rebirth against the times

When they heard that it was related to China's industrial strategy, everyone got excited. You must know that not ordinary things can be mentioned to the height of national industrial strategy.

Then, Xiao Zhen asked Fu Jie to introduce the project to everyone. Fu Jie opened his laptop and projected the image onto the big screen in the conference room. The word "lcd" suddenly appeared on the big screen.

"LCD display?" Bai Shuo asked confused.

In Bai Shuo's impression, this thing is not a strange thing, and he doesn't understand why Xiao Zhen can elevate it to the position of national industrial strategy.

Different from Bai Shuo's calmness, other people around him had different reactions, especially Cao An who excitedly sighed: "Wow, this is a good thing. When I was an Internet cafe, I dreamed of replacing all the monitors in the Internet cafe.

It’s LCD, but it’s very expensive, and I couldn’t afford it at the time.”

Cao An's words made Bai Shuo's heart move. Could it be that his understanding was wrong? If you think about it carefully in this era, the application of LCD monitors does not seem to be popular. There is no shortage of this thing in his office, but how much did it cost him?

I usually don't care about it.

At this time, Fu Jie smiled and said to everyone: "I think everyone is familiar with this thing, but maybe they don't fully understand its significance. Before introducing the specific plan, I would like to say a few words to

Let’s talk about the strategic significance of LCD monitors.”

Then, Fu Jie changed the ppt to another page and began to introduce LCD to everyone.

As early as the end of the 19th century, Austrian botanists discovered liquid crystals, which are liquid crystals. That is to say, a substance has both the fluidity of a liquid and some arrangement characteristics similar to crystals. Under the action of an electric field, the liquid crystal molecules

The arrangement will change, thus affecting its optical properties. This phenomenon is called the electro-optical effect. But for many years, no one knew what practical use this thing had. It was not until the 1960s that scientists in the British Empire used the electro-optical effect of liquid crystals.

Effect created the first liquid crystal display.

However, although liquid crystal displays were manufactured at that time, Western developed countries did not pay much attention to this technology. On the contrary, some watch manufacturing companies in Japan were very optimistic about this technology and wanted to apply it to electronic watches and calculators.

When liquid crystal technology was still very immature and could not be used in televisions, Western countries chose to give up. They did not like gadgets such as electronic watches and calculators at all. They did not make much money, so they left it to the Japanese to make these gadgets.

Products.

Due to the large participation and continuous research and development of Japanese enterprises, various companies related to liquid crystal technology have gathered in Japan. The gathering of enterprises has accelerated the spread of knowledge and greatly stimulated technological progress. By the 1990s, liquid crystal display technology had been

With rapid development, only Japan in the world has at least one company in every aspect of LCD manufacturing, with a complete industrial chain. In addition, in terms of LCD technology patents, Japan has an obvious advantage in the number of patents, and they are mainly concentrated in technology patents.

Rather than other patents such as design. It can almost be said that in the 1990s, when it came to LCD, they were the only one in the world.

Cao An was so cruel that he asked, "These Japanese are so cunning. I think they must have monopolized the LCD monitors now, right?"

Zhu Zhu said doubtfully: "Although the LCD monitors of Japan are of good quality, they are also expensive, but why do I feel that the most popular brands on the market now are the three-star brands of Korea?"

Fu Jie nodded, changed the ppt page, and a market analysis icon appeared.

"It seems that Mr. Zhu is still paying some attention to the LCD industry. Indeed, it is not the Japanese country that is in the dominant position in the LCD field now, but the Koryo Kingdom, and the market share of Koryo Kingdom's three stars and LG's two companies rank first in the world.

First and second, the overall strength far exceeds that of Japan."

Fu Jie's words shocked everyone. The Japanese country, which has always had a huge advantage in dominating the electronics industry, actually allowed the small country of Korea to overtake it in the field of liquid crystals that it valued so much, and was overtaken so completely.

"It stands to reason that in this field, the Japanese have absolute strength and unsurpassed technology, how could they lose so miserably?" Bai Shuo asked.

Fu Jie explained: "At this point, I have to explain the cyclical industries. For example, automobiles, machinery, cement, etc., will be affected by the economic cycle and inventory production, and prices will fluctuate regularly. Just like the cement industry in

During the economic upturn, demand for infrastructure will increase, and prices will rise. As a result, many cement plants start operating and work overtime to produce more cement. However, as production increases, inventories also begin to increase, and the market gradually becomes

In the housing market, supply exceeds demand, and prices begin to fall. However, because the previous inventory was too large, the inventory must be consumed first, and the price dropped further. The cyclical trough began, and companies suffered losses and stopped operations. When the inventory was almost exhausted, the market

It starts to pick up, then restarts operations, replenishes inventory, and the cycle starts over and over again. This is a cyclical industry."

