Entrepreneur: why Mango but Ctrip

How to create corporate goals and provide a set of methods in the wide market making the task of finding and setting company goals relevant to the business practice of the 21st century is a new challenge/Shund from the "wide market" perspective, the company's goal should be to clearly identify the company's profit base by identifying the scope of business activities, To figure out what industry to base on, where to make money and who to make money. In the second step, the company's goal should be to establish a new value link between supply and demand, that is, to rely on business model innovation to realize the value of the industry instead of dividing up the industrial profits.　　Third, the company's objectives should be specific and concise, to help establish a unified value within the company, so as to ensure effective implementation of the strategy. Corporate goals are like a window. Without it, entrepreneurs simply cannot jimuyuantiao, or even breathe into the fresh air of commercial society, nor exhaust.　　However, it does not mean that the world can be panoramic, window orientation and entrepreneurial vision, are important factors. That is why the management books that discuss corporate goals are already voluminous.　　However, it is a new challenge to create a corporate goal in a "wide market" and provide a set of methods that will make it a business practice in the 21st century to find and set goals for the company. Mango Net (mangocity.com) is a subsidiary of China's Hong Kong CTS group. Hong Kong CTS Group has a strong background and rich tourism resources. Exaggeration to say that the Hong Kong-China Travel Group has set up a Beijing-centric, radiation major provinces and cities in the mainland, the formation of Hong Kong as the base, Hong Kong, the mainland, overseas "Trinity" of the Tourism service network.　　In China's tourism industry market control, the impact of such a powerful group, its mango net is Yuan to Ctrip (Ctrip)? The problem is in the navel. We talk about the company's goal, not the company's revenue objectives, cost control objectives, HR management objectives, such as the company's business objectives test the entrepreneurial management skills, corporate strategy and implementation results. Instead, the company's goals are the foundation and navigator of the company's strategy, focusing on the fundamental direction of the enterprise's future development, its ambitions, its resources and how it relates to its environment.　　Both short-term and long-term goals can not be avoided to reflect the vision of the company's managers, ambition and the deployment of business resources and value creation capabilities. From the "wide market" point of view, the company's goals should be determined first by determining the scope of business activities, clearly identify the company's profit base, that is, want to know what industry they will be based on, where to make money and earn money. In the second step, the company's goal should be to establish a new value link between supply and demand, that is, to rely on business model innovation to realize the value of the industry instead of dividing up the industrial profits.　　Third, the company's objectives should be specific and concise, to help establish a unified value within the company, so as to ensure effective implementation of the strategy.　　Resources determine the scope of your business activities the scope of business activities is the space of the company's business activities, that is, where the company is, is going to do something. Let's look at another example. OneDrinking water company, the goal is "to become the world's largest potable water production enterprises," we can be extrapolated to the development potential of the company-per person drinking 1 litres of pure water per day, the world's people drink the company's products, the annual income can be maximized.　　However, as a result of market competition, this revenue assumption can only be theoretically established, but within the company will spare no effort to mobilize resources to work towards the established goals. Then look at the mango net, it is the Hong Kong China Travel Group to adapt to the development trend of modern tourism, set up an independent brand specializing in online tourism business platform, to give full play to the Hong Kong and China Travel group Rich tourism resources, booking, booking resources and customer resources synergy.　　To put it simply, the mango Net is a traditional service product and business extension in the Internet field of Hong Kong CTS, like the Group Network business unit. Although the Mango NET also offers customers hotel reservations, air tickets booking, holiday booking, business management, preferential merchants and travel information, including full-service travel services, and the general online travel Service website business similar, but the mango network of businesses due to the "umbilical" relationship with the parent company is limited to the Hong Kong CTS travel products and services within the scope of　　, which limits the resource allocation of mango nets, making it impossible to compare with Ctrip in scale. In the traditional business society, the scope of business activities is only within the scope of industry, as we have seen in the drinking water company, the overall market capacity of a single industry often determines the company's revenue and value maximization, mango nets also exist in the Hong Kong Travel Group's business box problem. In fact, due to the existence of full market competition, it is difficult for the industry companies to obtain monopoly power, its business activities will be greatly reduced, its real market position depends mainly on the company's own resources endowment situation, including technology, brand, raw materials, such as the resources have the exclusive significance.　　