Foxconn was awarded a medal, but the loss was huge
The Indian media believe that this time the award of the "Lotus Medal" to the CEO of Foxconn also sends a strong message to China**.
What does this mean?
What message does this send to Foxconn?
According to India**, the move shows that India is confident enough and determined enough to build a huge electronics and information manufacturing industry.
If this is the only indication, it will be of little significance to China. At least for most Chinese netizens, they seem to prefer to use slogans.
As for Foxconn, its CEO receives only the equivalent of India's third-class civic honor, but Foxconn pays a considerable amount for it.
Mr. Gou is now in a more difficult situation than ever. Caught by strong enemies before and after, and later there are latecomers catching up and overtaking, Foxconn's business strategy and development direction deviated, so that it embarked on a road of no return.
Foxconn's move of headquarters to India was a sign of loyalty to Apple, however, Foxconn proved not to be a wise choice.
For India, it doesn't just want to be a mere foundry.
Modi expects India to take on the same production contract as Apple and make it possible for India to have its own smartphones like Apple.
Therefore, neither Foxconn nor Apple has been eliminated in India.
Now, Tata is aggressively acquiring Apple's partners, which not only makes Indian companies realize the huge potential of this industry, but also want to lead the market.
India has long been known as the "graveyard of foreign companies", and many well-known foreign companies have suffered losses in India. Li Ka-shing faced a high fine, Warren Buffett withdrew from India at a loss, Indian factories were bought cheaply, Xiaomi and vivo were deliberately suppressed by India, and so on.
Foxconn is the next target of Tata Motors' acquisition.
It's clear that India's acceleration of building its own mobile** contract production chain and its attempts to work directly with Apple will put foreign manufacturers like Foxconn in a bigger predicament.
However, Foxconn has gradually lost ground in the Chinese market, one of which is the loss of its leading role in the foundry field.
As Foxconn shifted its focus to India, its local business was given less importance. Foxconn was even reluctant to provide parts to Huawei last year, thus giving BYD a good opportunity. Most of Huawei's ** was bought by BYD.
Although BYD is a well-known automaker, in recent years it has also ventured into production contracts. BYD has been involved in consumer electronics from semiconductors to mobile**.
BYD began to make efforts in 2022, spending 15 billion yuan to acquire a company in an attempt to improve its foundry strength in consumer electronics.
As the Indian market continues to grow, Foxconn also appears to be affected by contract manufacturers like BYD.
In addition, Terry Gou also has a lot of problems in strategy. He followed Apple's lead and boycotted Huawei's order, but it turned out to be different from what he expected.
Foxconn originally thought that Huawei's mobile ** business had fallen sharply due to US sanctions, but it did not expect that after Huawei made significant progress in chip technology, its market share would climb back to the top.
At the same time, Apple has been hit hard by sales and reputation.
Terry Gou himself created a "stumbling block" for Foxconn, so to speak, he is "asking for his own hardship". Foxconn will face greater difficulties, and it will have to undergo deep introspection and reformulate its strategy to meet the current challenges.