Wanjie Technology System
Chapter 390 Samsung's last stand
A group of senior executives all looked at Li Jianxi, after all, he still had to decide on this matter!
If they lowered the price again, they really wouldn't make any money!
If they didn't make any money, it would be like doing useless work.
Li Jianxi was also hesitant at this moment. If he didn't lower the price, the first round of price reduction would be in vain. If he lowered the price, there would be no gross profit. Anyway, it's bad news to lower the price or not.
"The second round of price reduction of Xingchen Group is 10% lower than our first round of price reduction! Doesn't he have to make money?" A senior executive saw that Li Jianxi hadn't spoken yet, and then raised this question.
"Yes, after the second round of price cuts by Xingchen Group, there must be no profit. Are they going to fight us to the death?"
"If that's the case, it's a practice of killing one thousand enemies and losing eight hundred of our own. It depends on who has the stronger capital and who laughs last."
"We have the support of Samsung Group, I think we can fight with the other party. Then we'll see who laughs last."
Some senior executives feel that they can't retreat. Since the other party wants to fight with them, let's have a real price war that will lose money. Anyway, they have the support of Samsung Group and a lot of money! They can fight a long-lasting price war with the other party.
On the other hand, the other party Xingchen Group has just risen, and its capital chain is definitely not as strong as their Samsung. It's not certain who will laugh last. They even think they have a better chance of winning.
"Okay, let's fight the price war to the end, let's have a do-or-die battle! Even if we don't make money, I will continue to consume it." Li Jianxi said in a deep voice.
"We continue to reduce prices, 5% cheaper than Xingchen Group!" Li Jianxi said after thinking about it. This is his lowest bottom line. This price is directly the factory price. He has already blocked the employees' wages. There is no money to be made from the chips, but the employees' wages must be paid. Generally speaking, this price is also a small loss.
"Okay, Mr. President, I believe that Xingchen Group will no longer dare to lower the price at that time. If they lower the price again, they will lose money. Or double, the product cost will lose money, and the employees' wages will also have to be paid out of pocket." A senior executive clapped his hands.
"Well, when their products have no sales, once their capital chain has problems, it will be time for us to fight back. At that time, market orders will come back."
"Well, implement this order, and adjourn the meeting!"
Not only Samsung Group, Micron and Hynix are also in a state of panic after seeing the second round of price cuts by Xingchen Group. If they don't cut prices, they will almost lose most of their market share. If they continue to cut prices and are lower than the other party's prices, then they will not make any money.
You must know that Micron and Hynix are not as rich as Samsung. They are not Fortune 500 companies. Micron is only one of the top 500 companies in the United States, not the top 500 in the world.
As for Hynix, it is just a subsidiary of SK Group. Although SK Group is one of the top 500 companies in the world. But Hynix is not one of the top 500 companies in the world.
Samsung Electronics is not only one of the top 500 companies in the world, but the Samsung Group behind it is also one of the top 500 companies in the world.
This capital is different.
But both Micron and Hynix know that if they do not choose to lower prices, what awaits them is only a continuous decrease in market share, and then layoffs, layoffs... In the end, it is because of the problem of the capital chain. Next, they are either waiting to be acquired or waiting to go bankrupt. The best result is to become a small company of the 18th rank.
So the senior management of Micron and Hynix also decided to continue to lower prices! To fight a desperate battle with Xingchen Group.
They don't believe it. Doesn't Xingchen Group lose blood?
If Qin Hailang knew their naive ideas, he would definitely laugh. I still have money to make. And it's not a small amount!
There is no need to buy machinery and equipment, and there is no need to hire many employees. Only raw materials and electricity consumption are needed.
How can we lose money?
Three days later, Samsung, Hynix, Micron and other companies all announced that they would continue the second round of price cuts!
After the second round of price cuts, Samsung's chips were 5% cheaper than those of Star Group, Micron's chips were 4.5% cheaper than those of Star Group, and Hynix's chips were 4.8% cheaper than those of Star Group!
Headquarters of Star Group.
After Qin Hailang looked at the feedback from the senior executives, he laughed: "I didn't expect that Samsung and several companies were going to fight with us."
"What Mr. Qin said is that according to the calculations of our evaluation experts. The chips they are selling at the current price should not make any money." A senior executive sneered.
"Samsung and several companies are fighting a desperate battle this time."
"Mr. Qin, are we still reducing prices?" A senior executive asked.
"Reduce prices, why not? Reduce our prices to the same as the other party's prices. Our products are better than theirs, and the prices are the same, and those customers will still choose our chips." Qin Hailang said lightly.
"Boss Qin, do we still have any profit?"
"Yes, it's just a little less. What we need to do now is to kill these three companies first." Qin Hailang waved his hand and said indifferently.
"Okay, Boss Qin."
The next day, Xingchen Group announced another shocking news, that is, Xingchen Group will cut prices for the third time. This time the price cut is directly on par with the price of Samsung chips!
When this news came out, Samsung and other companies looked unhappy.
After all, they still lack competitiveness. Because now many international companies know that Xingchen 5G chips are indeed easy to use. At least more advanced than theirs.
In addition, the price has been rising, so who should they choose?
The most important thing is that now Samsung and other companies have made money that they don’t have.
If they knew that Xingchen Group still had money to make, they would probably cry.
The real price war has just begun!
Anyway, many people are watching the show, and many companies are happy to see the result. Because the other party’s price war is the best for these customers, and the goods they get are the cheapest.
Who doesn’t want this? It’s best that these companies keep fighting.
In comparison, Micron and Hynix are frowning, because they found that after cutting prices twice, they still can’t bring back the original customers.
But Samsung Electronics is full of confidence, they want to wear out Xingchen Group.
In fact, Qin Hailang also thinks so? Wear out the other party!
Who will laugh last in the end is obvious, it only takes time.
Next, Qin Hailang will not only be involved in this chip operation, but also in the integrated circuit industry. After all, he still has $60 billion worth of goods left in his annual production that are no longer needed domestically. So he must export them!
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