In order to gain the above competitive advantage, the company will continue to increase capital investment, however, as the company continues to climb, its market share and revenue growth potential will be the expansion of its own capacity and competitiveness of the continuous squeeze, resulting in diminishing marginal returns-this is the current many Chinese manufacturing enterprises are facing problems. In essence, the scope of business activity exists in one or another profit foundation, or in a market segment after a profit foundation has been divided into infinity.　　To put the company's target in the "wide market", we need to break the industrial boundary to consider the scope of the company's business activities, that is, to choose the direction of value innovation among the multiple profit foundations. In the "wide market" perspective, let's take a look at the scope of business activities of Ctrip. Liang Jianzhang, Shen, hanting in May 1999 to create Ctrip Travel network. Initially, Ctrip's business model was defined as the online department store for tourist information, which allows visitors to find out more about tourist attractions in different countries. Shen beats in terms of capital operation, by the end of 2000, Ctrip a total of more than 15 million U.S. dollars in venture capital. The company immediately relaxed the control of cash flow, a lot of burning money in various channels of advertising, less than a year "burningOff "nearly 20 million yuan venture capital."　　Corporate executives quickly realised that, despite their ambitions to join the Internet industry, it was more important to address the "landing" of internet companies. By adjusting, Ctrip wants to build its business model by controlling the flow of tourism, not just by providing travel information. With a new discovery, Ctrip's company aims to adjust to, from "the online department store on tourism information" into "the passenger and hotel, civil aviation Bridges Bridge, for both sides to provide cost-effective information exchange platform." The company's business strategy is adjusted to: Target customers in business people, self-help travel tourists and other consumer groups.　　In 2001, the company will name from "Ctrip Travel Network" to "Ctrip Travel service Company", from the pure Internet companies to provide a variety of tourism services, "traders." Ctrip integration of multiple industrial value model, is a typical "wide market", and "Apple Model", as well as the establishment of a value relationship between many industries. From the scope of business activities, Ctrip has established a trans-industry value chain, which integrates the Internet, call center, hotel, aviation resources and traditional travel agencies and other industrial resources to provide customers with convenient and reliable online tourism services.　　Moreover, in the networked system architecture, the Ctrip products can be shared and split by users, and these features all show the advantages of the Internet in integrating the various value chains of traditional industries. "Ctrip mode" helps to promote business travel service information transactions, the market is big, all profit.　　Data show that 2003-2008 years, China's online travel services market scale from 350 million to 2.79 billion yuan, mainly for the offline transfer line. Find your value innovation point the company's goals should be able to find a new value for the relationship between supply and demand to identify the direction, to find value innovation point is our "wide market" proposed to shape the company's goals of the second step.　　On the one hand, it needs to accurately lock several profit foundations; On the other hand, find out whether there is a value link between supply and direct consumer demand in the profit foundation.　　It is an effective way to find the value innovation point of the company's goal from the industrial value chain, the most important thing is that the company managers must know the consumer demand clearly and define the commonness of the consumer's demand among different industries, which is the important condition of establishing the value connection. Yi Long Network and Ctrip almost at the same time start, Art Dragon's establishment and Time-to-market even earlier. But soon, Ctrip will art long net left behind. Ctrip long-term commitment to the pursuit of service scale effect, at present, Ctrip in the country has more than 7.5 million active members and more than 9,000 hotel partners, its market share of more than 50%.　　The company management points out that the service scale is one of the core competitive advantages of the company.　　Scale is important? When Ctrip has a large and active online travel membership, it is more aware of traveler's booking habits and thus can provide better services. That is, Ctrip can accurately understand the changes in consumer demand, timely product andService innovation, such as the recently launched "postpone the departure" and "Travel coupons" and so on.　　In this way, Ctrip can ensure that the scale effect can be obtained at the lowest cost when introducing industry and service innovation.　　In order to highlight the communication and interaction with customers, Ctrip has strengthened two kinds of executive power at the strategic level.　　Ctrip about 70% of the sales came from offline services (24-hour call center) and 30% from Internet Online Services, a situation that seems to be largely inconsistent with the image of the E-commerce company it advocates. Ctrip at the beginning of the establishment and did not specifically set up a call center, customer service department only 2 telephone lines used to receive customer reservations, complaints telephone. At that time, the company mainly through the Internet to provide customers with services.　　Ctrip in 2000 opened 800 free service calls, the use of Call center technology to establish customer service and telephone booking system. The Ctrip call Center has developed a set of multi window browsers with soft telephone function, connecting the telephone system with Ctrip's website, Customer Relationship management System (CRM), Management Information System (MIS) and other internal main information management systems. When the incoming call is transferred to a seat representative, the seat software will automatically pop up a new window, showing the caller information, such as the main call number, called number, IVR input information.　　