How do entrepreneurs spend their winter days without VCs?

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Seoul Street Let the global economy into trouble, bleak, sluggish, lazy, bleak, pessimistic atmosphere as air in every corner of our lives, but also to those who are still in the heart of budding entrepreneurs cast a shadow. In 2007, The Global Entrepreneurship Monitor survey found that Americans ' enthusiasm for entrepreneurship had suddenly receded, with a sharp drop in the proportion of people who were considering starting a business or starting a new business. Clearly, the fall in house prices has had some psychological impact on enthusiastic Americans, who are acutely aware of the reduced financial security that underpins their risk-taking ventures.

This fear and worry is rapidly spreading to Europe and several other rich countries, which, according to statistics, have significantly reduced their participation in entrepreneurial activity. In Germany, the proportion fell from 5.4% to 4.2%, France fell from 5.4% to 4.4%, and UK entrepreneurial activity fell from 6.2% to 5.8%. But entrepreneurial activity in emerging economies in Asia and South America has shown an upward trend. The Argentine venture rose from 9.9% to 10.2%, the highest in China, from 13.7% in 2006 to 16.2% in 2007.

This phenomenon shows that there are still huge market gaps in emerging markets, and on the other hand, it shows entrepreneurs ' confidence in macroeconomic trends. In their eyes, the economic winter, or does not mean that entrepreneurs in the winter.

VCs are still optimistic

In fact, venture capitalists are also using various occasions to express such views. "As investors, I might prefer to look at the economic crisis with optimism, and I have repeatedly stressed in interviews with media friends that the more dangerous you are, the more opportunities you will see as an investor." "Hua Xing Capital Chairman and CEO of the package in this to the" South du Weekly, "said.

Although China's manufacturing and export industries have been greatly affected, many internet companies have so far not been specific to the fear from the other side of the ocean. Baidu CEO Robin Li said: "Although some of the southern companies engaged in import and export trade difficulties, but Baidu fee search platform applicable to any industry, and not only limited to import and export trade enterprises, so the impact is not."

2008 in the third quarter earnings, Baidu profit reached 368 million yuan, an increase of 119.1%.

"There is no sense of economic crisis," said Xu, capital partner today. She believes that while the global stock market downturn has a big impact on listed companies, it also has a certain impact on unlisted companies. But as long as the investment projects, management team and so on, the next year to maintain 30%-50% growth rate is fully predictable.

In a Web survey, most of the venture participants in the survey said winter was a better opportunity for the venture capital sector: half thought it might speed up their investment and fundraising.

"China's huge domestic demand and market is a good opportunity for investment and entrepreneurs," said Shong, managing vice president and Asia Pacific President of IDG Global. "The Wall Street crisis has provided a time for self-awareness, a bubble to disperse and a return to rationality for investors and entrepreneurs," he said.

Of course, for entrepreneurs, politicians, economists and venture capitalists may find it hard to get their trust, regardless of how they express their optimism. Because, whenever they are not the biggest victims, they control the right to speak.

Return of the value

As ordinary entrepreneurs are different, they are faced with a life and death bets, no time to relax their attitude, to create their own dreams, playing with terminology, but to face the actual real crisis, the capital chain will be broken at any time, enterprises are facing the door at any time, and they will even live on the streets, to avoid debt ...

Economists are accustomed to using Western economic principles to analyze the emergence of financial crises and countermeasures, using numbers, models?? They even turn economic terminology into witchcraft, but never reflect on the human perspective and traditional business ethics, and how to rebuild the confidence and enthusiasm of entrepreneurs.

"Subprime crisis is a value crisis", it is not alarmist, it represents a kind of huge voice, the Western world advocated materialism, cultivate a huge consumer culture market, mobile phones, computers, credit cards, automobiles, luxury goods, luxury homes? The younger generation lives in a realistic and illusory world made up of consumption.

So, as entrepreneurs face this problem, with one great business dream, and as they begin to write business plans, their immediate goal--Wall Street--is like a magical curse that makes them lose their way before creating a rich myth. Even before the formation of specific technical advantages, team-building and business models, they deliberately tailored for the venture capital planning a set of ambitious business plans, but often overlooked as an entrepreneur the most simple traditional business ethics.

The economic crisis, in a way that confirms the bankruptcy of blind opportunists, entrepreneurs and capitalists conspire with the "overnight wealth" no longer have the possibility of success, the return of value to become the basic proposition of investment, and entrepreneurs must return to the basic business logic, on the basis of healthy business model to make their own business value.

"In the days without VC, what do we do?" This is a place in Jingdong Mall, the Czech Republic, such as kitchen electricity entrepreneurs before the problem.

They give the answer in different ways, either as a breakthrough in business models or as a technological innovation. As long as a potential entrepreneur, think that now have mastered the relevant resources, in the future can make these resources in a positive direction, including capital, technology, talent, logistics, market development, relevant laws and regulations, industry policy, and so on, and ultimately wait for the opportunity to "come to a ripe."

To focus on the business creativity itself, as an entrepreneur, not only to maintain the superhuman management talent and rich business imagination and executive power, the most important thing is, do not put the hope of success in the venture capitalists, it is a double-edged sword, in helping you build a business world, while It's also very likely to destroy the world you've built.

"Now the founders need to be more calm, study the market, study customers, and study products." I think any successful enterprise, if he wants to succeed, can not rely on investors to pay, must rely on the market and customers to pay, so that will succeed. "Shong said.

In fact, in the economic crisis period, in addition to the business model and technological innovation, venture capitalists value the entrepreneurial team's implementation and adaptability.