Chapter 175 - New Motorcycle Model
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Feng Yu gave Liu Michael some suggestions. His company should not focus on product designs only. They should also look into furniture, interior designs too. These will bring them more profits in future.
Feng Yu’s advice gave Liu Michael lots of inspirations. He discovered that he was walking into a dead end. If they do not have product designs deals, they could also use their talents in other areas.
With the funds, they could hire more manpower, and their company could grow fast. If they established their brand and became famous, they would get more businesses, and they would be able to increase their rates. This Manager Feng is a genius!
1 week later, the design was amended based on Feng Yu’s requirements and was finalized.
This model was named as Songjiang 1 and was a 125 CC motorcycle. Currently, the market was mainly 50 to 100 CC motorcycles, and the fuel tanks were mostly 12 to 15 Liters. However, Songjiang 1 had a reserve tank of about 1 liters. The bike should not run out of petrol halfway.
At first, Feng Yu want to produce a 150 CC bike, but the current policy was that any bikes over 125 CC were not allowed to be registered. It was still okay in the countryside as there were many unregistered motorcycles. The traffic police there were also from the same village, and they just turn a blind eye. But it was different in the cities. If one were caught, he would be fined and the bike confiscated.
Feng Yu’s this model of 125 CC motorcycle was to compete with the bestselling imported bike, Honda. Honda at that time as already the world’s number one motorcycle manufacturer. It was very popular, and even the Soviet Union motorcycles could not compete with them. Not to mention the not so advanced domestic bikes.
This Songjiang 1 does not only utilized the most advanced Soviet Union’s technologies, but the suspensions were also using the most advanced technologies in the era, and the exterior was beautiful. Far better than the Honda motorcycles!
The motorcycle was using a straight beam design and lowered the fuel tank. The seat was bigger and more comfortable. The bracket at the back was special. This was not found on the Soviet Union bikes. Even Japanese bikes seldom have brackets at the end.
The headlight was big and bright. The suspension was also impressive. Feng Yu tested the bike and rode over an uneven road. He did not feel uncomfortable, and the level of comfort would not lose to the bikes in his previous life.
The Soviet Union technologies were perfect in this aspect. Japanese motorcycles were designed to be used on their roads, and their road conditions were better than China that’s why their suspensions were not very good. They also had better street lightings, that’s the reason their headlights were not that bright. However, the Soviet Union was different. Their technologies in these areas suit China well. These would be the selling points of this motorcycle.
The most significant selling point was the exterior of the bike. Other than the fuel tank and the seats, the rest of the bike had beautiful decorations.
The current motorcycles had no windshield, and even the speedometer was exposed. Feng Yu had requested for a small windshield. The windshield was not high, but it could protect the speedometer from things hitting it from the front.
The plastic parts were cheap but not durable, Feng Yu heartlessly declared that other than the essential components, the rest should be all using plastic. This was to lessen the weight and at the same time, lower the cost.
This suggestion was rejected by everyone, including Li Mingde and Hou Haitao.
Does Feng Yu have a thing for plastics? The electric fans were made from plastics. The humidifiers were made from plastics. These were all household appliances, so it doesn’t matter much. But this was different. This was a motorcycle. How can they use plastic parts?
It was common for bikes to fall or knock onto something. What if a light knocks and something breaks? This was the first motorcycle produced by them, and Feng Yu wanted to make it into an inferior product? Even if Feng Yu was not afraid of being disgraced, their reputations were at stake too! This would be a disgrace to their factories and even Bing City!
In the end, only the windshield was using plastics, the rest were all using metal. Feng Yu pouted. What’s wrong with using plastics? It’s all the same.
Furthermore, which motorcyclist would not be careful while riding? Who would purposely knock onto something? If they were really careless and knocked into something while riding, what the difference between metal or plastics? The bike will still be damaged. The replacement of plastics parts will be much cheaper too!
Feng Yu and the rest, got into an argument again when it comes to the colors of motorcycles. This time, it was the rest that wanted to save money, and Feng Yu wanted to spend more.
Ordinary spray paint will do, why does it have to be a good quality paint? The paint must not fade easily, not easily scratched and in bright colors like metallic red and blue to attract people?
What’s wrong with army green color? This was the most common paint on the market, and it’s cheap too. Motorcycles were only for transport. What had colors got to do with it?
But Feng Yu was adamant about this. The colors must be bright and able to attract attention. It must be able to make people like it the moment they set their eyes on it. This was a crucial element for the motorcycles to sell.
Li Mingde and the rest knew that Feng Yu was better than them with regards to sales. Feng Yu could even be considered an expert in sales. From Feng Yu’s advertisements in CCTV and his creativity in the commercials had blown their minds.
Since this concerns the sales of the motorcycles, Li Mingde and the rest took one step back and agree to use better and more expensive paints. Feng Yu had promised that their bikes would sell throughout China and even exported overseas!
Li Mingde disagreed and felt that Feng Yu was too optimistic. He did not have high expectations as he felt that to compete with the established brands of motorcycles in the market was too early for them. If they were able to capture the market of the 3 provinces in the northeast region, he would be satisfied. If they were able to export to the South like their agricultural machines, it would be a miracle.
Feng Yu immediately made a bet with Li Mingde. Tai Hua Trading will take over the marketing of these motorcycles as the distribution channels of bikes and agricultural machines were different. Feng Yu will guarantee the sales figures and will take a percentage as commissions.
Li Mingde then discovered that Feng Yu was waiting for the chance to get the distribution rights of the motorcycles. But when he thinks of Feng Yu’s sales tactics, he felt that it was worth to try, but the sales target must be set high!
The 2 production lines if working to the maximum capacity, they would be able to produce at least 200,000 bikes in a year. Li Mingde had estimated that 100,000 units would be sold in the first year and this figure would increase by more than 10% in the second year. It would take at least 5 years before the factory could operate at full capacity.
Since Feng Yu wanted the distribution rights, then fine. The first year must have at least 120,000 units sold, and every year the target would increase by 30,000 units. It must reach 200,000 units by the third year. You dare to take up the challenge?
Feng Yu laughed. They did not know how popular motorcycles will be in China. Although it was not as popular as the years after 2000, the first peak will happen in the early 90s!
With Songjiang motorcycles performance and exterior designs, and still could not be sold, then Feng Yu would have wasted his rebirth!
“Manager Li, I agree to your condition. Let’s sign the contract.”
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