Chapter 2683 Sequelae

Yan Guangming has a very powerful advantage, and it is also the most valuable thing Zhou Buqi learned from him, which is that he is very self-aware, "Yes, there were some discussions within the company about OEM. How could I, a big boss, understand this?" , didn’t participate at all. I don’t know exactly what happened. Anyway, they made the decision and I will implement it. You can ask Lao Zhou for the specific situation, and I will be responsible for running errands. "

Zhou Buqi smiled and said: "The market share has expanded so much. It seems that this strategy is successful."

"Yes, it looks fine!"

Yan Guangming is the largest individual shareholder of Asda, with the same shareholding as Zhou Shaoning. However, he is not even ranked among the top five in terms of voice in the company.

He knows that his level and professional ability are not up to par, so he doesn't fight for power at all and just listens to the leadership's arrangements honestly.

Zhou Buqi nodded, "Many times, we can share adversity but not wealth. This is a philosophy that reflects human nature."

Yan Guangming's eyes lit up, "It's true!"

Zhou Buqi said: "Previously, the cooperation between Asda and Hyundai was in a very difficult but very promising situation. The cooperation between the two parties can be very pleasant. But now that the Motorola brand has been added, the market share has suddenly increased. More than double...you should have made a lot of money, right?"

"Well, it's quite a lot!" Yan Guangming knew this clearly. "In the past year, a total of 7.5 million OEM mobile phones were sold, with sales exceeding US$2.5 billion. On the surface, Asda's income is $370 million. More than $500 million, actually."

The cooperation model between Asda and Hyundai is to share sales revenue and net profit equally.

The ex-factory price of a mobile phone from Asda is 100 yuan, and Hyundai's sales price on the market is 200 yuan, which generates a profit of 100 yuan.

The two sides split it equally, each got 50 yuan.

In fact, there is room for both parties to operate in this process.

The ex-factory price of a mobile phone does not mean the cost price. Even if a mobile phone is shipped to Hyundai at the ex-factory price, there is still room for profit for Asda. Hyundai dominates the sales terminals, and there are many ways to obtain more non-book profits.

This kind of thing belongs to the gray area in business cooperation, and both sides turn a blind eye.

Zhou Buqi was a little shocked, "The small Korean market can create a profit of 500 million U.S. dollars. Asda made 500 million U.S. dollars, and Hyundai is estimated to make 500 million U.S. dollars... The total sales are only 25 Billion dollars, can it generate so much profit?”

Yan Guangming said with a smile: "You are an Internet expert, and you still ask me?"

"Oh! That's right! There's also Internet income!"

Zhou Buqi slapped his forehead and suddenly realized.

In addition to the revenue from selling mobile phones, the revenue from mobile phones also includes revenue from selling pre-installed apps on mobile phones, as well as financial income from upstream and downstream sales, and some income from intellectual property rights.

Yan Guangming said: "These 7.5 million mobile phones can generate a total revenue of approximately US$3 billion in the Korean market."

Zhou Buqi nodded, "Revenue of 3 billion US dollars and profit of 1 billion US dollars, that's about it."

Yan Guangming said "Yeah", "The prices in South Korea are so high, the social pressure on young people is great, and the monopoly of chaebols will also lead to larger profit margins. This is much more comfortable than selling mobile phones in the domestic and European and American markets."

"So the disagreement between the two parties is mainly due to the uneven distribution of accounts due to the increased income? Or is it that Hyundai is not satisfied with the current method of dividing accounts and wants a higher income ratio?" Zhou Buqi was a little unbelievable, "That's not true, right? ? Are people from the Zheng family so short-sighted?"

Yan Guangming is not even in the top five in the ranking of Asda executives. This issue is a bit difficult for him. "As far as I know, it seems that it is not a dispute over interests, but a disagreement in the supply chain. But you have to ask Lao Zhou whether this is the case. I came to South Korea to handle the relationship according to his requirements."

"Originally, in my plan, it was enough to OEM only Aster's high-end phones. Now that Motorola's mid-range and low-end phones have been added, it's not surprising that there will be some sequelae."

Zhou Buqi tells the driver to slow down.

We need to understand the situation clearly first, and then go to Hyundai to talk. He first asked his secretary Ning Lu to contact the Zheng family and ask them to send someone with enough authority to speak.

Then, Zhou Buqi called Zhou Shaoning directly and asked what the differences between Asda and Hyundai were.

It’s really not a contradiction in the distribution of interests.

Zhou Shaoning first eliminated the most worrying point.

Zhou Buqi breathed a sigh of relief and said with a smile: "As long as this is not the case, everything else is a minor problem."

Zhou Shaoning said: "It's not easy either. The other party wants to interfere in our supply chain selection."

"Ah?" Zhou Buqi was surprised, "Isn't it right? This doesn't seem to meet the conditions agreed before. Hyundai is only responsible for sales, and Asda is responsible for all finished machines."

"That's it..." Zhou Shaoning sighed, "I also have the responsibility to directly launch Motorola's low-end and mid-range phones, and also cooperate with modern mobile phones in an OEM model, which led to the follow-up A series of troubles."

Zhou Buqi asked: "What's going on?"

Zhou Shaoning said: "Originally, the market share of the OEM machines we cooperated with was less than ten points. When the share was low, there was nothing to worry about. But the launch of Motorola's mid-range and low-end machines suddenly caused the sales of modern mobile phones to skyrocket and occupied the market share. It has a 25% share of the smartphone market. Judging from the current trend, it may still grow."

Zhou Buqi smiled and said: "This is a normal phenomenon. Our mobile phones are not worse than Samsung's at all. In the Korean market, Hyundai's brand is not weaker than Samsung's. There is no reason why the sales of Hyundai's mobile phones should be so much worse than Samsung's."

Zhou Shaoning said: "In fact, in the past few years, there were some smartphone brands in the Korean market that were relatively competitive, such as LG mobile phones, which could compete with Samsung. But they will no longer be able to do so soon. This is related to the overall development of the Korean technology industry. , they all like self-research too much.”

"Yes, indeed."

Zhou Buqi also discovered this problem.

In the later Korean mobile phone market, Samsung's share was 84%, Apple's 15%, and all other mobile phones' share was only 1%. The reason why other local mobile phone manufacturers in South Korea are completely ruined is because they died in self-research.

Just like LG mobile phones.

Originally, the brand was good and the market recognized it.

If we continue to develop step by step, we can definitely have a place in the Korean market. However, LG had a serious strategic idea and started to develop its own products, and then it died.

Samsung can develop itself because its technological strength is strong enough. Even the processor chips it develops are not much worse than those of Qualcomm. We are among the top three in the world in many fields.

Samsung's mobile phones use a large number of core accessories developed by themselves. They have this strength and the mobile phones they make are excellent enough and competitive.

LG does the same thing.

It's okay in the early days.

In the early days of smartphones, everyone was at the same level, their performance was very poor, and the differences were not yet apparent.

However, with the development of smartphones, the top technology giants have quickly completed upgrades, and their performance has rapidly improved exponentially from generation to generation.

How can LG keep up?

At this time, LG was still doing self-research and using its own products, so the LG mobile phones it produced were far worse than its peers, and were beaten by Samsung mobile phones in all aspects.

It's over now.

Smashed the sign!

The market soon followed suit.