My Fintech Empire

"As for the pricing of the first product." Qin Feng paused, looked at Fang Hong and continued: "The S1 standard version is priced at 2399 yuan for 8GB, 16GB for 2999 yuan, and 32GB for 3599 yuan; the S1-Plus enhanced version with 8GB is priced at 3499 yuan 16GB is priced at 4099 yuan, and 32GB is priced at 4699 yuan."

Tian Jiayi, who was sitting on the sidelines, was also very surprised to hear this series of pricing. This is definitely the most expensive price of domestic smartphones, especially the enhanced version of S1-Plus 32GB model, which is also a few cheaper than Apple’s iPhone. It looks like a hundred dollars.

At the end, Fang Hong nodded and said, "It's a very bold price. I'm afraid there are not many friends and merchants who have the courage to set such a high price."

Tian Jiayi, who had been silent for a long time, suddenly couldn't help but said at this moment: "I am afraid that the sales volume will not be optimistic with such a high price. Consumers will subconsciously want to spend so much money, it is better to pay more for iPhones..."

What I have to say is that Apple's brand awareness is there.

"I agree with this pricing, there is no problem. As for the extra money you said to buy an iPhone, at least you won't be able to buy an iPhone 4 this year, so the best new smartphone product in China this year is undoubtedly the S1." Fang Hong smiled, and immediately looked at Qin Feng continued: "If my guess is correct, the company's main sales volume is the standard version, and the Plus version is for appearance."

Qin Feng was stunned for a moment, nodded immediately and said: "That's right, Xingyu Technology's products, my ultimate strategic goal is to lock in the high-end market, and compete with Apple in the high-end market in the future, and consumers will resist price increases in the future." , it’s better to set the price directly at this position from the very beginning, and put aside whether consumers will buy it or not, and set their expectations first.”

At this time, Fang Hong had a high opinion of Qin Feng and couldn't help but think of Rebs and his Xiaomi. Xiaomi's mobile phone can be regarded as a success or Xiao He's failure. The slogan, the price of 1999 turned out to make Xiaomi's mobile phone quickly gain a group of fans, and the price/performance ratio has become a sharp weapon for Xiaomi to expand its territory.

But it is precisely because of the price-performance ratio that the Xiaomi brand has become synonymous with cheap, easy-to-use, high-quality and low-cost smartphones. In the end, Xiaomi hit the high-end market and tasted the bitter fruit. If the price is increased by several thousand yuan, users of Xiaomi will not buy it, which is why Tian Jiayi said just now, why spend so much money to buy Xiaomi and buy an iPhone?

In fact, there is no such thing as high-quality and cheap things in this world. You get what you pay for, or you get what you get for half a penny. There is absolutely no such thing as what you get for two cents.

When it appears that one penny can buy two cents of goods, it is either shoddy, or the upstream and downstream supply chains are making profits, resulting in very little profit in the manufacturing industry, and then the upstream and downstream suppliers are further squeezed layer by layer, making manufacturing In the end, industrial companies will inevitably squeeze workers' wages to subsidize their profits. It is only a ghost that workers' wages can increase.

Therefore, from the perspective of the big picture, it is the absolute majority of the bottom-level people who suffer.

In addition, high-tech companies do not have enough profits and there is another fatal problem, that is, there is no investment in research and development. The profit of Xiaomi mobile phones makes it use the head to burn technology?

If you don't have the ability to develop new technologies, you can only buy others, and then the vicious circle of negative feedback.

Those real world-class technology giants invest tens of billions of dollars in research and development every year. So much money is based on high profits, and these investments allow them to maintain their leading technological advantages, thus forming a positive cycle. .

So Fang Hong was relieved on the spot after listening to Qin Feng's pricing of the product, and confirmed that he would not follow the path arranged by Rebus for Xiaomi's mobile phone. The path Qin Feng chose now may have a difficult start, but it was a difficult start As long as you get through the obstacles behind, it will be much easier.

What's more, Fang Hong still has a big move that can be given to Qin Feng.

"I suggest to adjust the main strategy, and directly focus on the 32GB Plus version as the first-generation flagship phone." Fang Hong said immediately. Apple VK, but the gap between Xingyu Technology and Apple still needs to be admitted, and the main Plus version will weaken our competitiveness.”

Because there is no advantage in price, 4699 yuan can buy a basic version of the iPhone. It must be admitted that consumers are more willing to choose iPhones at similar prices.

Fang Hong said with a smile: "Don't be afraid, I will give you a big move."

Hearing this, Qin Feng couldn't help looking curiously at Fang Hong, who immediately said: "Consumers who buy Xingyu's smartphones can support zero-interest installment payments, divided into 24 installments for two years, a 32GB version priced at 4699 yuan The monthly payment for the S1-Plus mobile phone is less than 200 yuan."

Installment payment for mobile phones is nothing new ten years later, but it is definitely a big move in 2010, because according to the original historical track, installment payment for smartphones first started around 2017.

