The marketplace is like a battlefield; there's no such thing as morality or immorality.
Cook smiled faintly:
"I remember the HTC G7 sold very well the year before last, even surpassing Samsung's flagship."
Yang Jianxin nodded:
"Yes, Chairman, Samsung felt threatened and, to curb HTC, directly cut off the supply of screens to HTC. Without screens, the HTC G7 ran out of stock. A legendary device, it died prematurely."
"Heh heh, this tactic is good and always works, especially against new companies like Xingyi Mobile. I don't believe they'll have a Plan B!"
Cook sneered:
"Next, let's study where exactly we should start!"
Yang Jianxin, eager to prove himself, said decisively:
"I've analyzed the xphone 1's supply chain: the screen is from Sharp, the processor, baseband, and power management chips are from Qualcomm, the RAM and flash memory are from Toshiba, the front and rear cameras are both Sony, and the battery is from BYD…"
"There's not much hope with BYD, but the other major suppliers all have potential. As long as the benefits are in place, we can try all of them!"
Cook, however, waved his hand:
"We can't try them all. We must first identify the supplier with the highest success rate for negotiations. If that doesn't work, then consider others!"
"Chairman is wise!"
Yang Jianxin continued to analyze:
"I suggest starting with Qualcomm. As long as Qualcomm cuts off supply, xphone 1 will be finished. Xingyi xphone 1's processor + baseband + two power chips, a total of four chips, are all from Qualcomm. Once Qualcomm cuts off supply, it won't be easy for Xingyi Technology to find alternatives! It would be a fatal blow."
Cui Hao was utterly speechless:
"Idiot! Qualcomm's dual-core processor and baseband rely entirely on xphone 1 for sales. If Xingyi Technology is offended at this time, and it fully shifts to Nvidia or Texas Instruments, who will Qualcomm sell its chips to later?"
Yang Jianxin was momentarily speechless: "…"
"Moreover, we Apple have our own CPU chips; it's impossible for us to use Qualcomm CPU chips. At most, we'd use Qualcomm's baseband chips. But merely baseband wouldn't be enough for Qualcomm to cut off supply to Xingyi Technology for our sake. On the contrary, Qualcomm not only wouldn't cut off supply but would also leak this matter, tell Wang Yi, and trade it for a favor! By then, we'd suffer even greater losses."
Yang Jianxin nodded repeatedly:
"Chairman, you are right; it was my oversight."
Cook also spoke:
"President Cui, which aspect do you think is more suitable to start with?"
Cui Hao thought for a moment:
"BYD and Qualcomm are out of the question, and other easily replaceable components are meaningless. We can only target screens, memory, or cameras."
"Regarding cameras, Sony dominates and has an absolute advantage. For the sake of its reputation, it probably wouldn't cut off supply to Xingyi Technology for Apple."
Cook strongly agreed:
"You're right, Sony's cameras are always in demand. Even we Apple cannot do without them; they certainly won't bend to our will."
"So what's left are Sharp's screens and Toshiba's storage. As for Sharp, it's hard to say. Our iPhones have always used LG screens; even if we say part of the next generation will switch to Sharp, they might not believe it."
Cook nodded:
"President Cui, your analysis is very correct. Xingyi Technology is a super large client of Sharp. We have cooperated with LG for many years, so it's difficult to offer Sharp enough benefits to make them cut off supply. So, all that's left is Toshiba's storage!"
"Excellent, I suggest starting with Toshiba. Previously, most of our Apple phones' flash memory suppliers were Samsung and Toshiba, while for the iPhone 4s, Hynix was the primary supplier, with Toshiba second."
Cui Hao explained in detail:
"Therefore, we can negotiate with Toshiba. As long as Toshiba agrees to cut off supply to Xingyi Technology, we can subsequently reduce our chip orders from Hynix and give them all to Toshiba! I believe Toshiba will consider such a temptation."
Cook smiled:
"Good idea, Director Cui. I didn't choose the wrong person to make you Director for the Huaxia region. Very good, excellent. This matter is in your hands; handle it quickly!"
"Yes!"
Cui Hao was in high spirits; this wave of crisis had passed.
Next, Cook's gaze fell upon Ye Ming and Yang Jianxin:
"You two, as President Cui's right-hand men, should assist President Cui properly, instead of jumping around like clowns!"
Hearing this, both of their expressions changed drastically.
