Rebirth 76: Industrial Internet Empire
Chapter 371 Price War
The philanthropic aura of the College Student Tutoring Network has made the entire "Internet Inclusive Plan" progress extremely smoothly.
With He Jianye's lobbying and a good foundation for cooperation in the financial defense war in Xiangjiang, Zhiyuan Group obtained the first financial license issued by the central bank to private enterprises.
The success of PayPal and Amazon has allowed e-commerce and electronic payment companies to sprout up in Silicon Valley overnight.
But with the gems of PayPal and Amazon in front of them, how easy is it for these startups to survive in Silicon Valley?Venture capital companies are not philanthropic. It is okay to invest a small amount of money in angel rounds, but no one will continue to participate in the AB round of financing. The crazy money burning of PayPal and Amazon is still fresh in the memory of major capital companies...
Qian Ning searched through Silicon Valley but couldn't find the electronic payment company Yang Mo wanted, so he had to settle for the next best thing. With the help of Li Heping, he poached several technicians from Paypal.
The key to electronic payment tools is promotion. The technical obstacles are relatively simple, and there are no patent barriers. Direct use of PayPal's mature technology will not leave any sequelae.
With the help of He Jianye, Han Xinyuan negotiated the lease of the server with the telecommunications department in just three days.
Almost at the same time, Zhiyuan Charity Foundation and College Student Tutoring Network were registered and established in Yanjing.
Han Xinyuan carefully selected Gu Nian, who was brought back to Yanjing from Zhiyuan Computer Technology Company, to become the first general manager of the College Student Tutoring Network.
When Gu Nian took office, he showed extraordinary organizational skills. With the help of the academic affairs offices of more than 20 universities and colleges in Yanjing, he recruited part-time student union cadres.
You can not only earn pocket money, but also accumulate political capital in a well-publicized charity organization. Why not do it?
Gu Nian quickly built a network throughout major universities through these well-connected student union cadres.
The staff of the Tutoring Network only need to send the printed registration form to the student union of each university, and then the student union will be responsible for collecting detailed personal information. The scores of each subject in the college entrance examination, the subjects they are good at, and the departments of the schools they attend are clear at a glance...
As a purely public tutoring website, since it does not involve any interests, its promotion is even simpler, as it is directly recommended by the education authorities.
…………
October 10st, National Day.
The 40000 Zhiyuan computers that were driven out after working overtime were officially launched on the market.
The brand-name machine priced at 6999 yuan immediately attracted the attention of consumers.
"Zhiyuan Computer? Why have I never heard of it?"
"Have you never heard of Zhiyuan? Zhiyuan Group, which donated 816 million yuan at the [-] disaster relief party, won't forget it so quickly, right?"
"Our refrigerators and color TVs are all made by Zhiyuan brand, and they are no worse than those in Japan..."
"How is the configuration?"
"Apple's latest processors and Compaq hard drives are both top-of-the-line, no worse than imported computers..."
"Even if the configuration is not as good as Japanese and American brands, I still want to buy a Zhiyuan computer. For no other reason than he donated 2 million yuan to the disaster area. Maybe if I buy this computer, I can also donate 100 yuan to the people in the disaster area..."
Such conversations occur in computer cities across the country.
"Mr. Liu, Zhiyuan Computer is really as rumored. It only sells for 6999. Should we follow up?" Yang Qing asked with an anxious look.
Liu Zhi waved his hand: "Why are you panicking? Have you got the prototype back? Take it apart first and calculate their cost!"
"It has been disassembled. The Zhiyuan computer uses Apple's latest power603 processor and Compaq hard drive. According to the quotations given to us by Compaq and Apple, according to our calculations, the minimum production cost of this computer is more than 6650 yuan. , if you add the licensing fee, it should reach 6700 yuan. They are making money at a loss, and they are coming for us. They want to start a price war with us!" Yang Qing said.
"Have you found out the general distributor price? The channel profit can't be only 100 yuan, right?" Liu Zhi frowned. He had sensed an unprecedented crisis. This Yang Mo seemed to be specifically trying to go against him, causing trouble. I carefully planned the great relocation plan, but to this day, the management still only has the right to dividends and has not been able to obtain equity!
"The total sales price is said to be 6600. Do they really not make a penny? Just to compete with us for market share? Isn't this too abominable? This is unfair competition! We should respond to the higher ups. If this continues, the entire Isn't the personal computer market ruined by him?" Yang Qingyi said angrily.
