Rebirth of science and technology to rejuvenate the country
Chapter 247 Overseas Markets
For the domestic construction machinery industry, 2013 was not a good year. The sales volume of the whole industry declined very obviously, and the market was a bit sluggish.
The reaction is particularly prominent in large enterprises such as Xingyuan. The sales volume of each product is declining, and the sales volume is declining every month compared with the same period last year.
Although the sales volume dropped a bit last year, the decrease was not obvious. This year's sales volume has dropped so much that the whole company is somewhat flustered.
On the contrary, Yuan Xia comforted his colleagues in the company, he knew that this was not their own fault, but the general environment, and it was not a problem that could be solved in a short time.
He consciously reduced production capacity early on, reduced inventory, and prevented backlogs to ensure the circulation of the company's funds.
As the domestic market continued to decline, Yuanxia put more effort into the overseas market.
从2012年收购马斯特公司以后,行远的海外市场销售额实现了快速增长。从2011年的30亿左右的海外销售额,到12年增长到了81亿。
However, this is far from reaching the sales volume of Master at its peak. The impact of the financial crisis is far-reaching and long-lasting.
In 2013, Xingyuan took full control of Master, and Yuanxia also regulated and improved Master’s operation mode. In the case of a significant decline in domestic construction machinery sales, the overseas market achieved significant growth, breaking through 112. billion, with a growth rate of 38.2%.
In 2013, the total turnover of Xingyuan was 578 billion yuan, a decrease of 16% compared with the previous year, and overseas sales accounted for 19.3% of the company's total turnover.
This gave great encouragement to the company. Yuanxia also set a goal to make the overseas market account for about 40% of the turnover. In this case, the company's ability to bear risks will be greatly improved.
Of course, despite the obvious decline in turnover, the company is still profitable, but the net profit is more than 40 billion less than the previous year.Apart from giving benefits to the employees, and Yuan Xia used part of it to invest in research and development, he didn't dare to touch the rest of the money.
Everyone is hoping that the market will pick up next year. Only he knows that this downturn will continue. It will take at least around 18 for sales to return to the level of the previous two years.
Yuanxia decided not to participate in other investment except for continuous investment in research and development.
In January, Cui Pingsheng came back from India. He told Yuan Xia how he felt about the Indian factory. He couldn’t describe it in words: “Indians do things slowly, just like those old cows on the street. People are dying in a hurry, the efficiency is too low, how do you endure it?"
Yuan Xia smiled and said: "The whole Indian style is like that, just get used to it. I figured it out, and it is not realistic to ship the whole machine from China. We don't have such a big warehouse, and we need long-term transportation. India's customs declaration is too efficient. It’s low, and the grassroots are still corrupt. Although factory assembly is a little less efficient, it’s still more cost-effective than customs clearance for complete machines.”
Cui Pingsheng nodded: "Yes, the Indian market is really big. Let me tell you something, I found that Indians are very face-saving, and there are obvious regional discrimination among states, so I set up a reward mechanism for them , the competition is based on the unit of state, and the sales volume reaches a certain amount, there are rewards, and the total sales volume of the year can rank in the top three, there are additional rewards. It is a bit simple and rude, I hope this reward mechanism can be effective. "
Yuan Xia gave a thumbs up: "Mr. Cui still has an idea."
Cui Pingsheng said: "It's other people's territory. No matter how good our salesmen are, they are a bit powerless. The market still needs to be developed by local people. Let's take a look at the results of this year."
"Okay, try it." Yuan Xia touched his chin, "Do you think they will recruit salesmen themselves?"
Cui Pingsheng grinned happily: "I have considered it. Every state has a limit on the number of salesmen. If they recruit privately, we will not pay wages and let them solve it by themselves."
Yuan Xia said with a smile: "I knew Mr. Cui had a solution."
Cui Pingsheng said: "It doesn't mean there is a solution, you have to try everything and fully mobilize their subjective initiative."
Yuan Xia said: "The German side will have to trouble you a lot."
