The birth of Royal One is not just a luxury item, nor is it created by the people below to flatter the emperor.

After all, it is its own industry, and Franz himself is the one who pays the bill in the end. Without the emperor's permission, he will be held accountable.

There is no doubt that Austrian Automobile Group has devoted all its efforts to build this super luxury sedan, definitely not to show off its wealth.

It is impossible for Franz to drive out for a ride in this car, and even information about this car will not be made public to the outside world.

In addition to promoting the development of automobile technology, this requirement is to conduct a test of domestic industrial strength.

As an emperor who has been bombarded with various information, Franz is very clear about data and reports can be fabricated out of thin air, but the real thing in front of him cannot be faked.

Nowadays, only Austria has a complete automobile industry in the world, and other countries are still following behind and eating bad food.

Even if the people below want to fake it, there is no room for them to play.

For the sake of Royal One, Franz also personally inspected the Prague Automobile Factory, the largest automobile production base of Austrian Automobile Group, which can produce 20,000 cars per year when running at full speed.

This number is not surprising at all in later generations, and it can be easily achieved by any automobile factory.

However, this factory, which can produce less than 55 cars per day on average, is already the largest automobile factory in the world, no doubt about it.

In fact, it is even more exaggerated than this. The inconspicuous annual production capacity of 20,000 cars has accounted for one-third of the total production capacity of the Austrian automobile industry.

The production capacity of this Prague automobile factory directly exceeds the total automobile production capacity of Britain and France, and is equivalent to the automobile production capacity of all countries except Austria.

Well, this is the result of Franz's cheating. Currently, only the Austrian Automobile Group can produce cars in an industrial manner.

There is no way, the advantage that takes action is long gone. When no one pays attention to the automobile industry, Franz started to spend money.

Austrian Automobile Group has been engaged in research and development in the laboratory since the beginning, and has never announced the news to the public, and its peers have not responded.

No, to be precise, before the product was released, there were no so-called peers at all.

Before this, everyone was working on the development of steam cars. They were completely different species from the internal combustion engine cars of Austrian Automobile Group.

The earliest internal combustion engine car in original time and space was launched in 1888. This founder of Mercedes-Benz, who was awesome in later generations, still doesn’t know what he is doing.

Oldsmobile, the earliest automobile company in the United States, was established in 1897; Cadillac, the earliest automobile company in Japan, was registered in 1902.

...

After the first product of Austrian Automobile Group, "Beetle", was launched, people suddenly discovered that cars could be built like this.

The Austrian Automobile Group, which has no competitors, is naturally ahead of its position and has become the overlord of the automotive field.

There is no doubt that in the context of patent protection not covering the whole world, followers soon emerged.

I can't figure it out for a while after researching and developing it myself, but can't I copy it with the template?

Then, most of the first products of the Austrian Automobile Group became parts, contributing to the development of the world's automobile industry.

In essence, this is just a breakthrough in concept. As long as you open your brain, an industrial power can build a car.

But cars are not just assembled simply. Getting production technology does not mean that you can create a quality car.

Relevant industries also need cooperation. If any link has problems, the final result will be a tragedy.

Followers quickly discovered this, but it was too embarrassing to let them develop technologies in multiple fields at the same time and overcome a series of difficulties.

The huge capital costs invested in the early stage are not something that ordinary companies and individuals can bear.

After all, the automobile market is very limited these days, and financial consortiums still look down on this small profit.

What capital likes most is to go up and pick the fruits when they are about to ripen, instead of going to plant fruit trees by themselves.

Most of the physical giants are limited by their business concepts and generally focus on their own fields. Even if they expand, they will enter related industries.

These are the lessons learned from countless classic cases. If you rashly cross the border into an unfamiliar field, the chance of failure is much higher than success.

Before the risks cannot be estimated, most people choose to wait and see. Of course, what is more important is that they have no money in their pockets.

The family car market is just starting now, and the prospects are still unclear. No one can guarantee whether today's internal combustion engine cars will be yesterday's steam cars.

The automobile industry is in the stage of burning money, which is equivalent to just planting small saplings, and it is still far from the time to bloom and bear fruit.

Then, it was naturally created by hand. The technology of large-scale industrial production is too difficult, and if you want to copy it, you must have industrial support, which cannot be completed overnight.

In contrast, manual construction is much simpler. If the parts are not accurate enough, it will cause polishing to be done manually. If the engine horsepower is not enough, the number of cylinders will be increased.

The most important competitor in the Austrian Automobile Group market is a bunch of handicraft workshops.

Because cars have just been released and are still high-end luxury goods and are priced higher, even if the production costs of handicraft workshops are higher, they can also make considerable profits.

After sorting out all this, Franz's brow frowned.

It is obvious that many people in the Austrian Automobile Group are fascinated by their current achievements and ignore the existence of their competitors.

Since the product was launched in 1882, the market share of the Austrian Automobile Group is declining year by year.

