"If we sell our products at close to cost and return value to our users, then we can earn the long-term support of our users. Aiming for large volumes with small profit margins will still result in suitable hardware profits for us in the long term," the Xiaomi CEO added.
According to Jun, the company has created a unique "triathlon" business model, encompassing hardware, Internet service and new retail.
"In the past eight years, our business model has been challenged again and again. Xiaomi is the only smartphone in the world that has rebounded after a decline in sales. This miracle, coupled with the results we have achieved as of today, shows how relevant and advanced our model is," the CEO said.
The company launched Mi 6X in Wuhan on Wednesday which is equipped with the high-end Qualcomm Snapdragon 660 processor and the latest AI technology.
"Xiaomi is an engineering-led company. Engineers are constantly looking for the latest technologies to benefit the public and change the world," Jun said.
"At present, the company has exceeded 100 billion RMB in annual revenue and has nearly 20,000 employees," he added.
In the first quarter of 2018, Xiaomi with over 51 per cent growth was at fifth spot in China, Counterpoint Research reported.
The growth was driven by Xiaomi's expansion in the offline segment with aggressive promotions. It also refreshed its Redmi Note series and now has a very strong product portfolio in the mid segment, giving more choice to budget-conscious consumers.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)
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