Chapter 364 Lion City Strategy
Is there any opposition within Adidas? Of course there is.
There are objections not only within Adidas, but also within many giants building factories in Johor Bahru.
The main objection comes from the fact that Hornbill helps users choose products. This is the result of artificial intelligence thinking, not the result of user thinking.
In the past, these international brands built a complete marketing system to implant brand concepts in users' brains, shape their brand images, and control users' minds.
But now that Hornbill helps users make choices, giants can control human minds through various propaganda methods. Hornbill can make decisions entirely through data, how can giants control their minds?
In China or America, the leather version of Hornbill is not progressing so smoothly. After all, there are still resistance forces in these places, and the government still needs to keep the jobs of the past giants, so the leather version is The promotion of Hornbill also has some scruples.
But in Southeast Asia, Hornbill is almost uninhabited.
The e-commerce giants in these places have not built up strong enough local strength.
Shopee, Amazon, shein, Temu, etc., have not built a deep enough alliance with the local forces in Southeast Asia, and the interest relationship is still at a very shallow level.
This resulted in Hornbill not encountering corresponding resistance during its expansion in Southeast Asia.
The price advantage brought by Hornbill's unique mechanism is unmatched by even temu.
As mentioned earlier, giants have built factories in Johor Bahru. The products after the establishment of the Johor Bahru factory are directly sold to the entire Southeast Asia through Hornbill.
It can be said that the terminal system built by Alpha from production to sales is an enhanced version of Shein. And unlike Shein, which focuses on women's clothing, Alpha's coverage is much higher than that of Shein.
The aforementioned Alpha can compress the goods turnover rate to less than 7 days, which in turn gives Hornbill higher bargaining power when selling goods to users.
The higher the turnover days, the slower the company can recover its funds and the lower its rate of return, which means it needs a higher profit margin and sets a higher initial price.
The turnover days are within 7 days, which means that as long as the company has higher income than bank interest based on costs, it will make a profit.
Of course it’s not just the costs of labor, water, electricity, warehousing, and transportation, but also equipment depreciation, land costs, etc.
The existence of Hornbill has eclipsed all brands and even led to a sharp drop in TV program advertising revenue throughout Southeast Asia.
In this region where more and more people are starting to use Hornbill for purchasing, the effectiveness of advertising is getting weaker and weaker.
Therefore, many giants believe that cooperating with Alpha Technology is seeking skin from a tiger. Under the control of Hornbill, the brand will die sooner or later. Consumers only know that there is Hornbill, and will not care whether Adidas, Nike, Anta, or Li Ning are behind you.
Among them, Nike only wants to build a factory in Johor Bahru and limit this cooperation model to Southeast Asia, because they are living a good life and do not need to turn around in this way.
The same cannot be said for Adidas. Even if Adidas sells its soul, it must cooperate with Alfa on a global scale.
Olaz shook his head and said: "Gao, you know very well that Alpha Technology is not my decision. Of course I think we should expand rapidly and expand our scale globally.
Put The Xinshan model is quickly replicated around the world
But Mr. Samad doesn’t think so. He thinks we should only manage Johor Bahru. As for places outside Malaysia, he doesn’t care.
Our ability to transfer Hornbill technology to Tencent and Microsoft illustrates the strategic vision of Mr. Samad, who is not interested in the global market.
So Gao, you might as well consider our proposal. ”
Adidas will choose to cooperate with Alpha Technology. As the first cooperative giant of Alpha Artificial Intelligence Factory, it is inseparable from its Asia Pacific CEO Gao Jiali.
Gao Jiali used to be Adidas Greater China In 2015, when he was in charge of Greater China, the sales of the entire Greater China region doubled, and the Asia-Pacific market quickly became Adidas’ largest, fastest-growing, and most profitable market. By the first half of 2020, Adidas had won every For every 3 euros of income, 1 euro comes from Greater China.
In 2020, Gao Jiali suddenly resigned because he was dissatisfied with the small business scope and hoped to be responsible for the entire Asia-Pacific business. However, he was unable to reach an agreement with the Adidas headquarters and finally chose to leave.
Obviously, Adidas later invited Gao Jiali back and asked him to be responsible for the entire Asia-Pacific business. After he returned, he single-handedly promoted the cooperation between Adidas and Alpha Technology.
This has also become another great achievement for him within Adidas. Since the Johor Bahru factory was put into operation, the benefits brought by the entire Johor Bahru factory have grown so fast that they have even exceeded the market share growth in Greater China in 2015.
