Zhang Chongshun: Amplify your advantages

2020-06-03 08:54 | Readtime: 15min

  Teenagers dropped out of school to do business with their father. At the age of 20, they held hundreds of thousands of people alone. At the age of 26, they earned the first 10 million in their lives. Zhang Chongshun, a grass-rooted young man in Wenzhou who had been greedy for the lowest-end business, has become a leader in China's electric vehicle industry. His Nissin electric car is recognized by industry insiders as the technology leader in China's electric vehicle industry, and is also the makers of this industry standard. 

   "terrible" Wenzhou businessman

   In 1985, Zhang Chongshun dropped out of school as soon as he graduated from junior high school, followed his father to learn to do business, and sold hardware standard parts such as screws and nuts produced in his own factory to manufacturers everywhere. The family business is quite big, and it is quite famous in the Wenzhou industry circle. "Making money and making a fortune" has always been a tradition in Wenzhou people's blood, because there are very few factories and mines in Wenzhou, and there are few people in the land. In addition to doing business by making a living, people have almost no other way to settle down.

   In 1989, when he was 20 years old, Zhang Chongshun was already an "old river and lake" in the business field, and he was familiar with the production and sales of hardware standard parts. In this year, Zhang Chongshun decided to go to the world alone and brought hundreds of thousands of yuan to Hainan to start a business. Zhang Chongshun also set himself a goal like his fathers: "To earn 10 million yuan in Hainan!" Hainan had just established a province at that time, and the central government and private funds from all over the country were pouring into Hainan. It was the right time to earn 400,000 yuan in the first year.

   Zhang Chongshun had suffered in Hainan, and now many people are surprised to hear it. Zhang Chongshun, who had been alone for two years, ate in the Dangjie store during the day and slept in the back warehouse at night. In order to save 20 yuan in handling costs, he took part in loading and unloading each time, and he moved an average of four to five tons a day. At that time young, he seemed to never tire.

   Zhang Chongshun was most impressed by the fact that a 12-ton cargo arrived in the middle of the day, and the porter was no longer available at night. However, the customer came to pull the goods the next morning. So, Zhang Chongshun moved the goods from 3 to 6 in the morning, and then moved 6 tons of goods from the warehouse to the customer's car in the morning! When customers saw Zhang Chongshun like this, they all said: "The guy is really terrible, and he can't do business without him." Now recalling, Zhang Chongshun was very proud of himself. In order to make money, this sunny, conscientious and hardworking young man disregards everything, does not play cards, smokes or drinks, does business wholeheartedly, and is immersed in the joy of wealth on the face.

  Zhang Chongshun is proficient in business. A bag of goods on the ground, Zhang Chongshun kicked it with his feet, and he knew what type of screws were contained in it, and he knew how many there were by grabbing a hand. This greatly improved the efficiency of Zhang Chongshun; Zhang Chongshun is familiar with what kind of materials and what price screw nuts are suitable for what products. Therefore, Zhang Chongshun provides correct introduction, maintenance and even consultation and training to customers who are working on product design. Many customers see that this young man is so proficient in products and always thinks for customers. Using his products will not make mistakes. , So he directly intervened in many customers' procurement design and became their procurement consultant.

   In 1991, Zhang Chongshun began to supply the emerging motorcycle company Hainan New Continent. The sales of the new continent nationwide also brought Zhang Chongshun a wealth of money. The effect of scale reduced the cost of Zhang Chongshun, and the business was getting bigger and bigger, so that a local standard parts factory could not produce any more and had to entrust Zhang Chongshun to purchase for them. Soon Zhang Chongshun became the largest supplier of standard parts in Hainan.

  People say that Wenzhou people are "terrible." How did these Wenzhou people full of "grassroots spirit" do business in those years? Just look at Zhang Chongshun.

  In 1993, Zhang Chongshun started to produce his own motorcycle bumper, which was still provided for the new continent. In the past few years, Hainan real estate was booming, and a standard parts factory in the city center felt that Zhang Chongshun could not be done anyway, and decided to use the land of the factory building as real estate. Zhang Chongshun was thinking about his business all the time, trying to buy their equipment at a low price, and he built a bumper factory beside Xindazhou. Among them, the unusable stamping equipment was pulled to Wenzhou and sold, and the result was more money than buying all the equipment. Zhang Chongshun is equivalent to picking a factory in Bai Bai, and also solved the working capital.

   In 1995, Zhang Chongshun got his wish and earned his first 10 million yuan in life.

   "Borrow chicken to lay eggs" for resource integration

  In fact, when Zhang Chongshun earned his first 10 million yuan in his life, he did not know the marketing skills, but was doing things by his own life and his personal responsibilities, but perhaps such unskilled skills were the real skills. At the same time, as the business grows, Zhang Chongshun feels less and less happy. After all, the screw nut is a business that is too small to be small. "No matter how you do it, there will be no waves." Zhang Chongshun was a bit worried.

