Reborn Entrepreneurial Giant

It's hard to tell whether CMBC is making money or losing money in Europe and the United States. Every time they sell a car, their gross profit is higher than in China. However, various publicity and promotions cost money, and they also have to deal with various possible troubles, such as recalls. Class actions, etc.

When domestic companies go overseas, especially in countries with sound rule of law, they will definitely not be able to achieve the ultimate cost-effectiveness. Companies like Coarse Grain can only grow in large manufacturing countries in special periods.

The European and American markets have brought profits to CMOS, at least on paper. Statistics from 2018 show that this year, CMEC’s domestic sales of fuel vehicles were approximately 1.3 million, and 350,000 overseas. Geometry’s new energy vehicles were approximately 250,000, and Saab hybrids were sold. There are about 200,000 units of the three models.

Future Geometry's global sales for the whole year were approximately 2.1 million vehicles. However, even if new cars were launched, there was almost no growth in domestic fuel vehicles, and sales of high-end electric vehicles decreased. However, car sales increased by 31% throughout the year. There are pros and cons, and there are pros and cons. Half and half.

Mitsubishi Motors' global sales reached 1.3 million vehicles. The positive influence brought by the cooperation between the two companies has begun to grow stronger, whether it is operational efficiency, product quality, new car release time, including engine technology, which is improving...

According to the statistics of automobile groups, the Mitsubishi Motors Alliance's total sales of 3.4 million vehicles surpassed Suzuki's and ranked among the top 10 in the world. This is another record worth bragging about.

Qiancheng's decline in domestic car sales is related to the general market. This is the first time that the domestic car market has experienced negative growth, and because oil prices have risen to around US$70, SUV models with relatively high fuel consumption have fallen most significantly. Fortunately, Lantu sedans are more fuel-efficient.

Domestic car sales will continue to decline next year, and the car market is likely to enter a reshuffle period. Porsche's survival space will become smaller and smaller, which will be both a challenge and an opportunity for the company.

After announcing Fuyao Architecture 2.0, Qiancheng will cover small to medium and large vehicles in 2019, including two medium and large MPVs, one fuel and one hybrid, and a medium and large off-road vehicle Lantu Qibing C9 off-road vehicle, which can Think of it as the Tank 500, a mid-sized sedan that competes with the Toyota Camry and Accord. It might as well be called the Landu Yaoguang. In the future, Qiancheng's first pure electric or hybrid car will be called the Yaoguang.

There are also small cars, compact cars prepared for Mitsubishi, etc. There seem to be a lot of new cars to be released next year, which may have a greater impact on friendly companies, and may also break the current competitive advantage of Geotech 5.0: none of the three new cars in a row are Hot item.

The monthly sales volume of Lantu Qibing has never stabilized above 10,000, and the monthly sales volume of compact MPV is only about 5,000. Whether it is Qiancheng SUV or Lantu sedan, the monthly sales volume exceeds 10,000, even if it is a higher-priced model Mid-size Qiancheng CS8 Plus.

Qiancheng Geometry has established a brand advantage among domestic brands and won the trust of consumers. It seems easier to repeat this process abroad. Of course, this may be related to their market choices.

Qiancheng's sales of fuel vehicles in North America exceeded 100,000 units in 2018. It's hard to predict next year. Now it can only rely on three factories in Mexico, Thailand and Malaysia. The production capacity is not enough and needs to be expanded. Moreover, it mainly produces several SUVs and sedans. , the price of the Lantu Qibing off-road vehicle after tariffs is increased is close to 50,000 US dollars, and I don’t know if it is still attractive.

Qu Li came to Texas to talk about the construction of new energy vehicles and supporting factories. The price in the United States is higher than Tesla, and the sales volume is slightly less than half of Tesla.

Compared with Tesla, Geometry's biggest advantage is the interior and comfort. Musk sees cars as tools and doesn't like decoration. Qu Li believes that given the domestic income level, cars have emotional value, so they are expensive. It should.

But in any case, Tesla and Geometry have jointly promoted the recognition and acceptance of pure electric vehicles in the US market, setting two benchmarks.

General Motors and Ford, feeling threatened, are stepping up their efforts and are open to Hive Energy building factories in North America. They also hope to have a more reliable power battery supplier. Geometry has proven over time the reliability of hive energy.

Regardless of whether it is Tesla or Geometry, although they are far ahead in sales, their spontaneous combustion accident rate is much lower than that of new energy vehicles using LG Chem's power batteries. LG is the largest power battery company besides Panasonic. They mainly use soft-pack battery cells. Although theoretically safer than square-case batteries, after industrial production, the actual situation is very different.

The overall safety of Geometry cars is much higher than that of other cars except Tesla. The higher safety factor and technological content are the basis for Geometry’s popularity in North America. Almost no one thinks Geometry is a low-end product, which is where Qu Li feels most successful.

Although China has imposed certain restrictions on Honeycomb Energy's overseas construction of factories, it was finally allowed. A123, which was acquired by Wanxiang, has basically lost its voice. American power battery companies can be said to be Barbie Q.

Panasonic was deceived by Tesla and did not dare to expand investment. Korean companies such as LG would like to, but they are not strong enough. It’s not necessarily that they are weak, the main reason is that the cooperative companies are not strong enough. Basically, oil is replaced by electricity. The car itself cannot provide sufficient protection for the battery. The other reason is the car company’s electronic control capabilities.

Tesla and Geometry have no warranty, followed by General Motors, which has cooperated with Geometry. However, it seems that only Tesla and Geometry have achieved domain-based car control and centrally integrated electronic and electrical architecture.

Geometry's factory in Texas is divided into two phases. The planned production capacity of the first phase is 200,000 vehicles, and the second phase is 300,000 vehicles, for a total of 500,000 vehicles. The land area is sufficient. It depends on whether the car sales can keep up. .

The increase in production capacity will increase the number of local jobs from the expected 10,000 to more than 20,000. If you include the demand for Honeycomb Energy’s battery factory and other supporting factories, it is possible to exceed 30,000.

However, Qu Li expressed his attitude directly on Twitter and Instagram, and like Tesla, he refused the union’s entry. This interview with the American media also showed his attitude.

The current hourly wage of American auto workers is US$28. After the strike in 2023, it reached about US$34. With a 32-hour work week, the weekly salary is about US$1,075, and it will increase every year. By 2027, the hourly wage may reach US$40.

Qu Li's success in starting a business depends on doing the right thing at the right time and then working hard to do it regardless. When it comes to budgeting carefully, that’s not true. Now that they are building factories in the United States, high labor costs have prompted Geometry to improve productivity and operational efficiency, which has brought new requirements and challenges to their management capabilities.

With a cautiously optimistic attitude, Qu Li hired local professional managers in the United States to be responsible for factory personnel administration, as well as legal experts. How could he prevent the establishment of a union in a reasonable and legal manner without hiring good lawyers.

On the day Qu Li signed the contract with the Governor of Texas, Sichuan Baby suddenly came over and said: Stealing credit