The projects Chen Qing was responsible for were all on track, and she happened to make a fortune by taking advantage of the Yigret IPO opportunity. She recently began to look for new investments, and quickly selected China's rapidly growing PC market, and carefully prepared a The business plan was handed to Simon.
The year 1995 is about to pass, because manufacturers of computer core components such as processors and memory have continuously lowered their prices significantly, and there has also been a memory price collapse event such as the 'Micro Shock'. In addition, Microsoft's Windows system has completely matured, and governments around the world have The support for the information industry has been generally increased, and various factors have combined to promote a global explosion in PC sales.
In the past few years, the annual growth rate of global PC sales has been maintained at around 30%. In the past 1995, in just the first 10 months, global PC shipments have reached 79.5 million units. It is expected that for the whole of 1995, the world's PC shipments will Total PC shipments are expected to be between 95 million and 100 million units, an annual growth rate of more than 75% compared to the total global shipments of 54.05 million units in 1994.
On the other side of the ocean, there is a Chinese market with a population base of 1 billion. Because of the series of major support policies launched by the Chinese government to promote the development of the information industry, as of the end of October, China’s PC shipments reached 2.7 million units, which is close to the total in 1994. Four times the sales volume of 700,000 units, it is estimated that in 1995, China's PC shipments are expected to reach 3.2 million units.
An obvious industry outlet.
Chen Qing has no ambitions for the PC market in North America and Europe and knows that she cannot enter. But in China, the girl feels that she can give it a try.
The four girls, Chen Qing, Lin Su, Emmanuelle Brandt and Charlotte Brenita, are going to China together this time, mainly for other matters related to Bubugao, Scoop, Shuanghui and so on. One thing is to take Brenita on a market inspection. During the stopover in San Francisco, she picked up Emmanuel and Chen Qing wanted to ask Simon what he thought of his business plan.
After hearing Simon say that her plan was not very good, Chen Qing was not disappointed and waited patiently for the man to continue.
Simon recalled the business plan and related information that Chen Qing gave him, and said: "The direction was wrong from the beginning. The result of your research is that at least half of China's PC sales this year are supported by policies to promote informatization. The developing government departments, schools and state-owned enterprise procurement, so they want to use this part of the market as a breakthrough, but have you considered the threshold of this part of the business, I mean, the implicit threshold?"
Government procurement has always been the best business, and it has never been an easy business.
Chen Qing nodded her head: "Boss, I know."
Simon glanced at the smart black eyes of the woman in his arms. Thinking about her character, it is indeed not too difficult to do this kind of thing. The girl has already identified the team in advance, and they basically poached the market from local Chinese companies. Department backbone. China's computer industry began to develop in the 1980s. These people have been working hard together, and they are definitely familiar with all the twists and turns.
Smiling and giving the girl a slap somewhere on her body, Simon said: "Okay, I believe you can do a good job, but if you just want to make quick money, it's okay to do this. If you want to be truly long-term, you have to give up." This idea of taking shortcuts.”
Chen Qing blinked this time, slightly confused.
Simon said: "I'll give you a small question. Just name a few of the top 500 companies in the United States."
Chen Qing blurted out without thinking: "General Motors, Ford, Wal-Mart, Exxon Mobil, AT&T, General Electric, IBM, Freddie Mac, Fannie Mae... Well, of course Daenerys, Yi Gretel, if financial data were not kept secret, Cersei Capital would definitely be one."
"So, can you find one thing that not all of them, but certainly most of them have in common?"
Chen Qing thought for a moment, then started to rub up against Simon and act coquettishly: "Boss, what?"
Simon held down the troubled girl and turned to Lin Su on the other side: "What about you, Chen Qing always said that you study very hard, have you ever thought of that?"
In fact, Lin Su, who had been silently listening to the conversation between the two, could only shake his head.
The three of them kept talking in Chinese, and the other girls lying on the bed were even more confused, but they all pretended to listen attentively.