"Who should we respond to? The Ministry of Electronics Industry hopes that we will start a price war and lower the price of computers so that more people can afford them! Otherwise, there will be no Internet inclusive plan. The purpose of involving Zhiyuan Group is to achieve this Effect!" Liu Zhi said with a frown.
"Then what should we do? We can't just watch Zhiyuan Computer sell out, right? When they expand their production capacity, it will be difficult to stop them..." Yang Qing said worriedly.
"No way! Whether we take the upper-level route or engage in a price war based on our own abilities, we and Zhiyuan Group are not competitors at the same level..." Liu Zhi said with some frustration.
"Are we just going to give up like this?" Yang Qing said unconvinced.
After Liu Zhi pondered for a moment, he seemed to have made a lot of determination, and whispered: "Zhiyuan Computer's production capacity cannot keep up, and it will be out of stock soon. We will take advantage of this period to speed up shipments. Procurement should be postponed to the next fiscal year as much as possible..."
Yang Qing's eyes lit up: "Mr. Liu, do you mean to increase this year's profits?"
Liu Zhi's eyes widened: "What do you mean by making this year's profits higher? This part of the profits is originally for this fiscal year, and the Chinese New Year is coming soon. It is also a good thing to be able to distribute more dividends to the workers for the Chinese New Year!"
Yang Qing smiled knowingly and was about to leave happily, but Liu Zhi called him back.
"Mr. Liu, do you have any other instructions?" Yang Qing asked respectfully.
"Is there any news? How is the development of Zhiyuan's laptop computer going? When will it be ready for mass production?" Liu Zhi asked.
Yang Qing shook his head: "I also find it strange that they have only launched this computer for such a long time, as if they were confident that this one would be a big hit, and they were not afraid of failure in promotion..."
"Then why do you think Yang Mo did this?"
Yang Qing thought for a while and then said: "I think they are grabbing time! After all, developing and designing a computer is not something that can be done overnight, and the production capacity cannot keep up. It is better to use a cost-effective computer to grab the market... "
Liu Zhi stood up and walked to the window. After thinking for a long time, he sighed and said, "We still have to prepare early. After the annual report comes out, let Lao Lu sell the stocks in his hands. Next year, we are destined to fall into a more fierce price war. Life won’t be easy…”
With He Jianye's lobbying and a good foundation for cooperation in the financial defense war in Xiangjiang, Zhiyuan Group obtained the first financial license issued by the central bank to private enterprises.
The success of PayPal and Amazon has allowed e-commerce and electronic payment companies to sprout up in Silicon Valley overnight.
But with the gems of PayPal and Amazon in front of them, how easy is it for these startups to survive in Silicon Valley?Venture capital companies are not philanthropic. It is okay to invest a small amount of money in angel rounds, but no one will continue to participate in the AB round of financing. The crazy money burning of PayPal and Amazon is still fresh in the memory of major capital companies...
Qian Ning searched through Silicon Valley but couldn't find the electronic payment company Yang Mo wanted, so he had to settle for the next best thing. With the help of Li Heping, he poached several technicians from Paypal.
The key to electronic payment tools is promotion. The technical obstacles are relatively simple, and there are no patent barriers. Direct use of PayPal's mature technology will not leave any sequelae.
With the help of He Jianye, Han Xinyuan negotiated the lease of the server with the telecommunications department in just three days.
Almost at the same time, Zhiyuan Charity Foundation and College Student Tutoring Network were registered and established in Yanjing.
Han Xinyuan carefully selected Gu Nian, who was brought back to Yanjing from Zhiyuan Computer Technology Company, to become the first general manager of the College Student Tutoring Network.
When Gu Nian took office, he showed extraordinary organizational skills. With the help of the academic affairs offices of more than 20 universities and colleges in Yanjing, he recruited part-time student union cadres.
You can not only earn pocket money, but also accumulate political capital in a well-publicized charity organization. Why not do it?
Gu Nian quickly built a network throughout major universities through these well-connected student union cadres.
The staff of the Tutoring Network only need to send the printed registration form to the student union of each university, and then the student union will be responsible for collecting detailed personal information. The scores of each subject in the college entrance examination, the subjects they are good at, and the departments of the schools they attend are clear at a glance...
As a purely public tutoring website, since it does not involve any interests, its promotion is even simpler, as it is directly recommended by the education authorities.
…………
October 10st, National Day.
