There's one thing I appreciate, it's a Wall Street proverb that says, "There's nothing new on Wall Street." The meaning is probably, what kind of innovation has arisen without LUN, human nature is invariable. Why the electrical business is in full swing, in fact, not because of Ma Yun, but this time node, the community needs such a thing, and then Ma Yun just did and ability opportunities are Sching. Two areas because of the rapid development of electric dealers, online payment and express, and the additional Third-party platform, also a piece of soup.
The electric dealer's start is because of the cheap, this cheap is establishes after the expensive courier fee the cheap, why so cheap reason has several, for instance does not have the agent wholesale layer Skinner, for example does not have the store leasing the various expenses, the most important point, the tax evasion. This is in fact and direct marketing (direct sales rather than landscaping) the concept of interlinked, and consistent direction. This actually let the electric business competition to fall into one of the simplest areas, is the price war. The most important problem of price war is the low gross margin, and the problem of low gross profit margin is eight. In fact, we can come up with a more appropriate example, Zhongguancun store. This is a more transparent place, the perennial price competition brings the final result is a variety of fraud and slaughter, which also disguised the customer squeezed into the field of electricity. But this past, is the status of the electricity quotient, here refers to Consumer-to-consumer.
Thus, the rise of the consumer is logical, now what things are rising prices, electronic products, books and other products, but is to reduce prices, in the price, the consumer does not lack the advantage. The one that adds the biggest firewood is the capital. Capital actually has no vision, they mostly look at the existing trend. For example, foreign Amazon overtook ebay, they will feel that China must be such, it is so simple.
As a result, the electrical business began to become more and more deformed. For example, there are two things that are not normal, the first business is to profit as the core goal, and the electric business is not. At present, the core goal of the electrical business is customer flow Click conversion Rate, a burning money does not make money business, then it is not a business, but a capital tool. The electric business entrepreneur is more like the trader, they are good at burning the money to build a user to increase the user experience quickly and without cost, but for the traditional enterprise operation not profit is the pathological fact is the capital game they are good actors but really not good business. Second, small electric dealers are not making money, only to the scale to make money, this is also applicable to the C store Taobao.
So, there appeared a more abnormal industry, but also brought a more abnormal entrepreneurial trend.
The core of business is profitability, the core of finance is anticipation, business finance is a good trend, but the characteristics of the Internet's light assets, so that the field has a huge bubble, in the existence of the capital market access to the situation, all can be effective operation, and similar Ponzi scheme, once to a critical, inevitable collapse. This situation is very fast in the purchase of the embodiment, while the traditional electronic commerce in the physical transactions and user viscosity, it is relatively a slow process. ------In fact, buy in the weight of the good things or poly-beauty products, the day is really better.
Live by expectations is simply Gao, or cheat, business plan Many people think the most important part, in fact, are guessing. This kind of play at the capital level can be said to be a necessity, including the stock market, we all rely on expectations alive. And if this kind of play in industry or entrepreneurship also become a mainstream, it is a terrible thing.
Entrepreneurship in many years ago is called the sea, the core purpose of the sea is to make money, now entrepreneurship is very scary, the core purpose is to go public, more frightening is, the most fire of the electricity business such projects, make no money is indifferent ... I always think that there must be a hierarchy of people, someone can control 10 billion, someone can control 10 million, some people can ride a billion, so, a lot of things, the final results and expectations are completely different. But in this insistence process, in addition to money to pay the corresponding time cost, and time cost, for the current entrepreneur, but always be ignored.
I would like to make it clear that the most expensive thing to start or business is two kinds of cost, one is time cost, the other is equity cost. The first importance is easily overlooked in the early days of entrepreneurship. Because if the most terrible result of unsuccessful success is the disruption of life steps, not the loss of money. The second importance is in the late financing, if your business development is really good, you will be stingy with their own equity, not for financing, the transfer of how much does not matter. These two points, hope to be helpful to everybody.
The most finally is the practical provision of business value, and in the abnormal electric business model guidance, this value is distorted, fast enclosure is indeed a financial level must, and the practical provision of value, it is the development must. Today's entrepreneurs, including well-known figures, are more adept at making projects into a financial product to circle money, this situation, I am responsible for said, will never long, this can be seen from the situation of stocks. But at the same time, I would also like to remind those on the road to entrepreneurship, the ability of these well-known people can control such a large resources, companies, platforms and users, maybe they are not necessarily good entrepreneurs, not very profitable. But this kind of trader level, I am afraid also is you to be impossible, and Angel capital favor core place.
So I am very sincere please pay attention to which body in the sack, dressed as the godfather of the people, especially for the ideal, in order to not regret the future, must be entrepreneurial and so people, and ten years do not do xx, ten years later will have no X to do such a tune. It's good to have ideals and blood, but 99% of people lack ability. Although the information is now developed and the flood of money to reduce the threshold of entrepreneurship, please be sure to carefully consider their own time costs, life planning, as well as the value of the business to provide continuity, rationality and profitability.
Expectations are beautiful, can be brighter, the reality is very cruel, must be down-to-earth.