Super Tycoon

Chapter 729 Small manufacturers have no future?

Years ago, many enterprises and units in China were holding meetings to summarize what happened last year and make plans for next year. It was also at this time that several people were discussing the development of China's mobile phone industry.

According to their estimates, China's mobile phone sales will definitely exceed 100 million units this year, and the contribution of domestic manufacturers is expected to reach half.

This is good news, which means that the Chinese market is finally no longer controlled by foreign brands, especially the two giants Nokia and Motorola.

The leader here is Zhiduoxing. No one would have imagined that in just a few years, Zhiduoxing's mobile phone business has the strength to challenge international giants, and has grown to the fifth place in the world.

But they soon discovered a problem in China's mobile phone industry, especially those small manufacturers, because they seem to lack best-selling models.

Although the top mobile phone manufacturers have a large number of mobile phone models, there are also many models that can be abandoned. They rely on several best-selling models every year to ensure market sales and share.

Among the mobile phone manufacturers in China, it seems that only Zhiduoxing has a best-selling model, with sales exceeding 50 million units, and may even exceed 100 million units.

Although this sales volume is for the global market, the performance in the Chinese market is also excellent.

Among the domestic brands, there are few best-selling models with tens of millions of units. Even the brands that used to look good, their market share is also declining. The representative is Bird, but it will soon become Lianxiang Bird.

"Have you seen the document in your hand? According to our analysis, domestic mobile phone brands will usher in explosive growth this year, but there is a big shortcoming, that is, the profit margin is very low."

"Nokia, Samsung and other big brands also make cheap phones, the price is even as low as 500 yuan, but they can still guarantee profits, and they also have many best-selling models with high prices, and these have higher profit margins."

"We consulted some business representatives and got some feedback from them. Among them, the opinions of Yangcheng Zhiduoxing are listed separately. Let's take a closer look."

Several people are watching, mobile phone market analysis, sales analysis, price trend analysis, etc., the price of low-end mobile phones will continue to drop, and the functions will continue to increase with the needs of consumers to cater to the market.

But there is a special case, that is, high-end mobile phones, which will continue to lead the development direction of the market, and the market share will not decline.

If the total sales volume is increasing and the share does not decrease, it means that the sales volume will also increase. Zhi Duoxing also said,

This part is the main direction for manufacturers to make profits, and it is also the main position where major top manufacturers will compete in the future.

It is true that sales are king, but we must also pay attention to the profit margin of a single product. Here Zhi Duoxing takes Nintendo in the game industry as an example. The sales volume is not as good as that of Sunny's PS series, but because of the higher profit margin, it has obtained higher profits.

The most basic purpose of running a business is to make money and make more money.

Seeing this sentence, many people smiled knowingly. Before they saw the reports of many companies, but they all talked about nations and countries, and only Zhiduoxing was the most honest.

Only when you have reached a certain level and making money becomes easy, will you consider some other factors, such as talking about some ideals.

"This report means that Zhiduoxing can guarantee high profits and make great strides, but is not optimistic about the development of other small and medium-sized mobile phone manufacturers?"

"It also asserts that PHS will soon be eliminated because of technical flaws, and even the number of fixed-line users will stop growing."

With the surge of mobile phone users and the decline in tariffs, it seems that many people do not need to install fixed lines at home. It also needs to pull the wire, which is inconvenient to use.

But now there are more and more companies in Huaxia, and any company needs to install a fixed line. Some places are mandatory, while others are based on risk considerations. If you don’t have a fixed line, it’s hard to believe.

Another person said: "If this is the case, do we still need to support small and medium mobile phone manufacturers? Should we encourage them to enter this industry?"

"Don't be the same as the original BP machine. Many companies have not developed for two years, and the industry began to decline. They also went bankrupt because there was no market."

The rise of an industry can drive a lot of economy, employment, etc. This is what they need to consider. What they consider is not a certain company, but the development of China as a whole.

Several people discussed for a long time, but did not come to a specific conclusion. There are even some people who think that Yangcheng Zhiduoxing's report is alarmist, and it is for their own consideration.

"Everyone, have you read the ninth page? Yangcheng Zhiduoxing said that they can eliminate small domestic mobile phone manufacturers in three steps. Do you agree?"

Many people re-opened the file and took a closer look, and the corners of some people's eyes twitched wildly. This plan, it seems, might really work.

So there is really no need for small businesses to develop? But what should so many companies do? Just let them be eliminated by the market?

"Can't you discuss with Zhiduoxing and let them merge some small manufacturers?" Someone couldn't help asking.

"Do you think it's possible? Have you ever seen Zhiduoxing merge small manufacturers in China? They only promote their own brands. At present, there are two brands of Zhiduoxing and Wenquxing, which are also well-known around the world."

"Multi-brand management will cost more money, which is not good for their business development. Would you agree to it instead? To put it bluntly, once those small businesses slow down the development of Zhiduoxing, the country will lose even more big."

"It's a pity that those small manufacturers don't have the strength to produce high-end mobile phones at all, but they can be persuaded to merge with each other to form a large-scale enterprise, reduce costs and enhance competitiveness."

"We are also gradually opening up some technology licenses to help those small manufacturers tide over the difficulties. As for how many companies will be left in the end, it is not up to us to decide."

Many local governments now hope that there will be mobile phone manufacturers under their own governance, and they even ask their superiors for policies and financial support. This also needs to be taken care of.

The result of barbaric growth is that it will suddenly collapse, just like many industries in China at the beginning, how many years did it take to recover?

"Everyone, think about it when you go back. We will continue to hold a meeting tomorrow to discuss the framework. We must ensure that the mobile phone industry can develop steadily and that foreign companies will not continue to occupy the market."

While these people were discussing major issues in the industry, Zhang Yang was also having a meeting with some people. These people are the heads of major companies in China, and they are discussing to start a counterattack against foreign brands this year!

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