Chapter 228 Acquisition of Shares
When they arrived at the office, Fang Chen and Guo Taiming sat down respectively.
The secretary wanted to make tea for Fang Chen, but Guo Taiming stopped the secretary and made Fang Chen a cup of tea himself.
"Dr. Guo is so polite." Fang Chen quickly took the tea cup with both hands.
"Mr. Fang is willing to give me business. He can be said to be the bread and butter of our Foxconn company. It doesn't matter if I pour him a cup of tea." Guo Taiming said with a smile.
After a few polite words, Fang Chen got down to business directly, "You have already seen the drawings I asked my secretary to send you before. What do you think? Let me quote you a price."
Guo Taiming got the quotation from the Engineering Department from his secretary, took a look at it, and then handed it to Fang Chen, "Mr. Fang, this is the quotation our chief engineer gave Xiaobawang. You can decide whether it is suitable or not."
Fang Chen took it over and looked at it. There were quotations for each part on it, which was finally combined into a total price.
Two hundred and twenty-three yuan for a game console.
Fang Chen couldn't help but give Foxconn a thumbs up in his heart. The OEM king really lived up to his reputation.
In Fang Chen's mind, Duan Yongping is already a master of cost control, but now the cost of a game console is basically two hundred, fifty or sixty yuan.
This is because the enterprise integration has recently been completed and has passed the running-in period.
In the early days, the cost of a game console was basically around 300 yuan.
As for Lianhua, they are even worse. The cost of a game console is about 330 yuan, and the quality is not as good as that of Xiaobawang.
But here, Guo Taiming actually gave him a price that was 10% lower than the cost price of Xiaobawang itself.
The most amazing thing is that Foxconn can still make a profit with such a quotation, which is incredible.
Moreover, Fang Chen believed that this was not the final reserve price. After all, no one doing business would release the reserve price all at once.
"Dr. Guo, this price is a bit high." Fang Chen said with a smile.
Guo Taiming's old face blushed slightly and explained: "Please forgive me for this, Mr. Fang. After all, if you want to produce game consoles, Foxconn needs to buy a lot of new equipment and recruit more employees. The cost is really high in a short period of time."
If you can’t get it, wait two months and I will definitely lower the price to you, Mr. Fang.”
"The price of two hundred yuan per unit, I think it should be a reasonable price." Fang Chen said with a smile.
Although I was already surprised by the quotation given by Foxconn, after all, no one’s money comes from strong winds, and Fang Chen’s current order for Foxconn is 300,000 units a month. If this unit can be cheaper by one yuan,
That means Fang Chen can earn an extra 300,000 yuan a month.
"Mr. Fang, then I'll give in, two hundred and two, okay." Guo Taiming wiped the sweat from his head and said.
People should not be judged by appearance, and sea water should not be measured. He really felt that it was most suitable to put it on Fang Chen. Seeing that Fang Chen was young, he was not easy to fool at all. This bargaining was really done all at once.
Into the bones.
…
After a series of arguments, the final price was set at 210 yuan for a game console.
"Dr. Guo, it's a pleasure to cooperate." Fang Chen smiled and extended his hand.
Fang Chen was naturally very satisfied with this price.
You must know that even in 1995, when the price of game consoles was at its lowest, that is, when Little Overlord launched the slogan of taking home a Little Overlord game console for 240 yuan and maintaining it for life, he estimated that the cost price of a game console at that time
It's not much lower than this price.
Although the costs may be similar, the difficulty of reducing prices is completely different.
You know, at that time, the spare parts that accounted for the largest cost, such as 6502 chips, were already domestically produced, and the equipment may have passed the depreciation period. If you can sell one, you can make money for one, which is naturally more important.
It is easy to reduce costs. The only thing that is more expensive than now is probably labor wages.
But now Fang Chen really doesn’t know how Foxconn achieves such low cost.
Guo Taiming gave a wry smile and said, "Mr. Fang, I'm really unhappy right now."
But despite what he said, Guo Taiming was actually very happy that he could negotiate the price of 210 yuan. At least it was better than Foxconn's current computer cables, Jian Niu, terminal strips, etc.
Computer connectors have high output value and profits.
For example, if the price of a Jian Niu is only a few cents, and the profit is only a few cents, the overall profit of Foxconn and Hon Hai Group is about 5%.
And even if Fang Chen bargains at this price, the profit of a Xiaobawang game console can still be about 8%.
However, the most important thing is that Foxconn makes more than one billion computer connectors a year, which only has an output value of 200-300 million. However, the output value of Fang Chen's 300,000 game consoles is worth 60 million, and it is still worth 60 million per year.
Sixty million a month.
As long as this contract is signed, Xiaobawang will be Foxconn's largest and most important customer.
And this is also an important milestone in Foxconn's move from component manufacturing to electronic complete machine manufacturing.
This is why he made a special trip from Baodao to Pengcheng and was so polite to Fang Chen. With this order from Xiaobawang, Foxconn's development has truly entered the fast lane.
After the contract was signed, Fang Chen suddenly fell silent.
After waiting for a few minutes, seeing that Fang Chen still didn't speak, Guo Taiming couldn't help but said: "Mr. Fang, please rest assured that we can guarantee the quality of the game console and will never ruin the brands of Foxconn and Xiaobawang because of the quality.
"
"If you have any other requests, just ask," Guo Taiming said, patting his chest.
Fang Chen smiled and waved his hand, "I just suddenly thought of something, so I was distracted. Please forgive me, Mr. Guo."
Taking a deep breath, Fang Chen said slowly: "I have another unkind request, and I hope Director Guo will allow it."
Guo Taiming said: "It's okay for Mr. Fang to say so."
Fang Chen smiled slightly, "I want to acquire Foxconn, or preferably 20% of Hon Hai Group's shares."
Guo Taiming was stunned and said in disbelief: "Mr. Fang, are you kidding me?"
He never imagined that what was originally a good business negotiation would turn into an acquisition of shares in Hon Hai or Foxconn, and it would still be as much as 20% of the shares.
Now, his shares in the entire group have reached more than 70%, and he basically has the final say in the group.
But if Fang Chen acquires 20% of the shares, then Fang Chen will immediately become the second largest shareholder of the group, and the most important thing is that he will lose more than two-thirds of the shares, which will be detrimental to the company.
Absolute controlling rights.
Fang Chen nodded, "Although it is a bit presumptuous, the acquisition of 20% of Hon Hai's shares is indeed no joke."
Chapter completed!