Intelligent Industrial Empire

Chapter 700 Price-cut Disturbance

"Lao Zhu, how long will it take for our new model to be introduced to the market? If this continues, the market share we have finally obtained will be lost. It is estimated that it will be difficult to get it back from Jiuyi Heavy Industry. ..." The new year is approaching, and Liu Cheng, the boss of Capital One Machine, who has just received a large number of orders from foreign customers, is not at all happy.

One week ago, Jiuyi Heavy Industry announced again that the price of all three-axis vertical machining centers was reduced by 10%, which means that the price of each equipment was reduced by at least more than 30,000. In this way, their machining centers would be compared with other domestically-made equipment. The price is about the same. Similar models are only 20,000 to 30,000 expensive. If some configurations are reduced, the price of their equipment can even be the same.

The end of the year is when the equipment sales market is hottest.

Countless companies’ plans for the new year have been announced, and capital is also the most abundant time.And Jiuyi Heavy Industry is doing this now, obviously to grab their market share.

This is Yun Fei's revenge for stealing foreign orders from him.

"Our investment in this has always been less than that of Jiuyi Heavy Industry. The research on electric spindles, more sophisticated transmission systems, and more advanced AC servo motors have not made breakthrough progress..." Zhu Feng explained with a frown.

It is not that they are researchers who have not worked hard enough, nor that their capital investment is too small, but that their research direction at the beginning is wrong. For them, the technology obtained from Jiuyi Heavy Industry is basically a brand new one. field.

More importantly, some key accessories, such as the main shaft, ball screw drive pair, and AC servo motor to control the feed, are basically developed by themselves, and purchased from Jiuyi Heavy Industry. There is no possibility at all. Sex.

"Don't talk about the issue of investment, this year, we have invested hundreds of millions of research funds in the research and development of new products. Is this investment not enough?" Liu Cheng said with a frown.

Zhu Feng stared at Liu Cheng helplessly.

Indeed, they have invested hundreds of millions in this area, but the hundreds of millions of R&D funds have to include a series of capital investment such as the welfare of researchers, housing, etc., as well as some personnel exchange expenses, which are really used for research and development experiments. The funds will not exceed 40 million.

"Forget it, new technology upgrades, we have to increase our efforts. It seems that this year, we don’t want to have a good time. That kid Yun Fei is also true. If you have more money, you can donate it Those poverty-stricken areas, it's okay to engage in a price war!" Liu Cheng felt that his head was about to explode.

"It's probably because we grabbed his order. Old Liu, you'd better discuss this with the leaders of the other factories. It is estimated that only the leaders above can handle this matter. Most parts of the products of Jiuyi Heavy Industry It is an outsourcing agency, which is much lower than our production cost. Otherwise, our life will be even more sad in the future. The second machine is starting a new round of recruitment..."

"I know that this afternoon the bosses of several machine tool factories in Northeast China and the leaders of several other larger factories will all come to the capital. Then I will go with them. Isn't Lao Su the old leader of Northeast No. 1 Machine? The machine is more difficult than ours!" Liu Cheng talked.

This can only find the state to intervene, otherwise they would better close the door as soon as possible.

However, the price cuts of Jiuyi Heavy Industries have not only been hit by domestic CNC machine tool manufacturers, but some foreign manufacturing plants that have set up factories in China are even more unlucky.

They quietly set up a sales company that appears to be scattered and has no connection at all, but secretly, they are closely connected to the Chinese domestic market. They were silently seizing the Chinese domestic market, and no one was aware of it. How did you know that this time? The sudden announcement of price cuts, and the magnitude of the price cuts is still such a large, this makes the market they finally occupy begin to shrink rapidly.

If they want to regain market share again, unless they can come up with better technical equipment than Jiuyi Heavy Industry, or the price reduction is greater than Jiuyi Heavy Industry.

How can such a thing be acceptable to those who come to China to make money!

"Everyone, the young upstart in China once again cut prices during this prime time of sales, which caused us a lot of confusion. We are here today and must discuss countermeasures..." Saburo Onomura faced the previous members who joined the alliance. The head of a foreign machine tool company said.

The so-called negotiated countermeasures are to either cut prices or come up with better technology...

To them, Mitsubishi, which is already a leader in the entire world’s industry, there is nothing to say about the technology, but putting those higher production technologies in the Chinese factories not only does not conform to the interests of their Great Japanese Empire, but also It is not in the interest of their company.