Cook continued:
"Especially Director Yang, even if you want to scheme, you must first do your main job well. Look at the marketing department you are responsible for; how terrible are its results? Are you expecting the PR department to pull sales for you?"
"The Chairman is right to admonish me; I will formulate a brand new marketing plan right away!"
"It had better be!"
Cook snorted coldly, patted Cui Hao's shoulder again, and turned to leave.
Cui Hao and Ye Ming exchanged glances, both understanding Cook's meaning.
'I don't care who wins or loses in your internal struggles; I only look at performance!'
'Whoever can boost the sales of iPhone 4s in Huaxia will be the hero and get promoted. Otherwise, get out!'
Cui Hao took a deep breath and decisively had tickets booked, flying directly to Nihon that very night!
For such a critical and private matter, sending someone else wouldn't do; he, as the President of the Huaxia region, had to go personally!
…
Eleven o'clock at night.
Song Sining walked in excitedly, holding a report:
"Chairman, the first day's offline sales data for Zhenyou Beauty are out, and they sold very well!"
"Oh really?"
Wang Yi became interested, took it, and nodded:
"Not bad, the eye cream sold the most, with Meiyou Mall and thousands of physical stores selling over 20,000 bottles in total, generating over 10 million in revenue! Very good. Even the essence, despite its high price, sold over 10,000 bottles. And even the lotion and toner exceeded 7,000 bottles! All Zhenyou Beauty products combined generated over 30 million in total revenue! Very good, excellent."
Wang Yi was very satisfied with this achievement.
After all, it's a high-end series with a high premium, and he hadn't expected it to sell so well.
It was normal for Meiyou Beauty to achieve good revenue on its first day of listing, thanks to its more down-to-earth pricing and brand.
Zhenyou, positioned as high-end, also sold well, truly exceeding expectations.
Song Sining was in high spirits:
"As the founder of Estée Lauder's Advanced Night Repair, Schneider's new products are naturally highly regarded."
Wang Yi, however, waved his hand:
"That's one aspect. Besides that, there's also the credit of Xiao Li Zi. Although Xiao Li Zi is only the brand ambassador for Xingyi Technology, not Zhenyou, his appearance elevated the entire press conference's buzz and influence by several levels. Zhenyou also benefited from the association."
"Yes, many buyers of Zhenyou Beauty are Xiao Li Zi's fans. To support Xiao Li Zi, these people will not only buy Xingyi Technology's xphone 1 and x buds but also Zhenyou Beauty and Meiyou Beauty."
Song Sining said with a smile, then changed the subject:
"Chairman, but this time, why wasn't the lip mud launched?"
Song Sining was very puzzled.
The lip mud, after successful development, had not been released, not even at this Zhenyou Beauty press conference.
Wang Yi smiled faintly:
"The path to high-end isn't that simple. This time, Zhenyou became an instant hit by leveraging Schneider's identity as the founder of Estée Lauder's Advanced Night Repair, Xiao Li Zi's endorsement, and international R&D institutions. But what about next time? What can it rely on then?"
"By then, Xiao Li Zi won't be Zhenyou's endorser and won't stand for Zhenyou. The gimmick of the Advanced Night Repair founder also can't be used. And international R&D institutions can't be bragged about every day!"
Song Sining suddenly realized:
"So, Chairman, you've been holding back the lip mud specifically for Zhenyou's next high-end launch event, to make it another instant hit!"
Wang Yi nodded:
"Exactly. Next time, Zhenyou will rely on the brand new lip mud to solidify its high-end brand positioning! The newly invented lip mud will be enough to cause a global sensation and prove Zhenyou's strength!"
"As for the third time, we'll probably need to invite an international superstar of Xiao Li Zi's caliber as an endorser. And it must align with women!"
Wang Yi said calmly:
"As for the endorsement target… Taylor Swift?"
If Xiao Li Zi is a world-renowned international film emperor in Hollywood, then Taylor Swift is a Grammy music queen who has risen to immense fame.
Taylor Swift's influence is terrifying, and she will only become more popular.
In terms of peak popularity, she is even more brilliant and enduring than Xiao Li Zi.
After all, six or seven years later, Xiao Li Zi's physique had deteriorated, and he had given up on himself, but Taylor Swift was still incredibly popular.
Taylor Swift endorsing Zhenyou, that really works!