   At the end of 1997, Zhang Chongshun was still not satisfied and decided to start his second business—to make a motorcycle! In the early years, Zhang Chongshun found that it was not complicated to build a motorcycle in the process of supporting the new continent. Therefore, Zhang Chongshun gave his Hainan factory to his brother-in-law, "Broken the back road", and dedicated himself to fighting for motorcycles. At that time, Zhang Chongshun quietly set himself a goal-starting from 1998, to achieve 1 billion to 3 billion yuan in 10 years!

  Zhang Chongshun soon discovered that he could not directly build a factory to make motorcycles. The first investment was too large, and the second did not have a "license plate" for motorcycle production. At that time, he thought that other people's "license" can be borrowed, which is called resource integration. Asking outsiders, he later found the production "license plate" of a state-owned manufacturer.

   In 1998, Zhang Chongshun cooperated with Shaanxi Baoji State-owned Weiyang Motorcycle Factory to take a group of people and hire a workshop and workers in Weiyang to produce and sell their favorite motorcycle models. After negotiation between the two parties, the other party agreed to name the enterprise "Weiyang Xinri Motorcycle". "We agreed in advance that every car produced would pay a rental management fee of 30 yuan to the Weiyang plant, so that we can retain considerable profits." But in this way, there is a huge hidden danger-Zhang Chongshun will always produce and sell only other people's brands, and it will only do a single business for the purpose of making money in the short term. At that time, Zhang Chongshun said to everyone: "Anyway, make money first."

  The old state-owned factory came to help Wenzhou people, and ripples appeared in a pool of backwaters.

  Before signing the contract, Zhang Chongshun took people to run the market every day, using the method of making standard parts in Hainan that year, to make zero-distance contact and service with dealers. In just 4 months, his motorcycle prototype was widely welcomed by dealers in Shaanxi. But something unexpected and unexpected happened soon-as soon as the production and sales were on the road, the Weiyang plant kept standing and said: "You don’t have this car catalog, you can’t leave the factory; your car catalog No, we can't leave the factory..." The key workers he trained were removed.

  Zhang Chongshun didn't get angry: "This business can't be done!" Zhang Chongshun turned around and found another way out.

   After this incident, Zhang Chongshun wanted to set up his own factory and wanted to produce his own brand products. At this time, Zhang Chongshun discovered the electric bicycle. He learned that electric bicycles are portable transportation tools that appeared in Nanjing and Suzhou three or four years ago, and are very popular in the market. In the context of increasing energy shortages and the state's promotion of energy conservation and emission reduction, everyone feels that "electric vehicles are a general direction."

Zhang Chongshun was a little excited. After further investigation, he found that the national annual output of electric bicycles was only 50,000 or 60,000, the overall technical level of the industry was immature, and key components such as batteries, motors, controllers, and chargers were still in their infancy. There are no regulations in the industry, and the risks are greater; but the barriers to entry are low, and there are certain reserves in products, technologies, markets, and talents. At that time, light electric vehicle companies in Tianjin, Jiangsu, and Zhejiang emerged like mushrooms-the industry has just started , This is the right time to enter.

In October 1998, Zhang Chongshun, like all Wenzhou predecessors, did what he said, "vote with his feet", inspected the market to collect information, and drove people from Shaanxi to Nanjing and Suzhou to drive around in circles for 8 days. . As he walked and inspected, he almost found the best supporting manufacturers in the industry. Zhang Chongshun believes that to do things the most beautiful and the best quality products. At this point, as long as he invests the money, he can produce the product. But he does not want to, like most electric vehicle companies on the market, when the market is not mature, it seems to be clever to operate the business with the "short and fast" business philosophy. He wants to lay a solid foundation, be a brand, and be the industry's number one, rather than simply doing business.

   To produce the best electric car, it is necessary to match the best motor. Where can I find the best motor? In 1995, Zhang Chongshun met Xin Dazhou in Hainan to test the electric vehicle they trial-produced. The performance of the motor caused people to praise him and said, "I have never seen such a good performance." At that time, Zhang Chongshun was also present. Zhang Chongshun curiously asked "Where is it produced", and the other party answered "Sanhuan Company, Institute of Physics, Chinese Academy of Sciences". Zhang Chongshun thinks such a motor must be good. At this time, he screened all the Wenzhou fellows who were doing business in Beijing, and found his middle school classmates solemnly. Zhang Chongshun called and asked, "Is there any relationship to help me get online with Sanhuan Company of Chinese Academy of Sciences?" How do you know Zheng Daxiao laughed: "I have been supplying Sanhuan with motor magnets!" In November 1998, Zhang Chongshun came to Beijing alone in a thin single coat.

    "Strategic losses"

  Sanhuan has several vehicles equipped with their own electric motors. From morning till night, Zhang Chongshun drove around the street in the biting cold wind. He carefully experienced the performance of the electric motor until he used up the electricity charged the night before. For a week, Zhang Chongshun turned discontinuously and shiveringly, feeling that the motor was really good. Later, he learned that it was a new product developed by Sanhuan Company. The ordinary motor is a brushed motor. The kind is a brushless motor. It is powerful and does not get hot. The service life is more than three times that of ordinary motors.

   OK, that's it!

  Sanhuan saw that the little boss from Wenzhou was so willing to endure hardship and would surely succeed in the future, so he agreed to transfer the technology to Zhang Chongshun.

