Chapter 3186 Response Strategy

In the past year, Asda's mobile phone shipments reached 360 million units, ranking first in the world.

Samsung only shipped 280 million units, ranking second.

However, when it comes to revenue and profit, Asda is definitely not doing well. Although there is no exact financial data yet, summarizing Samsung's financial reports for the first three quarters, we can basically draw this conclusion.

The main reason for this is product positioning.

Samsung's mobile phone audience is also very wide, with high, medium and low-end models, playing the machine sea strategy.

However, the lowest-end model of Samsung is priced at nearly US$200, and the domestic price is 1,500 yuan. In the general classification of mobile phones in the industry, 1,000-2,000 yuan are low-end models, 2,000-4,000 yuan are mid-range models, and 4,000 yuan or more are high-end models.

Such a classification is a bit harsh for domestic mobile phones.

Because different countries have different consumption capabilities.

For example, in the African market, a $200 phone is considered a high-end phone, but in many European and American countries, it is the lowest-end phone.

The domestic standard has also been lowered.

In the past year, domestic smartphone sales were 400 million units.

Among them, models below 1,000 yuan reached 240 million units!

Of these 240 million units, about 50 million are contract phones sold by operators. Users only need to spend 300 or 500 yuan to own a good smartphone, but there is a minimum standard for monthly phone bills.

The actual selling price of these phones may be 3,000 yuan, 4,000 yuan, or 5,000 yuan, but they are also counted in the "thousand-yuan phones" and are not counted.

Remove this part, and there are about 200 million units left!

This means that half of the domestic smartphones are actually thousand-yuan phones, which are dominated by Xiaomi, Motorola, Huawei, ZTE, Lenovo, Meizu and other products. In this market, not only is there no Samsung, but it can be said that there is no pure foreign brand.

Motorola was acquired by Asda, and the business of low-end phones priced below $200 was transferred to China. It is a domestic manufacturer in foreign clothes. Motorola's overseas companies only participate in the operation of models priced above $200.

Only domestic mobile phone manufacturers can afford to play in this super-involuted market of thousand-yuan phones.

While waiting for Li Zairong, Zhou Buqi has been looking at various reports of Asda.

In the past year, Asda sold 360 million mobile phones, half of which were models priced below $200. And these 180 million low-end phones, that is, models priced between 800 yuan and 1,500 yuan, accounted for half of the domestic market.

This is a blank market for foreign mobile phone manufacturers.

They have no ability to participate.

It is all domestic mobile phone manufacturers who are in fierce competition.

It will inevitably lead to high sales, low income and low profits.

This part of the market is also the main space for Asda to promote MediaTek chips and self-developed chip phones in the future.

The current plan is to use self-developed chips for models below 1,000 yuan. For models between 1,000 yuan and 1,500 yuan, you can try to use MediaTek chips. When self-developed chips become more mature, more stable and more powerful in the future, they will definitely gradually replace MediaTek.

It will be like Samsung now.

High-end models use Qualcomm chips, and only mid- and low-end models have self-developed chips.

So there is a new ranking list.

In terms of sales, Asda is first, Samsung is second, and Apple is third.

But in terms of real strength, Asda still has a big gap compared to them, which inevitably leads to a gap in revenue and profit, mainly in technology, that is, chips.

Apple's self-developed chips are all used in high-end models, and the effect is very good, even better than Qualcomm's chips;

Samsung's high-end chips have been cut in half by the mobile phone business. High-end chips can be used, but the performance is much worse than Qualcomm. Therefore, Samsung's self-developed chips are mainly used in mid- and low-end models, and the core high-end series Galaxy all use Qualcomm chips;

Astar is the worst. Its self-developed chips can only be used in the lowest-end models. For slightly better models, it has to buy MediaTek chips. All mid- and high-end models have to rely on Qualcomm for supply.

And once Astar's self-developed chips are really promising and can really be used in models above $200, then the mobile phones with self-developed chips can be sold to the European and American markets, just like Samsung mobile phones.

This also means that it is necessary to negotiate with Ericsson and reach a settlement on intellectual property rights. Before that, there is no need to settle!

The general logic is that Astar will only pay patent fees to these developed markets if self-developed chips can make a lot of money in those developed markets. Otherwise, self-developed chips cannot even touch the threshold of developed markets, and they have to pay standard patent fees to patent holders in developed markets, which is too much of a loss.

I will give you commission only if you make me money; how can I give you commission if I don’t make money from you?

With this comprehensive consideration, Zhou Buqi had a strategy to deal with Li Zairong next.

At lunchtime, Lao Yan’s plane arrived first.

He returned to the capital from the south.

He went straight to the hotel and gave Zhou Buqi a big hug as soon as he saw him.

Seeing his fat body, Zhou Buqi said amusedly: "Old Yan, you have lost weight! People who start a business have to endure hardships and are constantly losing weight. What's going on with you? Have you become fat instead?"

Yan Guangming looked slightly embarrassed, "I went to the south. The food has changed. I'm not used to it."

Zhou Buqi joked: "I thought the two little nurses you hired did a good job and took good care of you, and their life was too satisfying."

"Hehe, it's not bad." Yan Guangming didn't care that Zhou Shaoning was there, and waggled his two fingers proudly, "Two!"

Zhou Buqi said bluntly, "You are so old, can you eat well?"

Yan Guangming said: "It's okay."

Zhou Buqi didn't believe it, "Have you taken the medicine?"

"How is it possible?" This is related to a man's dignity, and Lao Yan cannot admit it at all. "Just watch, wait a few months, and I will give you a nephew!"

Zhou Buqi coughed, "As long as she's not the eldest niece."

Yan Guangming burst out laughing.

Zhou Shaoning didn't know the inside story, so he asked confusedly: "What's wrong with my niece? Old Zhou, you are patriarchal!"

Zhou Buqi waved his hands repeatedly and stopped talking about the topic, "Come on, it's time to eat! I'm hungry!"

Yan Guangming didn't continue the topic. He intended to lead a red line between the eldest girl and Zhou Buqi, but he couldn't talk nonsense outside. It's not that he cares about face, he doesn't care about that. He is mainly afraid of affecting the personal image of Boss Zhou.

Yan Guangming changed the topic and asked, "Didn't you say that Li Zaiyong is here? He hasn't arrived yet?"

Zhou Shaoning said: "It's two o'clock in the afternoon!"

Yan Guangming was very happy, "Okay, after dinner, I will pick him up at the airport. Koreans love face, so they have to do a good job in welcoming and sending him off."

Zhou Shaoning nodded, "Okay."

Yan Guangming then asked: "How is the batch of goods I want? Don't delay me any longer!"

He was referring to the self-developed chips ordered from Asda, a total of 7.5 million pieces.

Zhou Shaoning said angrily: "You don't know?"

Yan Guangming shook his head and said: "I am no longer the vice president of Asda. I have also let go of Asda's supply chain business. I am now the chairman of Feige Group. These are two companies. The accounts should be calculated clearly, and the human relations should be sorted out even more clearly. "

Zhou Shaoning said angrily: "Don't do this! I don't know the specific situation. If you want to know, you can go to SMIC yourself and ask!"

Zhou Buqi listened and became curious, "The self-developed chip is manufactured by SMIC?"

"right."

"Are you able to pass the level?"

"Yes, self-developed chips are made using a 32-nanometer process, and SMIC was able to do it last year." Zhou Shaoning further explained, "SMIC can now manufacture 28-nanometer mobile phone chips, and has even received orders from Qualcomm. In terms of quality, No problem at all! And it’s much cheaper than TSMC and UMC.”

Zhou Buqi was very happy, "That's great!"