Cui Pingsheng nodded: "No problem, leave it to me."
Yuan Xia said: "Take your wife and go to Germany together. The security in Europe is better, and the environment is not bad. Let's experience the European style."
"That's fine." Cui Pingsheng didn't refuse. Others started to enjoy their twilight years after they retired. He had to go out to work if he couldn't be free. If his wife didn't complain, it must be a lie. Taking her with him now should be able to make up for her. .
Cui Pingsheng went to India on a business trip, and all the expenses were borne by Xingyuan. He was not paid, and he couldn't ask him to pay for the travel expenses himself. Letting him bring his wife now is also a kind of welfare for them.
Not long after the Chinese New Year, Cui Pingsheng and his wife flew to Germany as soon as their passports and visas were completed.
The German branch has not been completed since it was built the year before last, so we have to mention the efficiency of the Europeans.
In China, it takes at most a year to build a large factory.
In Germany, two years may not be enough.Because the locals strictly abide by the working hours, they work seven hours a day, five days a week, and they can’t be shaken. They have to rest when they work outdoors in rainy and snowy days, and they have to take sick leave when they have a cold or fever.
At present, to achieve this efficiency, half of the workers are still brought from China, and if they are all handed over to the Germans, it will really take a long time to wait until the end of time.
Yuan Xia was anxious, but there was nothing he could do. When he went to the country, he did as the Romans did. Since he chose to build a factory there, he had to abide by the local laws and regulations.
He can only comfort himself, work slowly and carefully, and plan to put it into use in June, hoping that it will start smoothly by then.
So this time Cui Pingsheng went to Germany mainly to understand the situation of Master, after all, the German branch has not yet opened.
Not long after Cui Pingsheng arrived, he called back and said to Yuan Xia: "I have visited the branch in Bochum. It will definitely not be able to start work in June. It is good to start work in September. The construction period is too late. It's too long, why don't you find more workers from China?"
Yuan Xia smiled helplessly: "You think I don't want to? The job review in Germany is very strict, and many workers fail the review. Of course, this is also the reason why Germany wants to create job opportunities for its own country. Help me urge the construction company to hurry up Take your time and try to start work as soon as possible.”
Cui Pingsheng said: "Okay, let me talk about it."
Yuan Xia asked again: "How is the situation at Master's side?"
"Still understanding, I will tell you when I have studied it thoroughly."
"Okay, hard work."
Although the German branch is a bit troublesome, fortunately, there is good news from the research institute, and the port crane has finally been successfully developed.
In May, the company will go to the United States to participate in a tender for port cranes.
Although the time for Xingyuan Machinery to go abroad is not short, the sales volume in the US market is very limited, excluding Master’s products, the annual sales volume has not exceeded [-] million, and it is not even as good as the sales volume of Chile, a small South American country.
The market prospects in South America are far broader than those in the United States. If it weren't for the current downturn in the industry, Yuanxia would open a branch to South America in the next two years.
As soon as the product was developed, it went to the United States to participate in the bidding. Of course, Yuan Xia never expected to win the bid.
Compared with Xugong Machinery, Xingyue and even the rising star Zhenhua Heavy Industry, Xingyuan’s cranes really have no advantage, but Yuanxia doesn’t intend to admit defeat. You have to try. The road is paved step by step. If you don’t go, There will never be a way.
This time, Si Hongjin took the initiative to ask Ying to lead the team when he went to bid in the United States.She is familiar with the United States, so she took colleagues from Xingyuan to familiarize themselves with the American market and the American behavior style, so as to facilitate the future development of the American market.
Yuan Xia once opened a branch in the United States, but the American factory was very troublesome. The labor unions would go on strike and raise wages at every turn. There is also a robber government. When necessary, they will help capitalists to forcibly acquire foreign companies. In the end, Yuan Xia I didn't make much money in the US market, but I was exhausted.
So Yuan Xia didn't move on the idea of going to the United States to build a factory, and only exported the whole machine, even if it was a little less, at least it felt solid.
