Alas: The essay of "6+1" theory

Source: Internet
Author: User
Keywords Oh dear.
Tags .mall business company cost create demand design enterprise
Eyeful of the Red Sea, all over the blood spell, ten or twenty yuan small ornaments can do much?  Alas, the answer is: 3,000 stores nationwide, 1.8 billion yuan sales.  Products are not their own production, the majority of shops are joined, logistics is a third party, Ah ah why the rise?  The answer is simple: very "6+1", integration of the world's resources. Lang Xian, the famous economist, has summed up the plight of Chinese enterprises as "6+1" theory: "1" refers to the "product manufacturing", "6" refers to the "product design, raw material procurement, warehousing and transportation, order processing, logistics management, wholesale and terminal retail."  Chinese enterprises accounted for "1" lack of "6", equal to the value of the industrial chain 90%.  But Guangdong ah ah Jewelry Chain Co., Ltd. (hereinafter referred to as AH), but by virtue of a unique business model tells us: with countless "1" after, "6" is not as far as we think. thousand-fold speed enclosure at the end of 2004, Ye Goofu founded AH. At that time, the jewelry industry homogenization of serious competition, a pedestrian street is often filled with a number of small jewelry stores, the national 200 stores above the size of the brand less than 10.  North, Central, southwest and Guangxi, have strong regional brands. But in the back of the warlords, Ye Goofu found "No one can be called True Kennedy."  There are four common problems: one is the lack of real dedication, reluctant to promote, decoration and research and development on the big investment; second, the true meaning of franchise is economies of scale; third, the ownership structure is dispersed, the decision-making process is too slow; the four is the multiplication, small rich namely Ann, do a certain scale to make money, turn the main catering, clothing and other industries. In most of the mature but chaotic traditional industries, "product design, raw materials procurement, warehousing and transportation and terminal retail" is not a lack of the 6 "1" Organically integrated is the real problem.  The two puzzles are puzzling the integrator: one is how to become the mainstream brand to attract the franchisee, and the second is how to prevent the peer imitation follow How is Ye Goofu chosen?  Light assets operation, virtualization management, with the speed of the formation of the burst, using the enclosure to establish competitive advantage! In the garment industry, "fast fashion" has already become the core competitiveness of industry competition, such as Zara, H&m.  But in the area of jewelry, but few companies hold up this slogan, which allows Ye Goofu to find a more than peer competition magic weapon. Ah, the official website, there is such a slogan: "The national 3,000 stores, weekly new goods."  Ye Goofu explained that to do jewelry at least to meet the "beautiful", "convenient" and "lead" three major standards, in order to "fast fashion" a word tamping. In order to speed up the product listing progress, ah ah according to sales, according to the proportion to join Shangqiang push new products. Over the past few years, Ah Ah yes weekly strong push the number of new goods from 1000 yuan to 2000 Yuan, 2008 again from 2000 Yuan, raised to a class of large stores 3800 yuan, B-type store 2400 yuan.  This means to break the industry ills, greatly enhance the ability to respond to the terminal. New product market acceptance is high, because AH ah judge the trend of "quasi"。 Ah ah there is a huge "soma" team-more than 300 professional buyers throughout Beijing, Shanghai, Tokyo and Paris and other fashion cities, collecting the most popular jewelry styles, and immediately returned to the company's merchandise department.  In addition, the hundreds of suppliers, located in Guangzhou and Yiwu, are also the source of new products, and they offer their own ideas in order to get more orders. After the race is horse racing, alas! To this end set up a special commodity committee, from the buyers found nearly 4,000 products in one comparison, screening, the buyer's performance directly with their recommended product sales hook. Ye Goofu said: "Soma than horse racing, no one can see the trend every time, but if we from 4,000 popular products, screening out 400, the success rate will be very high." "Similarly, there is on the bottom, Ah ah implementation of the strict system, every 7 days less than 40,000 purchase quantity of products will be eliminated, sold out."  And the weekly shelves of new products constantly stimulate customers to keep their heads, not only improve the passenger flow, but also greatly stimulate the sale of other goods.  