Video Game Empire

Chapter 552: Dell is a good company

The investment cooperation agreement between the Oriental Group and the Austin City Government is simple and solemn. The so-called simplicity means that it is not like the domestic situation. First, the leader will give a speech for half an hour, and then the leader will give a congratulatory speech for 20 minutes. Without any nutritious official words, it can consume several hours.

Before the two parties officially signed the pen, the current mayor of Austin took a few minutes to introduce the overall planning concept of Austin to the development of high-tech industries to the media at the scene. Afterwards, Li Xuan, on behalf of Dongfang Group, briefly explained the various projects included in this investment.

More than 30 media attended the signing ceremony. The three major public television stations, including nbc, cbs, and abc, as well as mainstream newspapers such as The New York Times, USA Today, and The Wall Street Journal, all sent reporters to the scene for interviews. When Li Xuan and Mayor of Austin signed and exchanged the text of the cooperation agreement, the flashing lights of the long guns and short cannons in front of the signing table flashed.

Li Xuan stretched out his right hand and held it with the mayor of Austin, and at the same time turned his head, showing a warm smile in front of the dazzling flash. He flew across the Pacific Ocean and the North American continent, from Hong Kong to Austin, just to show his face in front of reporters!

You must know that Li Xuan has been less and less interviewed by the media in recent years, but he has been the world's richest man for many years, and his news value is very high. It can be said that Li Xuan's participation in the signing ceremony in person can at least increase the enthusiasm of the media's reporting by a level, which is why he came to the United States specially.

The signatories exchanged the text of the cooperation agreement, and then opened a glass of champagne to toast to celebrate. At this point, the whole event is coming to an end. Li Xuan was undoubtedly the most popular figure in the media at the scene. The reporters had a rare chance to catch him, so they gathered around and threw various questions to him.

"Mr. Li. Aikang's annual report for fiscal year 1988 has just been released. The sales growth of abc series computers is lower than market expectations. What is your comment on this?" Li Xuan asked in front of him.

Li Xuan nodded at her with a smile, his eyes seemingly inadvertently swept across the badge pinned to her proud chest, which turned out to be a reporter from The Wall Street Journal.

"As the largest shareholder of Aikang, I am very satisfied with the recent performance of the listed company's stock price! **** Baron and the entire management of Aikang have presented a satisfactory answer to all shareholders!" Li Xuan said with a light smile.

Icon Corporation in the past 1988. A total of 75,000 computers were sold, which was nearly 8% lower than the consensus estimate of 50,000. But instead of falling, Ikon's shares rose more than 15% in the week after the report was released.

That's because Ikon's computer sales were lower than expected. Operating income and net profit are better than market forecasts. After several years of development, the proportion of personal computer business in icon's overall revenue is decreasing.

Icon company is transforming from the original personal computer manufacturer into an it company that provides total computer and networking solutions. Icon's product line. In addition to the most widely known abc series of computers. Also provides workstations, servers, routers, switches and other products.

"Mr. Li, I'm Smith of "Austin Political Observer". The sales of the abc series of Aikang's computers are not satisfactory. Is it because the competition in the personal computer industry is too fierce? You must know that there are constantly emerging forces, and they have begun to participate in this industry. competition.

Have you heard of Dell, which just went public on the Nasdaq and raised $30 million, and Wall Street is very bullish on this emerging computer company that's less than four years old! The reporters were obviously not satisfied with Li Xuan's answer. So another local reporter continued to ask along the lines of the female reporter just now.

Li Xuan smiled lightly. How could he have not heard of the famous Dell. The founder of Dell, Michael Dell, is a student at the University of Texas at Austin.

Because of the influence of the butterfly Li Xuan, another famous computer company, Compaq, seems to have disappeared without a trace. But this Mr. Dell still stubbornly followed the trajectory of his previous life. After finishing his freshman year, he dropped out of Austin and started a brilliant entrepreneurial career.

"Mr. Dell said that my deeds inspired him, and I am very honored! I have to say that Dell is a very special company in the personal computer industry. It has a unique choice of direct sales model, by eliminating the middleman link, so It saves a lot of distribution costs and can provide users with greater price concessions!"

Dell himself did say that Li Xuan was his idol in an interview with The New York Times not long ago. The big guy who could only look up in the previous life has now become his admirer, which makes Li Xuan quite proud.