At the same time, according to the identifiable user information, the business processing system software will prompt the seating representative to enter the corresponding business processing module. Ctrip Call Center for Call allocation and seat selection through the skill group to achieve. Ctrip set up different skill groups according to department and type of business, set different priority in each skill group according to the job responsibility and business ability of the seat representative, and set up some special skill groups (such as expert Group, Cantonese group) to receive the specific telephone.　　When an incoming call is transferred to a skill group, a higher priority seat representative receives the call and, in the case of the same priority, can set up a number of algorithms for allocation (such as average distribution, idle allocation, etc.). Ctrip continuously strengthens and enlarges the input of the call center, the purpose of which is to obtain more information about consumer demand through communication. In 2008, the Ctrip Call center was awarded China's best call center "Golden Ear Wheat Award" by the China Customer Relationship Management Committee.　　At present, although the service cost of Ctrip per transaction is much lower than that of major competitors, it can provide higher quality service, and the strong execution and operational efficiency will continue to help Ctrip enhance its competitive advantage. Second, the Ctrip reservation system adopts the membership system, in addition to relying on acquisitions to rapidly expand the number of members, Ctrip early in the main airport and City business district hired staff to distribute free membership card, to improve market visibility and membership number.　　Ctrip provides customers with a choice of loyalty plans, members can book hotels and air tickets and other points to enable consumers to win free hotel accommodation and air tickets. Ctrip to the high consumption of members issued VIP VIP card, such members can be in the country's 15 well-known tourist cities more than 3,000 Ctrip to enjoy the lowest 50 percent ofConsumer preferences, consumer categories covering the characteristics of restaurants, bars, entertainment, fitness, shopping and other aspects of life.　　Ctrip also launched in 2008 the "carry the degree of false Experience Center", the experience Center is generally located in the airport, with large stores, laptop computers, visitors can be with the help of staff to experience how to Ctrip booking hotels, air tickets or holiday products. In the competition between Ctrip and Yi Long net, the difference of customer relationship makes the two company's business strategy, product and service innovation, revenue ability and so on have very big disparity.　　For a company that wants to achieve value innovation in a "wide market", who understands the needs of consumers who can win the opportunity. In this view, we'll take a look at the mango Net--where's the customer? Customers choose Mango nets, is based on the Hong Kong travel group Rich tourism products and services, or the Mango network itself concern? In the process of building customer relationship and consumer demand analysis system, Mango NET is based on its own strategic needs, or around how to better position in Hong Kong CTS Group E-commerce department functions?　　These problems, in fact, have become a real obstacle to the mango net travel "wide market" an important factor. Yes, there is also a travel network (www.aoyou.com), the Cyts group's website, has been as brilliant as the birth of Mango net, and the market management situation is rarely surprising.　　The result is, hit the tiger not, but encounter the Li Ghost (www.auyou.com), oneself but have to clearly mark on the website "Cyts Travel Net". Refusing to breed grandiose corporate culture the use of industrial value chain model analysis can help companies target accurate positioning in the "wide market". Some company managers would argue that this is a complex, systematic effort. In fact, the real challenge is whether we have the conviction to win and force ourselves to jump out of the traditional corporate profit model.　　Only in this way can the company achieve true innovation. For the company management and the general Staff, walking on the road of innovation is a way to motivate employees to work together to do things. Conversely, in an obvious "Red Sea", the morale of employees will be hit by fierce competition.　　In this case, the talent will find another way out, and the left is often mediocre. Another taboo to shape the company's goals is not to make pompous declarations, such as "to become the world's largest market share in certain industries", "to become the best technology companies", "to become the most trusted consumer products".　　This formal manifesto does not represent a company's ability to achieve its goals in accordance with the principles of innovation, but rather to breed a grandiose corporate culture within the company. On the official website of Mango Web, there is a phrase: "Become the most popular interactive tourism E-commerce platform in Greater China" as the vision, committed to providing customers with the most convenient travel products booking services, the most enjoyable customer experience, the most abundant and most attractive travel products. As China's online tourism industry emerging comprehensive travel booking service provider, Mango NetworkWholeheartedly for the Greater China region (Mainland China, Hong Kong, Macao, Taiwan) The vast number of customers to provide hotel reservations, air tickets booking, holiday booking, business management, preferential merchants and travel information, such as a full range of travel services. (The writer is a senior observer in the field of innovative business)