readx(); Starting in August, AIWA's sales surged again. With the launch of their new products, their market share also increased again, posing an increasing threat to Sony.
Norio Ohga has proposed on Sony's board of directors that the strategic cooperation agreement with AIWA should be terminated, so as to stifle AIWA's expansion momentum.
Their strategic cooperation covers markets, sales channels, production plants, transportation channels, raw material purchase channels, advanced technology, etc. Even market pricing is based on them.
In this cooperation, Sony is in the leading position in many aspects. It can be said that in the past two years, Sony has been pulling AIWA. But looking at the momentum this year, AIWA is about to compete with Sony. Then next year, won't it mean that Sony will be trampled under its feet
Although it tore up the strategic cooperation agreement, Sony also suffered a lot of losses, and it may also allow companies such as Songxia to take advantage of the opportunity to rise. But those are all uncertainties, and they can already see the rise of AIWA.
Norio Ohga's proposal caused a lot of discussion among Sony's directors. In the end, the board of directors decided to test AIWA's tone first. If AIWA does not make concessions, then it will tear up the agreement and give AIWA a head-on blow!
Although the Walkman business accounts for a large proportion of Sony's current business, Sony has a large business and a wide range of operations, so they can withstand the temporary decline of one business. But AIWA is different. They only have the Walkman and its related businesses. Once this business is hit hard, AIWA will inevitably become heavily indebted and unable to recover, just like in previous years.
…
"What are you talking about? Sony is going to tear up the strategic cooperation agreement?" Feng Yu received a call from Yagyu Hajime and frowned. He didn't expect Sony to be so shameless!
But who made this agreement originally signed by Sony? AIWA was still controlled by Sony at that time, so the conditions were very loose for Sony, and they tore up the agreement. Nothing to lose.
But this will have a huge impact on AIWA. Although everything will not start from scratch, all channels will be reduced. Production costs will increase and profits will shrink a lot.
Yagyu Hajime's voice was very frustrated. He didn't expect that Sony would break the cauldron and use this method to injure the enemy by a thousand. Organize the development of AIWA in a self-destructive way.
"Sony has torn up the agreement, so can Sony's channels still be used by us?"
"Of course it can still be used, but all our transportation, sales, production, warehousing, publicity, technology research and development, etc. costs will increase, especially the promotion of new products will be hindered, seriously reducing our sales and profits." Hajime Yagyu explained.
"Then don't we have some exclusive channels? How big of an impact will it have on Sony?"
"There are also, for example, our global factory layout is completely ahead of Sony, and our technology research and development is also ahead of Sony. And there is the Asian market. With the efforts of Xiangjiang Aihua Company, the share of this market The rate is about to exceed 50%, which is Sony’s traditional market.”
Feng Yu was weighing in his mind that Sony would rather lose such a big loss than tear up the agreement. It seems that the development of AIWA has indeed made Sony feel a great threat.
However, it is not like he has never seen this kind of thing in his previous life. Many big companies and the same industry have some strategic alliances. But once one party feels that it is at a loss and wants better terms, but the other party does not agree, the alliance will fall apart. The agreement was naturally annulled.
To put it bluntly, it is all caused by interests. In the business world, there are no eternal enemies and friends, only eternal interests!
Since Sony is shameless first, let’s see who suffers the most. AIWA is going to grow anyway. There is no way around the Sony mountain. AIWA is a giant in electronic products that he is optimistic about in the future. How could it be defeated by Sony with just a Walkman project
Didn’t Sony tear up the agreement? Then I’ll let you know that after tearing up the agreement, Sony’s losses will be greater than those of our AIWA!
Sony's electronic products will be hit hard next year when the cooperation with Nintendo breaks down, causing Sony to lose a lot in its electronic game consoles, and all the benefits will be taken away by Nintendo.
Sony tore up the agreement with AIWA, but they didn’t expect that Nintendo would also tear up the agreement in the future, right
Of course, two years later Sony also developed another flagship product - the PS game console. But how much was the loss in two years? What if AIWA takes the initiative to cooperate with Nintendo at this time
What does AIWA have? technology and markets. Perhaps AIWA's technology is not very strong in the development of electronic game consoles, but AIWA has a market in China. Feng Yu believes that in one year, AIWA will become the leader in China's electronic product market!
Nintendo's products are very popular around the world, but they are struggling in China. It’s not that the product is bad, it’s that piracy cannot be prevented.
Nintendo's game consoles make money, but the most profitable thing is actually the game tape. In China, with the sudden emergence of the Little Overlord this year, coupled with low prices and compatible game modes with Nintendo, Nintendo has shrunk and shrunk in the Chinese market. Just buy a cheap Xiaobawang, and then buy pirated game tapes. You can play the same games and it's much more cost-effective. It can be said that a little overlord has blocked all the gaming giants from China.
But the little overlord has just emerged, and has not yet reached the time to dominate the world like in later generations. It relies on low prices and CCTV advertising. After two years of waiting and hiring Jackie Chan as an endorser, the slogan "Hope for your son to become a dragon, the little bully" came out, and it truly became a giant in the Chinese market!
But in this life, Feng Yu will not give them those opportunities. There can only be one giant in Chinese electronic products, and that is Aihua!
Feng Yu told Yagyu Hajime to talk to the president of Nintendo to cooperate in developing the Chinese market. Nintendo may not agree for the time being, but when Aihua becomes China's number one electronics brand next year, will Nintendo still be tempted
Now, Feng Yu is going to work hard to make Aihua brand the number one brand of electronic products in China. The first thing is to drive Sony out of the Chinese market!
…
"Hey, have you heard that Sony executives made insulting remarks about China? Damn, he thought it was decades ago? Even decades ago, if the islanders invaded China, we would be driven away in despair. He left, and now he still dares to be arrogant!"
"Huh? The little devils from the island country are so abominable. Should we protest?"
"What kind of protest? I heard a saying that Sony wants to fully attack our Chinese market and prevent our own electronic products from rising. We will boycott Sony's products so that they can't sell any of them!"
"Yes, just do this, boycott Sony products, and get Sony out of China!"
On the street, Feng Yu heard two young people next to him saying this, and the corners of his mouth raised slightly. Look, these young people are so angry. He just asked dealers to spread this kind of talk within various universities, but he didn't expect that it would have an effect very quickly.
The main market for Sony products is teenagers. Now the entire youth group is boycotting Sony. Sony in China is going to be doomed! (To be continued.)
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