Neither woman expected it, so Simon had no choice but to reveal the answer and said: "Companies such as General Motors, Exxon Mobil, AT&T, etc. have one thing in common: they all target the general public with the largest consumer base, because Almost everyone has a need for their products, and cannot even live without their products, so these companies can become giants. Therefore, in my opinion, the best business is a business that can be open to everyone. PC In fact, the same thing is true. In China today, personal computers may still favor luxury goods, but with China’s consumption base of 1 billion people and the economic accumulation over the years, the potential consumer group is actually not small at all, and it will only become larger in the future. Therefore, Chen , do you know where you went wrong?"
Chen Qing nodded and couldn't help but said: "Boss, actually fighting for government procurement is just an entry point. I will definitely not let go of the general consumer market in the future."
Simon shook his head and said: "According to the materials you provided me, there are currently 8 PC manufacturers in China with a market share of more than 5%, and there are more than 30 PC manufacturers around the world that have begun to pay attention to exploring the Chinese market. Do you want to be comprehensive and consider these manufacturers who are no worse than you in terms of technology, funds, and connections? Wouldn’t you agree? Chen, don’t treat anyone as a fool. China’s PC field seems to be a blue ocean market with huge potential. In fact, with the level of competition under the current market capacity, this is actually a very fierce Red Sea market. In addition, this is also a very capital-intensive industry that burns money, just like AST and Lenovo, the top two companies in terms of market share in China. , due to factors such as inventory backlog caused by the collapse of memory prices this year, one of the two companies is expected to lose 97 million US dollars, and the other will lose 190 million Hong Kong dollars. So, how much money do you plan to burn? Or, you can 100% guarantee it to me. Do it well, if you dare to promise and do it, I will give you any investment you need."
Chen Qing finally fell silent.
Simon said: "Also, the second question in your plan is that you want to imitate Dell's low-price direct sales strategy. This seems to be a good idea. In line with the market target you are targeting, the plan looks very good. Perfect. But first of all, do you think government procurement cares about price?"
Chen Qing nodded and shook his head.
The girl actually felt that she was right. What she wanted to imitate was Dell's direct sales strategy. Low price was not a problem. However, this low price was based on the manufacturing cost, not the low price when selling.
It's just that these twists and turns are not suitable for talking too clearly with your boss.
Simon actually saw through the girl's thoughts, and also did not mean to go into details. He said: "In short, I will not agree to your plan. If you want to do it, you can use the money you earn, or you can go it alone." Pull investment and be responsible for profits and losses.”
When the man said this, Chen Qing became a little anxious this time. She had never thought about getting rid of the man next to her, so she moved towards Simon again and started acting coquettishly: "Boss, I know I was wrong. According to your thinking, Can I revise it again?"
Lin Su on the other side listened to Chen Qing's tired voice and had the idea of escape.
Too disgusting.
Simon also gave the girl another shot, but he said loosely: "The plan is completely redone. Two suggestions: First, don't ask for a big one, start from a young age, invest a small amount of money first, lock in the market of a province, and lock in the consumer group. It is best to only seriously develop one series and copy Dell's low-price strategy according to the specific conditions of the Chinese market. This can save costs and reduce risks to the greatest extent. Second, being a price butcher is the absolute key. Keep the price to the lowest, Within the scope of the consumer population in a province, all other brands, even the lowest-cost machine manufacturers, have no profit margins. Because you are small in scale, on your cost line, other slightly larger competitors will definitely lose money. Yes, you have to take the initiative to withdraw, and then you win. After a province succeeds, this model can be copied quickly. Which step you can achieve in the end, or you may not be able to survive, depends on your ability."
Chen Qing imagined a certain scene described by the man, her eyes lit up, and she quickly asked: "But, boss, how can we make money like this?"
Simon said: "Before the company grows, don't think about making money, even if it keeps losing some money, it's okay. If the company grows to the top in the industry and you haven't figured out how to make money, then that's your problem."
Chen Qing nodded in approval, suddenly feeling that this guy was a big gold mine, so she continued to dig: "Boss, can you tell me more?"
Simon thought for a while and said: "Actually, the key to the success of this plan is whether you can reduce the cost to the extreme. When Tinker Bayer's iCam was first launched a few years ago, due to insufficient production capacity, you know that they How?"
"At Columbia, Lin and I happened to study this case some time ago, hunger marketing. But, will this be of any use in lowering PC costs?"
"Think again."
"Hmm, oh, is it... a time difference? The price of PC components changes very quickly. Maybe it will be a different price in a month or a week?"
