Chapter 359 The wool is out of the pig’s body
“Before the establishment of Torch Group, I have said that this is an industry that competes with developed countries for costs and with countries with low labor costs for technology. It is also the future of Torch Group. Advantages in the global lighter industry!”
A few people were sitting in the pavilion of Yuhe Leisure Resort, tea was boiling on the small stove, and the entire Yuhe Leisure Resort had a panoramic view.
Looking around, you can see that the scale of Yuhe Leisure Resort has expanded somewhat compared to summer, and a few kilometers away, a large construction site is also in full swing amidst the roar of machinery. is going on, it is a project of Binh Duong Animal Park.
In addition to these two places, there is a new road running through Yuhe Leisure Resort and Binh Duong Animal Park, which is also under construction. This new asphalt road connects provincial capitals, businesses and many other places. , to prepare for the arrival of users from several cities in the future.
Of course, the money for road construction must have come from Pingyang. After all, in Hanxi, the only place in Hanxi that can spend large sums of money to invest in infrastructure, except for the provincial capital, is Pingyang.
In addition, expansion space has been reserved around Yuhe Leisure Resort and Binh Duong Animal Park, leaving land for the introduction of other projects in the future.
This was due to Li Dongling's suggestion, and it was actually the decision made by Yao Zhengru. In the past few years, he had read a large number of books on urban planning and changes in America, Japan, and Europe.
The big projects that Yao Zhengru set off in Pingyang were not all done for merit. He wanted Pingyang to become a pearl in his official career, so he spent a lot of money on it. A lot of thought and energy was put into not only road construction, but also underground drainage systems and other pipelines.
Withdrawing his gaze, Li Dongling said to Yao Zhengru, Wu Yaoguo, and Zhang Xiaocheng, "We all know the purpose of establishing the Torch Group!"
When the Torch Group was first established, it was at that time that Li Dongling was planning to set up Dongling Hi-tech's overseas sales channels and acquire electrical appliance shopping malls in France. In order to build Wanjia Electrical Appliance City, it would cost more than 200 million US dollars in foreign exchange!
This foreign exchange may not be much in future generations, but now it is a huge sum of money. There has never been an overseas acquisition case of this scale in China before.
The purpose of launching the Torch Group is to obtain foreign exchange support from the Foreign Exchange Department, Economic and Trade Commission and other departments for Tanglin Hi-Tech. This pie is much larger than the US$200 million in foreign exchange.
If it can really meet expectations, then this project will be a large project that can provide tens of thousands of jobs. Within three years, the annual export can reach 1.5 billion lighters. Compared with the foreign exchange of 200 million US dollars, the profit There are many more!
“There are not many opportunities left for Torch Group. If it fails to take an absolute advantage and grab enough market share in the early stage, it will be a failure for Torch Group!”
Li Dongling turned the teacup in his hand, "In the early stage, Torch Group entered the mass lighter consumer market and needed to win with quantity. Only with sufficient sales can Torch Group reduce its production costs and gain more profits!
< br>Then distribute more profits to dealers, seize more markets, and increase more sales. The cycle continues until we dominate the lighter market all over the world.
With mass-level lighters! Based on the basics of the consumer market, in the future, Torch Group can transform and upgrade, enter the mid-range and high-end lighter market with higher profits, or launch other products as planned!”
In the end, Li Dongling’s plan for Torch Group is, Just like the original Tanglin Hi-Tech, we first found a basic base.
Just like the ancient heroes competing for the world, I have never heard of any rogue bandits who can sit on the throne of the emperor and compete for the world. They must have their own territory, people, money and food, otherwise they will never be able to achieve anything. .
For Donglin Hi-tech, digital cordless phones are the basic foundation of Tanglin Hi-Tech. Now in the global digital cordless phone industry, the Shenzhou brand occupies half of the market. Especially in the high-end digital cordless phone market, most of the profits have been taken away by Shenzhou. .
Nowadays, Shenzhou digital cordless phones are steadily bringing hundreds of millions of dollars in revenue to Tanglin Hi-Tech from overseas markets such as Europe and America every month. This revenue will continue for many years. It's even possible within ten or twenty years.
With the basic base of digital cordless phones, Tanglin Hi-Tech has the confidence to attack everywhere with this basic base. No matter how many times it is defeated, it can make a comeback with the basic base!
The mass lighter market seems to be a low-end lighter market, but as long as it is established, it will basically be a stable basic market. It will be too difficult for latecomers to replace Torch Group. !
Use this market as a springboard to enter the most profitable mid-range and high-end lighter market, and even launch e-cigarettes, gas stoves, bathroom and other products. After all, developing and promoting these products also requires funds. In the lighter industry, the entire industry’s annual output value is only within tens of billions of dollars. This is the result of decades of development. In just a few years, e-cigarettes have swept the American and European tobacco markets, with annual revenue exceeding 200 million U.S. dollars. billion US dollars.
