Cao Yang had wanted to reduce the price before, including making low-end phone products. The main purpose was to popularize smartphones, which means that more people could replace the phones in their hands without any worries.

The popularity of smartphones will bring many benefits, the most obvious thing is to build a good 4G platform.

On this platform, Bomi can launch application apps by selling game products, such as Bowen, Bomi News...

This will build new small platforms based on mobile phone platforms, which is the concept of platform ecology mentioned by Liu Zhiping.

However, all the recent changes in Cao Yang's concepts are, on the one hand, the number of smartphone owners is now quite large, so the prototype of this platform ecosystem has been established, so there is no need to be so anxious to seize the market.

In addition, according to Liu Qiang's report analysis, Cao Yang also discovered a fact-

So far, in China and even in the non-Ome region around the world, there is really no one to fight except Apple.

The market demand is far greater than Bomi's production capacity. In this case, you can sell as much as you have, and it will be a bit unfavorable to lower the price.

In fact, although Bomi lowered the price when it was released from the factory, other marketing companies have already raised the price a lot when selling Bomi mobile phones.

According to Liu Qiang's statistical report, the average price of Bomi mobile phones sold by dealers nationwide is around 7,000 to 8,000 yuan, while Micro mobile phones are also around 3,000 yuan.

In other words, when the market regulates itself, Bomi's official pricing becomes a bit cumbersome.

It is smarter to follow the market and then give marketers some concessions appropriately.

According to the current situation, the average price of Bomi's smartphones can rise by 1,000 to 1,500.

These will eventually turn into profits.

Finally, there is another point that Cao Yang has also figured it out recently.

At the end of 2008, Bomi was commended by the above, and Cao Yang was also awarded the title of outstanding entrepreneur. When the leader came to inspect, he praised Cao Yang and also mentioned the issue of employment rate.

China has a large population base and many people need to work. The country needs companies like Bomi that are willing to work in industry can drive the development of the industrial chain and provide the country with a large number of employed people.

The increase in employment is a good thing for the entire country and enterprises, and the increase in per capita benefits can better promote economic development.

To put it simply -

When people have jobs, wages, and spare money, they will be happy to spend, rather than depositing money in the bank. These consumption can drive the development of the company. After all, the company has profits and profits.

In this way, the company will expand its scale, recruit more employees, and provide better treatment...

This is a positive cycle.

A very simple truth, and the other way around is the same.

So after that conversation, Cao Yang also realized a problem-

Bomi Company is now the top of the smartphone industry chain, or the food chain. The profits earned by each mobile phone will actually affect the entire industrial chain.

If the head doesn’t eat enough, then the following industrial chain can only eat less.

Originally, Cao Yang wanted to reduce costs and benefit consumers.

Now the concept has suddenly changed again-

If the price of each mobile phone is increased, then if you eat too much, can you appropriately increase the benefits of the following industrial chain?

Although on the surface, the cost has also increased, and the benefits have also increased.

It can also bring more income and profits to enterprises in the industrial chain, which can also promote the employment rate. Can it achieve what the leaders call [positive cycle]?

Based on these reasons, when Liu Qiang proposed to raise the price of his mobile phone, Cao Yang agreed very readily.

...

Liu Qiang was a little surprised and was stunned for a moment.

"Why?"

What happened to the boss today?

Suddenly becoming so enlightened?

Did he be cautious about prices before?

Could it be that a fake boss came today?

...

Since the boss has already made a call to increase the price, Liu Qiang quickly recorded this and prepared to go to relevant personnel to discuss the price increase after the meeting.

After making the records, Liu Qiang continued to make a report on it.

Cao Yang sat down, listening while browsing the news on his phone.

There should be no major problems with the mobile phone business. Now he is more concerned about the company's future laptop business.

But it seems that Liu Qiang has a while to talk about this.

"Zhongguancun Online Report:

A turnaround - low-cost thin and light notebooks, gaming notebooks emerged:

In the first half of 2009, after the first quarter of the out of stock, dealers seemed to have ushered in a turning point. Because by the second quarter, major laptop manufacturers had basically cleared their inventory, and a large number of cheap and good new machines appeared on the market. There are two best-selling notebooks: one is the Acer Timeline 3810T, Founder S370 and other thin and light notebooks, which were launched in May; the other is the Lenovo IdeaPad Y450, which was launched in April, and the Acer Aspire 5739G (742G32Mn-1) which was launched in May."