However, he quickly restrained his smile and continued calmly: "Everyone has been entangled in the issue of abc computer sales. In fact, in my opinion, the forecasts of those securities analysts are completely dispensable. Because they are not companies after all. The real operator of the enterprise cannot have a comprehensive and intuitive understanding of the development plan of the enterprise.

For example, Dell can quickly gain a firm foothold in the personal computer market through low-cost direct sales. However, as a leader in the global personal computer market, Aikang needs to consider not only how many computers it sells, but also to guide the entire industry to compete in an orderly manner!

Aikang has been committed to providing users with the best products and the best service! The sales of abc series computers last year were slightly lower than the outside world's expectations, which was actually the result of Aikang's active adjustment!

The abc-3 computer has been on the market since July 1981, nearly seven years ago. Due to its excellent performance, more than 200 companies around the world are producing its compatible machines. The current sales of abc-3 compatible machines still account for half of the global personal computer market.

And Aikang Company has voluntarily announced since April last year that it will stop the production of abc-3 computers ahead of schedule, and give this part of the market to other companies! This is the most important reason why Aikon's computer sales last year were slightly lower than outside expectations!

With the launch of the company's new generation flagship model abc-6, Aikang's computer sales this year will definitely usher in a ** growth! "

Li Xuan's words were high-sounding, and he desperately put gold on his face. In fact, to put it bluntly, as the price of the erm-1 processor drops again and again, the abc-3 has become a low-end product.

Many compatible machine manufacturers have begun to discontinue the abc-1 and abc-2 compatible machines that are too backward in performance, and have shifted their production focus to abc-3 compatible machines. This makes it unprofitable for Aikon to continue producing abc-3 and simply stop production ahead of schedule.

However, the new model abc-6 failed to be connected in time, so the sales of abc series computers were lower than expected. Even so, Ikon sold more than 00,000 computers last year. The company's personal computer business alone generated more than $6 billion in sales and more than $1 billion in profits.

And Dell, which is the pride of local journalists in Austin, has a market value of only $800,000 after its listing on Nasdaq. Although Dell's recent stock price has also ushered in a wave of gains driven by the good news from Ikon. But Dell's total market capitalization has only surpassed 100 million, and only one-tenth of Ikon's personal computer business profit last year.

The two are not rivals of the same size at all. Dell needs at least three or five years of rapid development to be eligible to become the rival of Ikon! In fact, Li Xuan is not worried about the rise of Dell, but is happy to see it succeed!

Relying on low-cost direct sales in the previous life, Dell successfully defeated a series of competitors such as IBM and Hewlett-Packard in the first few years of the 21st century, and became the number one computer seller in the world.

Dell's operation has a very significant feature, that is, it does almost no research and development of its own. Dell's model is actually to purchase parts from upstream suppliers, and then assemble them into computers for delivery according to the needs of user orders.

Companies like this will only be the enforcers of the existing rules of the game, not challengers and disruptors~www.readwn.com~ So Dell in another time and space, and the cooperation between the wintel alliance is very good. For example, Microsoft's offer of Windows operating system to Dell is lower than that of other companies.

The personal computer system built by Li Xuan actually has three cores. The first is the erm-based processor, the second is the east series of operating systems, and the third is the abc series of technical standards. No matter how the market share of the industry changes, Dongfang Group can grab the most lucrative benefits as long as it firmly controls these three points.

Therefore, Li Xuan doesn't care about the changes in Aikang's market share, but is more concerned about whether the system he built is challenged. Companies like ibm rely on their own profound technical background and are fully capable of jumping out of Li Xuan's system.

Therefore, Dongfang Group is both attracting and guarding against IBM, and Li Xuan will give strong support to a company like Dell that will not challenge the existing system at all. Dell's increase in market share will help Li Xuan control the entire computer industry.

Through the technological monopoly of processors and operating systems, the Oriental Group has harvested the largest piece of profit in the computer industry. It was also necessary to throw some bones for other hungry dingoes. For Aikang, its vision has begun to make money from selling abc computers to making money by selling abc computer technical standards.

"Actually, I am very interested in having a chat with Mr. Dale himself. The old principal of CUHK has been refusing to cancel my student status, and always urged me to go back to school. I wonder if the principal of Austin campus often calls him to borrow In the name of discussing his studies, he needs to ask him to donate some money and so on, after all, Mr. Dale is now a multi-millionaire!" Li Xuan laughed again in a familiar tone. (To be continued.)

(=Easy to read novels)

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