Regarding this, Wang Yi said with a smile:
"Zhenyou Beauty aims to be high-end, an international brand, to compete with Lancôme and Estée Lauder. The innovative lip mud is just the beginning; we'll also need to invite superstars for endorsement later. Sining, follow up and contact Taylor Swift."
Song Sining's eyes lit up:
"Chairman, do you mean to invite Taylor Swift to be Zhenyou's global ambassador?"
Wang Yi nodded:
"Exactly. After 'Scarlet Heart,' Liu Shishi became incredibly popular domestically, a definite A-list young star, and Zhenyou's influence in China is considerable. But overseas, it's useless."
Song Sining strongly agreed:
"Yes, Shishi's influence is indeed limited overseas. Taylor Swift is perfect, but it will cost a lot of money."
Wang Yi smiled faintly:
"It's fine. Taylor Swift's endorsement fee is much lower than Xiao Li Zi's right now, so it's manageable. But it'll be hard to say a few years from now."
Time is a mysterious thing; one is on the rise, the other is in decline…
Song Sining understood Wang Yi's meaning:
"Then I'll try to sign for more years."
"Okay!"
Currently, Xiao Li Zi's single-category endorsement costs five million USD a year, and Wang Yi offered eight million USD for an all-category endorsement, which was a good deal.
And Taylor Swift's current endorsement fee is only half of Xiao Li Zi's, about two million USD a year, which is over ten million RMB.
The pressure is still manageable.
But it's hard to say about the future; for example, in three years, Taylor Swift's fee could be five million, or even ten million!
As a reincarnated person, Wang Yi knew Taylor Swift's future earning potential.
"Alright, work matters are done; it's time for serious business!"
Wang Yi looked at Song Sining, his gaze becoming very gentle.
"???"
"Serious business? What serious business?"
While Song Sining was bewildered, she was already picked up around the waist by Wang Yi, who headed towards the bedroom.
Being heavily dropped onto the bed, Song Sining was utterly speechless:
"This is serious business?"
"Of course, Brother Xun said that both career and love are serious business!" Wang Yi said earnestly.
"Brother Xun said that?"
Song Sining rolled her eyes:
"I think you're just a big pig's trotters; you're just lusting after me!"
"Then do you lust after me?"
Wang Yi teased.
Song Sining's face flushed crimson.
She said nothing, but leaned in, proving everything with her actions…
Downstairs, Wu Shuang stared at the ceiling and pouted:
"Are those two upstairs sleeping in two rooms, or one room?"
"Hmph! It must be one!"
"I don't believe there can be pure revolutionary friendship between men and women!"
"Besides, Chairman Wang is so handsome and talented, what woman wouldn't like him?"
"Sure enough, this sound…"
"Bah! None of my business, sleep, sleep!"
But unfortunately, Wu Shuang tossed and turned, unable to sleep…
It wasn't until the next day, when both Wang Yi and Song Sining were up, that Wu Shuang, sporting large dark circles under her eyes, emerged from her room with a resentful expression.
"Wu Shuang, why that expression? You look like someone owes you a million!"
Wang Yi said with a smile.
Wu Shuang was utterly speechless, thinking to herself:
'You two have the nerve to say that…'
But considering Wang Yi gave her an annual salary of 400,000, she still forced a smile:
"It's nothing, I just didn't sleep well last night, Chairman. It's no big deal."
"Well then, since I'm not going out today, you don't have to follow me. Go catch up on some sleep!"
Wang Yi patted Wu Shuang's shoulder.
"Thank you, Chairman!"
Wu Shuang's spirits soared.
The Chairman is still very thoughtful and caring!
But what's with the attitude of caring for a big brother?
Does he really not see me as a woman?
Wang Yi, unaware of Wu Shuang's grumbling, had some breakfast with Song Sining in the cafeteria and headed straight to the mobile phone department.
Zhu Changlin had already arrived.
He was eating youtiao, looking at data, and occasionally giving instructions.
Other employees had also arrived, eating, looking at data, and analyzing it.
Wang Yi checked the time; it was only 8:30!
Tech companies start work at nine, so 8:30 was already very early.
Wang Yi had checked attendance; the entire mobile phone department was like this.
Although not explicitly stated, everyone arrived at their posts half an hour to an hour early.
Then, instead of eating in the cafeteria, they'd buy some breakfast, come to the department, and eat while analyzing and discussing data.