A decline in market share is inevitable. Unless the market is completely monopolized, otherwise the market share will definitely decline as competitors continue to join.

However, the market share of Austrian Automobile Group has declined too quickly, and it has fallen by nearly a quarter in just three years.

This is my own industry. If I stop moving forward, I will lose my own interests, which is absolutely intolerable to Franz.

"Oprea, are you not going to build a cheap car to maintain your market share?"

Franz no longer expects to expand his market share.

You know, Austrian Automobile Group accounts for 76.4% of the automobile market, how can it increase?

However, you can work hard to maintain market share as much as possible or reduce the speed of market share decline.

Oprea hurriedly explained: "Your Majesty, the listing of cheap cars will not only reduce our corporate profits, but also damage the value of our car brand.

The Beetle, Walker, Brady and other models currently promoted by the group are all high-end cars.

Although price-cutting sales can gain a larger market share in a short period of time, cars are destined to be a luxury item since their birth.

No matter how we reduce the price, ordinary people cannot afford it. Now we are working hard to make cars a symbol of status, so it is very important to maintain the brand value of cars."

Being able to realize the "brand value", Oprea is obviously not an ordinary person.

However, due to the limitations of the times, he still did not expect that cars could enter thousands of households, falling from luxury goods to transportation tools.

Judging from the current global automobile consumer market, which only has tens of thousands of vehicles per year, Oprea abandons the development of low-end models and focuses on high-end brands, but it still follows the reality.

Franz shook his head: "No, there is still a lot of room for a car production cost to decline. In the future, prices will fall to a range that ordinary people can accept.

In the short term, under the existing technical system, we can all compress costs to within acceptable ranges of the middle class.

If production capacity continues to be expanded, the current production costs will continue to be reduced.

Perhaps sales of a single car have dropped, but the number of middle-class people is much higher than that of the rich, and the total profit we make will only be higher.

Moreover, reducing the sales price of cars can also hit our competitors. Unlike us, the production costs of their small workshops cannot be reduced at all.

As for the brand value issue, it is even simpler. Re-register a company and change the brand to a new company to focus on low-priced cars.”

Nowadays, the production cost of cars is generally between 400 and 700 ASUS, and the sales price on the market is basically above 1,000 ASUS. The high price of luxury versions of cars is easy to exceed 10,000.

Such a high gross profit still cannot conceal the fact that Austrian Automobile Group is losing money.

The main reason is that the R&D investment is too high and the cost of later maintenance remains high, which has led to the company being in a state of losses for many years.

Oprea is actually forced to focus on the profits of the company. The company's financial situation is not good, so you can't ask the boss for money every day, right?

If it weren't for Franz's mandatory requirement, Oprea would probably have cut off R&D funds and devoted all his efforts to car sales.

After all, sales-oriented companies are more profitable than R&D companies in the short term. Only by making the companies make money can everyone get richer returns.

In this loss state, just get some bonuses. Stock options are not popular yet, but profit dividends have already appeared.

However, R&D companies like Austrian Automobile Group have suffered losses for more than ten years and cannot see dividends at all.

However, Oprea is still morally honest and has no way to learn from the executives of some unscrupulous listed companies. He only cares about making money on his own and does not consider the long-term development of the company at all.

Otherwise, if you change the concept, it is very simple for Austrian Automobile Group to turn losses into profits. Whether it is to reduce R&D investment or slow down the construction of maintenance points, you can make profits.

If it weren't for the drag of these two gold-swalking beasts, Austrian Automobile Group would definitely be the most profitable company in this era, or the kind that is rich enough to rival a country.

Even if each car only earns 100 ASUS, the Austrian Automobile Group also has a net income of 50,000 ASUS.

In fact, there will only be more cars sold, and they cannot be the most profitable ordinary models. The kind of luxury cars that are priced at tens of thousands can easily get a few thousand yuan in cash by selling one.

Of course, the core competitiveness of Austrian Automobile Group is actually technology and after-sales service.

Lose money in the short term, but these are the most profitable in the future. Once the channel is laid out, you will not find any competitors for a long time.

This is known from Austria. In any area covered by the group's service outlets, the only car that can be sold on the market is "Auqi".

Other manufacturing companies are limited by their own strength and are simply unable to lay so many repair outlets.

Once the car breaks down, you can only find a way to repair it yourself, or wait for the manufacturer's technical workers to come.

"Yes, your majesty!" Oprea replied

After a pause, Oprea added: "Your Majesty, in order to improve the company's income, reverse the current loss state, and increase the company's competitiveness.

The management plans to cover the gas station when laying out logistics channels to facilitate our users to refuel on their travel paths.”

If I had done this in the future, the antitrust law would have come to me long ago before I could start.

The meaning of "convenient for our users" is already very obvious, which is full of exclusivity. Even if other cars arrive at the gas station, they can only look at each other.
To be continued...