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On November 3rd, Li Bin, Chairman and CEO of NIO Automobile, issued a letter to all NIO employees, confirming that NIO will reduce positions by about 10%, and the specific adjustments will be completed in November. Li Bin also stated in the letter that the company will ensure long-term investment in core key technologies and maintain leading advantages in technology and products; Ensure sales and service capabilities are able to cope with fierce market competition; Ensure the timely launch of 9 core products from 3 brands. On this basis, merge duplicate departments and positions, transform inefficient internal workflow and division of labor, and eliminate inefficient positions; Resource efficiency improvement, delaying and reducing project investments that cannot improve the company's financial performance within 3 years.
Li Bin stated that the next two years will be the most intense stage of competition in the automotive industry's transformation period, and the external environment is full of huge uncertainty. This year, NIO delivered 5 new products and gained over 40% market share in the pure electricity market with a transaction price of over 300000 yuan. However, its overall performance still falls short of the expected target. To win the qualification to participate in the finals, it is necessary to further improve execution efficiency and ensure that key businesses have sufficient resources invested.
Li Bin revealed that in the past two months, the company has held more than thirty two-year business plan analysis and discussion meetings to determine the goals, key success factors and priorities, action plans, required resources, and identify opportunities for organizational optimization, cost reduction, and efficiency improvement for each business in the next two years.
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