Internet entrepreneurship: Start with creativity

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Those internet venture capitalists--especially those investing in startups--are facing the same problem. Each day they are presented with their business ideas, letters that are solicited for funding, and emails that are like snowflakes. Investors have to sift through so many applicants for their ideas, which are the answers to questions that investors are interested in. As a result, entrepreneurs who want to make money from investors should have a good understanding of the issues when they are perfecting their ideas.

Here are seven questions that investors are interested in, as well as the key to deciding whether your ideas will be favored by investors.

1. Can your creativity bring positive feedback to the network?

One of the incredible phenomena of the internet is that products, services and resources in the traditional economy are used follow is the "Material law"-the more used, the less left, "the scarcity of things for your", "resources, products and services scarce" is the businessman grabs, profiteering means; In the network economy, With the expansion of the market, the increase in the number of users, the value of products and services more and more high, information resources are shared by everyone while the total is increasing-this is the network positive feedback effect. If your creativity brings positive feedback to the web, the resulting lead, coupled with the company's perfect operation and the ability to attract customers, will make it impossible for you to match the latter.

If your creativity can bring a great network positive feedback effect, from this point it is a good idea, investors will be interested in it.

2. Can you have the potential to adapt to network development

It is more appropriate to describe the development of the Internet with each passing day. With the rapid development of the Internet, its scale, performance and closely linked business concepts are changing. If your creativity adapts to these changes and can withstand their tests, investors who have always had quality fixing will certainly be able to help you out, but if your creative or business model is one-off and is just a one-time requirement without development potential, then the chances are slim that VCs are investing in you.

3. Have the originality of the market operation skills to implement your ideas

The catalyst for the rapid success of the Hotmail e-mail system is the so-called "viral-infection Marketing Act". It is the use of people spread, wildfire live advertising to expand the market. When people verbally spread and use Hotmail, they became the company's unconscious advocates, and their friends were the recipients of these market information.

Can the service and product quality get a good reputation to use households to help you advertise, which is used to judge a customer-oriented. com Company's important parameters.

4. Do you have a strong idea of adaptability

In today's new economic climate, the advantage of COM companies is to be flexible and to dramatically change business plans at a cost of close to 0. In the internet age, the competitiveness of a. com company is embodied in the agility and flexibility of business ideas and market actions.

5. Do you have a protective shield for your creativity in practice?

Companies in the internet age can grow faster than they used to, and may suddenly decline. An important measure to prevent such a situation is that the company has an intrinsic means of attracting and retaining customers and a good way to defend itself against its rivals. If you can't keep your customers, what's the point of developing so fast? So when you turn your ideas into a. com company, you have to develop strategies to prevent customer churn and avoid the impact of competitors imitating your business model.

The "Jungle Law" in the Internet world still applies, followed by the pioneers of the pace can still get a lot of benefits; as pioneers, you can only get rid of these followers as far as possible to ensure your best interests and long-term benefits.

6. In the process of achieving your creativity, there are no talent problems.

The newly created. COM Company's development is often hampered by the inability to recruit first-rate talent. Therefore, the newly created company always attaches great importance to the talent factor when formulating and perfecting the business plan, which has become a basic principle of the successful. COM company.

7. Is there a strategy for "occupy" the market in your creativity?

One of the most common ways for a newly created. com company to occupy the market is to reduce the price of a product or service, or simply to provide a product or service for free, which would be a big headache for the old companies in the market: it is difficult to make their huge distribution system cope with such a price war. The price advantage of relying on the Internet to save costs makes it possible for the new company to gain considerable market share by rebuilding the competitive base.

Here are some advice from investors

Liu Yi, chairman of Merrill Lynch's China Business, is faith and confidence in our investment in the Internet economy. specifically to determine which companies are the winners of the future, which is worthless, I can only say that our experience:

First of all, from the business model, if it is not on the Internet is difficult to do business, is a good business model, such as online auctions. Good models have large enough market size, strong extensibility, and only pioneers can succeed.

Second, there should be a both understand the Internet, but also understand the network, not only to manage small enterprises, but also to manage large enterprise management team, and to retain the incentive mechanism of the team;

Third, it is best to have large strategic partners;

Four, must have the brand effect;

Five, to have long-term performance.

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