Japan electric business giant: a strategic and ecological system

The previous blog introduced Rakuten's business model, which looked at its strategy and ecosystem.

Strategy (strategy) refers to the development goals and plans that a company needs to determine based on its external environment and its own circumstances. Although there is no guarantee that a company with good strategic thinking will be able to succeed (because there are executive level), but it can be said that a no or only the wrong strategy of the company must fail.

So how does Rakuten describe its core strategy? – "The objective of http://www.aliyun.com/zixun/aggregation/3933.html" >rakuten Group is to converge the Internet Services and the Membership Business "to aggregate Internet service and membership patterns?lt;/strong>

And the vast majority (European and American) Internet companies rely on the flow of advertising revenue model, Rakuten advocated "maximizing Lifetime value of members– maximize the lifetime value of members", where the revenue is mainly to provide Rakuten members with a variety of services in service fees and commissions, And then it's going to snowball.

The term Ecosystem (ecosystem) describes an enterprise strategy from another perspective. The ecological system in the natural biological perspective is an ecological whole formed by the continuous energy and material exchange between the living organisms and the physical environment around them. A business ecosystem can be interpreted as an economic union of a company and its surroundings (including customers, suppliers, competitors, etc.).

The Rakuten ecosystem – at the heart of the present very large Rakuten membership database, next to the six ring is Lotte's current 6 main business, including E-commerce, travel industry, securities, communications, portal media, credit card and payment, while at the platform layer with integration (Rakuten Super Points) To get the business through, and has its own pay platform and banks to support the overall.

From the complexity of this ecosystem than Taobao before the "big Taobao" has been, but also to praise the business integration of Lotte's skills, several pieces of business are through the way of investment mergers and acquisitions. Rakuten currently has about fifty or sixty companies, if you use a PPT to all of them to introduce a specific time ... The reason why Rakuten can be so bold in the investment and acquisition estimates and founder Hiroshi Mikitani (Hiroshi Mikitani) itself consulting and banking background. and the emphasis on a single area of leadership, Sanmuku that the business is to improve the stability of a good way, at the same time each business can form a interlocking network layout, to achieve 1+1>2 effect.

BTW, Lotte in 2004 bought Ctrip 20% of the shares of this matter many people should still remember, three wood in 5 years after the shot is earned a sum.

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