Fu Jie: "Compared with the traditional industry cycle, the LCD cycle will have some special features. When the LCD cycle trough comes, too low LCD panel prices will ignite a market that did not exist. For example, it could only be used in notebooks.

on computers, but when the cyclical trough comes, because the price drops significantly, it creates a demand for desktop monitors and also creates a sky-high market. Therefore, the correct approach is that when the trough of the LCD industry comes, the more

It increased investment to build more new production lines, lowered prices lower and lower, created new demand, and waited for the industry to pick up. It was during the LCD trough in the late 1990s that Korea adopted a counter-cyclical investment strategy and defeated the situation in one fell swoop.

The conservative Japanese companies occupied the top spot in the market, so the reason why Koryo defeated the Japanese was not through technological transcendence, but a brand-new business strategy."

"What? Can you overtake an opponent with an absolute advantage in the technology field purely by relying on business strategy? Tell me how you do it?"

Seeing that everyone was very interested in how Koryo could overtake Japan, Fu Jie also told everyone what he knew in detail:

In 1993, the LCD industry entered its first cyclical trough, with prices falling and profits plummeting. Japanese companies drastically cut production due to losses, so a large number of engineers in the LCD industry lost their jobs. At this time, the LCD industry had already

The long-coveted Three Star Company of Korea began to take action. They opened a research and development institution in Japan, recruited these unemployed engineers, and began to prepare for LCD production. By 1995, Three Stars and LG had built their own LCD production lines.

.

At this time, the LCD industry cycle was still at its trough. Faced with huge losses, Korean companies not only did not cut production like Japanese companies, but insisted on investing heavily, expanding production capacity, and investing in new fifth-generation LCD production lines. You must know that LCD

The investment in the industry is astronomical, amounting to tens of billions at a time. The Japanese think that the Koreans are simply unreasonable and their approach is a bit ridiculous. They mock their fifth-generation production line, which will surely sink the Titanic as soon as it goes to sea.

However, the law of demand created by production in the field of LCD came into play at this time. The panels produced before the fifth generation were only 14 inches at most, which could only meet the needs of notebook computers at most. However, the fifth generation production line can cut panels up to 26 inches. The Japanese people did not even dream of it.

Thinking of this, the demand for LCD monitors for computers has been stimulated, and there is even a demand for flat-panel TVs.

In 2001, not long after the advent of the new century, the fifth-generation production lines of Samsung and LG companies began to be put into production. Market demand increased greatly, and orders were received slowly. However, the former overlord Japanese companies faced new demands.

However, they could not even compete with each other in the field, and could only watch their crown falling. After this battle, the Korean LCD industry completely caught up with Japan, and the market shares of Samsung and LG also ranked first and second in the world.

Until today.

Bai Shuo: "It's really wonderful. If we hadn't listened to your detailed explanation, we wouldn't have known that there were such thrilling stories in this field."

Liang Ying asked: "According to this, our country is now monopolized by the Koreans in the field of LCD monitors?"

"Yes!" Fu Jie said: "Currently, the LCD monitors used in China are all products from Goryeo and Japan. And due to the monopoly of LCD monitors, our country has paid a heavy price in many fields."

"What?" Cao An said angrily: "A small LCD monitor can have such a big effect?"

"Absolutely." At this time, Bai Shuo thought about the many industries in China in later generations that are often restricted by one or two key technical barriers, and have been blocked by others, just like mobile phone chips. Yes, mobile phone chips!

Bai Shuo's thoughts suddenly drifted to other places.

"Why? Brother Shuo, please finish your words!"

Cao An's question brought Bai Shuo back from his thoughts.

"Oh, I mean, don't look at it. An LCD monitor is just a small component in many fields. But because we are completely blank in technology, it is entirely possible that this little restriction will affect some larger ones from point to point.

industry sectors are affected.”

Nangong Ming agreed: "Yes, a complete industrial chain is composed of many key points, and each point plays a very critical role. For our weak points, we can have alternative technologies to replace others'

To reduce the constraints to the minimum, you have to counterattack the opponent at other points. Otherwise, if one point is controlled, the entire industry will collapse. "

Fu Jie nodded and said with a smile: "Mr. Bai and Mr. Nangong are very accurate. Now I will introduce to you the war between China, Korea, and Japan in the LCD industry!"