Rebirth 99 to become a car giant

The automotive industry is a fully competitive industry.

However, in the supply chain of the automotive industry, there are many situations of insufficient competition.

As a parts supplier of an automobile company, priority is given to group affiliated companies, which is the case in almost all companies.

Whether it is foreign-funded enterprises such as Toyota Motor and Honda Motor, or domestic joint ventures such as Shanghai Volkswagen and Shenlong Automobile, or state-owned enterprises such as Shanghai Shanghai Automobile and Xifeng Motor, this problem exists.

On the one hand, if you don’t use the products of your affiliated companies for some core components, you may not be able to find a suitable manufacturer to produce them.

On the other hand, if you don't use the products of affiliated companies for some large amounts of money, the group will trouble you.

The most typical is the seat.

Just look at how many joint venture seat manufacturers have been established in China by manufacturers such as Faurecia and Lear in later generations.

Therefore, when Zhang Fugui heard the information from Xifeng SKF, his first reaction was that Nanshan's future bearing orders from DPCA were hopeless.

Even if you can still get a little order, it is still left by others.

"It will take some time for their joint venture company to go from establishment to mass production."

"We want to diversify the bearing customers as much as possible during this period of time and open up the international market."

Cao Yang knew very well that Zhang Fugui's worry was justified.

It is also inevitable that DPCA will give priority to the products of Zephyr SKF in the future.

However, it is impossible for Xifeng SKF to manufacture all products, and Nanshan is not without a chance.

It's just that it sure doesn't feel right.

Cao Yang also wanted to be tough in the future.

Don't eat the food that comes from you!

"What I am worried about now is that SKF will also form a joint venture with Modu Automobile Group and Spring City Automobile Group. Then our bearings will not have much future in the domestic automobile industry."

The more Zhang Fugui said this, the more he felt that what he said was likely to become a reality.

"Not at all!"

"Even if SKF has actually established several joint venture companies, the order of bearings is not purely based on the views of China."

"For example, Spring City Toyota, do you think SKF can win the bearing order from JTEKT?"

"Another example is Yangcheng Honda. Even if SKF establishes a joint venture with Yangcheng Automobile Group, do you think the other party can defeat NTN?"

"That's obviously impossible."

"If this is really possible, then there is no need for SKF to take the lead. A bunch of other manufacturers have already rushed to the front and used this routine."

Cao Yang is not so pessimistic.

Of course, this is also because he knows that SKF's move will at most have some effect in China.

Now Nanshan Technology Co., Ltd.'s biggest business is the export of parts for GM, Ford and Volkswagen.

In the next few years, export business will still be the area that Cao Yang will focus on and develop.

"Mr. Cao, SKF's actions are obviously aimed at us."

"If we do nothing, will other manufacturers think we are easy to bully?"

Zeng Tingting also listened to Zhang Fugui's explanatory materials.

Her concerns are clearly justified.

If a company makes people feel bully, then other customers will take advantage of you intentionally or unintentionally after hearing about it.

On the contrary, people will counsel a lot.

The most obvious one is Bosch.

Many OEMs know that Bosch is not easy to mess with, and when they take some measures, they often make exceptions for Bosch.

For example, the payment policy of later generations Geely, and the annual price reduction plan of many OEMs.

Often there will be situations of bullying and fearing hard.

The easier you are to bully, the higher the goals will be set for you.

The more difficult you are to mess with, the lower the final price reduction ratio will be.

"Your concern is justified."

"SKF is a major international manufacturer, while we are a local private enterprise."

"Others don't have the confidence to provoke SKF, but we at Nanshan are not afraid."

"If he wants to fight, we will fight."

Cao Yang aspires to be the world's number one auto parts company.

That's the goal for at least the next decade.

Then it is almost inevitable to have a conflict with an international giant, and the two sides will fight back and forth.

"Mr. Cao, how do we fight?"

Zhang Fugui trembled in his heart.

I had fought against Aida, an international press giant, before.

Is it going to fight against SKF, the international bearing giant, so soon?

The pressure is huge.

Although the various parameters of Nanshan's wheel bearings are very good, Zhang Fugui definitely does not think that Nanshan can be better than SKF in the bearing industry.

So seeing Cao Yang being so aggressive, he felt guilty.

"We are only producing hub bearings now, and other bearings were originally planned to wait for the new factory in the industrial park to be built before starting production."

"But SKF is now pulling some automobile groups to form a joint venture company, trying to monopolize bearing orders from the source."

"Then we will make a batch of standard bearings first, and at the same time contact various OEMs to strive for some other bearing quotation opportunities."

"At that time, as long as the bearings imported by SKF are willing to use our products, the price can be reduced by 30%."

"I think the procurement of various OEMs should be very interested in this matter."

When Cao Yang said this, Zhang Fugui couldn't help frowning, and said, "It's not a big technical problem to produce other bearings."

"But it will take some time, especially for the testing of subsequent products and the issue of material ordering for mass production."

"I think it is unlikely to get orders from various OEMs immediately in a short period of time."

Zhang Fugui felt that he had to pour cold water on Cao Yang, otherwise the pressure on the sales department would be great.

"It doesn't matter, whether it's Shanghai Volkswagen or Shenlong Automobile, even if they receive our offer, they won't switch immediately."

"They will definitely talk to SKF first, and they will not start to review and switch until the other party has no way to lower the price."

"But if we do this, even if there is no way to get an order, at least we can disgust SKF and force them to cut prices."

When Cao Yang said this, Zeng Tingting couldn't help saying: "Isn't this becoming thankless, hurting others and benefiting oneself?"

"That's not necessarily the case!"

"At that time, the reputation of our Nanshan Bearing will at least be known."

"The automobile group that has a joint venture factory with SKF may not use us, but other automobile factories may bring us new opportunities."

Cao Yang didn't believe that Nanshan was so happy in the bearing industry that the Great Wall, Geely, Chang'an and other self-owned brand auto companies would not move at all.

You know, there are many places where bearings are used on a car.

If the price of each bearing can be reduced by 30%, the price reduction amount of at least several hundred yuan will come out.

"If this is the case, I guess SKF will find other ways to deal with us."

Zhang Fugui did not deny the benefits of Cao Yang's plan.

However, he raised a new concern.

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