If he has the opportunity to surpass John Deere and Caterpillar in the future, he doesn't mind opening the factory to the United States, but for now, let's do it in China.
The reaction is particularly prominent in large enterprises such as Xingyuan. The sales volume of each product is declining, and the sales volume is declining every month compared with the same period last year.
Although the sales volume dropped a bit last year, the decrease was not obvious. This year's sales volume has dropped so much that the whole company is somewhat flustered.
On the contrary, Yuan Xia comforted his colleagues in the company, he knew that this was not their own fault, but the general environment, and it was not a problem that could be solved in a short time.
He consciously reduced production capacity early on, reduced inventory, and prevented backlogs to ensure the circulation of the company's funds.
As the domestic market continued to decline, Yuanxia put more effort into the overseas market.
从2012年收购马斯特公司以后,行远的海外市场销售额实现了快速增长。从2011年的30亿左右的海外销售额,到12年增长到了81亿。
However, this is far from reaching the sales volume of Master at its peak. The impact of the financial crisis is far-reaching and long-lasting.
In 2013, Xingyuan took full control of Master, and Yuanxia also regulated and improved Master’s operation mode. In the case of a significant decline in domestic construction machinery sales, the overseas market achieved significant growth, breaking through 112. billion, with a growth rate of 38.2%.
In 2013, the total turnover of Xingyuan was 578 billion yuan, a decrease of 16% compared with the previous year, and overseas sales accounted for 19.3% of the company's total turnover.
This gave great encouragement to the company. Yuanxia also set a goal to make the overseas market account for about 40% of the turnover. In this case, the company's ability to bear risks will be greatly improved.
Of course, despite the obvious decline in turnover, the company is still profitable, but the net profit is more than 40 billion less than the previous year.Apart from giving benefits to the employees, and Yuan Xia used part of it to invest in research and development, he didn't dare to touch the rest of the money.
Everyone is hoping that the market will pick up next year. Only he knows that this downturn will continue. It will take at least around 18 for sales to return to the level of the previous two years.
Yuanxia decided not to participate in other investment except for continuous investment in research and development.
In January, Cui Pingsheng came back from India. He told Yuan Xia how he felt about the Indian factory. He couldn’t describe it in words: “Indians do things slowly, just like those old cows on the street. People are dying in a hurry, the efficiency is too low, how do you endure it?"
Yuan Xia smiled and said: "The whole Indian style is like that, just get used to it. I figured it out, and it is not realistic to ship the whole machine from China. We don't have such a big warehouse, and we need long-term transportation. India's customs declaration is too efficient. It’s low, and the grassroots are still corrupt. Although factory assembly is a little less efficient, it’s still more cost-effective than customs clearance for complete machines.”
Cui Pingsheng nodded: "Yes, the Indian market is really big. Let me tell you something, I found that Indians are very face-saving, and there are obvious regional discrimination among states, so I set up a reward mechanism for them , the competition is based on the unit of state, and the sales volume reaches a certain amount, there are rewards, and the total sales volume of the year can rank in the top three, there are additional rewards. It is a bit simple and rude, I hope this reward mechanism can be effective. "
Yuan Xia gave a thumbs up: "Mr. Cui still has an idea."
Cui Pingsheng said: "It's other people's territory. No matter how good our salesmen are, they are a bit powerless. The market still needs to be developed by local people. Let's take a look at the results of this year."
"Okay, try it." Yuan Xia touched his chin, "Do you think they will recruit salesmen themselves?"
Cui Pingsheng grinned happily: "I have considered it. Every state has a limit on the number of salesmen. If they recruit privately, we will not pay wages and let them solve it by themselves."
Yuan Xia said with a smile: "I knew Mr. Cui had a solution."
Cui Pingsheng said: "It doesn't mean there is a solution, you have to try everything and fully mobilize their subjective initiative."
Yuan Xia said: "The German side will have to trouble you a lot."
Cui Pingsheng nodded: "No problem, leave it to me."
Yuan Xia said: "Take your wife and go to Germany together. The security in Europe is better, and the environment is not bad. Let's experience the European style."