With such results, Gao Jiali wanted to further promote the global cooperation between Adidas and Alpha Technology, so he naturally obtained permission from the German headquarters, even if he sold his soul.
This is like telling GAC that cooperating with Huawei means losing its soul. GAC obviously doesn’t want to lose its soul. It originally signed a cooperation agreement with Huawei but then stopped it. Afterwards, it really couldn’t handle it. After thinking about it, it had to sell its soul. .
In order to find a suitable explanation, he even put forward something like "In the past few years, autonomous driving was crucial to the competition of complete vehicles. It is no exaggeration to say that it is the soul of the enterprise. But today, at least some technologies have opened the veil of mystery." , the current autonomous driving technology can be realized through the supply model."
In short, there is nothing wrong with selling your soul in the face of profit.
After hearing this, Gao Jiali's expression suddenly changed: "This is absolutely not acceptable. We have no such plans for the time being." What kind of cooperation model is unacceptable to Gao Jiali? That is Adidas further selling its soul.
In the past, the production side had very few employees through automation. The entire Johor Bahru factory had less than 10 employees responsible for production, and more than this number of employees responsible for transportation.
The aforementioned marketing side has been replaced by Hornbill, and Adidas' marketing expenses in the entire Southeast Asia region have been reduced to less than 10 million US dollars. Gao Jiali is even considering directly axing the marketing department in the entire Southeast Asia region.
For apparel companies, production and marketing have been eliminated, leaving only design.
Alfa Technology hopes that the design side will also be handed over to artificial intelligence, and Adidas will only charge a fee.
It is equivalent to Adidas licensing the brand to Alfa. Alfa has full authority to take over the Johor Bahru factory and pay the Adidas headquarters based on Adidas’ input costs multiplied by 120% of the profit margin in other areas of the Adidas Group.
For example, if the investment in the Johor Bahru factory is US$200 million and Adidas's annual net profit margin is 5.3%, then Alpha Technology will pay Adidas US$12.72 million.
It is equivalent to Adidas becoming a complete hands-off shop in Southeast Asia, only charging brand licensing fees.
This is not selling your soul, this is selling it all to Alpha Technology.
Only Antarctic people can accept this kind of cooperation model.
"Please submit this bill to Congress. Please check the specific proposal in the email."
A line of words flashed on Balian's glasses, and the entire line of words stayed on his glasses for a long time. It has not subsided, and Berrian, who was sitting in the parliamentary seat, felt a little uneasy, thinking that what was supposed to come would come.
And he received an email inexplicably two years ago, which contained only a video and a link.
The video is of him eating and kissing intimately with another woman, who is married to him. This is a serious scandal.
The timing is very clever. Just a few days ago, more than one congressman resigned due to the scandal.
Who does this email come from?
After thinking hard, Balian couldn't think of anyone who had such ability, who could clearly know the plan of action, get his cheating video, and help him get it done.
In Berrian's view, even he himself couldn't do this.
Before 24 hours passed, he received another email. This time the email was a recording, and the recording shocked him into a cold sweat.
This time I was really shocked and broke into a cold sweat. Because the recording itself even involves the safety of the entire worker d.
This is an old story.
Brian suddenly shouted like crazy: "Who are you!
Who are you? ”
He always felt like someone was watching him in the whole room.
Suddenly he tore off the sticker on the front camera of his Apple laptop and stared straight at the camera: “You are Aren't you watching me from the other side? ”
But no one responded. After calming down, Berrian had to click on the cooperation link in the email. After clicking, the interface that popped up had an eye the same size as a human eye, and then it rotated. The edge grew bigger and finally disappeared from the screen.
This made Bellian a little disappointed when he thought he was going to fill in the information about joining the mysterious organization.
Of course it won't be this.
The next day he opened the door and almost tripped over a cardboard box on the floor. He picked it up and found that the LOGO printed on it was exactly the same as the eyes on yesterday's page.
He picked up the cardboard box and returned home with anxiety. When he opened it, he found that inside was a pair of glasses that were exactly the same shape as the glasses he was wearing now.
Then and a note with the words "Put it on" on it.
After Perian put on his glasses, he saw a line of words flashing on them: "Happy cooperation."
The entire line lasted five seconds before disappearing.
Although it was short-lived, it allowed Balian to confirm that this was not an illusion.
(End of this chapter)