Brand strategy into the AH store, in addition to dazzling novelty products, stimulating the eyeball and youth-pressing Asian-Chinese sky Group S.H.E and new gas idol Lin Jia's large posters. A stone stirred thousand layers of waves, tens of millions of expensive endorsement fee to sell how many jewelry to earn back? But Ye Goofu.  Jewelry industry lacks a strong brand, ah Ah want to stand out, you have to quickly build a strong "channel brand", if the number of stores is not enough, the value of the buyer can not fully play, "fast fashion" will not be able to reach more consumers. Therefore, Ye Goofu first in Baidu buy jewelry ads, so that through the network to find jewelry items investors, preconceived remember Ah ah. At the same time, he opened the industry to invite big-name star endorsement of the precedent, signed Hong Kong film star should be adopted as the company's image spokesperson. At that time, the liquidity of Ye Goofu only more than 1 million yuan, but took out 60% of them to pay for the endorsement fee.  Since then, from the popular female host Li to the popularity Idol SA, and then to S.H.E and Lin Jia, Ye Goofu in the brand more and more, ah ah popularity also soaring. 2006, alas, the number of shops reached 400, began to have a Zhuluzhongyuan. Since then, the brand influence and store the word of mouth effect geometric level spread, 2007 AH Ah shop number close to thousands, total retail sales amounted to 560 million yuan, the performance increased by 200%!  At the end of 2008, 2000, at the end of 2010, 3,000, continue to two stores a day to expand steadily, is KFC opened shop twice times, Watson's 6 times times.  Once, alas, has surpassed rivals too much. Time is money in the "1", the Integration of "6" enterprises, most of the light assets run. This model is highly respected by the integrator, the advantage is light, starting fast, early acceleration strong. When the chain size is not large, involved in the "procurement, warehousing and transportation, order processing, thingsFlow Management "and other links will not immediately highlight. But when the scale grew to 1000 stores, the supplier increased to more than 400, the purchase amount is as high as 500 million or 600 million, the accumulation of logistics loss, thousands of goods and countless orders make the management of various contradictions began to highlight.  Ye Goofu has taken a series of measures to optimize the background turnover. The first step for logistics loss, Ah Ah canceled the return procedure, direct subsidy to franchisee 1% of cash, so that the capital turnover rate of 45 days to shorten the average of 30 days; the second step for warehousing turnover, ah ah Hua 5 million yuan to introduce ERP management system, every half a month to carry out a purchase amount of statistics, to facilitate timely replenishment orders,  The capital turnover rate has also been reduced to 20 days; the third step for order response, franchisee directly through the ERP system online orders, orders and settlement, the time of the new goods by the headquarters unified arrangements, staggered peak distribution, and eventually shorten the capital turnover to 10 days. In the integration of the "6" industry chain, product design and the rapid promotion of retail terminals so ah yes get the brand premium, and through the optimization of "procurement, warehousing and transportation, order Processing, logistics management" and other intermediate links, ah Ah harvest is the management of income.  The former makes the product more sticky, and the latter makes the risk of expansion smaller and cheaper.  Happy trouble just 6 years time, ah ah integration of the small jewelry industry, "6+1" to become the first brand of Chinese jewelry chain, now Ye Goofu is facing countless temptations. The lure of capital is the brunt. Ye Goofu revealed: Ah Ah will be in the second half of 2011 to introduce wind, plans to land A shares in 2013, is currently carrying out joint-stock transformation. The most late 2020, alas, will realize the "Million Shop billion" program. Since then, the company will soon create a set design, animation, E-commerce and logistics in one of the creative industrial park.  The future will be China as the main battlefield, to the overseas market radiation, to create a real global jewelry chain brand. The second temptation is, ah Ah store products, has long been from the pure small jewelry expansion for jewelry, skin care products, make-up, tools and boutique five categories. Although jewelry is already dominant in sales, skincare and makeup have been catching up in terms of profit contribution. Will the core position of the ornament waver?  