Should Foxconn wade the muddy waters of the electricity business?

According to sources, Foxconn Technology Group is planning to end its retail business in mainland China, ready to turn its focus to e-commerce online sales, while the industry has also spread the Flying Tiger Tesco is in liquidation phase, ready to close down. A big elephant has begun a difficult transition, reform, bloodshed, a long way to go ...

Relevant market data show that Foxconn has been operating in cooperation with the German retailer Metro City stores have been at a loss, in addition, the main consumer electronics products, Mo said, and Su Ning, Gome to contend with, it even in Taiyuan City of Qinglong Computer city, but the transformation of E-commerce is really helpless. In fact, as early as in 2009, Mr. Gou announced the aggressive launch of E-commerce and home appliance retailing, not only the rapid establishment of the business group E-commerce business, but also in a short period of time to assemble E-commerce and traditional sales of various types of talent, flying Tiger Tesco in the same year in the group's internal online.

After everything was just a little off, Mr Gou gave the world a hard word: Foxconn spent tens of billions of dollars, into the mainland household appliances retail, plans in the next two or three years, in the country to build more than 10,000 home appliances channel chain, the history of the program has become a "steam", we have been unable to spit three years in 10,000 stores, Now look back at "steam", it is a bit ridiculous, but for the truly great people, only to speak out to make people laugh ideal, it is worth to pursue and pay, even if the fall, posture equally heroic, this is the legendary courage and courage.

Guo is clearly the world's largest business people, but also the classic representative of courage, he waved, Zhengzhou Air port area of large jujube forest to become the world's biggest iphone production base, more than 200,000 of Henan people can finally carry luggage back home ... Therefore, the Foxconn once again burst into e-commerce, or attracted a lot of people in the industry to discuss.

Flying Tiger Tesco, not famous E-commerce website

As mentioned above, Guo Total 2009 of the most direct product is a number of neglected entity shops and a non-famous E-commerce site-flying Tiger Tesco, in particular, the latter, compared to the famous Chinese electric dealer playing porridge, flying Tiger le buy in the River lakes and not even a serial, the author with Sogou input method can not even hit its name.

Flying Tiger Tesco was founded at the beginning, first as a Foxconn internal employee welfare shopping platform, from the beginning has 800,000 of the indigenous registered users, once upon a time, flying Tiger Tesco is the most annoying Foxconn executives site, only because employees always love to sneak shopping at work time. Backed by the world's largest consumer electronics factory, the main 3C electronics, anyone will know that Gou wants to use the Dell, Nokia, and even Apple's innate connections to obtain low-cost electronic products, in fact, Mr Gou said at Tsinghua University: "Consumers want to buy a TV, I do it very conveniently in the factory, not only quality assurance, but also save a lot of logistics, channel costs, which is our biggest advantage, but backfired, Dell did not give the Flying Tiger Tesco buyer any price advantage, they can only go to tertiary above the channel to take the goods, This makes Foxconn employees can only look at just from the workshop to send out of the iphone instant rise to the sky-high price, originally want to use channel advantage to make up the lack of experience of the purchase of the Flying Tiger Tesco, was ruthlessly given a sap, two years can not sober up.

In addition to the power of the accumulation of insufficient and castration of the channel advantages, flying Tiger Tesco has not been able to share with Alibaba, Jingdong station together to kill, there is also an important reason is that the Flying Tigers team does not have a strong brand awareness, more precisely, derived from the world's largest generation of factories, so that their operations inevitably follow the Foxconn "low-key money" strategy. Mr. Du Jiane, the helm, may be the most low-key chairman of the E-commerce sector, he will not sleep in the middle of the night even spit 20 tons of "micro saliva" in order to get attention, will not run to "not You Mo", talk about the ideal of life, hire a monthly salary of 2500 yuan of beautiful staff, and then desperately to let Zhang Shao just broadcast a few 69 of the same city ads In the micro-broad line, consumers in the era of fickle, flying tiger Tesco can not play a good job, but also only a loss to earn points inside the staff's yell, after work every day, the park from a point of the bustling crowd behind the Flying Tiger staff a bitter tears.

