Rebirth 99 to become a car giant.

Chapter 435: Shocking the industry, Nanshan red flag is coming

When the Olympic Games came to an end, the Chinese delegation won a total of 51 gold medals.

The events are weightlifting, shooting, diving, judo, gymnastics, fencing, swimming, archery, table tennis, badminton, rowing, wrestling, trampoline, taekwondo, and boxing.

Xingchen Motors also fulfilled its promise without compromise. On the second day after the Olympic Games, it held a donation ceremony for Ziweixing with the General Administration.

51 Ziweixing vehicles were lined up at the donation site, and the scale was quite shocking.

Of course, for such an important occasion and spending so much money, it is natural to invite all media.

Otherwise, the advertising effect will not be so ideal.

Along with this series of actions, Ziweixing naturally became a hot search, and Xingchen Auto also became a hot search.

"Mr. Cao, this is a very generous move of yours."

On the night after the donation ceremony, Zhu Zhengfeng and Cao Yang further discussed the cooperation between Nanshan Group and Spring City Automobile Group in a hotel in the Imperial Capital.

Zhu Zhengfeng boldly proposed a joint venture between Hongqi Car and Xingchen Automobile before, but Cao Yang did not directly refuse.

The teams from both sides have been in contact for some time.

Now it is naturally time for the two bosses to finalize the cooperation plan.

"Xingchen Automobile's competitors are car companies such as Mercedes-Benz, BMW and Porsche. Their heritage and brand awareness are very high. If we want to catch up, we will definitely need to make more efforts to have any hope."

"However, after these cars are donated, they can be regarded as making a small contribution to our country's sports industry and showing the Nanshan Group's intentions."

As your company gets bigger, it will definitely involve various donations every day.

This is basically inevitable.

It would be best if we could tie these donations with brand marketing.

"In addition to its own Xingchen brand, Xingchen Motors now also has Jaguar and Land Rover brand models."

“Taking advantage of the high popularity this year, we can further expand the market.”

"Hongqi Sedan has heritage and culture, but all aspects of technology and marketing need to be further strengthened."

"If we can cooperate with Xingchen Automobile and achieve the effect of strong alliance, it will definitely bring an unexpected result to everyone."

Zhu Zhengfeng is full of expectations for the cooperation between Hongqi Cars and Xingchen Motors.

He even feels that whether he can reach a higher level in the future depends on whether this cooperative project goes smoothly.

Therefore, his enthusiasm is much higher than that of Cao Yang.

"Mr. Zhu, the Hongqi sedan does have a special meaning to the Chinese people, and everyone has special expectations for it."

"We at Nanshan Group are willing to cooperate with Hongqi Automobile to establish Nanshan Hongqi Automobile Co., Ltd., and together we will run the company into China's Volkswagen, China's Toyota, and China's General Motors."

Cao Yang did not beat around the bush and directly agreed with the general direction.

However, he was talking about the joint venture between Nanshan Group and Hongqi Cars, not Xingchen Motors and Hongqi Cars.

This is still very different.

Cao Yang has finally improved the brand of Xingchen Automobile, and he will definitely not easily use it to form a joint venture with others.

He understood Zhu Zhengfeng's mentality of wanting to gain glory.

But understanding is understanding, and if you want me to accept it, that will definitely not work.

Zhu Zhengfeng is obviously not stupid. When he heard Cao Yang talking about Nanshan Hongqi Automobile Co., Ltd., he knew that Cao Yang did not want to bring Xingchen Automobile alone to cooperate.

This result is definitely different from what he most hopes to see, but it is also expected.

However, he still wanted to fight for it and said: "Mr. Cao, would it be better to change the company's name to Hongqi Xingchen Automobile Co., Ltd.?"

"Dahongqi has gained a certain reputation in the domestic high-end car market, and Xingchen Automobile has also established a firm foothold in the high-end market."

"When everyone works together, the brand power of our joint venture will be lifted to a higher level."

What Zhu Zhengfeng said is naturally correct.

But Cao Yang is not stupid, how could he destroy the Great Wall and use Xingchen cars to support Hongqi cars?

"Mr. Zhu, what you said makes sense."

"However, Xingchen Motors has only been established for a few years. It is like a toddling toddler. It still has a long way to go."

"In the next ten years, Xingchen Motors has no plans to form a joint venture with any company to establish a new automobile company."

"In this cooperation with Hongqi Cars, we will directly ask Nanshan Group to come forward. By then, the status of the joint venture within Nanshan Group will actually be exactly the same as that of Xingchen Motors."

