69novels Chapter 80 Distributor Channel
Chapter 80 Distributor Channel
The fountain pen on the table still had ink left, and several signed agency contracts were neatly categorized and put away. Representatives from Peak Electronics, Rhein Electronics, Sony Corporation, and United Electric shook hands with Lin Zhou with varying expressions before hurriedly leaving the factory area.
After seeing off the last representative, Lin Zhou turned and returned to his office. Zhang Minghui was waiting at the door with the heads of the production, sales, legal, and logistics departments. Each of them was clutching a thick folder and their faces were full of barely suppressed excitement.
"President Lin, this is a distribution agreement signed with four of the world's largest electronics giants! Air fryers and handheld consoles are truly different; they can't bypass our patent barriers." Zhang Minghui's voice trembled. "Our Zhonghua is truly about to break out of Hong Kong and go global!"
Lin Zhou waved his hand, gesturing for everyone to enter the conference room and take their seats. He slammed the contract, which stated a 70/30 split, onto the table, and said in a steady tone, "Signing the contract is only the first step. The execution that follows is of utmost importance. Let me be clear: if anyone drops the ball in the process, don't blame me for being ruthless."
Everyone responded in unison, and the sales manager spoke first: "President Lin, the first batch of orders from the four distributors arrived ten minutes ago. Peak Electronics wants 100,000 units, mainly targeting the US market; Rhein Electronics wants 80,000 units, covering the European continent; Sony wants 120,000 units, responsible for Southeast Asia and their home market; and United Electronics wants 50,000 units, mainly targeting the British Isles. That's a total of 350,000 units. Our current daily production is 20,000 units, and even at full capacity, it will take seventeen days to collect them all."
"Not enough." Lin Zhou frowned slightly. "Start all three newly expanded production lines, and transfer skilled workers from the old factory area to support them. Change from two shifts to three shifts, and make sure to complete the production of the first batch of orders within ten days."
He paused, then looked at the head of logistics: "You handle the cargo transportation. Contact the largest shipping company in Hong Kong and charter three ocean-going freighters to dock at designated ports in the US, Europe, and Southeast Asia, respectively. Remember, every shipment must be labeled with Zhonghua's anti-counterfeiting label, and the packing list must be in triplicate: one for us, one for the agent, and one for the shipping company, to prevent any swapping or shortages."
The logistics manager nodded hurriedly and scribbled furiously in his notebook: "Don't worry, Mr. Lin, I'll contact the shipping company right away and make sure the goods arrive on time."
The head of the legal department stood up and adjusted his glasses: "Mr. Lin, all four distributors have requested that their brand logos be printed on the handheld console packaging, and they also want to adjust some of the exterior design to suit the aesthetics of the local market."
"No way." Lin Zhou refused without hesitation. "The handheld console's design and brand logo must adhere to Zhonghua's standards completely, without any alterations. They are just distributors, not manufacturers. Tell them to either follow the rules or terminate the cooperation."
The head of the legal department paused for a moment, then quickly realized: "Understood! I'll draft a supplementary agreement right away, add this clause, and have them sign it to confirm."
Lin Zhou nodded in satisfaction, his gaze sweeping over everyone: "There's one more thing: after-sales service. The four distributors will be responsible for after-sales service in their respective regions, but repair parts must be supplied uniformly by Zhonghua, and we'll charge a premium. In addition, I want to set up an office in the US, Europe, and Southeast Asia, and send dedicated personnel to be stationed there. On the one hand, they will supervise the distributors' sales prices to prevent dumping or price gouging; on the other hand, they will collect feedback from the local markets to prepare for future handheld console upgrades."
After making these arrangements, Lin Zhou stood up and walked to the window. Outside, in the newly expanded factory, the roar of machines was deafening, and the workers on the night shift were busy in an orderly manner.
Over the next few days, the Zhonghua factory area entered a state of emergency. Meals were served around the clock, the dormitory lights shone all night, and the production line conveyor belts ran non-stop. Although the workers were exhausted and had dark circles under their eyes, not one complained. Lin Zhou had already given orders that workers who worked these ten days would receive extra high-temperature subsidies and performance bonuses.
The sales department's phone rang almost non-stop. Calls from the four distributors urging delivery came one after another. George from Peak Electronics even called personally, his tone urgent: "Mr. Lin, consumers in the US market can't wait any longer. Could you prioritize shipping to us?"
Lin Zhou simply smiled faintly: "Mr. George, it's clearly stated in the contract that goods will be shipped in the order of orders. We are all cooperating on an equal footing; there's no such thing as priority."
George was met with a cold shoulder, but there was nothing he could do. He knew that Zhonghua handheld consoles were currently in high demand, and consumers were willing to wait even if it was delayed by half a month, let alone a few days.
Ten days later, the first batch of 350,000 handheld consoles was completed. At the Hong Kong port, three ocean-going cargo ships docked in succession, and huge containers were slowly lifted by cranes and steadily placed on the deck. Each container was printed with the eye-catching Zhonghua logo, which was particularly eye-catching against the backdrop of the blue sea and sky.
Lin Zhou personally went to the dock and watched the cargo ship sound its horn and set sail for the distant other side of the ocean. The sea breeze ruffled his hair, and a long-lost smile appeared on his face.
At the same time, Zhonghua's overseas offices were also launched. The person in charge in the United States was a capable assistant personally selected by Lin Zhou, who was fluent in English and international trade; the person in charge in Europe was an engineer who had returned from studying abroad and was familiar with local electronics industry standards; and the person in charge in Southeast Asia was a native of Hong Kong who knew the customs and culture of Southeast Asia like the back of his hand.
Upon arriving at their destination, the office staff immediately contacted the local distributor. Following Lin Zhou's instructions, they monitored the sales price of each handheld console, issuing immediate warnings if any distributor was found to have arbitrarily adjusted prices.
Peak Electronics originally planned to raise the price of its handheld console by 20% in the US market, but they were caught red-handed by Zhonghua's office staff. The person in charge approached George with the contract, speaking firmly: "Mr. George, Article 13 of the contract clearly stipulates that the sales price cannot exceed the guidance price given by Zhonghua. If you insist on adjusting the price, we will immediately terminate the cooperation and pursue legal action for breach of contract."
George looked at the terms of the contract, his face turning ashen with anger, but he could only reluctantly abandon the idea of raising the price. He then realized that although Lin Zhou had seemingly granted him the qualification of an agent, he had actually kept the initiative firmly in his own hands.
In the Southeast Asian market, Sony's actions were much more restrained. They sold according to the suggested retail price, and the handheld consoles sold out as soon as they hit the shelves. Many retailers came with cash, wanting to take more stock, but were politely refused by Sony's representatives: "Sorry, Zhonghua's supply is limited, we can only allocate according to orders."
In just one month, the name of Zhonghua handheld console resounded throughout the global electronics market. Media outlets in the United States, Europe, and Southeast Asia reported on it, calling this handheld console from Hong Kong "a dark horse in the electronics industry."
In the Zhonghua Industrial Park in Hong Kong, Lin Zhou looked at the sales reports sent back by the overseas office, his smile growing wider. The numbers on the reports continued to climb, and he knew in his heart that a solid foundation had been laid for Zhonghua's future expansion beyond Hong Kong.