"Only over 4,000 yuan? Acer's 13-inch thinnest notebook was first tested: The Acer Timeline 3810T notebook, which costs 4,999 yuan, became a star product in the first half of the year.

Thin and light laptops and gaming laptops have always been the darlings of the market, and the launch of several affordable products this year has attracted consumers: Acer Timeline 3810T for 4400 yuan, Lenovo IdeaPad U350-STW (charming black) laptops for 5299 yuan; Lenovo IdeaPad Y450 series for 5000-6000 yuan, Acer Aspire 5739G (742G32Mn-1) laptops for about 7000 yuan, these are all products that consumers like."

With the colleges and primary and secondary schools on holidays one after another, many students are about to usher in a happy summer vacation.

At the same time, the annual leave system of some companies is also implemented at this time.

It is hot in summer, and everyone is willing to stay at home to play games, watch movies, etc., so the gaming laptops in the market are very popular. For those who have a job, it is rare to have the opportunity to go out to play, but they are afraid that the journey will be boring, so the thin notebooks are welcomed by them.

Undercurrents - Can the summer craze melt the market ice?

Laptop dealers who just took a breath have finally ushered in the most popular season of the year - summer promotion. After the college entrance examination in June every year, the beginning of the summer promotion.

The demand for mobile phones, MP3s and notebooks for high school graduates is a huge business opportunity; and the upcoming summer vacation will also attract some students to buy such products.

Gu Ju

Think about it, today's college students are really corrupt: no one of the three major items of mobile phones, cameras, and laptops can be left behind.

"Lenovo, which is familiar with the Chinese market, has launched a student computer again. The protagonist of this time is the popular Lenovo IdeaPad Y450 NBA special edition notebook. In addition to the low price of 5,299 yuan and 5,699 yuan, it also gives you a mobile phone, backpack, and wireless mouse. I believe it is very attractive to student users.

It should be pointed out that the characteristic of this year's summer promotion is that manufacturers have increased their promotion efforts for celebrity products: such as HP's Pavilion dv3 series, Compaq Presario CQ35 series, Dell's Inspiron 1427 series, Asus' N80 series, etc. These hot-selling products are all given gifts.

For consumers, the price reduction of laptops may occur at any time; upgraded configurations or the latest available laptops will one day fall behind, and the promotional gifts are more practical, such as mouse, backpack, computer desk, etc., so it is better to get more gifts to afford.

Although summer sales are the most popular season of the year, we dare not easily say that the notebook market has recovered: because the summer vacation has just begun, sales this year are not very clear; on the other hand, the economic situation in the second half of the year is still confusing.

Judging from the current situation, consumer demand is still not as good as before, the trend of decline in manufacturers' profits has not reversed, and the business of dealers is still bleak.

The notebooks in the first half of 2009 can only be said to be undercurrents. As for when the market will melt the ice, we have to see how the summer sales are performed this year.

In addition, it should be noted specifically that-

Bomi Technology Co., Ltd. also launched its own laptop brand G1 series products in June. Bomi Company had pioneering performance in the field of smartphones. I wonder what impact will Bomi enter the laptop market and bring to the entire laptop industry?"

“On the afternoon of May 21, 2009, Lenovo Group announced its full-year fiscal year 2008/2009 and its fourth quarter results for the end of March 31, 2009 in Hong Kong.

Lenovo's fiscal year results show that Lenovo Group's annual sales were US$14.9 billion, and the annual pre-tax profit excluding restructuring expenses/one-time items were US$29 million, and the annual restructuring expenses were US$146 million. The annual net loss was US$226 million. At the same time, Lenovo Group also announced its fourth quarter results for the 2008/2009 fiscal year, and its losses in the fourth quarter expanded to US$264 million.