Cao Yang made a random excuse to give Zhu Zhengfeng a step down.

Otherwise, the conditions proposed by such a high-level person would be easily refuted, and his face would be tarnished.

"What Mr. Cao said makes sense. Nanshan Red Flag should be Nanshan Red Flag."

"However, the Hongqi sedan is too special for Spring City Automobile Group."

"So in terms of shares, the most we can accept is to give 40% of the shares to Nanshan Group like Spring City Volkswagen did."

Although negotiations often start with the worst conditions, we slowly negotiate and eventually find a suitable solution.

However, Zhu Zhengfeng did not want to negotiate with Cao Yang in such a hurtful way, but directly showed his trump card.

He believes that this approach is more conducive to the success of cooperation.

Otherwise, if everyone has plans and precautions against each other from the beginning, future cooperation may not be so smooth.

"Although Hongqi Car has a profound historical background, objectively speaking, its development in recent decades has not been very satisfactory."

"The accumulation of related technologies has fallen behind the times."

"Even the Hongqi sedan factory is not very advanced, and further transformation is necessary."

"In this case, the asset value of Hongqi sedan is relatively limited."

"For Nanshan Group, establishing a joint venture with Hongqi Car will provide Nanshan Hongqi with engines, gearboxes and most parts."

"At the same time, we will assist in designing the appearance of Nanshan Hongqi's new models."

"Nanshan Group can also help with the planning and construction of new factories."

"Mr. Zhu, you also know that Nanshan Group just spent US$23 billion to acquire the Jaguar and Land Rover brands some time ago, and the funds at its disposal are relatively limited."

“So in addition to technical investment, Nanshan Group’s financial support is very limited.”

Cao Yang definitely doesn't want to pay anymore at this time.

Bringing out those technologies to cooperate is already very sincere.

At that time, we will also help Hongqi Car design the appearance of the model.

If it weren't for the fact that Hongqi Car has the hope of becoming bigger and stronger, and cooperation with Nanshan Group can indeed have the effect of one plus one being greater than two, Cao Yang would not agree to such a cooperation project.

"Mr. Cao, can the 1.5T and 2.0T products of Nanshan Engine and the 6AT of Nanshan Transmission be produced in the joint venture?"

Regarding Cao Yang's views, Zhu Zhengfeng also had certain psychological expectations.

I know that it is not that easy for Hongqi Car to successfully cooperate with Nanshan Group.

Cao Yang is not stupid, why do you want to make wedding clothes for you?

It can be said that in this cooperation, Hongqi Car was in a passive position from the beginning.

That is to say, he relied on his unique brand history and the influence of Spring City Automobile Group to attract Cao Yang's interest.

"If the annual sales volume of Nanshan Hongqi Automobile Co., Ltd. can reach 30 vehicles, then the engines can be produced in the joint venture."

"But as for the gearbox, considering the cost advantage of centralized production, it is recommended that Nanshan Gearbox be produced."

For Xingchen Automobile, products below 2.0T will not be used in its own cars.

Nowadays, there are so many independent brands in China using engines below 2.0T. If there is sufficient production support, it is not unacceptable to transfer part of the production capacity to the joint venture company.

After all, even if the complete engine is produced in a joint venture, the main components will definitely still be supplied by Nanshan Group.

When the time comes, if Nanshan Group wants to control its rate of return, there will be no problem at all.

Why didn't Cao Yang argue too much with Zhu Zhengfeng over the shares?

On the one hand, this is because he knows that it is impossible for Hongqi Car to give up its controlling position, and on the other hand, even if the shares are reduced, he can ensure that the money he earns is no less than that of Spring City Automobile Group.

Even if you go too far, you can directly take away [-]% to [-]% of the money earned from a Nanshan Hongqi.

"The standard of 30 units is a bit high. Mr. Cao, can we change our thinking? As long as the sales volume of a single engine exceeds 10 units, then this engine can be produced in the joint venture first?"

Zhu Zhengfeng and Cao Yang continued to bargain, and the differences between the two sides were constantly narrowing.

After all, although the number of units has changed from 30 to 10, the concept is also different.

By then, several engines will be used together, and when one engine reaches 10 units, the total number may be more than 20.

So Zhu Zhengfeng didn't bargain too hard.

"No problem. As long as the demand for a single engine exceeds 10 units, then we can consider building an engine factory in the joint venture."

"Even die-casting parts such as cylinder blocks and heads can be produced in the joint venture."

Cao Yang agreed to Zhu Zhengfeng's proposal after thinking for a moment.