This had become a unique and beautiful scene in the mobile phone department.
Many good ideas and thoughts were communicated this way.
xphone 1 sold well nationwide, becoming Xingyi Technology's most profitable business, and the mobile phone department was greatly responsible for this.
But they didn't get carried away; instead, they remained as diligent as before.
From Zhu Changlin down to ordinary employees, this was the case.
This made Wang Yi very satisfied.
Zhu Changlin took a bite of youtiao and said:
"With Xiao Li Zi's endorsement, xphone 1 sales will undoubtedly skyrocket, but consumption capabilities differ from city to city. The marketing department must constantly monitor inventory in various cities, allocate resources promptly, quickly replenish stock where it's low, and absolutely prevent stockouts."
"Furthermore, there must be no situations where some cities have excess inventory while others experience long-term stockouts! If this occurs in any region, that person's performance for the month will be at the bottom!"
"Yes!"
Everyone responded one after another.
Once performance hits rock bottom, it affects not only that month's income but also the year-end bonus.
The performance for the year-end bonus is precisely a weighted average of each month's performance!
It would be more loss than gain.
It was precisely Zhu Changlin's constant control and high demands that enabled Xingyi Mobile's marketing department to operate rapidly and allocate goods promptly.
Watching this scene, Wang Yi smiled:
"Old Zhu, well done."
"Chairman, you're here!"
Zhu Changlin was a little embarrassed and quickly put away his youtiao.
Others also changed their expressions drastically and decisively cleared their desks.
Wang Yi waved his hand:
"Everyone just continue; there's still half an hour until work starts, so eat away!"
"Thank you, Chairman!"
Everyone smiled.
"Everyone did well last month; let's keep up the good work this month!"
"Yes!"
Afterwards, Wang Yi called Zhu Changlin into an office:
"Old Zhu, how are the preparations for the Mobile World Congress going?"
"Chairman, everything is ready. The invitations for MWC 2012 and the exhibition hall are all prepared, just waiting for February 27th to open!"
Zhu Changlin took out a document:
"Chairman, due to the excellent performance and terrifying sales of xphone 1, the Mobile World Congress has given us a very good location. The surrounding exhibition halls are Apple, Samsung, LG, Sony, and HTC. They've placed us alongside a host of international major brands."
"Oh, and our exhibition hall is directly opposite HTC."
"Oh? Right opposite HTC!"
Wang Yi frowned slightly:
"Old Zhu, what do you think will happen?"
Zhu Changlin thought for a moment:
"Given Shopkeeper Wang's style, they will likely use their new quad-core flagship to overshadow our xphone 1!"
"After all, the hottest phone right now is xphone 1, which has even made the iPhone 4s look bad. If HTC's new quad-core flagship can crush xphone 1, then it will naturally gain the most traffic and sales!"
Wang Yi nodded:
"That's right, in this day and age, he who gets the traffic gets the world. Since that's the case, let's bring our quad-core flagship too!"
"Chairman, do you mean to launch and list it directly?"
Zhu Changlin was startled.
Wang Yi waved his hand:
"We'll do the same as HTC: announce it first, but not list it. We'll announce it at the end of February, with the listing date set for the end of April. HTC wants to step on Xingyi Mobile to rise to the top? No way!"
"Okay, Chairman, then I'll bring a batch of xphone 1 pro demo units over and release them along with the Xingyi pad!"
Zhu Changlin said, still a little worried:
"But if xphone 1 pro is released, will it affect xphone 1's sales?"
Wang Yi thought for a moment:
"If xphone 1 pro is priced low, it will have an impact; if priced high, the impact will be small. Firstly, the Mobile World Congress is held in Barcelona, and most domestic users won't know about it, so they'll still buy xphone 1 as usual."
"Secondly, xphone 1 pro is much more expensive than xphone 1 and is aimed at the high-end market. When ordinary users see that price, they will give up on the pro and choose to buy xphone 1.
As for affluent users, they would have already bought xphone 1, and buying xphone 1 pro then would not be an issue. As long as there's a significant price difference between the two, it won't be a big problem."
"I understand, Chairman. So how should we set our pricing?"
Wang Yi asked in return:
"What do you think the price of the HTC One X will be in Europe and America?"
