Chapter 271: The tree is beautiful in the forest, the wind will destroy it

Li Dongling didn't talk too much with Ren Yuefeng, Yao Luoying, and the others about Sanzhu and health supplement companies. Right and wrong, the fate of the health supplement industry can basically be seen in these two years. As for how history will evaluate this barbaric and crazy experience of the health supplement industry, that is not something Li Dongling needs to worry about.

Today is a meeting at Dongling Gao Ke headquarters. Since the sale of PHS, the entire Dongling Gao Ke has been busy, and executives from all over the world have flown across the country, and now they have all returned to the headquarters.

"How are PHS sales now?!" Li Dongling asked about PHS first.

Zhang Ao, who is in charge of Dongling Gao Ke's market department, took out several documents at this time and distributed them to everyone in the conference room.

"Now, compared to the initial stage of the sale, PHS sales have declined somewhat. Whether it is the mainland or the Japanese market, sales have begun to enter a stable period."

"PHS in the mainland, the current monthly sales are maintained at about one million units. This year, the expected sales in the mainland can break 10 million units. In the Japanese market, it is expected that sales this year can break 4 million units!"

Dongling Gao Ke's financial chief, Hu Zixian, also had a pretty good mood at this time. PHS could be so popular and have such huge profits, which really exceeded everyone's expectations. Before PHS, no one had ever thought that just such a mobile phone could have such huge benefits.

In addition, the PHS technology and patents were held in Japan, and there were too few cities in the country that opened signals, which made the early development of PHS not rapid. Later, with the support of Telecom, Netcom, Tietong, etc., PHS soared, but it also took several years to raise sales, allowing Starcom, which launched PHS, to have an annual revenue of over 20 billion and directly board the NASDAQ.

According to the reward system formulated by Li Dongling, as long as the sales volume of a product can meet expectations, a certain profit will be taken out as a reward and distributed to executives, departments, staff, etc., according to the profit.

Ren Yuefeng poured a basin of cold water on everyone at this time, looked at Li Dongling and said, "There is news that mobile phone manufacturers, R&D institutions, and academic personnel supporting GSM and CDMA technology are very dissatisfied with PHS's behavior of grabbing the market with GSM and want to limit the development of PHS!"

And now, the full set of PHS patents and technology for ten years are in the hands of Dongling Gao Ke. Under the authorization of Dongling Gao Ke, the supporting facilities related to PHS are developing vigorously in the country. The big cities that have opened PHS cities are much more than in the previous life. With market and demand, it is naturally making PHS sell like crazy in the country, and sales are rising very fast. What can limit PHS sales is estimated to be only price and production capacity.

Li Dongling pondered for a while, and then smiled, "When you should cry poor, just cry poor. Why be stubborn? Dongling Gao Ke can also cry poor. If you are targeted, then lower the price. First lower the price by 499 yuan, and lower the PHS machine price to 4,500 yuan. To survive, lowering the price is not cold!"

And in other overseas markets, the mobile phone industry has always been a "two-man turn" of American and European brands. Now, Japanese and Korean mobile phone brands haven't risen yet, but now a mainland mobile phone brand has emerged, but it has the meaning of challenging them, which naturally makes those old mobile phone manufacturers unable to bear it and want to start encircling and suppressing PHS in advance, prohibiting PHS from entering the markets where they are located. 【27

Zhang Ao was quite optimistic. The key was that PHS was cheap. Dongling Gao Ke's profits were high, but even with such high profits, the machines were cheaper than those from brands like Nokia and Ericsson, which just showed how expensive their phones were.

Seeing the gazes cast by Ren Yuefeng, Zhang Ao, and others, Li Dongling smiled. "Do you think Xiaolingtong has a chance to enter the markets of developed countries like America and Europe?!"

Li Dongling looked at everyone. "It is because the local income level is not high enough, and telecommunications companies cannot bear the high costs of base stations, nor can they spend huge patent fees to introduce GSM or CDMA. It is because local mobile phone users cannot bear the mobile phone costs that easily exceed 1,000 USD, that they choose a compromise between PHS base stations and Xiaolingtong!

It is the market and the users who choose Xiaolingtong. As long as there is demand, Xiaolingtong will exist!"

"The markets Xiaolingtong needs to enter overseas are those that GSM, CDMA, and brands like Nokia, Ericsson, and Motorola temporarily look down upon. They cannot stop Xiaolingtong's footsteps!"

Ren Yuefeng's words also carried worry. A tree that stands out in the forest will be destroyed by the wind. Xiaolingtong had now become a thorn in the side of the global mobile phone and telecommunications industry. Being targeted by overseas regions, sales would certainly be affected, and it might even face inexplicable fines or the like.

Overseas markets—it would be one thing if Xiaolingtong couldn't do anything about those overseas mobile phone manufacturers, but domestically, if Dongling Gao Ke couldn't handle them, it would be unjustifiable. They didn't want Xiaolingtong to sell machines, right? Fine, in order to survive, it wouldn't be excessive for Xiaolingtong to lower prices for promotions.

"News has also come from the Nippon Telegraph and Telephone Corporation that Japanese manufacturers like Sony, Panasonic, Sharp, Hitachi, Fujitsu, and Kyocera are discussing suing Xiaolingtong for unfair competition in Japan, using price advantages to dump products. There are also rumors that companies like Nokia, Motorola, Ericsson, and Samsung are targeting Xiaolingtong in America, Europe, and other places!"

