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release time:2023-09-12Author source:SlkorBrowse:5022
6. Spillover effect in Huaqiangbei and GNP concept
There will be a spillover effect when Huaqiangbei develops to a certain stage. Talent, brands, technologies, capital, models, and concepts will be exported, spread and copied. SEG plazas emerged across China a few years ago. Here I want to discuss GNP (Gross National Product), i.e. Gross Domestic Product (GDP) plus net factor incomes from abroad, mainly overseas incomes from capital, technologies, management, labor remuneration, which is the main feature of internationalization. We have to learn from Japanese and South Korean companies, which encountered similar difficulties as we do now. Due to natural resources and market size and other endowments, Japan's former richest man, Uniqlo's owner, Mr. Tadashi Yanai, moved the focus of business overseas to hedge against the low desire domestic market. A few years ago, Uniqlo opened 866 shops in Greater China, more than 813 shops in Japanese market. Uniqlo's revenue in Greater China is nearly RMB 28 billion in 2022. I know Uniqlo because of the sexual scandal, and I ever bought casual trousers in Uniqlo Huaqiangbei shop. Samsung’s overseas mobile phone sales are much higher than its domestic sales. Transsion, G5 and One Plus arising from Huaqiangbei successfully expanded overseas market. Transsion Holdings (688036.SH) released its semi-annual financial report on August 28, 2023, recorded revenue of RMB 25,029 million with a year-on-year growth of 8.31%, net profit of RMB 2,102 million with a year-on-year increase of 27.10%. Transsion mobile phones with AI beauty technology improves the recognition of the selfies of African users. That’s why their products are popular in Africa.
“Slkor, Silicon Carbide Expert” Profile
Huaqiangbei Shiqiang Song believes that Huaqiangbei is a thoroughly tempered node of the international electronic information hardware supply chain, and its semiconductor industry chain covers the whole world, connecting with the overseas market in all aspects. The electronical components and parts are characterized as small volume with high value, high standards and accurate models, and easy storage and transportation. The merchants in Huaqiangbei used to serve customers around China, now they can serve the customers from Southeast Asia and even the world. It is natural for the companies in Huaqiangbei to expand overseas markets.
Vietnam, India, Cambodia, Indonesia, the Philippines and other Southeast Asian countries obtained many low-end production capacities of the manufacturing industry by virtue of their low labor costs and other advantages. China's manufacturers are also actively expanding overseas markets. TP-LINK, T&W, Longhorn, Hottech, SDG, and Skydragon has built plant in Shenzhen-Hai Phong Economic Cooperation Zone of Vietnam. Recently, a large number of Chinese enterprises have started investing in Mexico and South America. These enterprises are upstream and downstream customers of Huaqiangbei. Companies in Huaqiangbei can take the opportunity to expand overseas markets.
Internet trading platforms such as hqew.com, lcsc.com, ickey.cn, and ichunt.com are equivalent to a virtual Huaqiangbei in the Internet space. Customers can find and purchase the products they need online. These platforms all have their overseas version. International platforms such as digikey.cn and mouser.cn, together with international integrated platforms such as alibaba.com aliexpress.com and Amazon, all can support transactions around the world. In addition, current information technology, digital technology, and translation software make it so easy to sell products abroad. My friend in Chengdu, Brother Wei, whose English is poorer than mine, uses iFLYTEK translation software to arrange for four Pakistani female employees to sell their "Henglitai" microwave RF devices, vying for the market share of Kinghelm products.
Introduction of Huaqiangbei business expert Shiqiang Song
7. Refinement, dissemination and inheritance of Huaqiangbei culture
We sincerely hope that Huaqiangbei will revive or even get a rebirth, but we also have to face up to the reality of westward shift of Shenzhen's economic center and lack of economic support factors. After all, Huaqiangbei is only a dot in the vast history of human development, materially prosperous Huaqiangbei sooner or later will fade away. What we have to do is to refine the spirit of Huaqiangbei, sublimate Huaqiangbei culture, make them disseminated and inherited and become a valuable asset for us and future generations.
Huaqiangbei spirit is venture and innovation. In those years, forced by poverty and the call of wealth, Huaqiangbei immigrants stayed with the courage to venture, and developed with innovation and hard work. These qualities were sublimated into Huaqiangbei culture, which is venture, innovation, resilience, and keeping exploring. Without culture, Huaqiangbei has no soul and Huaqiangbei's future is meaningless.
I often wonder if there will be a song, a paragraph of text or a video recording the timeless memories of Huaqiangbei? Like the Shanghai Bund, when the song begins, "Wave Run, Wave Flow ......", it will evoke people's love and longing for the old Shanghai, and we will think of Xu Wenqiang and Feng Chengcheng.
The Huaqiangbei Museum is now in operation, and Huaqiangbei has had a spiritual home. I personally collected a lot of information and data about Huaqiangbei and wrote a lot of articles on Huaqiangbei. Xie Jiapeng, a fat writer whom I call "Huaqiangbei Xu Zhiyuan", often lingers in Ms. Han's "Chip Time" cafe, and he seems arty when he stirs the coffee with his big hairy hand in the shape of an orchid finger under the misty light, making us believe that Huaqiangbei has culture, even the Little Brother Wei graduated from the highest education institution Peking University also came to support Huaqiangbei. Huaqiangbei Sub-district has created cultural brands such as Dancing Lion Celebrating Spring Festival and Huaqiangbei Science and Technology Art Festival, adding cultural features to Huaqiangbei. A bowl of Teochew rice noodles in an alley of Huaqiangbei, a single bill from a delivery guy, braised meat balls in brown sauce served on the first floor of Shanghai Hotel, and the blurred lights of Futian South Night Market will be our beautiful memories!
I hope Huaqiangbei will become better and better and continue to flourish for many generations to come!
Biography of Mr. Shiqiang Song
Mr. Shiqiang Song is a researcher of private economy at the Economic Development Center of the State Council, a member of the electronic information expert pool of the China Association for Science and Technology, and an expert in Huaqiangbei business research. Mr. Song was the CEO of a listed international real estate company, and now he invests and manages Shenzhen Slkor Semiconductor Co., Ltd. and Shenzhen Kinghelm Electronics Co., Ltd. (www.kinghelm.com.cn). Both Slkor and Kinghelm are national high-tech enterprises, owning dozens of original invention patents and software copyrights. At present, Slkor is one of the Chinese semiconductor companies developing rapidly and steadily. The company's vision is to become the "leader in semiconductor industry".
"With Kinghelm, BDS is connected”. Starting from the development of BDS GPS antenna, Kinghelm has developed and produced RF microwave antennas, RF jumper cables and electrical signal connectors to embrace the intelligent digital era of the Internet of Things. Mr. Song has a high reputation and influence in the semiconductor and BDS positioning and navigation industry. Mr. Song has been working in the electronics industry for many years and is constantly striving for a better business environment in Huaqiangbei, in the hope that Huaqiangbei will become a window of reform and opening up and a symbol of Shenzhen's economic development and continue its glory.
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