If the admission fee of other brand products exceeds its own brand, alas, will the firm take its own brand route? The third temptation is, alas, began to expand from the south to the north, at the same time to Beijing, Shanghai and other front-line cities march. Different regional culture brings the choice of products will be very different, the original buying ideas and product layout is likely to face tune pressure.  And alas AH has always been proud of the "fast fashion" efficient operation of the militarization management, but also must face the new generation of workers, the depth of impact. In addition, in Baidu search "Ah Ah", in the following will be a large pile of "Yi Ah Ah", "Ha Ah ah", "Oh yes" and other imitators. Obviously, alas, if you want to defend your leading position for a long time, you have to innovate on the model.  After all, the infinite scenery in the perilous peak, 6 years is only a very short start. Comments: Wen/Zhu Wuxiang (Tsinghua University, School of Economics and Management, deputy director of finance, Doctoral tutor) small profit industry needs aggregators many industries, SMEs together, a piece of debris; most of the meager profit or even loss of the state, all feel difficult to operate, a red sea.  How to break this pattern?  Oh, Gee! Provides a standard solution-becoming an aggregator that delivers unique value to stakeholders. The first is positioning.  What kind of customer do you serve, and in what way, what unique value does it offer? Young girls pursue fashion, but traditional fashions are often associated with noble brands and high prices. LV bag often thousands of tens of thousands of yuan, unattainable, so that most of the shy in the bag of young women look and sigh! But the market demand is huge. The core of the new popular consumption concept of young women is the fashion of cheap and inexpensive.  Ah ah positioning in the "fast fashion" small ornaments, to meet the huge demand for such a popular. A new venture will face such a decision: Is it all-inclusive, earning fast or more stable money, or focusing on a small number of products with large market space, short profit margins, or even loss? It's not easy to choose the latter and stick to it. Because most people always value the immediate profits and significant benefits of products. But from an investment point of view, the value of the enterprise depends first on the size of the market space, not the profit margin of the current product. Business owners want to make money quickly, but not necessarily understand what is the value of the enterprise, but also not necessarily able to distinguish the determinants of the level of enterprise value.  This is also the difference between entrepreneurs and ordinary businessmen. Historical experience has also given the answer: Japan's Uniqlo, Spain's Zara, they are inexpensive "fast mass fashion products", are the richest people in the host country.  Because they can high efficiency, low cost to meet the market demand for the vast number of customers diversified demand.  Of course, in reality, the positioning of the products and services are large space, focus on where the entrepreneurs need to constantly test in practice. Second, alas, like many successful enterprises, the use of franchising mode of rapid expansion. But Ah Ah sells is ten or twenty yuan small ornaments, the profit is comparatively thin, wants to survive the development, provides the inexpensive fashionable product to the consumer, as well as to join the business, the production enterprise and so on the benefit related person to create the value, needs to ponder oneself how achieves the low cost.  This is the ability that successful aggregators must have. This requires IT systems to be implemented. Oh, my God. Set up a service platform based on ERP, supply and demand timely and transparent. But the general enterprise in the early years of growth, not willing to invest heavily in the establishment of IT system services platform.  Ah Ah dare to spend 15 million yuan in the industry to take the lead in the introduction of ERP management system, indeed have the courage! In addition, how to deal with the responsibility problem between the franchisee, to provide the franchisee with effective incentives, but also to join the strategy can achieve the desired results of the key. Oh, yes. Change the traditional practice, direct cash to 1% of the logistics loss subsidy to the franchisee, resulting in bothThe effect of great joy reduces the cost of coordination, transportation and product handling. Chinese people's desire and ability to innovate is increasing, and there are many copycat imitators. Very natural will appear "Yi Ah ah", "Ha Ah ah", "Oh yes", but alas Ah can rise from 3 stores as the industry leader, stating that: The market in favor of large vision and imagination of enterprises, the future of the road AH ah need to avoid is narcissistic and half-hearted.
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