Parental Love: Jiang Weimin's Life of Lying Down

Chapter 367 Qinglong Home Appliances

Shandong Provincial Party Committee Office

"Mayor Jiang, you know that many provinces are complaining that Qingdao is too tough!

You are only allowed to go overseas to earn foreign exchange. For those domestic cities that also want to develop,

But they didn't give him any chance and just killed him with one blow. This has a bad impact!"

The provincial party committee leader had a smile on his face.

Jiang Weimin smiled helplessly, "Leader, I have brought this complaint to you!"

The provincial party committee leader shook his head slightly and said half-jokingly and half-seriously: "You guys are monopolizing the benefits, how can you not make others jealous?"

Jiang Weimin's expression straightened up and he explained, "Leader, I didn't mean to stop them.

Think about it, even if I didn't stop them, the Japanese would not let them go easily.

This is the rule of the international market. Over the years, we and Japanese companies have invested a lot of manpower and material resources in research and development.

For domestic companies, those are astronomical figures.

The domestic patent field is not yet perfect. Many companies are sister companies. They want to use our technology.

Qingdao never said a word and even proactively provided chip support.

But if we go overseas without patent authorization, foreign companies will not be merciful. Then, won’t they have to spit out all the money they earned overseas?"

The provincial party committee leader nodded, but was a little embarrassed: "You know, people have come to me for help.

Their support is crucial to the development of our province and to my personal work. You have to help me think of a solution."

Jiang Weimin pondered for a moment and said slowly: "Qingdao is actually not afraid of domestic companies competing with us overseas.

This time, I want to make everyone understand that in order to develop internationally, we must follow new rules and not act blindly as we do in China. "

The provincial party committee leader agreed: "We really need to teach them a lesson, otherwise they will always be frogs in a well and unable to see the outside world."

Jiang Weimin continued, "How about this, leader. I will arrange for someone to call the Japanese companies to discuss the issue of patent fees.

Regarding some of Qingdao’s patents, we can waive the patent fees, but there is a condition: they must purchase our chips.”

The provincial party committee leader laughed and scolded: "You are very good at calculating. No matter how you calculate, you will not suffer any loss!"

Jiang Weimin smiled confidently: "This is the advantage of mastering core technology, which always makes us invincible."

The provincial party committee leader looked at him with appreciation and said, "Wei Min, it was a correct decision to let you be the mayor of Qingdao.

Look at the three major cities now, Beijing, Shanghai, and Qingdao.

Beijing is the political center, Shanghai is the financial center, and Qingdao is one of the most economically developed cities. You have made an indelible contribution to this achievement!"

Jiang Weimin quickly said modestly: "It is you, the leader, who has a unique vision and gave me the opportunity. You have also always supported the development of Qingdao."

The provincial party committee leader laughed and said, "I didn't expect that Wei Min, you have learned to flatter now."

After Japanese companies built DVD factories in China, they truly experienced the many benefits of setting up factories in China.

The labor costs here are low, the raw materials are affordable, and even taxes can be exempted, which greatly reduces production costs.

This also made them understand why, after years of competition with Chinese companies, Chinese companies are always confident in the face of price wars.

However, they soon faced a serious problem: the Chinese market had already been dominated by Super VCDs.

Moreover, the price is extremely low, so it is very difficult for DVD to expand the market.

What's more troublesome is that there are almost no distribution channels for DVDs in China.

DVDs in China are mainly sold in Qinglong Home Appliances, and after five or six years of careful planning, Qingdao's electrical appliances have already expanded their sales channels to third-tier cities.

This is due to the close cooperation between Qingdao and the supply and marketing cooperatives. Both sides have worked together to promote the transformation of the supply and marketing cooperatives.

Together, they created a comprehensive logistics system and opened Qinglong home appliance hypermarkets in various cities.

As soon as this hypermarket model was launched, it lowered the prices of all kinds of home appliances due to the scale effect.

Qinglong Home Appliances’ slogan “Qinglong goes abroad, international quality” is deeply rooted in people’s hearts.

Moreover, Qinglong home appliances are not only affordable, but also have very complete after-sales service and a dedicated maintenance department.

Jiang Weimin also communicated with the supply and marketing cooperatives and asked their employees to serve with a smile.

For existing employees who really cannot meet the requirements, temporary workers will be hired.

We must resolutely eliminate the old ideas of the supply and marketing cooperatives.

We must not damage the reputation of Qinglong Home Appliances.

As soon as Qinglong Home Appliances opened, it was warmly welcomed by consumers across the country.

As it only sells home appliances manufactured in Qingdao, Qingdao's market share in home appliances has gradually increased. In the television industry, the sales volume of televisions manufactured in Qingdao is already comparable to that of the leading home appliance company Sichuan Changhong.

The rapid expansion and high market share of Qinglong Home Appliances have put Japanese DVD companies under great pressure and they are shocked by the strong market layout capabilities of Qingdao DVD companies.

How can a new factory, without a mature logistics system and sales channels, compete with Qingdao's DVD companies?

Of course, Japanese companies will not sit idly by. After costs are reduced, they begin to take active action.

So Japanese companies started negotiations with domestic home appliance stores such as Suning and Gome, as well as dealers in various provinces.

In order to open up the market, we have to give up part of the profits.

Subsequently, a large-scale publicity campaign was launched.

In this way, Japanese companies are fighting on two fronts in the domestic and overseas markets and competing with all their might.

However, whether at home or abroad, they have always found it difficult to shake the position of Chinese companies. In the global market, Japanese companies ultimately only obtained a quarter of the market share.

Just when Japanese and Chinese companies were fighting each other, a DVD company emerged in China.

After integrating a lot of supply chains, the price of DVDs was reduced to 899 as soon as they were launched on the market. They quickly occupied a part of the market, and Qingdao and Japanese companies had to follow suit and reduce their prices.

Their chips are provided by the factory that Qingdao used to purchase foreign chips from.

Later, the factory relied on low prices to increase sales, and with high sales, it became inflated, and thought about going overseas to earn foreign exchange, and then it received sanctions.

Finally, the call was made to the provincial party committee leader.