Chapter 365 DVD Release
Chapter 365 DVD Release
Chapter 365 DVD Release
With Jiang Weimin's two strategies at home and abroad, the sales of VCDs in China and abroad have been rising steadily.
Jiang Weimin's strategy made Japanese companies anxious before DVD products were launched.
Jiang Weimin's overseas strategy is likely to affect the sales of DVDs after they are launched on the market, but there is nothing he can do about it in Japan as mass production of the product will take time.
Jiang Weimin took advantage of this time difference to quickly increase the market share of Qingdao VCD, thereby reducing the potential DVD purchasing population.
For most ordinary consumers, once they buy a Super VCD, they are unlikely to buy a higher quality DVD in the short term.
Although this is only a stopgap measure, even a temporary delay can buy valuable time for the research and development of China's lithography machines.
Before DVDs were launched in Japan, VCD sales had reached nearly 800 million units in just half a year, more than the annual sales in 95.
One of the important driving factors was the gift of an electronic appliance worth US$100 when purchasing a Super VCD.
Moreover, these gifts are calculated based on domestic Chinese prices; the same electrical appliances are worth twice as much in foreign markets.
As a result, the actual price of a Super VCD is only US$300, and its extremely high cost-effectiveness has attracted the attention of countless consumers.
Qingdao Mayor's Office
"Mayor, the Japanese DVD is on the market and the price is 490 US dollars." The secretary walked into the office and reported the latest market trends to Jiang Weimin.
"It is planned to be launched simultaneously with the price in Japan."
"Mayor, there is one more important thing. The chip manufacturer said that the lithography machine is broken and it will take at least two months to repair it!"
"Okay, I got it. We will ship the products to the agents according to the planned quota. Contact other chip manufacturing companies to see if they can start production as soon as possible!"
"We are already communicating, but other companies said that a batch of orders are being expedited and will take several months to produce.
If you want to manufacture chips, you need to queue up and pay a deposit.”
"Keep communicating! China is such a big market, I don't believe they are monolithic. There will always be companies that will give in for the sake of profit!"
In fact, Jiang Weimin had noticed Japan's small moves since the beginning of the year.
Originally, the procurement of spare parts for some lithography machines was relatively loose. However, suddenly, the sale of all spare parts related to lithography machines was banned, which slowed down the research and development progress of lithography machines.
Now, at the critical moment when DVD is urgently needed to expand production before it is launched, Qingdao's DVD production is suppressed.
This series of actions made Jiang Weimin deeply realize that Japanese companies would never compete fairly and justly with Chinese companies in the market.
With the official launch of Japanese DVDs, Jiang Weimin decisively adjusted his overseas market strategy.
The prices of the two VCDs were reduced by another $100.
The purpose of this price reduction is to further enhance the price competitiveness of Chinese VCD in overseas markets and to cope with the impact of DVD on the market.
Overseas
In a shopping mall,
A mother came with her child to buy DVDs. On the shelves of the mall, VCDs and DVDs from China and Japan were neatly arranged.
Seeing the mother and son coming over, the shopping guide hurriedly greeted them and said, "Hello, are you looking for a video camera?"
"Yes, our child wants to buy the latest DVD."
"There are two brands of DVDs, one Chinese and one Japanese. Which brand do you want?"
“Which one is cheaper?”
“Same price!”
After thinking for a moment, the boy chose the DVD made in Japan.
Just as the mother and her son were about to pay, she saw someone taking a Super VCD to pay and asking the waiter for a gift.
The mother immediately asked the salesperson, "Are there any gifts with the DVD we bought?"
"No, only Chinese VCD products have free gifts." The shopping guide replied politely.
"Is there any difference between these two products?" the mother asked.
“DVDs can play DVD discs with clearer images, and DVD discs have more storage space.
However, DVDs have just been released, so there are relatively few DVD discs and they are more expensive.
But DVD can play all VCD discs. You can compare them by looking at the movies currently being played in stores. "
The shopping guide explained the differences between the two products in detail.
The mother watched two movies on TV and saw that there was indeed a difference in picture quality.
"DVD images are indeed much clearer, but how much do they cost? How much is a VCD?"
"The price of a VCD is $399, the price difference is less than $100, but when you buy a VCD you get a $100 Chinese small appliance for free."
Then the mother came to the gift area and saw the dazzling array of gifts. She couldn't help but exclaimed:
"This appliance is so cheap! It's half the price! And you can choose two small appliances for $100."
"I guess Chinese home appliances have just entered the market, and this is probably their promotion! Of course, I don't know what the quality is like!"
“It’s a gift anyway, so it doesn’t matter if the quality is a little worse!
I bought Super VCD, just in time, I heard that the air fryer is very useful,
I'll choose an air fryer, and get me a bread machine!" the mother said excitedly.
"Mom, I want a DVD!" the son muttered reluctantly.
"Why buy a DVD? Aren't VCDs good enough? The picture quality isn't much different. Didn't you hear the salesperson say,
There are too few DVDs on the market, and buying DVDs is a waste.”
Finally, the son couldn't persuade his mother and bought the Super VCD.
The mother was delighted. Not only did she save $100,
I also got two electrical appliances for free, which is equivalent to buying a VCD for 100 US dollars. I felt particularly happy.
The sales data for the first month came out, with Japanese companies winning orders for 100 million units in overseas markets, while Chinese DVDs only received 50 units.
However, it is gratifying that China's Super VCD has caught up with Japan's order volume.
Subsequently, DVD sales began to decline gradually because there were few DVDs available for playback on the market and there was no absolute advantage.
Moreover, the first batch of consumers who bought DVDs were consumers of cutting-edge technology, seeking a better viewing experience.
The main reason is that the price of DVD discs is several times that of VCDs, which makes ordinary consumers not very eager to change or buy.
What the Japanese companies did not expect was that China only produced one DVD disc during the entire sales process, which was Qingdao's most successful animated film "Zerg Invasion".
There was no subsequent initiative to develop the DVD market, which was also Jiang Weimin's strategy.
The number of chips purchased was originally small, so why should we help Japanese companies pave the way?
Wouldn't it be better to let Japanese companies open up the market in the front and Qingdao pick up the ready-made ones in the back?
Seeing that Chinese companies were not taking any action, Japanese companies could only speed up the layout of supporting industries on their own.
Jiang Weimin is waiting for time, waiting for the lithography machine, and waiting for the market to mature.
Jiang Weimin wants to get at least half of the market worth nearly 10 billion US dollars every year.
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