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Chapter 184 - Chapter 184 New Market Challenges

Autumn leaves, winter comes, time passes day by day.

Shanchi Technology General Manager's Office.

"The new factory is expected to start production ahead of schedule, so you don't have much time left. You must do a good job of market promotion in the next month or so and capture all the markets that should be captured."

"This year, the electric vehicles produced by our company are in short supply, and the warehouse is often empty. I hope this will be the case next year as well."

"Lao Lin, Lao Wu, your task this time is very heavy. The company will provide you with logistical support. Remember to raise any needs promptly."

"Okay, President Tan, don't worry, we will work hard to complete the tasks you have assigned."

Lin Yumin and Wu Zhenping both stated.

Since the district's inspection and cooperation talks, Lin Yumin and Wu Zhenping have strongly requested that Tan Jincheng no longer call them "uncle" during working hours.

In their words, Shanchi Technology is no longer what it used to be, and continuing to call them "uncle" would undermine Tan Jincheng's authority.

The two, who had worked in state-owned enterprises, actually attach great importance to titles, and their foresight is much stronger than others.

They used to call them casually, but now Shanchi Technology is a large factory valued at 2 billion yuan, and continuing to act superior due to age would be a bit tactless.

In their opinion, 20-year-old Tan Jincheng might not care much about titles, but what about 5 or 10 years later?

As a big boss who controls a company valued at billions, if he calls his subordinates "uncle" every day, wouldn't he feel uneasy?

By then, they would be the only ones to suffer.

With the two elders behaving this way, Zhang Xuhui and Sun Yuming naturally responded in kind, and Tan Jincheng accepted.

What they said was not unreasonable; calling them that for a long time might indeed foster an inappropriate emotion.

"Hmm, you'll probably have a particularly tough time before the Chinese New Year. Be careful when you're out and about. When you return, I'll celebrate your success."

"Haha, this is our job, it's nothing."

"Alright, if there's nothing else, you can go and make arrangements. I've approved the travel advance from finance, you can go directly and get it."

"Okay, then we won't disturb President Tan's work."

Lin Yumin and Wu Zhenping walked out of the office door, exchanged a smile, and realized that the real competition had arrived.

President Tan said that it would be fair competition, with equal resources.

Whoever captured a larger market would be the head of Shanchi Technology's marketing department in the future.

Income, status, and influence would all be greatly enhanced.

Compared to the time they spent idling in Yicheng, their income had greatly increased in the few months they had been at Shanchi.

A few months' worth of income could equal their previous two years' income.

But given the opportunity, who wouldn't want to go further?

The new factory going into production, the construction of the industrial park, and the rapidly developing industry all indicate that Shanchi will embark on a path of rapid expansion starting next year.

In a rapidly developing industry, early participants, large capital eats meat, small capital drinks soup, and practitioners like them who hold a certain advantage can also lick the bowl, still earning a considerable amount.

Opportunity has arrived, let's see if they can seize it!

Shanchi Technology's marketing department once again embarked on a promotion tour.

This time, the business trip would be longer and cover a wider area.

In addition to the four cities already promoted which would be covered again extensively, multiple other cities across the country also needed promotion.

Shanchi Technology's estimated production capacity for 2006 is around 500,000 vehicles, with a monthly output of over 40,000 vehicles, distributed among three different models under the two major brands, Shanchi and Fengchi.

Among them, the Fengchi Feiyi series, due to its wider range of colors and styles, has its production capacity designed to be 50% of the total capacity.

The warehouse mentioned earlier to Lin Yumin and Wu Zhenping, which he told them to keep empty, was naturally just an incentive.

With an annual production capacity of 500,000 vehicles, it would naturally be difficult to achieve the same supply-demand balance as this year.

For the 2006 sales forecast, Tan Jincheng's vision was to strive for "guaranteeing two and contending for three."

Guarantee 200,000 vehicles, strive for 300,000 vehicles, and work hard to catch up with Xinri's sales this year in one fell swoop, entering the top ten in the industry.

With an annual production of 500,000 vehicles, if calculated based on the previous 100-vehicle terminal dealer model, it would cover 5,000 stores nationwide.

The time and effort required for the previous one-by-one promotion model are no longer sufficient.

Therefore, Shanchi Technology must establish a brand-new sales system and can no longer engage in small-scale operations as before.

500,000 vehicles are just an appetizer; once the industrial base is put into production, Shanchi's production capacity will further expand, and the sales system will become even more important.

For this promotion, Tan Jincheng designed three plans.

The first is the agency model, where agents pay a certain agency fee to purchase goods from Shanchi and sell them in authorized areas, primarily profiting by earning the price difference.

The second is franchised stores, where franchisees directly purchase Shanchi series electric vehicles and profit by investing in and operating them.

Subsequent profits belong to the individual operator.

Its characteristic is a larger initial investment, but exclusive later profits, which also has a certain appeal.

The third is the city partner model, where Shanchi provides vehicles and stores, and entrepreneurs only need to be responsible for business expansion and sales.

