Extraordinary Genius

1404. Chapter 1404, Lenovo is not a good day.

Recently, Liu Chuanzhi’s work is also very busy, mainly because Lenovo’s computer has resisted the product challenges of Japan, South Korea and Europe and the United States, or the country’s help, but at this time Taiwan’s computer brand began to enter the China market on a large scale.

At this time, China’s relationship with Taiwan eased, and the market was opened to Taiwan. The original intention was to exchange and realize economic integration, thus assimilation of Taiwan.

But I forgot that Taiwan’s strong place, Taiwan is also very strong, but because Taiwan has some import advantages, in many products, it is more competitive than China products.

Among them, computers, especially laptops, have suffered the most.

The representatives are three brands, ASUS, Acer and BenQ, Acer and BenQ are also a Founder, or BenQ was a sub-Corporation of Acer, which was later separated.

ASUS is the world’s top motherboard supplier, accounting for more than a quarter of the world’s motherboard share. Since the beginning of the computer, notebook sales continue to rise, the momentum is very fast.

Acer and BenQ are a bit worse, but they also perform well, at least not worse than the manufacturers in Japan and South Korea. The production and sales of notebooks are also among the highest in the world.

As for the domestic market, there is another big computer brand called Shenzhou. This Patriarch is also a notebook computer. The price is very low. The computer with the same configuration is cheaper than Lenovo.

Lenovo itself is constantly reducing costs with its huge production and sales volume, and it is one of the best in the world, but I did not expect that the cost of this Shenzhou is even lower.

After Liu Chuanzhi’s research, I finally realized why Shenzhou’s cost can be so low.

First of all, Shenzhou is not exactly assembled. Putting together and assembling, belonging to the most downstream, that is, the bottom of the food chain, the lowest profit, the brand is not easy to do.

Like Intel, Chaowei belongs to the upstream, R & D, design and production, but their own brand of computer sales, is also very general.

There are also midstream manufacturers, such as Dongzhi, four stars, etc., they produce the main accessories, and then part of the research and development, part of the procurement assembly.

There are also top hardware vendors like Nvidia, who give up their chance to do PCs and concentrate on their superior products. They can also be said to be the main accessories of computers.

ASUS is an upstream manufacturer. They are one of the world’s motherboard manufacturers’ leaders. Their cost can be similar to that of Lenovo. Liu Chuanzhi is not surprised.

However, Shenzhou, the technology should be a lot worse, even if you want to do medium, self-developed some of the main accessories, and then rely on the advantages to produce computers, but they also have superior products.

Shenzhou has no advantage in any major accessories of the computer, and there is no product that takes action. As for the patents, there are some, but those patents are not worthy of others’ jealousy, and they can’t compare with Lenovo.

So how does Shenzhou control costs? One is that workers in their factories are paid less, which can reduce production costs.

Another one they don’t have a direct store, they are all franchise, and during the expansion period, the franchise fee is also very low, so that their franchise stores will expand rapidly.

And Shenzhou’s Executive gave all employees a big pie, and used the Lenovo Group as a template to paint cakes for employees, telling them that the hardships of the present will soon pass, and everyone will have original shares in the future. After the listing Everyone is at least a millionaire, so now their employees are paid very low, and the benefits are far from being comparable to the Lenovo Group.

As for the listing, Liu Chuanzhi believes that it is impossible for Shenzhou to succeed in IPO in a short time, because their books are not in line with the listing requirements, and another domestically reviewed IT company is more strict, and almost no investors believe that Shenzhou will Being able to stand still, may be short-lived and will soon be acquired by other manufacturers.

Last but not least, Liu Chuanzhi felt that Shenzhou relied on geographical advantage and was close to the port, so they often imported some goods.

What is the tail product? Some factories produce the product, but for some reason, the order is cancelled, resulting in a backlog of products. Or some factories produce products that do not reach their estimated sales, resulting in a backlog of products. There is also some reserved “loss”, which is a reasonable theoretical loss, but it is not that big.

There are many reasons for the tail goods, but it is undeniable that the factory will be eager to dispose of the tail goods. On the one hand, it can clean up the inventory, prevent the warehouse from being occupied, and prevent the waste of these materials. On the other hand, the realization of the goods is also an income, although this income is very low, but it is unplanned.

Now, Shenzhou not only buys some accessories for the end of the goods, but also assembles them into their own notebooks. Another way is to import the electronic components of the tail goods and then assemble the parts themselves to assemble the computer. This is what Shenzhou calls the independent research and development. They barely squeezed into the second echelon.

In the end of the goods, product quality can not be effectively controlled, so Shenzhou’s computer often bad, even the repair rate is very high, but the cost can really be 40% lower than their peers!

What is the concept of 40%, and now the profit of notebooks is only 10%, the profit of desktop computers is no more than 8%, and the profits are still gradually declining, because more and more manufacturers, More and more organizations are starting to lower their selling prices, and the costs of promotion, production, and sales are increasing rapidly.

Shenzhou’s most common notebooks cost 20% less than Lenovo, so they are so competitively priced. What others are pushing now is a selling point, cheap!

You sell 10,000 laptops, I only sell 8,000 or even 7,000. The performance parameters are still the same. How do consumers choose?

Even if my after-sales service is not good, how much can I repair a computer? What’s more, although the quality is slightly worse, the repair rate is high, it is not too high. This high is only relative to other brand notebooks, and even no more than some home appliances.

They also grasped the psychology of many users who like cheap products. After all, this is still a notebook, not a desktop computer, and it looks high-end.

Therefore, the domestic notebook has entered the pattern of the hegemony of the powers. Since Lenovo mainly targets the manufacturers of Europe, America, Japan and South Korea, it has neglected other brands, allowing them to quickly expand and take away a lot of Lenovo Group’s share.

In the desktop market, there are more and more assembly machines, especially those in the computer city. They give customers a cheaper machine, and the price is cheaper than Lenovo’s point-of-sale machine.

The means they use are also tying some of the goods. Anyway, the customer can’t see it anymore. If something goes wrong, they will be guaranteed.

The notebook and desktop markets were simultaneously challenged, which made the Lenovo Group passive. They are actively expanding to Europe and the United States, but they have not yet won it. The base camp has been attacked by others.

Just now, when Feng Yu proposed the tablet, he was reminded, why not a laptop with a slightly simple function? The price is cheaper, coupled with Lenovo’s brand and certain publicity, it is bound to sell well.

It’s just how to market, and he has a disagreement with Feng Yu’s opinion.

……

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