Chapter 1424 This road is not clear

Fantasy computers have no different attitudes towards this result, because no matter how the market changes, as long as they can purchase computer parts at normal prices, it will have almost no impact on Fantasy computers.

But as time goes by, Fantasy Computer suddenly discovered that reality does not seem to be like this, and it is still in a very bad situation.

The specific reason has actually been mentioned before, that is, Jiangnan Group forcibly requires all parts that use Jiangnan Group's technical authorization to be sold on the external procurement platform of the Huaxia Electronic Technology Industry Alliance, and the prices of all products must be open and transparent.

You can price your parts and products very expensively or they can be very cheap, and there is no problem with these. Then your sales must be based on the price. If you provide a large number of purchase discounts, the discount intensity must be clearly written on the platform.

And most importantly, all capital flows must be carried out through the platform. Jiangnan Group and the alliance will not withdraw any dollar from it, but there cannot be a dollar without paying the account through the platform.

Once discovered, it will be considered as violating the regulations of the Huaxia Electronic Technology Industry Development Alliance and then forcibly expelled from the alliance.

Because all technical authorizations are carried out through alliances, once they are driven out of the alliance, not only will the corresponding previous technical authorizations be cancelled, but it is also difficult to trade with other companies in the alliance, which is a fatal blow to many companies.

Anyway, as an electronics company, if it cannot join the alliance, whether it is domestic or foreign, it will almost never be able to survive in the industry.

Yes, that's right. Even relevant foreign companies must join the Huaxia Electronic Technology Industry Development Alliance at this time. Even if you join as an observer, you must join in before you can enjoy the various policies and preferential policies and benefits within the alliance.

Because at this time, Huaxia has basically mastered 80% of the production and circulation of electronic products, if you, an electronics company, do not join the Huaxia Electronic Technology Industry Development Alliance, it will be equivalent to being self-severing outside the entire industrial chain.

So even companies like Apple and Microsoft are proud of themselves, at this time, they are observers and members of the Huaxia Electronic Technology Industry Development Alliance.

As for the rules that all capital flows must be followed through the alliance, they are the rules that the alliance has determined in the second year of its establishment.

The reason is also very open and upright, because the alliance involves a large number of free technical authorizations, various proportions of purchase discounts, etc., and companies joining the alliance can enjoy huge benefits.

But if a company uses this kind of welfare to secretly harm the interests of other alliance members, it will be a huge harm to the alliance.

The simplest example is that some companies enjoy free technical authorization from some companies in the alliance within the alliance, but turn around and secretly sell the products produced by these technical authorization to competitors of companies that provide technology. Didn’t that cause these companies that are willing to contribute technology for free, but suffered huge damage?

Therefore, the alliance requires that all capital flows and transactions must be carried out through the alliance framework. Anyway, the alliance will not make any commissions on these transactions, but only to ensure that both parties in the transaction did not violate the alliance regulations. This is very reasonable.

At the same time, after more than ten years of implementation of this regulation, although many companies in the alliance feel that this regulation is very troublesome and will hinder many private transactions.

But on the other hand, this regulation will also prevent competitors from conducting unfair transactions, and both parties will compete in a fair environment. This is an excellent thing for their own companies. Therefore, over time, all companies in the alliance have agreed to this regulation and do not think there is any problem with this regulation.

Fantasy Computer was actually a member of the alliance before, but because most of their parts were purchased from abroad, there were not many components to be purchased through the alliance platform, so I didn’t have a real experience of the influence of this regulation.

However, almost all components of Lingyun Computer must be purchased through alliances, so they felt the huge impact of this regulation.

The biggest impact of this is that fantasy computers cannot make a fuss about price. The issue of institutional and enterprise procurement has been mentioned before, so I will not repeat it here.

But gradually, in the personal computer market, the impact of this regulation gradually emerged, and the most core and fatal influence was that the manufacturing cost of all computers was completely disclosed, and there was no secret in front of users.

In this era, computers have become a very efficient modular product.

The host of a personal computer is basically divided into eight major sections: chip, motherboard, memory, hard disk, heat dissipation, graphics card, power supply, and chassis.

If you require more, you can add an optical drive and a professional network card, a total of 10 different modules.

A computer user only needs to buy these 10 modules on the Internet and assemble them together to install a computer by himself.

Of course, different chips need to correspond to different motherboards, but there is only one limitation, and other modules are basically universal.