He is still relatively optimistic about the prospects of Nanshan Hongqi. If it becomes China's Volkswagen, it seems to be worth looking forward to.

Spring City Automobile has the resources, the Hongqi brand has the foundation, and the Nanshan Group has the technology. After working together, the results are worth looking forward to.

"If this is the case, then both of us have reached an agreement on the general direction."

“The rest is just a matter of implementation details.”

Zhu Zhengfeng couldn't help but smile.

This matter went much smoother than he imagined.

<divclass="contentadv">"Mr. Zhu, over at Nanshan Hongqi, except for the finance and procurement areas where Spring City Automobile Group and Nanshan Group will arrange their own personnel to settle in, I hope other senior executives will be recruited from outside."

"Even the general manager and deputy general manager are recruited from outside. They are neither people from Spring City Automobile Group nor people from Nanshan Group, but people from Nanshan Hongqi."

Cao Yang originally wanted to ask Zhu Zhengfeng to hand over the management rights of the joint venture to him, but this request was obviously impossible to meet.

So he simply made a bolder proposal.

In addition to arranging personnel to look after finance and procurement, the two shareholders did not send other personnel from the group, but were recruited by the joint venture company itself.

Of course, considering that the main body of the company is Hongqi sedan, most people will inevitably go by Hongqi sedan.

It's just that their personnel relationship is no longer directly related to Spring City Automobile Group.

Spring City Automobile Group can no longer control them directly.

We even took this opportunity to move the positions of the heads of various departments to bring about a complete change in the company.

"Mr. Cao, in principle, I agree with your plan."

"However, at the beginning, if there are too many people we are not familiar with, it will be more troublesome to manage."

"Is it possible for Spring City Automobile Group and Nanshan Group to each arrange for 10 senior executives to join the joint venture company, and then slowly reduce the number of personnel assigned to the joint venture company in the future, so that the joint venture company can become a truly independent entity?"

Zhu Zhengfeng really wants Nanshan Hongqi to produce results as soon as possible, so he doesn’t want to have a long running-in period in the early stages.

That way, by the time Nanshan Hongqi gets results, he might not be in this position anymore.

This is certainly not what he wants to see.

Fortunately, the plan he mentioned is quite reasonable.

At least he didn't mean to take advantage of Nanshan Group.

So Cao Yang didn't hesitate and agreed directly.

Soon, the two parties were ready to formally sign the "Framework Agreement on Joint Venture Cooperation between Nanshan Group and Spring City Automobile Group on Nanshan Hongqi Automobile Co., Ltd."

This news was like a bolt from the blue, exploding over the Chinese automobile industry.

"Spring City Automobile Group is crazy. It actually took out the Hongqi sedan to form a joint venture with Nanshan Group. This is giving away 40% of the shares to Nanshan Group."

Zhang Lin, deputy general manager of Changan Automobile, came to Yi Jia's office as soon as he saw the news to discuss the impact of the matter.

Throughout 2008, Changan Automobile's passenger cars developed very smoothly, with a growth rate significantly higher than the industry level.

Regardless of whether it is CS95 or CS75, sales have increased compared with the same period last year.

And all of this is closely related to Nanshan Group. After all, whether it is the engine, gearbox, or many other important parts of the vehicle, they are all provided by Nanshan Group.

Among the major domestic independent brand car companies, the relationship between Changan Automobile and Nanshan Group should be considered the latest, and the conflicts and conflicts between them are also the least.

Unlike car companies such as BYD, Great Wall and Chery, which are all developing their own engines.

These actions will more or less have an impact on their relationship with the Nanshan Group.

"If you don't break it, you can't build it. It seems that Mr. Zhu is determined to make Hongqi Car a success."

"Over the years, the performance of Hongqi sedans has been unsatisfactory."

"Even the big red flag that has attracted people's attention recently is essentially a product created with the help of Nanshan Group."

"So it is an acceptable plan to simply take out the Hongqi sedan and cooperate with Nanshan Group to see if we can work with Nanshan Group to completely make the Hongqi brand bigger and stronger."

As the general manager of Changan Automobile, Yi Jia still has a certain perspective on issues.

Nanshan Group's technical strength is so strong that Hongqi Cars further gave away 40% of the vehicle's profits.

In this case, Nanshan Group will definitely give more support to the Hongqi brand.

"But in this way, Nanshan Group's attitude towards other independent brands and Nanshan Hongqi will definitely be different in the future."

"This is not a good thing for us."

What Zhang Lin is most worried about is that this joint venture project will affect the cooperation between Changan Automobile and Nanshan Group.