Once Xingyu Technology's smartphone supports installment payment, it is equivalent to six or seven years in advance.

Qin Feng was taken aback for a moment, and then suddenly his eyes lit up. Only then did he realize what the main business of the money owner's father is, and what he plays is finance!

Other manufacturers absolutely do not have this resource condition, but Xingyu Technology is backed by Qunxing Capital. The 5 billion financing just negotiated, Qunxing Capital accounted for 80% of the equity, so it is not a real son to raise?

Could less financial support be needed?

Other manufacturers can't play it well, but Xingyu Technology with the support of Qunxing Capital will definitely have no problem.

The capital cost brought by zero interest can be regarded as a realized price reduction, which can be included in the company's operating costs, thereby improving competitiveness unconsciously, so as to achieve the goal of shipments and avoid Embarrassing road for Xiaomi.

At this time, Qin Feng didn't say a word but he directly thought of Fang Hong giving him a thumbs up, which is definitely a big move.

Let the mass consumers pay four to five thousand yuan to buy a mobile phone. In 2010, there were really not many people who could afford it, but they only needed to pay less than 200 yuan to take the mobile phone home. With a monthly payment of less than 200, workers in any factory can afford it. As long as they are not unemployed, they will not have financial pressure to find a job or go to the factory to drive screws.

Can't afford a house, a car, or a smartphone? What's more, the housing is for decades, but the mobile phone only needs to be for two years, and the more important thing is zero interest. No interest means that there is no capital cost, but two years of inflationary money.

Fang Hong said unhurriedly: "As for the financial operation, Qunxing Capital will help you settle it. At that time, Huayu will find a third-party financial institution to cooperate with you to ensure that consumers in major cities across the country can handle the next installment. pay."

At this time, Qin Feng said in a deep voice: "Instalment payment is indeed a big move, but the company's capital has become a problem. Every time a mobile phone paid by installment is sold, it is equivalent to two years of accounts receivable. As a result, the company will soon face liquidity drying up."

The implication is that he still wants to ask the donor's father for money. Fang Hong smiled in his heart, and immediately said calmly: "What's the matter? It's just liquidity. Qunxing will just lend you money."

Definitely can't refinance Xingyu Technology. Now they have got 80% of the equity. Refinancing is equivalent to giving Xingyu Technology money without asking for anything in return.

Having said that, Fang Hong added with a smile: "As for liquidity, Qunxing Capital will take care of it for you. Even if you want to borrow 100 billion, you can give it. In Qunxing, I can calculate what I say. This point do not worry."

Just when Qin Feng was overjoyed, Fang Hong immediately emphasized: "However, interest must be paid."

Qin Feng: "Uh..."

Fang Hong said with a smile: "Since Xingyu Technology is the son of Qunxing, as the saying goes, brothers should also settle accounts clearly, and this son should also settle. The annual interest is 12.5 percent, and the interest is calculated every other day."

Qin Feng couldn't help but hastily said: "I've already mentioned my own son, so I don't want to be so harsh, I just wipe the fraction and take the whole thing, let's forget about 10 points, after all, the borrowed amount will not be small!"

The beautiful assistant sitting on the side looked at the two of them without saying a word. The big deal in front of them was careless, as if they were indifferent to each other, and they started haggling in the blink of an eye.

Fang Hong replied calmly: "It is because you borrowed a large amount that you need so much. Otherwise, which financial institution would dare to lend you such a large amount? The first layer of risk control will kill you directly."

Qin Feng retorted speechlessly, if Qunxing Capital held 80% of Xingyu Technology's shares and was treated as a "son", it would be a daydream to obtain such strong financial support, which cannot be refuted.

At the end, Qin Feng spread his hands and said with a smile: "Okay, as a son, I have no right to bargain with me. 12.5 is 12.5, so it's settled."

The two couldn't help but looked at each other and smiled.

In fact, Qin Feng also roughly calculated a simple account in his mind. Although Qunxing Capital's interest rate of 12.5 percentage points is not low, it is not too much at all. It really doesn't make much money.

Because the target group of mobile phone installment payment is the majority of ordinary people with low income, there is no guarantee that the released installment payment will abide by the contract and repay the debt. If it becomes a non-performing debt, as a financial institution, it must make arrangements for this potential risk.

The father of the funder has such strong support, so you can't let the main board take risks and lose money, right?

And Fang Hong's method is very simple, that is, to charge Xingyu Technology more interest, and indirectly transfer the potential risk to Xingyu Technology, which is reflected in Xingyu Technology's asset income statement as the capital cost of the borrowed money.

As a high-tech company, Xingyu Technology can afford this capital cost, as long as the products are sold, it will make money.

The pressure on the capital chain brought about by the installment payment is also a matter of the first year or two. After these two years have passed, the first batch of installment funds have all flowed back, and the cash reserves formed by Xingyu Technology's own accumulated profits can realize internal The funding cycle rolled over.

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