Reborn Industrial Tycoon

What is the charm of Made in China?

Four words, high quality and low price!

No matter what kind of product, as long as it is made by the Chinese, it will definitely become high-quality and cheap.

However, at the end of the 1980s, China had not yet taken advantage of this advantage, and foreign businessmen at that time naturally did not realize how high-quality and cheap products made in China were.

For example, the famous sports brand Nike took a fancy to China's cheap labor advantage very early and began to set up foundries on China's southeastern coast. However, because there were no upstream suppliers in China at the time, Nike needed to transport raw materials to China from abroad.

After the basketball shoes are processed in the factory, they are then shipped back to the United States for sale. This kind of pure OEM can save some workers’ wages.

Later, China's supply chain developed, and the raw materials used to produce basketball shoes could be purchased in China. Only then did Nike begin to truly feel the charm of Made in China.

In 1989, China exported the most raw materials such as minerals, followed by food. Among the industrial products exported, mainly chemicals and mechanical transportation equipment, these are not products of labor-intensive industries, and naturally they cannot reflect China's

Made with high quality and low price.

Products such as clothing and shoes are products of labor-intensive industries, which can reflect the advantages of high quality and low price made in China. Unfortunately, in this regard, China's design concepts are backward.

Those clothes with red flowers and green leaves are completely irrelevant to fashion, so how could they attract the attention of foreign businessmen? As for white shoes and jialai sneakers, how can they compete with Adidas and Nike? Put the old-fashioned jailai shoes in front of AJ,

Not a single scrap left behind.

Foreign businessmen will not purchase dirty clothes and shoes, no matter how high-quality they are but at low prices.

Small household appliances are an industry that takes advantage of cheap labor.

At that time, industrial automation was still relatively crude, and industrial robots could not perform precise operations. For example, assembling small household appliances required manual labor.

When it comes to the use of manpower for production, developed countries such as Europe, the United States, and Japan definitely have no advantage. Their labor costs are too high, and labor unions are causing trouble every day.

The transfer of labor-intensive industries to developing countries is inevitable. China's labor force is cheap and it is very suitable to take over these labor-intensive industries.

For example, small appliances such as toasters are half cheaper when produced in China than in the United States.

Moreover, China did not establish a relevant supply chain at that time. When the entire supply chain is established in the future, the price will not just be half cheaper.

However, for Hayward, the offer of US$45 was enough to move him.

Although the previous air fryers were also small household appliances, due to the added patent fees, Hayward did not get the benefit of high quality and low price made in China.

But this time, the $45 toaster instantly made Hayward feel so delicious!

Hayward seemed to hear his heart shouting: "It's so cheap, you'll make a profit if you buy it, place your order quickly!"

Fortunately, Hayward was an experienced buyer. He resisted the urge to place an order and prepared to negotiate the price with Li Weidong.

"Mr. Li, I admit that the price of your toaster is much lower than the one we purchase in the United States. I want to know why the price of your toaster is so cheap?" Hayward asked.

"Mr. Hayward is worried that the quality of my products is not good, right?" Li Weidong smiled slightly, and then said: "You can rest assured that the toasters we produce use high-quality raw materials and are of absolute quality.

no problem."

Li Weidong secretly thought, when a complete and cheap industrial chain is formed in China, I can sell the toaster for less than 20 US dollars.

Then Li Weidong took out the slices of bread that had been cut long ago and said: "Mr. Hayward, I'd better come and demonstrate our products on the spot!"

Li Weidong pointed to the button on the toaster, and then said: "The toaster we produce has two main functions, one is the familiar toasting function, and the other is the defrosting function."

"Unfreeze function? What do you mean?" Hayward asked immediately.

"In the United States, many people living in suburbs cannot buy fresh bread every day, right? Most people go to the supermarket once a week, buy a week's worth of food, and then freeze it, including toast bread."

Li Weidong continued: "However, the toast bread just taken out of the refrigerator is cold and hard. Direct heating will affect the taste and is easier to burn. At this time, the defrost function is needed. First, defrost the toast bread.

Defrost and then reheat and bake, the taste will be better."

"This is a great design, tailor-made for the American market." Hayward nodded with interest.

At the beginning, Li Weidong asked Lu Jianli to improve the toaster and specially added two temperature levels. One of them was the temperature for normal toasting, and the other was the temperature of 40 to 50 degrees. This 40 to 50 degrees was designed for thawing.

of.