  Zhang Chongshun immediately ended the business in Shaanxi with the technology, then registered Beijing Xinri Electric Vehicle Manufacturing Co., Ltd., and then rented a factory in Miyun. Familiar with assembly technology, training operation workers, and starting production, Zhang Chongshun took 40 people to explore the assembly of "Xinri" electric vehicles. The 2,000 vehicles assembled in the second half of 1999 were sold out after they were launched around Beijing. In 2001, the production capacity was expanded, and the annual output reached nearly 20,000 vehicles. After that, Zhang Chongshun voted for three consecutive years and lost three years. The money of the supporting company can not be delayed for one day, and the money for market operation is not less than one cent. Zhang Chongshun knows that he will certainly not make money in the first three years, but he must invest it. If you want to make money at the beginning, you will never be a big company. This is called "strategic loss"...

  In 2002, the electric vehicle market suddenly started to erupt. Zhang Chongshun invited Zhao Xuezhong, who used to be a trustee in Shaanxi Power, to become the general manager, and then Zhang Chongshun determined his strategy of winning quickly, and decided to only do the four markets of Shandong, Inner Mongolia, Henan, and Beijing according to the actual production of Xinri. "Xinri electric car, greetings from the capital." From this year, Xinri made money.

   Selling is actually very simple

In 2003, "SARS" saved the new day, and the new day became the 50th in the industry; in 2006, the production and sales of 550,000 vehicles were the first in the industry, surpassing development; the annual production and sales reached 1.10 million in 2007, and it was firmly ranked first in the industry. Is the sum of the production, sales volume of the second, third and fourth enterprises. Based on the unit price of 2,200-2700 yuan per car, the revenue is between 2.5 billion and 3 billion yuan; in 2008, it sponsored the Olympic Games and produced and sold 2 million vehicles, becoming the absolute leader in the industry.

   There is a special feature in this set of figures: The acceleration of successive years of explosive growth after 2005 is actually due to the success of corporate infrastructure before 2005. Before this year, most of New Day did basic work, such as production, R&D, sales distribution, management, etc. According to the requirements of efficient operation of large enterprises, Zhang Chongshun first built and strengthened his own growth platform. The next step. Therefore, before 2005, there was basically no salesperson, only Zhang Chongshun himself and another person.

The reason why Zhang Chongshun designed Xinri's development rhythm so steadily is because he believes that enterprise construction is the perfect process of a complex system. Only when every link of the whole system is in place and strong enough, can enterprises enter without a "short board" The next step of the overall development, such as large-scale advertising, shouting loudly, otherwise advertising will bring all kinds of risks, or will be thrown into the water in vain... Under such guiding ideology, later competitors will not dare to confront Xinri; this It also caused the expansion of the market before 2005 to basically focus on natural growth.

   In fact, a certain brand makes money or not, dealers will soon know that because they are a circle, the communication in the circle is almost synchronized. The most fun situation that Zhang Chongshun encountered was that the big brands like Continental Pigeon and Antelope held dealer meetings in Suzhou at that time. Every year, someone would say, "This year I made a Brand, good quality, good service, and more money."

   In fact, the dealer business is doing well, the key is whether you can see the links behind each link of the business. Zhang Chongshun gave an example: a big dealer in Ma'anshan, Anhui, is very cattle and made five or six electric car brands. One year, he entered 8,000 electric motorcycles to sell, and Zhang Chongshun was there. Zhang Chongshun told him, "You will lose money when you sell this car." He was surprised. Zhang Chongshun told him why, but he didn't believe it. The next year, he really lost. It turned out that he was low in and low out, and his profit was low. On the surface, he made money at the time, but he did not understand that this electric motorcycle technology was immature, and the repair rate was particularly high. The more it was sold, the more it lost, and the more trouble. .

   Therefore, if the quality of non-low-value and consumable bulk products is not completely reassuring, low-in, low-out, and quick disengagement to make quick money, on the surface, it is a very smart business method, but it is actually a taboo.

  In Zhang Chongshun's view, selling is actually very simple. One is to make the dealers make money, and the other is to understand the products. In fact, these two are a system. Only those who really understand the products can really make big money.

  Amplify your advantages

Seeing the rapid development of the industry and the increasingly fierce competition, Zhang Chongshun has also accelerated the steps to become bigger and stronger.

  When selling screws, Zhang Chongshun never directly competed with competitors in price wars. This is the best strategy to protect himself. But Zhang Chongshun is always comparing strategy and strategy with competitors, and whether he is more correct than his opponents in every aspect-

   First of all, we will only do electric cars. In 1999, Zhang Chongshun was just 30 years old. Many Wenzhou friends had asked Zhang Chongshun to do real estate and catering together, but Zhang Chongshun was not interested. His dream was to be the first brand in the electric vehicle industry, with an annual output of 1 million vehicles. Zhang



Log in and participate in the comments

Founder Stories

A businessman who loves to write can't have a bad business.



Log in with a captcha | Forget your password?
No account?Free join


Registration means consent User Agreement and Privacy Policy
I have an account?Sign in


Sign in
No account?Free join


Login by password
No account?Free join