In the fourth quarter, the combined sales from ongoing operations decreased by 25.8% year-on-year to US$2.8 billion. Excluding restructuring expenses and one-time items, the Group's gross profit decreased by 49% year-on-year and gross profit margin was 10.3%. During the quarter, the Group's pre-tax loss from ongoing operations was US$268 million, including restructuring expenses of US$116 million and one-time items of US$71 million.

The loss attributable to shareholders in the fourth quarter was US$264 million.

In fiscal year 2008/2008, the combined sales of the ongoing business fell 8.9% to US$14.9 billion compared with the same period last year.

Lenovo's personal computer sales increased by 2.2% year-on-year, and the group's annual gross profit margin fell from 15% last year to 11.9% (excluding restructuring costs and one-time items).

The pre-tax loss from continuing operations (including restructuring expenses and one-time items) was US$188 million, and the annual loss attributable to shareholders was US$226 million.

The basic loss per share in fiscal year 2008/2009 was (2.56) cents, or (19.91) Hong Kong Century.

Regional Overview

In Greater China, Lenovo's comprehensive sales in the fourth quarter were US$1.2 billion, accounting for 43.6% of the group's total global sales. During the quarter, Lenovo's market share in China increased by 1.1 percentage points to 26.7%, further consolidating its leadership position in the Chinese market. The group's total sales in the region increased by 4.4% compared with the same period last year (the overall market sales in the region fell by 0.1% during the period).

Lenovo's comprehensive sales in the Americas in the fourth quarter were US$682 million, accounting for 24.6% of the group's total global sales. Due to the continued weakness of the commercial market, the group's total sales in the Americas fell by 19% compared with the same period last year. Despite this, the group's strengthened its development of emerging markets and its market share in Brazil increased.

Lenovo's comprehensive sales in the fourth quarter of Europe, the Middle East and Africa were US$591 million, accounting for 21.3% of the group's total global sales. Lenovo's personal computer sales in the region fell 13% year-on-year, mainly because Lenovo has recently entered the consumer market in the region and its limited participation has affected the group's sales performance in the region. During the period, Lenovo's market share in France increased. In addition, by increasing efforts to develop emerging markets, the group has successfully expanded its market share in central and eastern Europe, and Turkey.

The comprehensive sales of the Asia-Pacific region (excluding Greater China) in the fourth quarter were US$291 million, accounting for 10.5% of the group's total global sales. Lenovo's personal computer sales in the Asia-Pacific region decreased by 32% year-on-year in the fourth quarter. During the period, the group's launch of Internet laptops (Netbooks) in the Asia-Pacific region responded well. The group's sales in the Indian market decreased significantly.

Product Overview

Lenovo's laptops continue to be the largest source of the group's total sales, accounting for about 60% of the group's total sales. Lenovo's comprehensive laptop sales in the fourth quarter fell 26% year-on-year to US$1.7 billion. The group's laptop sales increased by 2% year-on-year in the fourth quarter. Lenovo has grasped the trend of the market turning to lower-priced notebook and brain products, and launched a number of IdeaPad brand online notebooks, which have received unanimous praise from consumers and the media.

In the fourth quarter, Lenovo's global combined desktop computer sales fell by 26% to US$1 billion, accounting for 38% of the group's total sales. During the period, desktop computer sales fell by 17.6%. The global market trend continued to shift from desktop computers to laptops. In response to this trend, the group simplified its product lineup of desktop computers to improve operational efficiency and save costs.

At the same time, the group launched a number of innovative IdeaCentre and ThinkCentre desktop computers, ThinkStation workstations and Lenovo H200 desktop computers.

Full-year performance

In the fiscal year 2008/2009, the comprehensive sales of the continued operations fell by 8.9% compared with the same period last year to US$14.9 billion. Lenovo's personal computer sales increased by 2.2% year-on-year, and the group's annual gross profit margin fell from 15% last year to 11.9% (excluding restructuring costs and one-time items).

The pre-tax loss from continuing operations (including restructuring expenses and one-time items) was US$188 million, and the annual loss attributable to shareholders was US$226 million.

The basic loss per share in fiscal 2008/2009 was (2.56) cents, or (19.91) Hong Kong Century.”

...
To be continued...