Therefore, consumers nowadays only need to log in to the official website of the Huaxia Electronic Technology Industry Alliance to directly calculate the production cost of the computer configuration they want to purchase.

Of course, users have never expected to buy a computer at the price of production costs, but they at least know how much it costs to buy this computer and how much premium they can accept.

At the same time, with the continuous development of online media, many self-media professionals in the evaluation of whole machines have emerged, which specializes in the evaluation of whole machines of various brands.

You are unwilling to check the factory prices of these computer accessories. These self-media accounts can help you check. After checking, they will help you calculate how much these entire machine brands have earned you on a computer.

As a result, the entire Lingyun's entire machine market fell into a cruel battle, and some computer brands adopted price tactics to win the hearts of consumers with the lowest prices.

There are also some brands that try their best to build themselves into high-end brands, use brand value to increase premiums, etc.

But Fantasy Computer found that in the personal computer market, both of these tricks seemed to be ineffective.

During the previous business process, with various scandals being exposed, the reputation of Fantasy Computer was basically completely ruined. The brand of Fantasy Computer is almost worthless in the minds of consumers.

So if Fantasy Computer wants to sell at a high price based on its own brand, that person will not pay attention to the user market at all.

But what if you take the strategy of lowering prices?

This still doesn't work, even if Fantasy computers have been following this path.

In fact, in the traditional computer industry of Windows systems, the price of fantasy computers is considered to be lower than that of the entire industry.

Putting aside those sucker computers that are specially sold to institutions and private companies, Fantasy computers have a very advantageous price in the personal user market. Among the entire machine brands under the same configuration, Fantasy computers are basically the lowest.

So even though Fantasy computers became a bad reputation later, their sales volumes in the individual user market were still far ahead. Take laptops for example. The essential reason why Lenovo's Savior series was able to sell so well was that they did make the price very affordable.

But this is not because I fantasize that computers don’t want profits and choose to take the route of small profits but quick turnover.

It is because Fantasy computers control a large number of orders and have stronger bargaining power, and can get cheaper purchasing prices from upstream companies.

Anyway, other brands need to buy parts that cost $20, and Fantasy computers only cost $12. In this way, even if the whole computer of Fantasy computer is very low, the profit is still far exceeding that of other brands. This is also the fundamental reason why Fantasy computers can become bigger and bigger. It is really because large enterprises crush the capital of small enterprises here.

At the same time, this is also the reason why many small companies praise the framework policies of the Huaxia Electronic Technology Industry Alliance, which means that the bargaining power of opponents is restricted.

Those upstream suppliers are also very satisfied with this framework policy, which means that the other party cannot unscrupulously rely on their size advantage to lower the price.

But Fantasy Computers are not satisfied because they can no longer create the cheap and discounted products they used to have.

As a large enterprise, various cost-consuming things within the enterprise are naturally emerging one after another, and at the same time, they support a large number of employees, and these employees will directly increase the operating costs of fantasy computers.

Originally, these operating costs could be compensated by their own size advantages.

However, when the size advantage is completely offset by this framework policy, the operating costs become extremely huge.

Moreover, in order to compete for the market, the methods and prices used by small whole-machine companies have become even more crazy, and they have produced many products that are only about 5% premium to the purchase cost to impact the market.

A small whole machine manufacturer may still have a certain profit margin when the premium is only 5%, because they do not have too much labor costs and only need a factory to assemble it, and then an e-commerce department will put the product online to sell it.

But fantasy computers cannot be done. Not only does fantasy computers require factories to assemble, but also require a large number of senior executives to hold meetings, a large number of middle-level management to assign tasks, and a large number of lower-level employees to do all kinds of meaningless and unsuccessful work.

Not to mention a 5% premium, even a 20% premium, the operating cost of Fantasy Computer cannot be equalized.

Therefore, the financial report of the new quarter that Yang Yuan finally saw was very desperate. Not only was the procurement market of institutions and enterprises seized by a large number of newcomers, but the domestic personal computer market was even more crazier.

No one is willing to buy the entire computer launched by Fantasy Computer because the Internet configuration is the same, but the computer with different brands is pasted, and the price is several hundred yuan. So why don’t I buy a cheaper one?

It would be fine if your fantasy computer has brand value, but the problem is that the name of fantasy computer in China is completely terrible. The brand value of fantasy computer is basically a joke in the eyes of these people.

So Fantasy Computer's financial report this quarter was not hesitant, and it lost about 15%.
Chapter completed!