but to discuss how to deal with these canceled products.

This is because, since the release of the Yunsheng S4 mobile phone, they have no longer received new orders for their Motorola MicroTAC product. As the price is not much different from the Yunsheng S4 mobile phone, even loyal fans will not place orders if they have not placed an order yet. It is really not cost-effective.

Unless Motorola lowers the price, say to just over $2,000, the Motorola MicroTAC would be worth buying.

"Ladies and gentlemen, we currently have more than 40,000 Motorola MicroTAC products in inventory. What do you think we should do with this inventory?" Robert Galvin raised his question at the meeting.

"Mr. President, why don't we lower the price? Let's start with $200 per unit and see how sales go. If sales are good, we can still make nearly $500 in profit per unit, counting only the manufacturing cost. If sales are not good, let's continue to lower the price by another $100, to $2299 per unit. This way we will still have a profit of around $!" a senior executive suggested.

“I don’t agree with this approach. Although we lost more than 50,000 orders, we still have more than 40,000 loyal fans who chose to buy our products. If we lower the price now, it would be tantamount to slapping these fans in the face. When we release new products in the future, who will dare to buy our products?” another senior executive retorted without hesitation.

"Mr. Henry is right. We can't lower the price easily, otherwise all the reputation we have built up over the years will be lost!" A senior executive agreed.

"Since we can't lower the price, then we have to have a way to deal with these tens of thousands of units in stock, right? We have already spent more than $100 million on the research and development of this product. If these stocks cannot be sold, we will at least lose $200 million. If the news gets out, we'll be ready to step down!" Someone attacked without hesitation.

Robert Galvin felt helpless when he saw the chaotic and noisy situation among the senior management.

He was also annoyed by this situation.

However, as the president of the company, he cannot show his annoyance.

If the current situation is not handled properly, he will definitely have to step down. Investors and shareholders will not let him get away with it.

"Mr. President and colleagues, I have a suggestion that can ensure that the product is sold and maintain our reputation. Although this will inevitably bring certain economic losses, it is still a solution." A senior executive stood up and said. (End of this chapter)