The 40000 Zhiyuan computers that were driven out after working overtime were officially launched on the market.
The brand-name machine priced at 6999 yuan immediately attracted the attention of consumers.
"Zhiyuan Computer? Why have I never heard of it?"
"Have you never heard of Zhiyuan? Zhiyuan Group, which donated 816 million yuan at the [-] disaster relief party, won't forget it so quickly, right?"
"Our refrigerators and color TVs are all made by Zhiyuan brand, and they are no worse than those in Japan..."
"How is the configuration?"
"Apple's latest processors and Compaq hard drives are both top-of-the-line, no worse than imported computers..."
"Even if the configuration is not as good as Japanese and American brands, I still want to buy a Zhiyuan computer. For no other reason than he donated 2 million yuan to the disaster area. Maybe if I buy this computer, I can also donate 100 yuan to the people in the disaster area..."
Such conversations occur in computer cities across the country.
"Mr. Liu, Zhiyuan Computer is really as rumored. It only sells for 6999. Should we follow up?" Yang Qing asked with an anxious look.
Liu Zhi waved his hand: "Why are you panicking? Have you got the prototype back? Take it apart first and calculate their cost!"
"It has been disassembled. The Zhiyuan computer uses Apple's latest power603 processor and Compaq hard drive. According to the quotations given to us by Compaq and Apple, according to our calculations, the minimum production cost of this computer is more than 6650 yuan. , if you add the licensing fee, it should reach 6700 yuan. They are making money at a loss, and they are coming for us. They want to start a price war with us!" Yang Qing said.
"Have you found out the general distributor price? The channel profit can't be only 100 yuan, right?" Liu Zhi frowned. He had sensed an unprecedented crisis. This Yang Mo seemed to be specifically trying to go against him, causing trouble. I carefully planned the great relocation plan, but to this day, the management still only has the right to dividends and has not been able to obtain equity!
"The total sales price is said to be 6600. Do they really not make a penny? Just to compete with us for market share? Isn't this too abominable? This is unfair competition! We should respond to the higher ups. If this continues, the entire Isn't the personal computer market ruined by him?" Yang Qingyi said angrily.
"Who should we respond to? The Ministry of Electronics Industry hopes that we will start a price war and lower the price of computers so that more people can afford them! Otherwise, there will be no Internet inclusive plan. The purpose of involving Zhiyuan Group is to achieve this Effect!" Liu Zhi said with a frown.
"Then what should we do? We can't just watch Zhiyuan Computer sell out, right? When they expand their production capacity, it will be difficult to stop them..." Yang Qing said worriedly.
"No way! Whether we take the upper-level route or engage in a price war based on our own abilities, we and Zhiyuan Group are not competitors at the same level..." Liu Zhi said with some frustration.
"Are we just going to give up like this?" Yang Qing said unconvinced.
After Liu Zhi pondered for a moment, he seemed to have made a lot of determination, and whispered: "Zhiyuan Computer's production capacity cannot keep up, and it will be out of stock soon. We will take advantage of this period to speed up shipments. Procurement should be postponed to the next fiscal year as much as possible..."
Yang Qing's eyes lit up: "Mr. Liu, do you mean to increase this year's profits?"
Liu Zhi's eyes widened: "What do you mean by making this year's profits higher? This part of the profits is originally for this fiscal year, and the Chinese New Year is coming soon. It is also a good thing to be able to distribute more dividends to the workers for the Chinese New Year!"
Yang Qing smiled knowingly and was about to leave happily, but Liu Zhi called him back.
"Mr. Liu, do you have any other instructions?" Yang Qing asked respectfully.
"Is there any news? How is the development of Zhiyuan's laptop computer going? When will it be ready for mass production?" Liu Zhi asked.
Yang Qing shook his head: "I also find it strange that they have only launched this computer for such a long time, as if they were confident that this one would be a big hit, and they were not afraid of failure in promotion..."
"Then why do you think Yang Mo did this?"
Yang Qing thought for a while and then said: "I think they are grabbing time! After all, developing and designing a computer is not something that can be done overnight, and the production capacity cannot keep up. It is better to use a cost-effective computer to grab the market... "
Liu Zhi stood up and walked to the window. After thinking for a long time, he sighed and said, "We still have to prepare early. After the annual report comes out, let Lao Lu sell the stocks in his hands. Next year, we are destined to fall into a more fierce price war. Life won’t be easy…”
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