Especially when everyone competes with the Hongqi brand in the future, it will be even more worrying.

"It's definitely not a good thing, but it's not necessarily bad."

"Nanshan Group has many customers. Not only do we, Changan Automobile, use a large amount of their engines, gearboxes and auto parts, but also Chery, Geely, Great Wall, BYD, Yangcheng Automobile and other car companies."

"If Nanshan Group's tendency is too strong and everyone is dissatisfied, the impact will definitely be very large, which will directly lead to a significant drop in their orders."

"This is certainly unacceptable to Nanshan Group."

"Cao is always a smart man and will not do anything detrimental to Nanshan Group."

Yi Jia's judgment is quite reasonable.

Everyone knows that you don’t put your eggs in one basket.

"That's true. Let's see how other car companies react."

"Of course, I think it is appropriate for us to express our concern and let Nanshan Group realize that this cooperation still has an impact on our cooperation."

After listening to Yi Jia's words, Zhang Lin breathed a sigh of relief and was no longer so anxious.

However, he figured it out quickly, which some people may not be able to figure out.

"Vondel, Spring City Automobile Group and Nanshan Group have established a joint venture. The models produced in the future are likely to pose a very big threat to both the Volkswagen brand and the Audi brand."

"In this matter, I think it is necessary to express our dissatisfaction directly to Spring City Automobile Group."

"So far, Spring City Automobile Group has several joint ventures. The continued dispersion of resources will be detrimental to us."

Strauss naturally also saw the news that Nanshan Hongqi Automobile Co., Ltd. was to be established.

As soon as he saw the news, he asked someone to pretend to be a reporter and called Spring City Motors and Nanshan Group to inquire about the matter.

Neither party denied the cooperation.

As long as this kind of thing is not denied, it is actually acknowledged.

"Hongqi Sedan used to toss around with some of Audi's old models, but nothing came out of it."

"Later, I launched some so-called entry-level cars, but the market performance was not very good."

"So far, in addition to Da Hongqi, ordinary consumers can no longer think of any other models when they hear Hongqi sedans."

"But after cooperating with Nanshan Group, the situation will definitely change soon."

"Cao Yang has very strong design capabilities, and Nanshan Group has a ready-made powertrain platform that can be used."

"Maybe by the end of next year, Hongqi Sedan will be able to launch several new models at once. This is really not a good thing for us at Volkswagen."

"However, the competition among China's independent brands is also very fierce, and it is not that easy for Nanshan Hongqi to stand out."

"As for directly threatening our Volkswagen brand and Audi brand, that is even more difficult."

Vondel was obviously less anxious than Strauss.

In his opinion, Chinese independent brands such as Geely and Chery have been struggling for so many years, and there is still a big gap in brand power compared with Volkswagen.

Now that Nanshan Hongqi is just about to be established, it is impossible to pose any threat to Volkswagen in a short period of time.

However, Strauss did not approve of his idea.

"Fondel, the Hongqi sedan has a special meaning in China, and many people have a special feeling for him in their hearts."

"Once their new models have eye-catching looks, good power, high-end configurations, and not too expensive prices, I think sales will definitely be much better than they are now."

"When the time comes, Spring City Automobile Group will definitely invest a lot of resources into Nanshan Hongqi, and it is not surprising that it will even suppress Volkswagen and Toyota in turn."

"Nanshan Group is a very evil company. Things related to them often cannot be judged with ordinary thinking."

"Over the years, countless opponents have suffered losses in front of Nanshan Group."

"I think we need to pay full attention to it this time."

Strauss still wanted to persuade him, but Vondel had great confidence in Volkswagen.

Especially this year, combined with the marketing of the Olympic Games, Volkswagen's popularity in China has also been greatly improved.

Sales, which were originally sluggish, have also improved slightly.

"Let's see their actions first and then talk about it."

"Besides, no matter how much Nanshan Hongqi is worth looking forward to, it is also a Chinese independent brand enterprise."

"What should make the most progress at this time should not be us, but local Chinese brands such as Chery and Geely."

When Vondel said this, Strauss didn't know how to refute.

Because logically, this statement is completely correct.

But he always felt that the emergence of Nanshan Hongqi Automobile Co., Ltd. would bring a huge threat to the public in the north and south.

Having stayed in China for a long time, he can also feel that the Hongqi sedan brand is a bit different compared to other brands.

As long as the model is good enough and the quality is high enough, there will still be a group of consumers in China who can accept Hongqi cars.

However, he also knew that there was no point in continuing to fight until it became a fact.

Officials crushed people to death.

The same applies to foreign companies.