Simon nodded: "Yes, if you can make good use of this time difference, such as adopting a pre-sale strategy due to insufficient production capacity, you can gain part of the cost advantage again. Moreover, another benefit of hunger marketing is that it can continue to attract consumers. After all, you can’t get the best by attracting attention and stimulating consumer demand. Of course, this is only one aspect. You will also face costs in various aspects such as manpower, marketing, warehousing, etc., which need to be done to the extreme. If you cannot do these , If you rashly act as a price butcher, you will only go out of business first."
Chen Qing wrote them down one by one, discussed them with Simon for a while, and then gently rubbed the man's chest with her little hand: "Boss, if we start from a young age, because the purchase volume is relatively small, we will not have much bargaining advantage over Intel or Microsoft. Bian, can you help me say hello?"
Simon couldn't help pinching Chen Qing's cheek again: "Do you think my face is so worthless?"
"Ah... no, ugh, I was wrong."
Simon let go of his hand and said, "I won't say hello for you. You can talk to the person in charge of their China area."
Chen Qing understood that her boss was tacitly admitting that she could show off her power, so she quickly changed her smile and nodded.
It's just a small thing, and Simon certainly doesn't mind.
He is never stingy when it comes to supporting his subordinates.
After all, there are very few people who truly start from scratch. Just like in the early days of Microsoft's development, Bill Gates's first big business was pulled from Big Blue by her mother, who was a director of IBM.
They only came to visit Simon temporarily. The private plane was still waiting at the airport. The four girls stayed at the mountain villa in Woodside for less than an hour before leaving.
When the Gulfstream V took off from San Francisco International Airport, it was only around two o'clock in the afternoon on Saturday, November 25.
It is expected that after a flight of about 12 hours, plus the time difference, we will arrive in China. It will be around 5 o'clock in the afternoon on Sunday, and we will have a night's rest, just in time to start a new week of work.
Until the Gulfstream V flew smoothly in the stratosphere, Emmanuel Brandt still had the erotic scene at the Woodside Mountain Villa in his mind.
After taking a glass of red wine from the small bar in the cabin, Emmanuel held the cup and came to the front cabin. Chen Qing and Charlotte Brenita were sitting across from each other and talking. There were also items on the table in front of Chen Qing. A laptop, tapping away from time to time. Sitting next to Chen Qing, Emmanuel said in a casual tone: "What do you think the big boss is doing now?"
Some of the topics women talk about in private are actually very dirty.
However, Emmanuel raised the topic enthusiastically, but neither Chen Qing nor Britta seemed interested.
The main thing is that, having been together more or less closely, both women know that a certain man likes the eye-catching scene surrounded by vases. However, when it comes to matters between men and women, they are not indulgent at all, but very restrained. Some time ago, Charlotte Brenita almost came to her door. As a result, after staying in Ukraine for a few days, and even later taking a ride on Simon's flight to leave Ukraine, the man never had anything to do with her. Chen Qing understands this very well.
If the man was really in a hurry, what the four women would see when they rushed to the Woodside Mountain Villa would probably not be the scene of a man watching a ballet solo.
Chen Qing's fingertips were flying on the keyboard, and she skillfully revised the computer company's business plan directly in English. She smiled and said to Emmanuel: "Aiman, I advise you not to attract the boss's attention. You also You see, there are so many women around the boss now that he can’t even remember their names. No matter how beautiful you are, maybe in the boss’s impression, you are just like, oh, the red-haired one.”
Emmanuel Brandt was touched by Chen Qing. He poked Chen Qing shyly and counterattacked: "Are you the one with black hair?"
Chen Qing shrugged: "Yes, I'm the one with black hair," she said, motioning towards Lin Su who was leaning on the sofa reading a book on the other side of the aisle: "There is another one with black hair over there."
Lin Su turned over a page of an MBA case material in her hand and said without squinting, "Don't take me with you."
Chen Qing smiled, remembering the scene when they were together with Simon.
If she knows a certain vocabulary, she can definitely apply it to Lin Su accurately, speaking with integrity. Although he said he didn't want to, in fact, among the two of them, Lin Su was the one who had true feelings for a certain man. However, it was obvious that this kind of feeling was destined to have no results.