If you cheat, money will follow

In the box, Peng Lin naturally chatted with Jiang Xia.

Peng Lin was very curious and asked Jiang Xia: "How come your skin is so good? It's so enviable. Look at me, I had a hot pot meal yesterday, and today pimples popped up."

Jiang Xia said: "I know a product that is very effective in removing acne. It is said that many celebrities use it."

Peng Lin said: "Then tell me, I'm too bothered by this acne."

The boys' side.

"Why are you here during the Chinese New Year?" Chang Le asked.

"I want to say that I came here specially to wish you New Year's greetings. Do you believe it or not?" Huang Haibo said.

"Of course I believe it, why not? Your home is not very far from here." Chang Le said with a smile.

"Just a letter. Peng Lin and I are going to take a bath in the hot spring here today and go to your house to pay New Year greetings tomorrow. We don't want to meet you here." Huang Haibo said, "Actually, the main reason why I came to see you this time is to invite you to participate. My wedding with Peng Lin."

After Huang Haibo finished speaking, he took out a big red invitation from his bag.

"Congratulations! The happy event has finally arrived." Chang Le took the invitation, opened it, and said with a smile.

"We are hosting a banquet on May Day. We are looking forward to welcoming you and Jiang Xia. You must come." Huang Haibo emphasized.

"Don't worry, I will definitely participate no matter how busy I am. Zhu Gang, Yang Haichuan and the others?" Chang Le asked.

"I have invited them, and they will definitely come," Huang Haibo said.

"That's good. Then we can get together in the dormitory again." Chang Le said.

"That's for sure. Before graduation, I hoped to get together once a year, but after graduation I realized that everyone has their own lives and it is difficult to get together." Huang Haibo sighed.

"How is your OEM business?" Chang Le asked.

"It's very good. Mr. Lei cares about us very much and gave us many parts orders." Huang Haibo said:

"Last year, our factory's revenue exceeded 4 million, and our net profit reached 20%."

"Is the net profit margin so high? I remember that the hardware profit margin of the rice factory will not exceed 5 points." Chang Le said.

"We don't just rely on orders from rice factories. They are our basic market and are used to stabilize the situation..." Huang Haibo explained:

"We created our own accessories brand called Haili based on orders from rice factories."

"Relying on OEM experience, we mainly produce data cables, charging heads, mobile phone cases, mobile phone films, etc. The profit margin is much higher than expected, and can reach up to 100%."

Chang Le hasn't paid much attention to Huang Haibo since he recommended it to the rice factory.

Unexpectedly, in just over 2 years, Huang Haibo created his own brand and expanded in scale.

"Build your own brand? Do you want to delve into this industry? I thought you just wanted to make a little money." Chang Le asked.

"Yes, I am very optimistic about this industry and want to work deeply in this industry." Huang Haibo nodded and said:

"According to relevant data, the market size of the mobile phone accessories industry in 09 was 420 billion yuan..."

"By last year, in 2013, the market size had expanded to 1500 billion yuan."

“In just 4 years, we have achieved nearly 4-fold growth.”

"It is expected to reach 2000 billion yuan this year, with an average annual growth rate of double."

"This market is huge. I estimate that by 20 years, it will most likely exceed 5000 billion yuan..."

Huang Haibo said this and continued:

"Moreover, according to the analysis of complaints received by the Consumers Association last year, there were as many as 5.7 complaints about communication products, accounting for 26.98% of the total complaints about major commodity categories, ranking first and more than twice as many as the second place."

"This indirectly shows that the mobile phone accessories market has strong demand and many opportunities."

"I agree with your point of view." Chang Le said after listening:

"The market size is indeed large, and the market demand is indeed strong. After all, it is backed by a trillion-dollar mobile phone market."

"However, the entry threshold for this industry is very low, and it is difficult to establish effective product barriers. There are always industry characteristics of low products, low prices, and high homogeneity."

"To put it simply, this market will not and cannot be a deep-sea market, but a shallow sea, and shallow seas cannot support big fish."

Shallow sea means that although it has a wide audience and a large market size, it lacks technical barriers and the product cannot form a long-term big brand.

Deep sea has a larger audience and a larger market size.

Coupled with complex and sophisticated technical barriers, sufficient technical depth and innovation depth, a patent moat can be effectively built to form a brand and technology monopoly.

"Brother, you think too highly of me." Huang Haibo smiled and shook his head:

"My current goal is, first of all, to survive in the market. As for whether I can become a big fish, that is a matter of the future."

“Actually, shallow seas also have the advantages of shallow seas, and they can easily avoid big manufacturers.”

“In this industry, no giant can cover all categories.”

“So, through category management and expansion, we can quickly establish a brand.”

"You may not know that during last year's Double Eleven, our factory's tempered film sales achieved 1500 million yuan in one day, not including other categories such as data cables, charging heads, and Bluetooth headsets."

"Can you sell so much for one film?" Chang Le was very surprised.

"Objectively speaking, the product is indeed okay." Huang Haibo said:

"The thickness of tempered films on the market is generally over 0.3mm, but our film can achieve a thickness of 0.2mm. This alone puts us ahead of most competitors."

"In addition, the hardness of the bending resistance is also higher than that of products on the market."

"In order to study this, I sold all our clothing factories, shoe factories, and toy factories and invested the funds in research and development."

"Damn it, you guys can do it. The seller should be engaged in research and development." Chang Le was even more surprised.

"It's not considered a seller. These factories that are reselling basically have no profit, and sometimes they have to take orders at a loss. It's really hard work." Huang Haibo said helplessly:

"What furniture factories and metal processing factories have nothing to sell, the profits are still good."

"How much did you spend to develop this membrane?" Chang Le asked.

"The equipment cost more than 600 million yuan. In addition to hiring R&D personnel, plus the investment in R&D funds, the total cost was about 1000 million yuan." Huang Haibo said.

"It's awesome, you dare to spend more than 1000 million on a tempered film. You are more courageous than most manufacturers. Frankly speaking, I originally thought you were a person who would be content with a small amount of money." Chang Le said.

"You are looking down on people, aren't you? I am also a person with ideals and goals." Huang Haibo said proudly.

"Okay, since you have ideals and goals, I will introduce Juchang to you after a while." Chang Le made up his mind.

"Seriously?" Huang Haibo was surprised and stood up from his seat.

"What are you saying? Why should I lie to you if I have nothing to do? However, based on my understanding of Juchang, they have very high requirements for the quality of their suppliers' products." Chang Le said.

"It doesn't matter if the requirements are high, it's just that the requirements are not high." Huang Haibo said excitedly:

"To tell you the truth, I took the initiative to contact Juchang before, but I didn't catch their eye. They have a fixed supplier."

"The reason why we took the initiative to connect with Juchang is that the other party's sales have already increased;"

"On the other hand, and what I like most, is that they will send a team of engineers to help the poor through technology."

Technology is the foundation of an enterprise.

"Okay, since you are so pursuing, I will contact you after the New Year." Chang Le said.

"Thank you then." Huang Haibo said.

"Hey, don't be so polite. Come, the food is here, let's eat together." Chang Le greeted:

"You two beauties, come over for dinner too."