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Year-end observation of China's Economic confidence in 2023: why does vivo pass through the cycle?

2024-04-25 Update From: SLTechnology News&Howtos shulou NAV: SLTechnology News&Howtos > IT Information >

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Shulou(Shulou.com)12/24 Report--

In 2023, "recovery" and "confidence" become the key words of China's economic operation. In the face of the fluctuations caused by many uncertainties, how to view the overall situation of China's economic development? How should enterprises seize new opportunities and pass through the economic cycle? On December 21, the "vivo living room" was held at the global headquarters of vivo. Vivo executives, well-known scholars, financial commentators and mainstream media gathered together to discuss how technology enterprises adhere to the way of sound management in the era of change with the theme of "sample observation of China's economic confidence, why to travel through the cycle".

On December 21, ▲, the "vivo living room" was held at the global headquarters of vivo. The environment is not pessimistic and has firm confidence in the future.

2023 is the "year of confidence", the trend of economic recovery is obvious, participants agreed that the general environment is not pessimistic, confidence is not only data, but also the sustainability of growth.

Wang Gao, a professor of marketing at China Europe International Business School, said: "this year's microeconomic 'body feeling' will be a little worse, which is mainly due to the lagging response of the impact of the three-year epidemic. As the saying goes,'if winter comes, can spring be far behind?' China's economic growth model is changing in 2023, and what is more gratifying than the data is that manufacturing and technology enterprises have become growth engines. Scientific and technological innovation has become the main driving force of economic growth. For example, vivo will land large models at the end of mobile phones, so that everyone can apply them. The extension of mobile phone intelligence in the industrial chain can create huge growth space. "

Ma Hongman, a financial commentator, believes that the basic logic of economics is to look at problems in terms of supply and demand, and subversive innovation is bound to create new demand and stimulate the macro-economy. Generative artificial intelligence will reshape all industries, and the structure of macroeconomic growth will increase with it.

The mobile phone industry is still a good industry with heavy snow on the long slope.

In the process of China's economic recovery, encouraging and supporting the development and growth of the private economy and private enterprises and boosting market expectations and confidence has become the main tone of economic development in 2023. In the private economy, the bottoming out of the mobile phone industry is still eye-catching. Global smartphone sales rose 5 per cent year-on-year in October for the first time, after 27 consecutive months of year-on-year declines, according to Counterpoint.

At present, mobile phones have almost become necessities of life at the same level as clothing, food, housing and transportation, and mobile phone manufacturers have precipitated profound scientific and technological strength in the fierce competition in the Red Sea for many years.

Hu Baishan, executive vice president and chief operating officer of vivo and director of vivo Academia Sinica, said: "the mobile phone industry is still a high-quality industry with long slopes and heavy snow. The AI model will revolutionize the interaction mode of mobile phones, and innovation will create new markets. Innovation and continuous iteration of technologies such as AI, 6G, chip technology, imaging technology, display technology and folding screen technology will stimulate new demand."

Manager Zhou, an expert in science and technology strategy, believes that the driving force of the mobile phone industry on industrial economic innovation is incomparable to any other industry: "the mobile phone industry is the most complex emerging manufacturing cluster in history, and the mobile phone software and hardware ecology drives the innovation of the mobile Internet. Coupled with the IoT ecology, the mobile phone industry is actually driving the entire consumer electronics industry. Secondly, the mobile phone industry's business model is omni-channel sales, full-life cycle management, full-process control, is the most complex business model of all industries, from this point of view also gives it the strongest driving force. "

Vivo becomes an observation sample of China's Economic confidence

As a leading brand in the smartphone industry, vivo has always adhered to the long-term business philosophy, high-end breakthroughs have achieved phased results, and the group's revenue has grown steadily.

In 2023, the number of vivo users worldwide has exceeded 500 million, covering 60 + countries and regions. The vivo X100 series, the annual flagship product of vivo, which went on sale in November, performed well, with cumulative daily sales of 1 billion yuan, breaking the record for the first sale of all new phones in vivo history and an increase of 740% compared with the previous generation of flagship products.

