The next day, while Chen Bing was having breakfast, he saw the "Los Angeles Times". There was a supplement on the weekends and the page was relatively abundant. House's article occupied most of the page. Although it was not the most important page, it was ranked ninth.

Edition.

When he saw the news headlines, Chen Bing was a little nervous. Having experienced various bottlenecks and confrontations in later generations, Chen Bing was naturally extremely sensitive to such headlines. He was afraid that such headlines would trigger a populist backlash and cause unnecessary trouble.

However, after reading the content of the report in detail, Chen Bing relaxed a little. The main angle of the report is how the people of the Lighthouse Country were conquered by the game and addicted to it, and even gave birth to a short-term career as "game experience scalpers".

As for Yinghao Game Company, not much was written about it. Yinghao Game Company was only briefly introduced as a small company from Hong Kong. As for the names and background of the company's shareholders, it was not even mentioned at all.

That title was just an exaggerated wording deliberately used by the editor in order to attract readers. In fact, in the entire report, the Chinese elements and even the game itself were just a foil, and the reaction of consumers in the lighthouse country was the focus of the report.
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Chen Bing thought about it and felt relieved. In this era, Mainland China had just reformed. Not only economically, but also in all aspects, it was still in the stage of catching up. In the eyes of the lighthouse people, it was still a backward third world.

The vast majority of people in the Lighthouse Country have never really been in contact with China. The Chinese are also a disadvantaged group in the Lighthouse Country. Chinatown is known for its chaos and isolation. Apart from the mystery brought by its long history, there is almost nothing in that distant Eastern country that can make the Lighthouse

A place that Chinese people pay attention to.

In this era, the economic exchanges between China and the lighthouse country have just begun. Except for professionals in charge of diplomacy, almost no one cares about that distant transition.

Just like the mainland in later generations, even in the Internet age, how many ordinary people will really care about that big country neighbor named Asan?

Imagine if a product from Asan became a hot seller in the mainland, where would the focus of the report be? How many ordinary people would really care about the producers of the product?

After clearing up his mood, Chen Bing turned his energy back to the exhibition. At yesterday's exhibition, all three game consoles continued to sell well, and the flow of people in front of the retail workbench was uninterrupted.

Although the 5,000 game consoles shipped were not sold out again, there were only a few hundred units left. After the exhibition, they were all divided up by the staff of other exhibitors.

We have prepared 7,000 game consoles today. Depending on the sales situation, we estimate that they can basically be sold.

After the exhibition started, game consoles were still selling like hotcakes. On the contrary, the experience area was not as busy as yesterday, and the business of those game experience scalpers was also noticeably quieter. Many people simply gave up on this small business.<

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The reason is quite simple. After two days of fermentation, especially since 5,000 game consoles were sold yesterday, Yinghao's game consoles have been seen by many people. Quite a few people have seen the games bought by their friends.

I just arrived at the exhibition.

These people have already tried it with their friends and don’t need to go to the exhibition to try it out. They come just to buy the ready-made products.

In particular, the Yinghao game consoles were not fully prepared, and the official release date was not yet certain. The news was spread by dealers, and many people came specifically to buy these game consoles first.

A game console of thirty-five dollars is definitely a price that ordinary people in the lighthouse country can afford. It does not require buyers to think too much before making a purchase decision.

Moreover, the three games of Yinghao Company are all casual intellectual games, which are very suitable as gifts for children. If they are launched during the Christmas period, they will definitely become one of the best-selling products.

The "Los Angeles Times" is a national newspaper in the Lighthouse Country, and its influence is very huge. Many people in the Lighthouse Country saw the news about the game's popularity in the "Los Angeles Times" and wanted to buy it back and try it.

But now these three games are not officially launched in the world. They are only retailed at the electronics show, so many people call their relatives and friends in Los Angeles to ask these friends to help buy them.

As a result, the retail sales on the last day were much more popular than yesterday. Not only did the number of customers come to buy more, but the average purchase volume of customers also increased significantly. Many customers bought more than a dozen units at once.

.

In just over an hour, the sales exceeded 2,000 units. John immediately replenished the goods and by the time the exhibition was over, the single-day sales had exceeded 10,000 units.