In addition, often be out of the management of disagreement, the highest supervisor encounter overhead, team combat effectiveness, such as negative news, the news people finally Frank, this is not famous electric trader finally to die, although this message also stay rumors level, but since 2012, the flow of flying Tiger Tesco has been downhill, perhaps, Switching off is the only alternative to rebirth.

What is the advantage, can Mr Gou turn the tide?

First, Foxconn wants to turn its focus to e-commerce, and then burst its E-commerce website Flying Tiger Tesco is facing liquidation of the news, this looks very contradictory, in fact, Mr Gou is often the embodiment of demons and angels, the top executives are afraid to meet with him, but also have to his topic, his personality charm is too tempting.

In fact, after careful analysis, flying Tiger Tesco's fiasco is not enough to hit Foxconn, and in the long run, Mr Gou is absolutely likely to defeat.

Although professional e-commerce professionals can easily sum up 100 of Foxconn's low-level mistakes, and very condescending to the irony that they are laymen, but the author to say that the low-level errors do reflect the experience of Foxconn in the field of E-commerce and retail, But since a low-level error means that these problems are relatively easy to solve, for example, the industry laughed at Mr Gou's failure to take advantage of the natural advantages of the channel, Dell did not give it concessions, but in fact, with the exception of Suning, Gome and some of the top e-commerce sites, The vast majority of people have no better channel advantage than Foxconn; Secondly, the Foxconn factory thinking and model is not suitable for e-commerce, and although the overall thinking is not easy to change, Foxconn's factory model at least 100 years, but the transition will necessarily mean that the management of the structure of the restructuring, professional ability needs naturally different, so, This problem as long as the reform goes ahead, is not a problem, there will be some do not advertise the public relations problems, I believe that as long as Guo always casually dew point of courage, consumers estimated every day in the subway station to see Lin Chi-ling led a donkey out ...

Mr. Gou's joke-style, Uffuskan, is a natural advantage and a huge advantage to no one else:

A. Foxconn has been called the Golden Cow by the industry, and after 35 years in which he founded Foxconn, he has only started to fall in revenue since 2008, and has won the mainland export Championship for 9 consecutive years, with a total of 111.7 billion U.S. dollars in 2011, and a share of the continent at 5.9% per cent, The CEO's personal assets have reached 78.5 billion yuan. Long-term capital accumulation is the absolute advantage of Foxconn to enter E-commerce, after all, China's electricity business only Alibaba can make money, some messy enterprises still rely on financing 700 million yuan to show off. You know, Foxconn in Zhengzhou for a small amount of pipeline adjustment to spend 4~5 billion, Dell a smartphone inventory has been more than 100 million U.S. dollars ...

Perhaps there will be insiders disdain to: Light has the capital is not good e-commerce, but this is like a bunch of cock silk to the rich second-generation, said: Only sports cars, houses, beauty, villas, decent work, 20 million of the deposit, is not happy.

B. 2011-2012 years is the rapid development of E-commerce in China two years, any enterprise missed the peak of the two years is a huge loss, even the retail boss Su Ning have to hurry up to make up a lesson, Foxconn this backward student is to pay a lot of effort. But we can not evade the fact that the current E-commerce has not been able to fabricate a consumer satisfaction customer experience, price war fraud, logistics delivery, as well as non-credit management, etc., but these basic professional quality is the natural advantage of large enterprises, Foxconn's brand is the quality of service, Too many senior executives because of the weekend to accompany customers to Pingyao ancient city play, even to find the opportunity to give up, the customer is God in Foxconn this generation factory has been interpreted to the extreme.

C. A good relationship with the government is also a killer for Mr Gou. Recently, the frequent burst of Taobao shop tax evasion news, shows that the leadership is finally jealous of the profits of the electric business industry, now 99.99% of the electricity dealers burning is the money of investors, the future government may have a deeper impact on the development of E-commerce, and then 2-3 years must have a comprehensive system of laws and regulations issued, and by then, Some of the existing E-commerce industry accumulation is bound to suffer a heavy blow, and even burnt, it is obvious that the governor of Shanxi himself to send dumplings, gou, and not the trouble, in fact, he is also the best know how to comply with the law of big players.

Based on the above reasons, the author believes that the transformation of Foxconn E-commerce will not be smooth sailing, but it is not the industry unanimously see the end of the decline, perhaps, it really will become a Chinese electric trader of a dark horse, no, is a black lion!