My Galaxy Technology

Chapter 85: Bankruptcy is coming

Haha, the fight was so good, so wonderful, so good!

Not bad, it's better to play longer and we can make more money.

Look, the king's material is the king's material, and the name is quite impressive. The price can be lowered at will. How low is the cost of riding a horse? Their cost ratio will not exceed 25%, right?

All the profits from our finished products are eaten up by these material manufacturers.

Haha, there is only lower, not the lowest. If you don't believe it, look at Wheat Mobile Phone Company.

Wheat Mobile Phone Company: He slandered, he slandered me!

The internal actions of Qianyin Technology are just a microcosm of the entire Chinese optical materials related industry.

As the price war between King Materials and Feiyang Optics has just begun, and the price reduction is more severe than anyone imagined, after a short window reaction period, many companies or groups have begun to stock up. , or start a replacement program for internal materials quickly.

The first to be replaced was not King Materials or Feiyang Optics, but Tianle Materials and Tianfeng Chemical, which ranked second and third.

When these two companies went through the first round of price cuts, they were not greatly affected because they followed up.

But when the second round of price cuts followed, these two companies were severely affected. It could even be said that they were swept away by a shock wave like a mountain roar and a tsunami.

Tianle Materials immediately chose to follow up and bite the bullet.

Then, due to the rising costs of raw materials, labor, marketing, etc., there was pressure from King Materials and Feiyang Optics above, and from the lower cost Qianjia Optics and Diguang Optics below, we soon fell into difficulties in receiving orders, and now we are facing difficulties. It’s such a miserable situation that orders are constantly being cancelled.

They have tasted the bitter pill of the second round of price reductions and are already complaining.

According to their own internal assessment, this situation does not take long. It only takes half a month for them to be unable to sustain it and enter the point where they lose one product for every product sold. By then, it will be a bottomless pit.

The situation of Tianfeng Chemical is similar to them, but also very different.

The same thing is that new orders are becoming more and more difficult and basically disappear. Existing orders are also being cancelled, and even those that have not been canceled are still being called to communicate with them to cancel. The decline is faster than that of Tianle Materials, showing a cliff-like decline.

Because after Tianfeng Chemical followed up on the first round of price cuts, it insisted on not following up on the second round of price cuts and would rather not take orders.

In the current situation, if we are still so arrogant, which customer can bear it?

No matter how strong the relationship is, you have to get out!

...President, Tianfeng Chemical Materials Huaxia Branch is currently unable to receive new orders. If we insist on not lowering prices, there will be no hope for subsequent orders.

At the Tianfeng Chemical headquarters, a subordinate is reporting the situation to Tianfeng Akio.

...

Tian Toyo Akio was silent for a long time, and by the time he spoke, nearly ten minutes had passed. He asked: How much of the order amount is still to be delivered? How long can it last?

This subordinate had the data. When he heard the boss's question, he immediately replied: There is still an order amount of 300 million, which can barely last for half a year if customers no longer cancel orders.

Half a year?

Tian Feng Akio pondered, and suddenly uttered a sigh: The wheel of the times is rolling forward, if you don't advance, you will die. Obviously, our Tian Feng Chemical Materials, or the correct one should say the optical materials business, has made too little progress in these years, while others have made too much progress. , so we fell behind and were crushed by the rolling wheel of time!

Everyone below was silent.

Tian Feng Akio is the third generation leader of Tian Feng Chemical. The first generation is his grandfather, and the second generation is his father. They have grown and developed along the way. With the development of the times and the progress of society, we have reached the point where we are now. With business all over the world, it is a well-known super multinational giant.

Over the years, with the gradual rise of China, especially the rapid advancement of science and technology in recent years, Tianfeng Chemical gradually felt guilty and powerless as if it was cheating.

However, these are all invisible and are bad changes that may occur in the future, not the real reality.

Now, the emergence of Feiyang Optics has turned this unreal reality into a real reality. For the first time, Tianfeng Chemical has felt the serious impact from China's rise in power. Their optical materials business is in comprehensive trouble and is on the road to death.

Exiting the domestic market is the first step to come.

The situation in the future should be even worse!

As for this first step, only Tian Toyo Akio can take it, and he can only take it.

Haw-chan is unreliable!

Tian Toyo Akio had a clear understanding and knew that he must have the determination of a strong man to cut off his wrist, so his heart trembled, then he closed his eyes and slowly said his decision: With a one-month deadline, if the situation does not improve, in China The Optical Materials Branch can enter bankruptcy liquidation proceedings!”

Hey!

All the subordinates bowed quickly.

Tianfeng Chemical's actions were naturally not top-secret information, and it was quickly spread through various channels.

People in the industry couldn't help but sigh.

This is Tianfeng Chemical. It's going to go bankrupt just because it says it's going to go bankrupt?

Haha, I can't withstand the price cuts of Wangzhe and Feiyang. It's better not to sell at a loss. Tianfeng Chemical's move is also a wise move!

How could Tianfeng Chemical go bankrupt? It's just a small department under Tianfeng Chemical. If it collapses, it will collapse. What's the big deal? Tianfeng Chemical is a super boss in a series of raw material industries such as luminescent materials and PI materials. , there are so many money-making departments.”

Cut five cities today and ten cities tomorrow. The one who destroys the six kingdoms is not Qin, but the six kingdoms!

Haha, Akio Tianfeng should be the third generation of Tianfeng Chemical, right? It turns out that Tian Feng is a salesman and doesn't feel bad. He closes the door when he says it. It's really grand!

Some people say it doesn't matter, and some say Tianfeng Chemical will collapse sooner or later, but these are of no concern to Tianfeng Chemical.

Just close it, we'll have one less competitor!

After hearing the news, Michael Roman, the CEO of King Materials, had no expression on his face and did not give a single reaction. He was quite cold.

Because this was all what he expected!

The bottom-line price reduction of King Materials not only attacks Feiyang Optics, but also simultaneously attacks the existence of low-end competing products.

As the boss of Zhongzheng Company said, I sell at such a high price so that other companies in the industry can survive. Otherwise, as long as I lower the price, they will only die.

The same goes for King Materials, which has maintained high prices for more than half a century. In fact, it is acknowledging the development of other low-end competing products, because the market cannot be eaten up by one person, and it only needs to take most of the profits, leaving A small profit is given to other low-end competing products. In this way, the original profits are eaten, and part of the extra profits after the industry develops are also eaten. Why not?

But it doesn't work anymore, because Feiyang Optics came out, which can replace it.

There is no room for two tigers in one mountain!

If Feiyang Optics is not dead, it will die, so it must first take in the part of the market that it originally gave up, so as to prepare for long-term competition with Feiyang Optics.

how to eat?

Price reduction!

As long as the price is lowered, other low-end competing products will have no other choice but to die.

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