Feng Yu was sitting in the office, looking at a report in his hand, and the corners of his mouth curled up.
The cost has dropped again. As a result, the price of this mobile phone has also come down.
Originally, in the low-price mobile phone market, there was only Fengyu mobile phone, and no other manufacturers had it. But since the sales of Fengyu Mobile's low-price phones exploded and attracted the attention of the world, other manufacturers have entered the low-price phone market.
But even if other manufacturers have launched cheaper mobile phones, Fengyu mobile phones still maintain the original selling price and have not reduced the price.
Feng Yu told Jiang Wanmeng that it was not impossible to reduce the price of Fengyu mobile phones, but a little bit of price reduction had no power. A single price reduction would make other manufacturers despair.
Boiling a frog in warm water will not bring down these large manufacturers, but will give them the opportunity to continue to expand sales.
There will be a crazy price cut that will make any manufacturer despair and leave them without any hope of being able to compete on price before they can truly dominate this market.
And now, the opportunity has come.
Feng Yu found a document from the table, flipped it over, signed it, asked his secretary to come in, and handed the document to Liu Chuanzhi.
Liu Chuanzhi saw Feng Yu's secretary personally delivering the documents and knew that this was Feng Yu's decision. He looked through the documents, with an excited look on his face.
It’s finally time to take action. This market was developed by us, so it will continue to belong to us in the end!
Liu Chuanzhi grabbed the phone on the table: "Old Jiang, the price reduction plan can be implemented!"
…
…
Feng Yu browsed the news on the Internet. Today, the news about Fengyu Mobile almost occupied the front pages of all news media, and the business section even occupied a large area.
Some reporters either went to Fengyu Electronics or Taihua Holdings Group to interview, and some foreign media even went to Shangbu to conduct interviews, wanting to see if China would ignore the WTO treaty and carry out local inspections of Fengyu Mobile Phones. Protect!
At this time, Zong Qingxian, Liu Chuanzhi, Kameda Masao and others were sitting in Feng Yu's office drinking tea. They had long expected that things would turn out like this.
If others sue, let them sue. Without explanation, let this matter continue to ferment, so that Fengyu mobile phones will appear in media headlines more frequently and in front of more consumers.
Perhaps many people had not planned to buy a Fengyu mobile phone before, but when they wanted to buy a mobile phone or change their mobile phone, the first brand that came to their mind was probably Fengyu.
Feng Yu couldn't be happier about this kind of good thing that can get extremely high publicity density without spending any money.
Now Jiang Wanmeng is taking charge of this matter, and other senior executives are completely unwilling to be interviewed by reporters about this matter.
"Mr. Feng, the sales of our value-for-money machines have skyrocketed again, and many countries seem to be intentionally guiding consumers to buy." Zong Qingxian said with a smile.
"They want to help us increase sales, and then when they accuse us of dumping, they can give us bigger fines and give their companies in their countries higher compensation."
Kameda Masao sneered, those countries have good calculations. This was not the first time he had seen this situation.
"They must have never imagined that our costs are really so low, right? They also didn't expect that we haven't lowered prices before. It's not because our costs can't be lowered, but because we deliberately gave them an illusion, right?" Liu Chuanzhi held it in his mouth. The cigar was blowing out a column of smoke while talking.
"Let this matter ferment. When the court comes, after they look at our costs, they can't say anything. Who allows us to have the cheapest electronic components? Who allows our assembly line to be so efficient? Zong Qingxian gave Feng Yu a thumbs-up gesture, "When we asked Fengyu Electronics to sign a long-term supply agreement with Taihua Crystal Silicon first, there was such a deep meaning."
When the price of crystalline silicon did not rise, Feng Yu asked Fengyu Electronics to sign a long-term supply agreement with Taihua Crystalline Silicon, so as to ensure that their materials used to produce electronic components were at the lowest cost.
Of course, this agreement does not mean that the price will never increase, but it is a three-year price protection that is relatively common in the market. In other words, if the deposit is paid in advance, the annual price increase within three years cannot exceed 5% and cannot exceed the market average price. Of course, if the market falls sharply on average, Taihua Crystal Silicon will in turn be able to get price protection.
Fengyu Electronics has calculated that as the factory's production capacity increases, labor and machinery costs will actually continue to decrease, while the cost of main raw materials will increase. However, the cost of batteries, casings and other materials will continue to decrease, so the costs will never increase. On the contrary, will continue to decline.
The selling prices of other manufacturers are already almost gross profit. They will never dare to lower the price, otherwise they will lose money and violate the dumping law. At that time, they will be sued by Fengyu Electronics and multinational governments or trade organizations. !
The domestic price is 299rmb and the foreign price is 39USD, which is beyond the reach of other manufacturers.
Coupled with the fact that there are now so many free media promotions, and they also intend to guide consumers to buy, the sales volume of this Fengyu value machine made Zong Qingxian and others smile from ear to ear.
Although the price has been lowered and the profit of their single product has been reduced, it has squeezed out other competitors and expanded the market share of Fengyu mobile phones.
And because sales have increased, their profits have decreased, but not by much. But the same cannot be said for other mobile phone manufacturers. In order to pursue low prices, the low-priced phones they produced were not very good, and the appearance design could not be compared with Fengyu mobile phones. They originally had a price advantage, but now this is the biggest advantage. Gone.
The low-priced phones of other mobile phone manufacturers have all fallen into slow sales. As for high-end models, they are not as good as Fengyu Mobile. Whether in terms of technology or product design concepts, they are lagging behind.
If they were a little behind, they felt they could catch up, but if they were so far behind, they were desperate.
They are desperate in this low-priced machine market. It doesn't mean that their sales have completely disappeared, but the sales are too small and they can't even make back the promotional expenses, so what's the point
Without publicity, how can we compete? They don’t have a country secretly advocating for purchase, and they don’t have the reputation of being the first low-priced machine.
Moreover, the decline in sales will also have the impact of production reduction. If production is reduced, the cost of a single product will increase. This is a vicious circle.
Could it be that the price of mobile phones in the future will only depend on Fengyu Mobile Phones
Are they setting a standard for the prices of mobile phones with various functions
… To be continued.