Tao Te Ching and Wuwei Management

Chapter 44 5 "Blessings come, disasters come": turn to the sunrise industry before the sunset of the industry

Smart entrepreneurs create a new world before the end of the world.

Good fortune, misfortune comes.

—— "Tao Te Ching" Chapter 58
There may be disasters hidden in happiness, so entrepreneurs should take precautions before the crisis comes.No matter how strong the enterprise is, if it does not know how to prevent the passing of time, disaster will come sooner or later.

Everyone understands the truth that good things must be obtained through hard work; however, how to prevent bad things in advance is a big difficulty.Lao Tzu believes that crises do not happen suddenly, and before they break out, there will be some signs that people are familiar with and ignore.

How to spot the signs of bad things?

The fox is dressed up as a beautiful woman, even if you open your eyes wide, you can't see the flaw; if you go around the back, you can find a stupid tail.For example, if someone speaks ill of others in front of you, it seems very considerate, just think about it in reverse: he may speak ill of me in front of others!You can see more clearly what he is like.Someone calls you brother and brother, as if they are very close, you just need to think about it in reverse: if he is ruthless to his parents and brothers, how can he be kind to me?You can see his character more clearly.

Smart people are good at proving the opposite. They don't wait until bad things happen to beat their chests and feel sorry for themselves.

Lu Dan, a famous scholar, came to Zhongshan country, hoping to find an official position.He went to see Lord Zhongshan and explained the ways of kingship, such as cultivating virtue, cultivating character, getting close to virtuous officials, and practicing benevolence and love.Mr. Zhongshan is dissolute and extravagant, and is not interested in these great principles at all.He yawned and stood up and said: "I'm very sleepy, please talk about it later!" Lu Dan withdrew in frustration.

A few days later, Lu Dan went to see Mr. Zhongshan again.This time he doesn't talk about kingship and domineering, how to select talents and appoint talents, how to enrich the country and strengthen the army, and how to make close friends from afar.Unexpectedly, Mr. Zhongshan was already snoring loudly before he finished speaking.Lu Dan had to withdraw again disappointed.

At the third meeting, Lu Dan was still not favored by Mr. Zhongshan, so he returned to the inn, heaving a sigh.His driver suggested: "If you want to be an official in Zhongshan, why don't you ask someone to accommodate you?"

Lu Dan wanted to try this method, so he sealed 50 taels of gold and gave it to some of Zhongshan Lord's favorite ministers.Not long after, when Lu Dan came to the palace again to ask for an audience, Mr. Zhongshan's attitude was quite different from before. He was polite and respectful, and he was going to grant Lu Dan the post of Prime Minister.

After Lu Dan came out, he didn't even dare to go back to the hotel, and ordered the coachman to drive out of Zhongshan immediately.The coachman asked strangely: "You finally gained the trust of Mr. Zhongshan, why are you leaving in such a hurry?"

Lu Dan said: "Zhongshan Lord is willing to listen to other people's words and trust me, and he will listen to other people's words to harm me. Hurry up!" Sure enough, Lu Dan had not yet left the territory of Zhongshan. A spy sent by Zhao Guo.Mr. Zhongshan immediately sent someone to arrest Lu Dan.Fortunately, Lu Dan escaped in time and escaped a flying disaster.

This story tells us that we must not be obsessed with immediate interests and ignore the crisis behind.

Some people say that there is no sunset industry, only sunset thinking.It's ridiculous, like a guy who said: there are no old people, only old people's mentality.Regardless of whether it is a person or an industry, at the age of seventy or eighty, it is futile to say that one's mentality is young.People should still be more objective, look at the laws of nature objectively, and respond objectively.When the entire industry has reached the sunset, if it is still crippled, it will only be crippled by reality.

A few years ago, mobile phone design was the most sought-after industry in the industry.In 2002, the mobile phone design industry was basically dominated by design companies in Taiwan and South Korea. The booming domestic mobile phone market made their average industry gross profit rate exceed 300%.