The cumulative retail shipments in the three days reached 18,000 units. The cash income from this retail sales alone reached 270,000 US dollars, and they were all small dollar bills. It took several days just to pile up the cash.

A big box.

After the cash was sent to the nearest Citibank, the bank staff just counted it, which consumed a lot of manpower.

The unplanned retail business was very impressive, but what was even more impressive was the order volume from dealers. During the three-day exhibition, the on-site retail sales became more popular day by day, completely dispelling all the dealers' doubts.

Facts have proved that as long as these three games are in stock, they are not afraid to sell them. Orders from dealers naturally come in like a snowflake. They do not engage in any kind of bargaining at all. There is only one requirement: ship them as soon as possible.

Yinghao Game Company has made it clear that the market retail price is 35 US dollars, the dealer's wholesale price is 28 US dollars, and the dealer's profit margin is only 20%, which is really not high in this era.

Moreover, Yinghao Company requires a 30% deposit in advance before arranging the delivery date. Full payment is required before official shipment. Even so, it cannot stop the enthusiasm of dealers. The number of orders from Lighthouse Country alone exceeds 1 million units.
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The existing production capacity is obviously insufficient. Even if Xu's Electronics produces at full capacity, its current production capacity can only reach 5,000 units per day. To meet an order of 1 million units, it takes 200 working days, which is more than half a year.

Expansion of production is definitely necessary, but expansion of production requires a certain period of time. When the order reached 1 million units, Chen Bing ordered that subsequent orders only accept registration, and will no longer accept deposits in advance for the time being.

The deposit alone for this million-unit order is as high as US$8.4 million, which is enough to cover the production costs of this batch of products. It is completely meaningless to accept more orders before the supply capacity of this batch of orders cannot be met.
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Orders are no longer a problem. The biggest problem now is how to increase production capacity. Now Yinghao Company can only meet the market demand in the lighthouse country. It cannot take into account other markets such as Europe, Neon, South America, and Southeast Asia.

But the market will not wait. Even though Hero Games has registered the copyright of the game, if the company's products cannot appear on the market in the short term, these markets will definitely be occupied by various copycats and imitations.

In order to occupy these markets as soon as possible, Chen Bing estimates that he needs to put 5 million game consoles on the market within three months. Calculating the daily output, it is 56,000 units, which is an extremely huge number.

But in fact, this is just a temporary gap caused by the market outbreak. Once these 500 game consoles are put on the market, subsequent supply will not require such a large production capacity.

Chen Bing predicts that the annual shipment volume of the three games will reach 7-8 million units, which is already about twice the shipment volume of Nintendo game consoles, and the sales volume, calculated at ex-factory price, will also reach 200 million units.

USD and above.

Even considering the need to retain 1 million to 2 million units of inventory in sales channels, the annual supply requirement is only 8 to 10 million units. When the demand peak in the first three months passes, in the following nine months, only another 3 million units will be produced.

5 million units is enough, and the daily nuclear production capacity is 10,000 to 20,000 units.

It is impossible to build all the production capacity during peak demand by ourselves, otherwise once the peak passes, a large amount of production capacity will be idle, which is very uneconomical.

The best solution is to entrust one-time, large-volume processing, borrow the production capacity of other companies, and quickly fill the production capacity vacancies. For this, even if you pay a slightly higher processing cost, it is still cost-effective.

The handheld game console itself uses the mature technology of calculators. When looking for a foundry, the best target is a calculator manufacturer.

For this reason, Chen Bing and Zhao Ping quickly approached HP, a calculator manufacturer in the lighthouse country, and proposed a demand for 2 million units within three months.

The unit price of handheld game consoles is relatively low. The supply price given by Xu's Electronics is HK$50, which is estimated at US$10. The processing volume of 2 million units is a processing order of about US$20 million.

Even for HP, this is not a small order. Although the profit margin of the entrusted processing order will not be very high, a net profit of two to three million can still be earned.

Moreover, the drawings and other information of the Hero game itself are extremely complete, and the components required for the handheld console are also conventional products. For HP, there is no technical difficulty at all, but it only requires adjustments to the internal production plan.