Xiaolingtong in the hands of Dongling Gao Ke in this life was far more fierce than in the previous life. In the previous life, Xiaolingtong didn't go on sale until several years later, by which time PHS in Japan was already on the decline.

While everyone in the conference room was worried, Li Dongling scoffed. "Don't worry about Xiaolingtong in overseas markets!"

Whether it was the mobile phone or the call charges, Xiaolingtong had the advantage. In this world, ordinary people still made up the majority. When Xiaolingtong had a clear advantage, promotion and sales became easy. Zhang Ao was confident in selling Xiaolingtong to places like Brazil and Colombia.

"As for the domestic market..."

If nothing went wrong, this year, excluding the salaries of Ren Yuefeng, Zhang Ao, Hu Zixian, and Chen Tao, they would basically all receive bonuses starting at a minimum of one million, and there were even stock option rewards. Departments like R&D, Sales, Logistics Procurement, and Finance would also be able to receive large bonuses equivalent to half a year or even a full year as year-end bonuses. How could this not make everyone excited?

Besides, there was the Nippon Telegraph and Telephone Corporation. It was in the same boat as Xiaolingtong. Did they really think they could watch the show from the other side of the river? Keep dreaming!"

As soon as Ren Yuefeng said this, the Dongling Gao Ke headquarters conference room fell into a dead silence. Su Chicheng, who was responsible for recording the meeting, couldn't help but have his hand tremble.

There is no smoke without fire. Whenever there was wind, there were bound to be some signs. Xiaolingtong's performance was simply too dazzling and too fierce, causing those overseas mobile phone giants to start feeling worried or even fearful. Before this, even Nokia hadn't managed to challenge a bunch of veteran mobile phone giants just after entering the industry!

The postal and telecommunications side wanting to restrict PHS had some intention of protecting the domestic GSM and CDMA industries, to avoid them being truly beaten to death. Behind this, there was also a huge chain of industries and practitioners making a living.

"This year, the Xiaolingtong business is expected to bring Dongling Gao Ke over 6.2 billion USD in revenue, one-quarter of which comes from Japan, Siam, and Malaysia. If the overseas market develops smoothly, the revenue is expected to increase by a considerable portion!"

Ren Yuefeng was stunned for a moment, then shook his head. Although it was Dongling Gao Ke's own child, he was clear about how much weight Xiaolingtong carried. In less developed regions, the cheap call charges of Xiaolingtong were a divine tool, but in developed countries, just saying a few words on Xiaolingtong might lead to an exclamation of "Hey hey hey, damn." America and other places would absolutely not tolerate the unstable call quality of Xiaolingtong.

America and Europe were rich and could lay down base stations with better call quality; they didn't look down on PHS base stations at all, and Xiaolingtong couldn't be sold there either. Li Dongling hadn't counted on it at all, so naturally, there was no disappointment.

In addition, this was actually a sign that Europe, which supported GSM, and America, which supported CDMA, were targeting PHS. America and Europe had invested so many dollars one after another for their respective supported communications, so how could they allow themselves to be overturned? They were bound to target it.

"The postal and telecommunications side is very likely to further restrict PHS and Xiaolingtong from using certain frequency bands, slowing down the speed of PHS promotion in China by the telecommunications side!"

"Why is Xiaolingtong popular?"

The executives of Dongling Gao Ke were all quite excited. Xiaolingtong's sales and revenue were closely related to them, these executives, and to the entire Dongling Gao Ke, including every department and employee.

"The overseas market is expanding. Orders from Siam and Malaysia have already been obtained. The Hong Kong agent, Ning's Trading Company, is also negotiating with the Hong Kong Telecommunications Authority on a plan to introduce Xiaolingtong. Zhu Zhao Jiang and the others are looking for partners in markets like Brazil. If the overseas expansion goes smoothly in the second half of this year or next year, then perhaps, it is expected that next year, Xiaolingtong's overseas sales could also break ten million units!"

Li Dongling sneered. "If Xiaolingtong encounters trouble overseas, find the legal department of the Nippon Telegraph and Telephone Corporation to solve it. I want to see who gets anxious first!"

The Japanese mobile phone manufacturers targeting Xiaolingtong was entirely because Japanese mobile phone brands were being forced into a dead end by Xiaolingtong. Now, eight out of ten new mobile phone users in Japan were buying Xiaolingtong, which made manufacturers like Kyocera, Fujitsu, and Panasonic feel like they couldn't survive in Japan, their own lair, and they had to start suing Xiaolingtong, which was represented by the Nippon Telegraph and Telephone Corporation.

After Zhang Ao finished speaking, a burst of applause erupted in the conference room. A new mobile phone with annual sales breaking ten million units was enough to rank Dongling Gao Ke among the world's top mobile phone manufacturers.

Li Dongling wanted to see who would be more uncomfortable in the end. If they accused Xiaolingtong of dumping, then he would truly dump once to show them. He wanted to see how many more units brands like Nokia, Motorola, and Ericsson could sell in China. Xiaolingtong could use half of its profits for a price war; did they have that?!

Ren Yuefeng, Zhang Ao, and Hu Zixian all gasped. Xiaolingtong already had a price advantage; if it lowered prices again, the warehouses of those friendly mobile phone manufacturers would definitely burst.

(End of chapter)