In 2003, domestic mobile phone design companies began to exert their strength. China Electronics Sailong, DXN Wireless and Shenzhen Jingwei Technology began to compete with Korean design companies for orders, and about 80% of the orders returned to the Chinese market.The shipments of South Korea's booming design companies all fell sharply.

The decline of Korean mobile phone design companies indicates the vigorous development of Chinese mobile phone design companies.Attracted by high profits, the number of registered mobile phone design companies in China reached a peak. In 2004, there were about 50 mobile phone design companies in China.

Compared with mobile phone design companies in South Korea and Taiwan, domestic companies have obvious advantages in "hard costs" and "soft costs".The hard cost advantage is the advantage brought by the localized procurement and price of domestic mobile phone design companies; and in terms of communication with brand manufacturers, it is "closer" than foreign design companies.

CLP Race Dragon is an excellent example. In 2000, CLP Sailong successively set up large-scale mobile communication mobile phone research and development centers in China, the United States, France and Canada, and in 2001 acquired the French Philips Research and Development Center.CLP Sailong has also established strategic partnerships with Intel, Philips Semiconductors, Microsoft, Motorola, Siemens and many other companies. Haier, Qiaoxing, Konka and many other domestic companies are its important customers.

In addition, CLP Sailong also undertook and completed the national key project - 2.5G GSM (GPRS) core technology development project. In October 2003, CLP Sailong also received venture capital from partners Marvell, Elcoteq and Haier, totaling US$10 million.In the same year, CECELON's GSM/GPRS/WCDMA dual-mode multi-frequency mobile phone project won the special fund for the development and industrialization of national mobile communication products, and began to move towards the 3000G field.When the market is booming, there are more than a thousand mobile phone design companies, making a lot of money.

But this good scene did not last long, especially when mobile phone companies began to develop and design their own, these mobile phone design companies showed signs of fatigue one by one.As mobile phone manufacturers embarked on the road of independent research and development, design companies such as China Electronics Sailong began to decline.

In October 2006, after Philips mobile phone changed hands to Shenzhen Sangfei, CLP Sailong lost its biggest employer.Despite the adoption of emergency measures such as substantial layoffs and cost reduction, it is still difficult to recover from the defeat. Since the beginning of 10, Shenzhen Sailong and Shanghai Sailong have closed down and changed hands one after another. Later, due to the problem of its own capital chain, China Electronics Sailong also encountered many creditors demanding debts, and it was unable to receive large mobile phone design orders. Finally, in 2007 announced its closure in July.

As the solutions provided by chip manufacturers become more and more complete, mobile phone design companies have basically been replaced.A senior executive of Huayu Communication Company revealed that all mobile phone chip manufacturers, including Texas Instruments, Philips, and Infineon, have already completed most of the tasks that mobile phone design companies have undertaken.Moreover, the vast majority of small design companies lack independent innovation. They rely on mobile phone solutions copied from large mobile phone companies or other large mobile phone design companies to sell to customers. Once the upstream is squeezed downstream, it is difficult for these design companies to have living space.

Facing the precarious situation of the industry, domestic mobile phone design companies have become a sunset industry. The sudden closure of the leading domestic mobile phone design company, CLP Sailong, is a good wake-up call.Other mobile phone design companies must change to adapt to the development of the market.Now it is no longer possible to rely solely on design to survive. Only when it spreads to the downstream of the industrial chain and cuts into the production link—after designing a mobile phone solution, it will carry out motherboard production or even complete machine production, and directly provide it to brand mobile phones. development space.

If an enterprise has been obsessed with the glory of the past, has no sense of urgency and crisis spirit, is blindly optimistic in the face of good times, conservative, and does not think about making progress, it will be controlled by habitual thinking over time, lose vigor, and thus lose competitiveness. eliminated by the market.Entrepreneurs with far-sightedness can always see the signs of bad things and make them invisible, and even find new development opportunities in crises.

(End of this chapter)