.

The two parties quickly hit it off and reached an agreement, but HP's quotation was 30% higher than that of Xu Electronics, and the supply cost of each game console was increased to US$13.

The temporary supplier in the United States was solved, and Neon and the European market could not be ignored. This time Chen Bing directly approached Neon's Sharp Company.

Sharp is not only a major manufacturer of calculators, but it is actually a partner of Nintendo. Nintendo's Game & Watch is cooperating with Sharp from design to production.

However, Chen Bing has no scruples about this. The handheld game console uses fully mature technology, and there is no need for any confidentiality at all. Moreover, Sharp can produce LCD screens itself, helping Yinghao Games complete orders, which is more convenient.<

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As for whether Nintendo will interfere with this and undermine the cooperation between Hero Company and Sharp, Chen Bing is not worried at all. Nintendo and Sharp are two companies. Although they cooperate closely, they both pursue their own interests.

Now that hero games have become a trend, Sharp's managers will only risk their own reputation and become a thug for Nintendo unless their brains are kicked by a donkey.

The facts are exactly the same as Chen Bing's estimate. Sharp happily accepted an OEM order of 2 million units. The processing price is slightly cheaper than HP, at 12 US dollars per unit. Sharp's only additional requirement is that all LCDs for Yinghao Games

LCD screens must be purchased from Sharp.

In just three days after the Los Angeles Electronics Show ended, Yinghao Games reached an OEM agreement with two major manufacturers, HP and Sharp. With these two OEM orders, Yinghao Games' short-term supply capabilities are guaranteed, and it can finally

Restart accepting reservations.

A large amount of deposits were also deposited into the Yinghao Games account along with the orders. Only then did Chen Bing and Zhao Ping finally relax. Seeing a large number of orders in front of them, they did not dare to reach out to collect the money. This feeling was too uncomfortable.

With these four million orders, the remaining production gap can be completely filled by Xu's Electronics. Xu's Electronics' current maximum production capacity is 5,000 units per day. As long as the production capacity is doubled, it can reach 10,000 units per day.

, enough to fill the remaining capacity gap.

As for three months later, the market explosion period has passed, and Xu's Electronics has no problem meeting the subsequent production capacity. It has sufficient time to expand production lines and train workers.

In fact, with Xiangjiang's assembly capabilities, it is possible to complete the assembly of these four million game consoles within three months, and the cost will definitely be much cheaper than hiring HP and Sharp as agents.

But this order of four million units needs to be allocated to many small electronic assembly plants, and product quality control will become a huge problem. These four million unit orders are used to fill the temporary shortage of production capacity, and there is no follow-up

With continuous orders, it is difficult to carry out strict quality control on these small processing plants.

Once a small factory has quality problems, it will have a relatively large impact on the reputation of Yinghao Games, which is completely unacceptable to Chen Bing.

Two years later, the "Atari Collapse" will come, and the most direct cause of this collapse of the lighthouse country's game industry is the shoddy cassette games launched by Atari, which aroused consumer sentiment.

Collective boycott.

Chen Bing also wants to step over Atari's corpse to take over the huge market space left by Atari's death. At this point, in order to reduce production costs and take quality risks, it is a penny wise and pound foolish act.

.

Although the processing fees of HP and Sharp are much higher than that of Xiangjiang, Yinghao Games will have to pay an additional US$10 million in processing costs for these 4 million unit orders. However, compared to Yinghao Games' sales of US$200 million, these costs exceed US$100 million.

In terms of profit, it is affordable.

Game consoles are inherently profitable products. While making huge profits from consumers' pockets, they must provide consumers with sufficiently satisfactory products. Only in this way can both buyers and sellers be happy, and the business can be long-term.
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The game industry is Chen Bing's first pot of gold, and it is also the beginning of Chen Bing's layout in the electronic information industry. Spending more costs to establish a better brand image and reputation is completely cost-effective for Chen Bing's long-term layout.

More importantly, HP and Sharp are not professional foundries, but giant groups with many electronic industry technologies. They are potential partners for Chen Bing's layout of the electronic information industry. Now they use an order to lay the foundation for cooperation.
Chapter completed!