Zhu Changlin thought for a moment:
"As the world's first new quad-core flagship, the HTC One X certainly won't be sold cheaply. It will be at least the same price as the iPhone 4s, or even a bit more expensive. Based on my understanding of HTC, their pricing in Europe and America might be around 599 Euros, which is over 5,000 RMB, similar to the iPhone 4s. In mainland China, it will likely be about 10% more expensive. So, the overall price range would be around 5,000-5,600."
Wang Yi nodded:
"That's close to what I thought."
He recalled that the HTC One X was priced at this figure, slightly more expensive than the iPhone 4s.
Wang Yi remembered distinctly that HTC was so arrogant back then, even more expensive than Apple.
"Since HTC's quad-core flagship is priced at 5,000-5,600, and our xphone 1 pro is better and more perfect, its price cannot be low!"
Wang Yi said decisively:
"Europe and America… damn it, it can't be sold in Europe and America!"
Zhu Changlin: "…"
Wang Yi sighed:
"Let's start at 4999 domestically, plus a dual membership worth three hundred, which makes it effectively 4699!"
Zhu Changlin's expression changed slightly:
"Chairman, this price is a bit high; I don't think sales will explode…"
Wang Yi waved his hand:
"It's fine. With Xiao Li Zi's endorsement, xphone 1 pro is positioned as high-end and cannot be sold cheaply. As for mass sales, there's still the xphone 1 at 3299!"
"The xphone 1 will drive volume at over three thousand, and the xphone 1 pro will target five thousand, aiming for high-end!"
Zhu Changlin understood Wang Yi's plan:
"And being 1700 more expensive, it won't affect xphone 1 sales!"
"Exactly, that's the point."
If the difference was seven hundred yuan, then xphone 1 wouldn't sell well, and many people would wait for xphone 1 pro, as it would only be seven hundred yuan more.
But with a difference of 1700 now, it's not just "about the same" anymore.
On the contrary, it's more than half as expensive!
Therefore, those with means will go for the Pro, while regular users will still opt for the xphone 1 directly, thus not affecting xphone 1's sales.
Wang Yi sighed:
"The most troublesome issue is still patents. If it weren't for patent issues, xphone 1 could sell 50 million units globally in a year!"
But unfortunately, with patent restrictions, it would be hammered if released abroad.
Even with Wang Yi's preparations, it still wasn't enough.
It's worth noting that, just like in his previous life, the 4G international standard was determined on the eighteenth of last month, and it's still LTE.
The core LTE patents that Wang Yi acquired ahead of time have now skyrocketed in price, becoming Xingyi Technology's patent moat.
This makes Xingyi Technology's number of 4G core patents in China rank third nationally, only behind Huawei and ZTE.
However, on a global scale, it's still not enough.
Currently, Qualcomm holds 14% of 4G core patents, ranking first.
Interdigital P and Interdigital T from the Empire hold 13% and 10% of the patents respectively, ranking second and third.
Nokia and Samsung hold 9%, tied for fourth.
Huawei and Ericsson hold approximately 8%, tied for sixth.
ZTE 7%, eighth place.
…
Xingyi Technology 3%, not in the top ten.
After spending over a billion, acquiring numerous LTE-related patents, Xingyi Technology directly holds 3% of the world's LTE patents!
Such a grand gesture shocked the world.
But this is still not enough.
To go international and deal with patent lawsuits from Apple, Samsung, and Nokia, further investment in R&D is needed.
Fortunately, Xingyi Mobile also acquired some patents in other areas.
In addition, Wang Yi established a 4G R&D Center and a Patent R&D Center, investing heavily, recruiting talent, continuously developing new patents and technologies proposed by Wang Yi, and applying for some patents.
Once all these patents are approved, the number of patents held by Xingyi Technology will increase significantly.
By then, they wouldn't be afraid to go head-to-head with Apple, Samsung, and Nokia.
Then it could be sold globally directly!
The road ahead is long and arduous!
However, the future is bright.
Wang Yi patted Zhu Changlin's shoulder:
"We also need to redouble our efforts on patents to make Xingyi Mobile internationalize sooner!"
Zhu Changlin nodded:
"Chairman, I see that the R&D team's workload is not saturated enough. They can easily get S-level performance and four or five months' worth of year-end bonus in the mobile phone department; it's too easy. I suggest adding patent R&D indicators to the R&D department's KPI assessment!"
Wang Yi: "…"
(End of Chapter)
