Extraordinary Genius

“Brother Feng, how come the super VCD hasn't come out yet? I heard Jiang Wan violently say that the research has been successful, including the nine images, four channels, countdown, etc., why wait?” Fu Guangzheng is a little anxious. The VCD brands abroad are also starting to enter the Huaxia market, which obviously compresses the profits of windstorm electronics.

According to Fu Guangzheng, the super VCD can be launched now. Although the technology is not very mature, a number of transitional products can be launched first, and then better in a few months.

Watching money go into someone else's pockets is too bad.

“Brother Fu, what a hurry. Now the market is not prosperous enough, the traditional video recorder has not been completely defeated, and the profitability of the LD big video drive is not low, wait.” Feng Yu sipped coffee calmly and looked disgraced.

“Waiting for the market to flourish? Now the market is booming. Not only domestically, so many brands abroad compete for the market. Although we have patent fees to collect, they are too little compared to the profits we make ourselves. ”

The patent fee for a VCD is only $50, but they make their own VCDs with profits of over $300! Even with more brands now and lower profits, profits can reach $200.

Put in more money not to earn, to earn less, what exactly did Feng Yu think?

To say that Feng Yu decided to invest more in technology, R&D succeeded in second-generation products, and joined Philips to set DVD industry standards, it was also very exciting.

He knew too well that if a company could set industry standards, it represented the company and stood at the edge of the industry pyramid.

But you can't just set standards, burning technology, now that many companies are competing, if you succeed, what if you fail? Implement other people's technical standards and fall into the wrong hands invisibly.

And other people's standards, naturally others' research is more thorough, this technology has gone from leading to backward, how can we continue to make big money in the future?

It means to maintain the brand advantage, make Feng Yu continue to be the world's largest VCD production and marketing brand, and lead the industry to make big money, but Feng Yu doesn't listen.

Knocking down a traditional VCR, knocking down an LD disc, all this paying off, but how much difference does it make a year earlier and a year later? Even though Feng Yu once said these words, how can you turn around and forget them now?

“Brother Fu, you are in a hurry. It won't be long before those companies are stepped on again. You've seen the performance of the super VCD, but there are many drawbacks. For example, it's too heavy, the cost doesn't go down, heat dissipation doesn't go well, etc., and this needs to be resolved, and it will be resolved soon. Now that we are launching a new product, we are launching a new product that is unique, so that other brands can only pick up our leftovers! ”

“How can we be different? That's good enough. Didn't you say those new technologies belonged to DVDs? What happens when we launch a new product and the market is saturated?” Paid all worried to ask.

A family can buy a VCD. How many will buy two? Although per capita income is rising in most countries, particularly in the interior of China, economic growth has been extremely alarming. But the VCD is like a TV. After many people buy one, they don't necessarily want to replace it for 10 years. As long as they can watch it, they keep watching it.

What if everyone else already has a regular VCD when the storm card launches a super VCD? Performance is better, but it's just more convenient. Those families, they won't change, will they? The market is booming, but it's not a storm electronics and AIWA market anymore, it's a bunch of deer hunting.

Many of the companies that produce VCDs are among the top consumer electronics brands in the world. In many regions, there is a strong sense of consumer identity. Even if their products are not as good as others', many consumers are willing to buy them.

The top consumer electronics companies, they paint the territory. Each brand has its own most powerful territory and is difficult to take away. Just like Sony's Walkman, even if he was forced by AIWA, he was still second in the world, because Sony still had a lot of dead followers.

Besides, didn't Sonny get pulled off the altar by AIWA just because he let AIWA go too far? Now Feng Yu's decision to make more competing brands, that storm VCD, although it is impossible to be pulled down from the first place in the market, the market share has been falling, sales volume has fallen. After a long time, the VCD brand that was not easily created has not been destroyed.

“Brother Fu, what was our total VCD sales before there were no other brands? Windstorm, Edward and AIWA cards combined, sales volume is only a few hundred thousand units, which is not very good. But now, with so many brands, we don't know how much they sell, but we know exactly how much they produce. It's been less than a month now, and they've produced more than half a million VCDs, nearly the sum of our sales in the last two years. ”

Fu Guang is frowning. This should worry him even more. Why is Feng Yu still smiling?

“Brother Fu, do you remember when you were a kid, you had a TV in your household?” Feng Yu asked.

“Although Xiangjiang is much more developed than the mainland, when I was a kid, I didn't have a TV in my household. Even now, there are families that don't have a TV. In any given region, there will be poor people. ”

“Brother Fu, I didn't mean that, I mean, the speed of TV penetration. Xiangjiang, I don't know, but in the interior, I know a little more than you do. Ten years ago, in the era of black and white television, many families did not have a television, and television was a big thing to buy when they got married. Five years ago, black and white TVs were largely eliminated, a requirement that was replaced by colored TVs. And now, color TVs, people are asking for more clarity, bigger screens, that's the trend. ”

“But you don't find that, while television technology has been innovating, users have been growing. It can be argued that with every technological innovation in television, users will grow exponentially. From black and white to color, from a dozen to twenty inches. And the original market was created by those black and white TVs, but it was the first colored TVs that flourished. Ultimately, the market is dominated by brands that produce big screen colored TVs! ”

Fu Guangzheng seems to understand a little: “You mean, we were black and white TVs, and now they're regular colored TVs, and we're a brand that can make better colored TVs? ”

Feng Yu nodded: “In the future, VCDs will be the same as TVs. Households will buy them. The market is still huge, so there's no rush at all. We're continuing our technical research now, while we're feeding the market, which they're opening up for us! ”