The function of defrosting toast bread may not be of much use in Europe. Many Europeans are accustomed to buying fresh bread produced on the same day when they get off work.

But this function is very practical in the United States. Americans generally live in the suburbs, and it takes an hour to drive to buy something. For Americans, it is normal to buy a week or two of food at once.

The food you buy home must be frozen. At this time, the defrost function of the toaster is really considerate.

"Mr. Hayward, next I want to introduce you to the second small design."

Li Weidong picked up the slices of bread, deliberately broke them into pieces, and then put the crumbs directly into the toaster. Then Li Weidong gently pulled the tray under the toaster, and all the bread crumbs appeared in the tray.

"I added a small tray that can be pulled out at the bottom of the toaster. The bread crumbs will fall directly into this tray, which makes cleaning the toaster much easier. You only need to clean this tray.

." Li Weidong then introduced.

"Mr. Li, I admire the details of your design. Cleaning up the crumbs is indeed a headache." Hayward seemed very satisfied.

Li Weidong went on to introduce: "In addition, the toaster we produce also has a very important function, which is a fire alarm. Once the bread in the toaster is burned, the toaster will sound

Alarm sound, so that fire hazards can be eliminated in time.

I heard that in the United States, there are quite a few fires caused by toaster ovens every year, so this is a very necessary function. However, this function is not convenient for on-site display here. After all, this is the exhibition hall of the Canton Fair. I

It is impossible to actually light a toaster. However, I can provide patent documents on the toaster alarm device to prove the effectiveness of the alarm device."

After listening to Li Weidong's introduction, Hayward was a little hesitant. He asked: "Mr. Li, the toaster you just mentioned, priced at $45, shouldn't include the functions you just introduced, right?"

"Of course it includes all the functions I introduced." Li Weidong said.

"So many functions, only $45?" Hayward asked again.

Li Weidong nodded: "If you purchase in large quantities, there are discounts."

"How much is the bulk purchase?" Hayward asked immediately.

"If you purchase 100,000 units at one time, I can give you a preferential price of US$43. If you purchase 200,000 units at one time, the price will be reduced to US$40!" Li Weidong replied.

The purchase quantity of 200,000 units is indeed too large for a household appliance. Even if it is a toaster that Americans can definitely use in their daily lives, it seems a bit much.

However, the price quoted at US$40 is really cheap, which means it can bring huge profits to retailers. What's more, this toaster also has new functions.

"In the United States, the purchase price of a toaster is more than 70 US dollars, but in China it is only 40 US dollars. Although the quantity of purchasing 200,000 units at one time is indeed too large, the price is too low.

If this kind of toaster made in China is put on the American market, even if it is only ten dollars cheaper, it will be snapped up like crazy!"

The structure of a toaster is not complicated, and as a product that has been around for decades, there are no high-tech parts in it. The parts required for a toaster can all be found on the market.

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The reason why toasters produced in the United States are expensive is mainly because the labor cost during assembly is relatively high. To produce a toaster, two-thirds are spent on labor costs.

In comparison, the labor cost of toasters produced in China is almost negligible. It is no exaggeration to say that the tips given by American workers for a simple meal are much higher than the daily wages of Chinese workers.

In the end, Hayward could not resist the temptation of the low price. He nodded and said, "$40 is the most sincere offer I have ever seen. I can't find any reason to refuse."

"Mr. Hayward, I haven't finished speaking yet. I have two additional conditions." Li Weidong continued.

"Mr. Li, please speak." Hayward said.

"First of all, if you order 200,000 toasters at one time, my delivery time will need to be delayed by two months. Because our production capacity is limited, for such a large order, we need more

Time is needed for production, so I hope you can be more lenient in terms of delivery time." Li Weidong replied.

Hayward thought for a while and then agreed: "There is no problem with this. If it is delayed by two months, we can accept it. After all, it is still the first half of the year! The impact should not be too big."

The peak consumer season in the United States is at the end of the year, and many Americans choose to buy household appliances, electronic products, kitchen utensils, furniture and even cars on Black Friday.

Therefore, for American retailers, the second half of the year is definitely more important than the first half. It doesn’t matter if the delivery time is slightly delayed in the first half of the year, but the delivery time in the second half of the year must not be delayed. Especially when Thanksgiving is approaching.

, then we can’t delay even a day.

"Mr. Li, what is your second request?" Hayward asked.

Li Weidong immediately replied: "My second request is about the deposit. We hope that you can pay 50% of the deposit in advance!"