In the later stage of operation, a profit-sharing cooperation model with the headquarters is adopted.

The advantage of this model is that the required startup capital is smaller, but the subsequent profit margin will naturally also be smaller.

The three models each have their strengths and weaknesses; none can be said to be definitively better, mainly depending on the entrepreneur's financial strength and ambition.

As for Shanchi Company, the first model is the most worry-free.

For example, if the agent takes on the estimated annual sales of electric vehicles in the Yicheng area, how they sell them afterward is their business.

However, this will further compress the profit margin.

Agents are not fools; spending huge sums to obtain agency rights, they certainly need a certain profit margin to meet their operational requirements.

The second model is the most beneficial for Shanchi Technology.

Not only can it collect certain franchise fees, but profits can also be guaranteed.

Similar to bubble tea shops in later generations, brand promotion speed will also be faster.

The disadvantage is that if there are too many franchisees, their quality will naturally vary.

Some franchisees, in order to gain more profit, will also play tricks, which can lead to deviations in brand reputation.

In the third model, Shanchi Technology needs to invest more, but the advantages are equally obvious.

This model is akin to a scaled-down city brand store, and it can also be used to build relationships with some people.

You don't need to invest, I'll pay to open the store, you operate it, and we'll split the profits.

There's a lot of room for maneuver in between, those who know, know.

Therefore, the third model must be approached with extreme caution.

The power to approve city partners is held by Tan Jincheng himself, and no city is allowed to have more than 5 city partners.

Shandong Province, Henan Province, Anhui Province, Jiangsu Province, Zhejiang Province, and Guangdong Province, these populous provinces and provinces with large migrant worker populations, are key markets that Shanchi needs to conquer.

Another province that needs attention is Guangxi Province.

In his previous life, Tan Jincheng once read a report that Guangxi Province, with a population of 50 million, had an electric vehicle ownership of as high as 20 million, averaging one vehicle for every 2.5 people.

The provincial capital of Guangxi, Nan Ning, was even known as the "City of Electric Vehicles," with this single city having as many as 4 million electric vehicles.

Of course, this refers to more than a decade later.

In 2005, when the sales leader only sold over 200,000 vehicles, the electric vehicle ownership rate in Nan Ning City was far from being that exaggerated.

Therefore, Guangxi Province is also a market that cannot be ignored, especially Nan Ning City.

While it was not highly valued in 2005, Shanchi must capture this market to fundamentally deepen Shanchi's influence in this region.

Imagine, a dozen years later, Nan Ning's streets filled with Shanchi electric vehicles bearing the lightning logo – what a magnificent sight that would be.

——

"Wang Chao, are you free now?"

Tan Jincheng of the R&D department pushed the door open, called out to Wang Chao, and then placed another pack of cigarettes on the table:

"Everyone share them."

In the R&D department, all male, not a few smoked due to frequent overtime.

The desks were cluttered with samples, and some guys even had folding beds in the office.

The office environment was indescribable, causing the company's female employees to be reluctant to enter.

Last time, when the senior leader came to inspect, this place was a key area for hygiene.

However, these guys were easy to deal with; give them good benefits, motivate them, and they are truly willing to work overtime.

Coupled with the young boss, who occasionally tossed them a few packs of cigarettes, these technicians who didn't care about workplace rules were especially friendly whenever Tan Jincheng arrived.

"The boss is here, even if the leader is busy, he has to be free, right, leader?"

Liu Jingxuan, a technician closest to the door, saw the two packs of Zhonghua cigarettes Tan Jincheng threw, his eyes lit up, and he quickly ran over to grab them, while also teasing Wang Chao, the head of the R&D department.

"Damn it, the boss told us to share them, you ungracious fellow. Next time, I'll sit by the door."

"What's the rush? I'm just opening it now. Boss, would you like one?"

Watching them joke around, Tan Jincheng smiled and said,

"No thanks, you guys smoke them."

"Sigh, the boss has changed. He quit smoking after getting a girlfriend. If you ask me, women really hinder men's progress."

Wang Chao glared at the outspoken guy impatiently:

"You said that. Next time there's a foot massage, you're not coming."

"Alright, I was originally planning to assign two beautiful women as administrative clerks next door for you. Since you all don't like women, then forget it. I'll have the HR department cancel the recruitment plan,"

Tan Jincheng also joked.

An all-male structure is also not good; the yin and yang are too imbalanced.

Having two clerks, besides being pleasing to the eye, can also harmonize the working environment.

With women around, it wouldn't always smell of smoke every time someone comes by.

"No, no, no, boss, I was wrong."

"Boss, don't listen to that idiot Liu Jingxuan. He's just too ugly, that's why no women want him. You can't cancel this."

Immediately followed by a barrage of curses from other technical employees directed at Liu Jingxuan, Wang Chao was quite helpless, which made him, as a leader, lose face.

Fortunately, the boss also knew the temperament of these young people and was relatively tolerant.

"Boss, is there something you need me for?"

"Put your work aside for a bit and come with me to Mingcan Molds to take a look."

(End of Chapter)

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