Rebirth: From catering group to world’s richest man

Someone else can make a profit of 3 million through infringement.

If you sue him, you will only get 600,000 yuan in compensation.

It is unrealistic to expect that suing others will stop or reduce other people’s infringement.

Because even if they are sued, they will still make money, and suing these manufacturers is time-consuming and laborious for Zulong Technology itself, especially as it is about to enter the era of VCD brand blowout.

If all manufacturers are sued one by one, it will be even more protracted.

“And now, these manufacturers all use foreign spare parts. If we sue them, they will be able to kick the ball and it will be very difficult to deal with.”Gu Meiren said.

Duan Yongping said again:”So my idea is still to fight a price war. Their parts are imported and the cost is much higher than ours, but we can produce most of them ourselves and the cost is low. Let’s fight a price war. It will definitely bring down these other brands.”

The reason why Duan Yongping proposed a price war is because the term price war is appearing repeatedly in major newspapers in Longguo.

The reason is very simple. It is still a war between Longguo’s local brands and foreign brands.

Since last year, Tianfu Cola and Liangliang After Dayang Coca-Cola launched a price war, Longguo Enterprises seemed to have found a winning formula and began to have frequent conflicts with foreign brands, especially after Lin Shen made people publish in the newspaper last year about the conspiracy of foreign brands to annex Longguo’s local brands.

, everyone is becoming increasingly dissatisfied with some foreign brands, because most of the things are just like what Lin Shen wrote in the article he asked to publish.

After the foreign brands entered into a joint venture with Longguo Brand, they gave up Longguo’s own national brands.

Hidden in the snow.

This year, the situation is still the same.

Now among the home appliance brands in Longguo, a war is brewing against foreign brands.

The first one to start the war is TCL brand color TV. The price war initiated by TCL was launched in Yanjing. This is also because Yanjing is not currently revitalizing electrical appliances. In all shopping malls selling electrical appliances in Yanjing, including the current Gome Electric Appliances, the prime booths are always occupied by foreign brands. Moreover, these foreign brands have the highest sales volume. TCL’s boss was very unhappy, so TCL launched its first price war in Yanjing.

TCL’s color TVs were directly priced by two-thirds of those of foreign brands in the Yanjing area to crush the vast number of people in Yanjing. They are frantically buying TCL color TVs because they are so cheap.

Therefore, the newspapers are now full of words about price wars.

Therefore, Duan Yongping feels that Zulong Technology can also imitate TCL and compete with these VCD manufacturers. Price war.

Lin Shen nodded and said:”Price war is one way, but it is not the best way, because the price war of home appliances is different from the price war of fast moving consumer goods like Tianfu Coke. Our Zulong Once the price of VCD drops, it will be difficult to restore it to its original price. Moreover, the price war is really going to start. Have you ever thought about when it will end?”

Once the price of home appliances is significantly reduced, it is very difficult to sell them back to their original prices.

This is why various home appliances and even cars can be found in thousands of households in later generations.

“You just said that the cost of Feixiang VCD and Jintai VCD is a full 2,000 yuan. Does that mean that if we continue to fight for Zulong VCD, the price will be reduced to 2,000 yuan? This can crush other brands, but it is too tragic. Moreover, even if we win, should we restore the original price next? If the original price is restored, then if a new manufacturer emerges, will we have another price war?”Lin Shen said analytically.

Duan Yongping was stunned. The problems Lin Shen said were all on point. He really didn’t expect this problem.

“so what should I do now?”Jiang Manmeng said

“There is a saying that you have never heard before: third-rate companies make products, second-rate companies make brands, and first-class companies make standards. Lin Shen said.

All the senior executives of Zulong Technology looked at each other. Apparently no one had heard of this sentence.

“What’s the meaning? Mr. Lin?”Duan Yongping asked humbly

“It is easy to understand that third-rate companies make products. This is true for labor-intensive products, such as most of the items we use, ballpoint pens, notebooks, water cups, and even lesser-known TV brands, radio brands, etc… These companies just manufacture products and then sell them. Maybe they have their own brands, but many of them are labeled with other brands… Such companies are third-rate.”Lin Shen said.

Everyone nodded. This is not difficult to understand.

“It is easy to understand that second-rate companies build brands. A company builds a brand so that consumers can recognize the brand. Then you can occupy the market and even influence dealers and the market to a certain extent. Lin Shen continued.

Duan Yongping said:”So, our Zulong Technology is a second-rate enterprise?””

“It can be said that after all, the Zulong brand has indeed been established, and consumers have recognized this brand. Lin Shen said

“What about first-class companies? The first two are easy to understand, but what does it mean to be a first-class enterprise?”Duan Yongping asked eagerly and tirelessly.

“It’s very simple. When a company grows into a leading company in a certain industry, it can unite with other peers to formulate industry standards. In the future, all manufacturers that produce such products must comply with the standards we have set. We will let you produce them. Only then can you enter this industry. Otherwise, your product simply won’t be produced. Lin Shen said

“Is this still possible?”Duan Yongping was shocked.

“For example, if we at Zulong Technology can formulate VCD standards, then all manufacturers who want to produce VCDs must meet our standards before they can produce and sell them. What will happen? Lin Shen said

“Is this really possible? Isn’t this a monopoly?”Duan Yongping said

“Therefore, to realize what I said above, one condition must be met, and other manufacturers that produce VCDs must be allowed to exist, so that no monopoly can be formed. Then, we join forces with them to form an industry association, and then we go back and set standards. Lin Shen said,”So, since prosecuting them won’t work, let’s recruit them.””