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The capital herding effect is one of the important reasons to make the industry tragedy evolve to such a tragic extent

Recently, many large group purchase sites, there have been large-scale layoffs, large areas of arrears of business loans, large-scale reduction of regional sites, a large number of paid users are merchants refused to serve the phenomenon.   In this regard, Qian Yuanpeng, vice president of the network, said that the capital herding effect is one of the important reasons to make the industry tragedy evolve to such a tragic extent. Yuanpeng, it is clear that the 2011 China group buying industry, is the capital of the herd effect is very bright year. Similar things happen in many companies: the capital-urging team quickly burns the money and concentrates the CEO's KPI (key performance indicators) on sales. This ...

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