The exchange of new and old people on the Internet is so fast that many investors and entrepreneurs have to pay special attention to one problem: return cycle.
If the return cycle cannot keep up with changes in internet users' behavior habits, investment is likely to fail, and entrepreneurs cannot see the return, at least the profit cycle is very short. Therefore, in order to succeed quickly, many internet projects have to invest huge sums of money quickly, and expect to be the first place quickly, and then withdraw the funds before the bubble. Therefore, in our opinion, many start-ups on the Internet are centered on capital. It is capital that makes the enterprise successful, and capital that makes the enterprise survive the winter.
I think there are several reasons:
1. China's Internet lacks innovation: technological innovation and model innovation. Because of the lack of innovation, we can only imitate others, or some application of a certain technology. Because everyone can imitate it, the comparison is capital and speed. Capital creates a speed, and a little slower will be dragged to death and starved to death.
2. Chinese Internet users are still entertaining and casual. Of course, more and more people gradually accumulate from entertainment. For example, they begin to shop and start to learn through the Internet. Despite the large number of Chinese netizens, there are only a few who make good use of Internet resources. Therefore, we still need to wait for more people to settle down. You say you can wait, but you don't know how long it will take, so investors won't wait with you.
3. China is too large to make money. At the beginning, many people thought about how to do the whole country, how to do what they thought, and how to win a lot. However, they did not use that ability, and finally missed the opportunity to work in a field/region. No mature samples, no investment, and finally a dream. On the contrary, it is easy to obtain the capital after a region/field is established, and investors will help you develop nationwide. Returning to the essence, we need to make a sample, make a profit point, and avoid temptation. However, it is very difficult to achieve this.