176. Chapter 175 Sugon Technology’s two super plans

Author: Dr. Yingman

Chapter 175 Sugon Technology’s Two Super Plans

Sugon Technology is developing its own mobile phone chips and also has its own Sugon mobile operating system.

Under such circumstances, Sugon Technology dares to face any challenge, even facing international mobile phone giants such as Motorola, Nokia, and Samsung.

In this regard, Motorola, Noma, and Sanxing also took various countermeasures in the face of the menacing Dawn Technology.

Some of them have cut prices, some have developed new mobile phones, some have launched promotions, and some have used their own tricks...

Obviously, facing the menacing Suguang Technology, they are absolutely unwilling to give up their market cake!

In this regard, Sugon Technology launched two super big plans after achieving full production and full sales.

One of these two big plans is to purchase various mobile phone equipment to expand the production capacity of the existing new factory.

You must know that the current maximum production capacity of the new factory is not 14.64 million units, but a maximum of more than 30 million units.

So when Sugon Technology resumes full production and sales and continues to face the dilemma of insufficient production capacity.

Countless Sugon Technology employees all lament that they were lucky to have ample room for subsequent expansion when the factory was first built.

Otherwise, if you want to purchase the corresponding equipment to quickly expand production capacity, you will not be able to do so quickly. Therefore, countless employees really admire Lin Chen’s original decision!

The first big plan is to purchase corresponding equipment to expand production capacity and expand the production capacity of the new factory to the maximum annual production capacity of more than 30 million units.

The second big plan is to build a new factory with an annual output of 30 million mobile phones!

Once the construction of this newly constructed new factory with an annual production capacity of 30 million units is completed, Sugon Technology will have a total annual production capacity of 60 million units.

This is an ambitious and huge plan. You must know that the total mobile phone production capacity in the entire summer last year was only a few hundred million units.

If Sugon Technology's two major plans can be realized at this time, Sugon Technology's production capacity will reach half of the country's total mobile phone production capacity in the previous year!

So this is a pretty crazy plan!

When this plan was first proposed, Sugon Technology general manager Rebus, sales director Li Qianqiang, Lin Chen's two apprentices Huang Hua and Chen Dong...

Everyone, including Ni Guangnan, who is in charge of Sugon's R&D center, was in an uproar and strongly opposed it. They felt that expanding the new factory's production capacity to 30 million units was already the upper limit that Sugon Technology could bear.

It is completely unnecessary to simultaneously build a second new mobile phone factory with an annual production capacity of 30 million units at this time. They are afraid that they will lose money if they have too much mobile phone production capacity and cannot sell it.

In this regard, when Lin Chen showed that the total global mobile phone sales in 2002 was 463 million units, of which Nominea, the highest-selling unit, sold a total of 179 million units.

After MotoLa, which ranked second, also sold a total of 75.1 million mobile phones, all those who opposed it fell silent.

There is a mountain higher than a mountain!

When they were complacent about becoming the leader in domestic mobile phones, when they saw the sales results of Nokia and Motorola, everyone fell into a deathly silence.

People are more annoying than others!

They have indeed defeated Hashishima Mobile, defeated Jinli Mobile, and defeated many domestic mobile phone peers.

But compared to the two international mobile phone giants Motorola and Nokia, what does the name of the domestic mobile phone leader mean?

negligible!

Frog in the well!

The so-called domestic mobile phone leader is just the pride of a frog in the well. After all, Sugon Technology only sold 14.64 million mobile phones in a year.

Not to mention profits, the sales volume is only one-tenth of that of Nokia and one-fifth of Motorola!

Therefore, the highest annual production and sales volume of 14.64 million units is nothing in the world.

Sugon Technology still has a long way to go. Let's not talk about Nokia. The sales gap of more than ten times between the two parties is terrible. Sugon Technology still needs to be realistic and find an opponent whose strength gap is not too big.

So in the short term, Sugon Technology must first defeat Motorola before it can be qualified to challenge Noma.

But if you want to defeat Motorola, you must have at least an annual production capacity of 60 million mobile phones.

Because the cruel fact is that the mobile phone market has been growing. In 2002, Motorola sold 75.1 million units. Theoretically, sales in 2003 will definitely exceed previous years.

Therefore, if Sugon Technology wants to defeat Motorola, it must have a production capacity of at least 60 million units to be qualified.

There is no way, the global mobile phone market has been growing, and the total global mobile phone sales every year are tens of millions or even hundreds of millions more than in previous years.

Under this circumstance, Sugon Technology's production capacity can only qualify to compete with Motorola if it reaches an annual output of 60 million units.

After all, what determines a company's industry status is its profits, not how many mobile phones it sells.

Therefore, as long as Sugon Technology can achieve an annual output of more than 60 million units and achieve full production and full sales, in the end, under the situation of stock competition where you get more and others get less, Sugon Technology will be able to defeat Motoluola.

Of course, no one knows what the specific situation will be in the future, but based on the current strength of Sugon Technology, increasing the annual production capacity from 14.64 million units to 60 million units is indeed an exaggeration.

Although Sugon Technology's current income is enough to build a factory and expand production to an annual output of 60 million units, even hundreds of millions of units.

But if sales cannot keep up quickly, huge losses will occur, so Sugon Technology's expansion of 60 million units is the real limit.

The improvement of production capacity is not a direct leap to the previous one in one step, but needs to be gradually improved.

Sugon Technology's production capacity was also increased first to an annual production capacity of 30 million units and then gradually transitioned to an annual production capacity of 60 million units.

At this time, Sugon Technology's plan to increase its mobile phone production capacity from 14.64 million units to 60 million units is quite risky. If it continues to increase its mobile phone production capacity to 100 million units, it would be really crazy.

However, these are things for the future, and Sugon Technology is still carrying out its two major plans in a hurry.

First, it will take one or two months to increase the existing maximum production capacity of 14.64 million units to a maximum of 30 million units.

Then wait for the construction of a new factory with a production capacity of 30 million units to be completed in a few months, and then purchase equipment to expand production to a maximum of 60 million units.

If this whole set is completed, the annual production capacity may reach 30 million units in May or June. If the annual production capacity reaches 60 million units, it may be around August or September.

Among them, from June to July, it happened to be the time when Sugon mobile phone chip research and development was completed and new mobile phones were launched, so that seamless integration could be completed.

Therefore, Sugon Technology’s two big plans are not aimless, but are very consistent with Sugon Technology’s development plan.

So in the past few months, whether it is Sugon Technology's senior management or sales department, or people in Sugon's R&D center and mobile phone factories, everyone has been very busy.

In these few months, Sugon Technology needs to build its own distribution channels around the world, build its own direct stores and recruit suitable dealers.
Chapter completed!