Rebirth in a Perfect Era

Chapter 512: What a mess

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Taobao was very busy. Just as Li Mu and Brother Liu were preparing for the final launch of Taobao, domestic MP3 manufacturers launched a heated discussion on Yiting.com and Mango-ME. Mango-ME was obviously It is a spoiler that comes to steal everyone's jobs. This kind of spoiler will not be welcomed by any company in the industry. On the contrary, its appearance has made the major manufacturers who were fighting back and forth every day suddenly become an unbreakable alliance. , everyone has a firm belief that no matter how they competed before, they should unite now and come up with effective countermeasures to curb the development of Mango-ME.

The MP3 brand in Yanjing held an industry meeting. Early in the morning, the heads of more than a dozen MP3 brands met at the conference center of a star hotel in Yanjing. As soon as the participants arrived, everyone started a heated discussion. First of all, everyone wants to know whose company this new Mango brand belongs to.

Not long after Mango-ME launched its online promotion, no one in the MP3 industry knew the origin of this brand. A few capable industry bosses asked people around and couldn't find out the reason. However, Yiting.com and others did. You know, this company jointly held by Makino Technology and Baidu can be said to be the mother-in-law of the MP3 industry.

Before Yiting.com exposed Mango-ME, the entire MP3 industry regarded Yiting.com as the savior and promoter of the industry. If not for the emergence of Yiting.com, I am afraid that the spring of MP3 would have to wait for a while longer. Everyone has been rejoicing. , there is such a dominant MP3 listening and downloading website on the Internet, which has brought more users into contact with digital music, and then gradually gave up traditional playback equipment such as cassette players, Walkmans, and CD players. Digital equipment has destroyed traditional equipment. It is extremely powerful. Once users are exposed to digitalization, they will soon be attracted by the many conveniences of digitalization, and digital devices will become more and more popular.

But I didn't expect that Yiting.com, an industry promoter, would turn into everyone's biggest competitor at the moment, and it would also come up with a product that looks almost perfect, and even the price is so perfect.

At the meeting, everyone in the MP3 industry was wondering how Mango-ME was priced at 368 yuan.

The person in charge of the MP3 brand that sells more than 200,000 units a month said: "We currently customize 64MB MP3s from the foundry. The cost must be more than 300 yuan, and the terminal price must be more than 500 yuan. In order to ensure that channel dealers have profits, Our selling price will never be lower than 500 yuan. As long as it is lower than this price, either we will lose money, or the channels and dealers will lose money, but how did Mango achieve the price of 368?"

The person in charge of Patriot was equally puzzled: "In order to compete with Korean brands, we lowered the profits of all aspects, and then reluctantly lowered the sales price of 64MB terminals to less than 600. This Mango-ME is more competitive than us with Korean brands. Even more ruthless, his selling price is estimated to be thirty or forty yuan higher than the cost price. If such a small amount of money includes the cost and tax rate of each link, they will have to lose at least hundreds of yuan for every unit they sell. , the question is who would do this? Isn’t this mentally ill?”

"We now have to figure out whether the price of 368 is set by Mango or Yiting. If it is set by Mango, then he is indeed mentally ill, but if it is set by Yiting.com, then it is It does not mean that Yiting.com only customizes products from Mango, and Yiting.com will handle other aspects by itself. Mango only needs to be responsible for shipping, and all channel costs are borne by Yiting.com.”

"Where did Yiting.com come from such a large channel?" said the person in charge of Lenovo's MP3 section: "Everyone here is an old man in the industry. Everyone knows how difficult it is to build a nationwide sales channel at the moment. It's okay for us. Some, at least in the PC field, we already have complete sales channels, but for a brand that specializes in MP3, the difficulty and cost of establishing channels are too great."

Someone answered: "I don't understand it either. We have been asking around for the past two days and haven't heard any news so far. It seems that Mango-ME will be released in a few days, but their sales There is still no movement in the channels. Our dealers are located all over the country, and we have agent counters in almost every electronic city, but so far, we have not seen even a billboard related to Mango-ME."

The person in charge of Patriot said: "It is no longer meaningful for us to study what channels they use for sales. Now it is how we deal with Yiting.com and Mango-ME. Our terminal sales data have continued to decline in the past two days. As soon as Mango-ME's advertisement was launched, our sales dropped by almost 60%, which had a huge impact on us."

Although there is competition in the original market, everyone competes according to market rules, which can be considered fair and friendly. However, the emergence of Yiting.com and Mango-ME are simply aiming to kill people. If If Mango-ME is really sold at this price, other brands will really have no way to survive.