The price of imported equipment will be half or even double that of domestic equipment with the same technical conditions and accuracy level!

They will not give up these interests.

"Ohno-kun, for us, it seems that there is no other way to go besides lowering the price, right?" Wang Ziqing frowned.

Peng Zhi guessed at the beginning what the Japanese wanted to do, so he didn't bother to come and let Wang Ziqing directly represent Wanyou CNC.

"Indeed, what Brother Wang said is that compared with Jiuyi Heavy Industries, our companies have no advantage in technology, especially since they produce a wider range of models. I wonder if Mitsubishi Group can provide us with some technology. Aid..." Song Hui always wanted to spend a small amount of money or even no money to introduce some advanced technology from the Japanese.

At this moment, this opportunity is right.

"No, no, everyone didn't understand what I meant. When we first formed the alliance, it was already very clear. We should carefully divide the market and use our technological advantages to compete with the Chinese in various positions. ......" Saburo Onomura heard Song Hui say this, his eyes flashed, and he said coldly.

These people here, he understands better than anyone else.

Everyone gathers together to form an alliance, all to take advantage of each other.

"Mr. Ohno, the profit of low-end CNC machine tools is low. Everyone knows that, especially China has a large number of low-end CNC machine tool manufacturers with strong production capacity. If this price is reduced again, where will our profit come from? The profit of a simple CNC car is only 20,000 to 30,000. Are we here to accompany you to make a profit at a loss?" The Koreans sneered in their hearts.

Some machine tool companies such as Mazak in Japan also have plans to enter the Chinese mainland market and build factories. If they follow the Japanese plan, in the end, they will be reduced to the same realm as those state-owned factories in mainland China.

Everyone knows that if you want to gain more market share in this industry, you must have better technology, lower costs, and produce low-end equipment, which is basically just a little bit of coolie money.

How much money can be invested in research and development?

The smaller the investment in R&D and the slower the technological update, the less competitive the product will be. In the end, there is only a dead end.

Especially, once the Japanese fully control the mid-to-high-end market of China's CNC equipment industry, they can only compete with China's large number of state-owned enterprises and private machine tool factories in a market that depends on quantity...

For them, this is simply unbearable!

"Does President Li have any good suggestions?" Saburo Onomura stared at Li Mingshan with a gloomy expression.

"Let's just do our own things. In China, there are many rules and regulations that bound us. If we are bound by some rules and regulations that we have formulated, we have no way out!" Li Mingshan did not agree with the Japanese suggestion. .

Although they can also share some of the profits of the sales company, that is basically a small part of the loss of their own equipment.

Moreover, even if Chinese people want to buy those low-end equipment, many people directly choose domestically-made equipment that is cheaper and more convenient for after-sales instead of pseudo-domestic products that use advanced foreign technology but do not have much high-tech content. Fake foreign-funded low-end equipment.

And the sales channels of these machine tool factories are basically helping the Japanese sell equipment.

Upon hearing Li Mingshan's words, Song Hui and the others began to quarrel.

These problems are not only discovered by Li Mingshan.

"Everyone, calm down. I don't think we need to clamor for a breakup as soon as we encounter difficulties. As for the plans we started to make, we may need to revise them. Moreover, this time, the biggest loss is not us, but Those state-owned machine tool factories in China..." Wang Ziqing saw that if such a riot continues, this alliance may really break up.

"No matter how much the Chinese lose, what does it have to do with us? Mr. Wang, do you mean that those state-owned factories in mainland China will force their superior departments to force Jiuyi Heavy Industry to raise prices back?" Li Mingshan was originally ugly Suddenly, his face looked better.

"This is indeed the case. Moreover, the reason for the price cuts of Jiuyi Heavy Industry this time is also due to the state-owned machine tool factories in the mainland. They forced the government to snatch the business contracts that small countries should sign with Jiuyi Heavy Industry. Our research efforts will be greater, and there is even a great possibility that we will get some orders..." Wang Ziqing said triumphantly.

He doesn't want the alliance to disintegrate. Although the Japanese have benefited the most from this, they have also benefited a lot from their Wanyou Group.

It turns out that they only have their own channels to sell, but the current sales channels are equivalent to three times larger than before!They sell equipment with this price and accuracy level even better than those of the Japanese with higher accuracy levels!