In the future, when the Torch Group mechanizes and automates the production of lighters, there will be no need for so many production line personnel. Products such as electronic cigarettes, gas stoves, and sanitary ware can take over the work of employees who have retired from the lighter production line of the Torch Group. , so that they will not be "graduated" in middle age.
Yao Zhengru, Wu Yaoguo, and Zhang Xiaocheng looked at each other. They had no doubts about Li Dongling's vision and decision-making. The fact that Dongling Hi-Tech has come so far has proven everything.
“Just do what you said, Dongling!”
Yao Zhengru said, he represents Pingyang City Investment, one of the three major shareholders of Torch Group, the three major shareholders of Torch Group, Pingyang City Investment, Hanxi State Investment and Tanglin Hi-tech, two of the three major shareholders, stand together and can basically make decisions for Torch Group.
Wu Yaoguo also nodded in agreement, which basically meant that the three major shareholders of Torch Group had agreed to follow Li Dongling's decision.
“I understand!”
Zhang Xiaocheng also nodded in agreement, but there was still a sad look on his face. He was born in the military and acted decisively. Even now, he acts openly and aboveboard, not so much. After many twists and turns, he said, "It's just that the profits of Torch Group are really low!"
As the general manager of Torch Group, Zhang Xiaocheng has too much to consider. He needs to get benefits from several major shareholders. In return, the lighter industry chain manufacturers gathered in the Torch Industrial Park need to earn profits, and the Torch Group's rapidly expanding staff needs to be considered. All of these require money!
Hearing this, Li Dongling glanced at Zhang Xiaocheng. Zhang Xiaocheng had really not changed at all in the past few years.
When Li Dongling was transferred from Pingyang Xicheng Wireless Factory No. 1 to Shangguan Town Component Factory, the predecessor of Torch Group, the entire component factory was basically closed down at that time. Zhang Xiaocheng still tried his best to get orders, even if he had to bear the burden. There is a huge debt, and he is still thinking about paying salaries to the employees of the component factory. Until now, Zhang Xiaocheng has obviously not changed.
However, it is true that only people like Zhang Xiaocheng can have the prestige and influence to allow employees of the component factory who are unpaid to return to work in the bankrupt component factory. Within the company, the Torch Group was set up and put into production again.
“In the early days, Torch Group was able to earn income not only by selling lighters, but also by placing advertisements on the lighter bodies!”
Li Dongling said to Zhang Xiaocheng, these words Zhang Xiaocheng said, "Dongguan Hi-Tech Marketing Department and Focus Media can help Torch Group attract advertisers across the country, allowing cigarette factories, wineries, restaurants, hotels, taxi companies, etc., to advertise in Torch Group." Place customized advertisements on your lighters!
In addition, you can also reach cooperation with cigarette factories, restaurants, etc., to supply lighters to them at cooperative prices, and launch activities such as buying cigarettes to give lighters, and eating to give lighters, if it can increase sales. , then these manufacturers will become the largest customers of Torch Group! ”
The profit from selling lighters may not be as high as the profit from advertising lighters. After selling a lighter and throwing away the cost, what ends up in the hands of the Torch Group may not be left with a cent or two, but in a lighter On-board and printed advertisements are just one exposure. Charging two or three cents for advertising is not excessive, right?
Quantitative changes lead to qualitative changes. The advertising fee for a lighter may not seem high, but what if the shipment volume reaches tens of millions, one hundred million or even one billion?
And lighters are sold all over the country. Advertising on lighters is equivalent to advertising across the country. It can even cover villages, towns and mountainous areas that TV stations and newspapers may not be able to reach. These areas also need lighters. For a long time, these areas will also need to light fires and cook stoves, and lighters will also be needed.
In addition, there is no ban on tobacco advertising. It is not illegal for tobacco companies to advertise on lighters. Even a few years later, there will be tobacco companies that openly and honestly place advertisements on TV stations because they are not allowed to do so. The money is short, and the advertising is quite grand, which has impressed countless people...
The Torch Group's lighters, if they can get an order from the tobacco company, launch a campaign of buying cigarettes and getting lighters, as long as it can increase the sales of the tobacco faction , then it is estimated that all tobacco companies will be able to grab lighters from the Torch Group for activities. The income from the tobacco companies will probably be more than that from their own lighters!
Tobacco companies are not short of money. If printing advertisements on lighters, or offering lighters for purchase of cigarettes, can increase sales, it will be much more cost-effective than advertising on TV stations or newspapers!
Zhang Xiaocheng's eyes lit up, and Wu Yaoguo couldn't help but applaud when he looked at Li Dongling in front of him. Li Er invited Zhang Laosan to dinner, and the scene where Wang Laowu paid for it was indeed beyond his expectation. , if it can be done, the revenue of Torch Group is expected to increase a lot, and Hanxi State Investment's hope of recovering its investment will also increase!
(End of this chapter)