"Our terminal sales have dropped by 70% in the past two days!" the person in charge of Founder said angrily: "Whether it is the price of 368 or the stunning appearance, Mango-ME has successfully attracted the attention of all potential MP3 users. This is It can be seen from their reservation number. I took a special look before I came here this morning. The number of reservations has exceeded three million. It should be that potential MP3 users across the country are paying attention to Mango-ME and placing their hopes on it. You can buy it on the 6th, but fortunately, the first batch of Mango-ME is only 100,000 units. After these 100,000 units are digested by the market, other users will still have to settle for the second best and choose our products."

The person in charge of Lenovo suddenly lit up and said, "Does anyone know what the production process of Mango is? Do they have their own production line? If not, which company did they find for OEM? Currently, China, Taiwan and even South Korea OEMs cooperate with everyone, especially the OEM production lines in Mainland China and Taiwan. Basically 80% of the production capacity is given to everyone here, including us at Lenovo. If we can find Mango's OEM, with our joint The influence exerts pressure on the manufacturer and can certainly strangle it by the throat.”

A word to wake up the dreamer.

The words of the person in charge of Lenovo made everyone immediately realize the turning point. As long as the production of Mango is curbed, there is no need to worry about the price it sells, because the market demand is there, and the demand is growing, and the price of Mango will be higher. The advantage is that if its production capacity is insufficient, most users will still need to buy products from other brands.

The person in charge of Lenovo continued: "According to general estimates, this Mango should not have its own production capacity. As long as we find their OEM and then collectively put pressure on the OEM, we may completely cut off their supply. In this way, If they do, they will have no chance to get up. If they turn to preparing their own production lines, it will probably be next year or the year after that when their products are launched."

Everyone immediately became excited. Everyone had been disrupted by Mango-ME recently and believed that they and the entire industry were facing a fierce invader. But now after everyone sat together to discuss, everyone realized that even if Mango-ME has With such a low price and such strong competitiveness, it still has huge shortcomings. Once its production capacity cannot keep up, it will be like an armored vehicle that has run out of fuel. No matter how powerful it is, it may only be able to stay put. Nest, unable to move.

At the same time, the two companies in Mainland China and Taiwan that manufacture Mango are also quite anxious.

When they signed the contract, they were only responsible for on-demand production, but they did not know the customer's future operation strategy. After Mango-ME's advertisement was posted, the manufacturer realized that the company they were working with had the ambition to subvert the industry. This pricing of Mango-ME will undoubtedly become the enemy of the entire industry, and most of their orders and profits come from other brands. They also realize that if Mango-ME goes on the market, if the profits of other brands are greatly affected, If they knew that they were Mango-ME's foundry, they would definitely come to investigate.

Unexpectedly, this idea soon became a reality.

Dozens of MP3 manufacturers worked together to search for clues. In just one morning, two companies from China and Taiwan that were OEMs for Mango were dug out. Subsequently, every company that had a cooperative relationship with them sent letters accusing the two companies. The company is helping the trouble and has given an extremely tough solution: if they do not stop manufacturing for Mango immediately, other companies will jointly terminate their OEM contracts with them.

The two OEMs feel as depressed as dead dogs. Does Mango have anything to do with itself in engaging in a price war? Why do so many manufacturers unite to put pressure on themselves

Not only are these major OEM customers questioning themselves, but even their peers who are also engaged in MP3 OEM are questioning why they want to cooperate with an industry disruptor like Mango. If Mango really destroys the industry, or destroys it, In the future, the profit point of the industry will be reduced to an extremely low state. Not only those MP3 brands will suffer losses, but also OEMs like them.

Only then did the two OEMs realize that when the industry knew that they were OEMing for Mango, they had already become public enemies in the industry.

They can ignore the clamor and protest of their peers, but these combined manufacturers basically account for all their orders except Mango. If they really terminate the cooperation, then they will really mess up the next step. At that time, the two foundry companies had only one idea in mind, hoping to cut ties with Mango as soon as possible. No one wanted to become a public enemy in the industry because of Mango.

Working as an OEM for Mango is not much more profitable than working for other brands, and you are also being besieged by other brands. The two OEMs are also suffering in their hearts. They feel like they have been cheated by Mango, or they have been cheated. Mango was implicated. For them, the best solution in their minds was to stop cooperating with Mango after the completion of this batch of goods. But then they realized that they each had Makino Technology 100 OEM contract for tens of thousands of Mango-ME units.

Lin Qingya's original trap for these two foundries was to prevent them from going back on their word. Makino Technology paid a deposit of more than 20 million yuan at a price of ten yuan per unit. If the two companies wanted to go back on their word, they would have to pay ten times the amount. The deposit, as liquidated damages, adds up to nearly 300 million. They can't even afford to pay so much money...

Ashamed, I wanted to squint for a while yesterday, but ended up falling asleep... I got up early this morning to code, striving for the third update.

(End of chapter)