"That's fine." Cui Pingsheng didn't refuse. Others started to enjoy their twilight years after they retired. He had to go out to work if he couldn't be free. If his wife didn't complain, it must be a lie. Taking her with him now should be able to make up for her. .
Cui Pingsheng went to India on a business trip, and all the expenses were borne by Xingyuan. He was not paid, and he couldn't ask him to pay for the travel expenses himself. Letting him bring his wife now is also a kind of welfare for them.
Not long after the Chinese New Year, Cui Pingsheng and his wife flew to Germany as soon as their passports and visas were completed.
The German branch has not been completed since it was built the year before last, so we have to mention the efficiency of the Europeans.
In China, it takes at most a year to build a large factory.
In Germany, two years may not be enough.Because the locals strictly abide by the working hours, they work seven hours a day, five days a week, and they can’t be shaken. They have to rest when they work outdoors in rainy and snowy days, and they have to take sick leave when they have a cold or fever.
At present, to achieve this efficiency, half of the workers are still brought from China, and if they are all handed over to the Germans, it will really take a long time to wait until the end of time.
Yuan Xia was anxious, but there was nothing he could do. When he went to the country, he did as the Romans did. Since he chose to build a factory there, he had to abide by the local laws and regulations.
He can only comfort himself, work slowly and carefully, and plan to put it into use in June, hoping that it will start smoothly by then.
So this time Cui Pingsheng went to Germany mainly to understand the situation of Master, after all, the German branch has not yet opened.
Not long after Cui Pingsheng arrived, he called back and said to Yuan Xia: "I have visited the branch in Bochum. It will definitely not be able to start work in June. It is good to start work in September. The construction period is too late. It's too long, why don't you find more workers from China?"
Yuan Xia smiled helplessly: "You think I don't want to? The job review in Germany is very strict, and many workers fail the review. Of course, this is also the reason why Germany wants to create job opportunities for its own country. Help me urge the construction company to hurry up Take your time and try to start work as soon as possible.”
Cui Pingsheng said: "Okay, let me talk about it."
Yuan Xia asked again: "How is the situation at Master's side?"
"Still understanding, I will tell you when I have studied it thoroughly."
"Okay, hard work."
Although the German branch is a bit troublesome, fortunately, there is good news from the research institute, and the port crane has finally been successfully developed.
In May, the company will go to the United States to participate in a tender for port cranes.
Although the time for Xingyuan Machinery to go abroad is not short, the sales volume in the US market is very limited, excluding Master’s products, the annual sales volume has not exceeded [-] million, and it is not even as good as the sales volume of Chile, a small South American country.
The market prospects in South America are far broader than those in the United States. If it weren't for the current downturn in the industry, Yuanxia would open a branch to South America in the next two years.
As soon as the product was developed, it went to the United States to participate in the bidding. Of course, Yuan Xia never expected to win the bid.
Compared with Xugong Machinery, Xingyue and even the rising star Zhenhua Heavy Industry, Xingyuan’s cranes really have no advantage, but Yuanxia doesn’t intend to admit defeat. You have to try. The road is paved step by step. If you don’t go, There will never be a way.
This time, Si Hongjin took the initiative to ask Ying to lead the team when he went to bid in the United States.She is familiar with the United States, so she took colleagues from Xingyuan to familiarize themselves with the American market and the American behavior style, so as to facilitate the future development of the American market.
Yuan Xia once opened a branch in the United States, but the American factory was very troublesome. The labor unions would go on strike and raise wages at every turn. There is also a robber government. When necessary, they will help capitalists to forcibly acquire foreign companies. In the end, Yuan Xia I didn't make much money in the US market, but I was exhausted.
So Yuan Xia didn't move on the idea of going to the United States to build a factory, and only exported the whole machine, even if it was a little less, at least it felt solid.
If he has the opportunity to surpass John Deere and Caterpillar in the future, he doesn't mind opening the factory to the United States, but for now, let's do it in China.
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