2023 is not only a "year of confidence" for China's economic recovery, but also a "year of innovation" in which vivo technological achievements blossom. Not long ago, vivo launched the "Blue Technology" technology brand, thanks to the support of cutting-edge innovations such as Blue Core Model, Blue Crystal chip technology stack, Blue River operating system and Blue Ocean battery life system, the vivo X100 series has achieved a stronger-than-expected performance.

Vivo's continuous scientific and technological innovation strength, deep insight into the needs of users and the continuous improvement of product power in the technical chief track have not only won the recognition of the majority of consumers, but also made vivo a sample for the observation of China's economic confidence.

Wang Gao, professor of marketing at China Europe International Business School, said: "vivo has come out of the appearance of an evergreen enterprise, just like Coca-Cola has always focused on the basic point of 'quenching thirst' for users. Vivo thinks very clearly about how to create value for users and then firmly goes its own way. The market result of vivo is just a long-term cause. Vivo is very calm, insisting on doing the right thing, not speculating, not chasing after the wind. Vivo's way of doing business is of universal value to Chinese enterprises. "

How vivo traverses the cycle

After more than 20 years of development, vivo has grown from a regional private enterprise to a mainstream player in the global mobile phone industry. Why can vivo continue to go through the cycle?

Hu Baishan said when introducing the experience of vivo, first of all, vivo chose a good industry, the mobile phone industry is the best industry in the field of technology, has the best business model, and has the natural attribute of going through the cycle. As one of the most powerful user portals, mobile phone has strong user stickiness and can go deep into people's lives. At the same time, the mobile phone industry also has a profound technical heritage, with the continuous development of AI, 6G, XR and other technologies, mobile phones, as the carrier and application platform of these technologies, are bound to usher in greater space and opportunities for development.

Secondly, vivo's persistence in steady operation and the pursuit of innovation are also one of the important reasons why vivo can pass through the cycle and sustainable development. During the event, Hu Baishan introduced vivo's "ECR" management method, which is to test business health by creating three closed loops of "experience, business and mind" to ensure that vivo is always doing the right thing.

Finally, vivo believes in "wild goose travel far away" and plays an active role in promoting the coordinated development of the supply chain and leading the collective prosperity of the industrial chain. Hu Baishan believes that the position of the mobile phone industry is the position of the industrial chain behind it. The prosperity of the mobile phone industry is not only a manufacturer or an industry, but also the collective prosperity of thousands of supply chain enterprises.

▲ Hu Baishan: the mobile phone industry has the natural attribute of going through the cycle. looking forward to the future: vivo will transform from a mobile phone manufacturer to an overall solution provider.

Adhering to the concept of "science and technology illuminate a better future", vivo has been actively practicing social responsibility and creating social value for a long time. Jia Jingdong, vice president of the vivo brand, said: "the greatest responsibility of enterprises is to survive well, solve employment and contribute tax revenue. Only by burying their heads in the cause, can the business last forever and continue to contribute more value to society."

Hu Baishan believes that the social value of an enterprise is, first of all, to strive to make tens of thousands of employees inside and tens of thousands of external partners yearning for a better life and happy work.

In a broader scope, the development of vivo enterprises is essentially to solve social problems. For example, mobile phone, as a platform, solves the problems of mobile payment, taxi hailing and so on, while in the future, the mobile phone industry is the best application platform for generative large models, which can solve larger social problems, thus bringing huge expansion space to the whole industry.

Hu Baishan revealed that humanoid robots are an industry that vivo can enter in the future, because vivo has two natural advantages. The large model is the brain of the humanoid robot, and the vivo blue heart model continues to iterate, which will make the robot have a strong ability to "think". Secondly, hybrid reality (MR) will give robots a strong ability to perceive space. Within three years, vivo will have MR mass production products on the market. On the other hand, the limbs of humanoid robots account for 20% of the overall technical architecture.

Humanoid robots can be innovatively applied in hospitals and other scenarios to solve the social problem of lack of health care in the pension industry. Previously, the mobile phone industry only sold a mobile phone, but in the future, vivo will be the overall solution to social problems. The output value of the mobile phone industry can grow tenfold.

In the face of the future, vivo will continue to adhere to the path of soundness and innovation, work with partners to create a better future, and contribute to the sustainable development of the industry.

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