PPG Mode is innovation?

PPG a few days ago the news is very much, especially the founder suspected to abscond. I used to know that PPG was selling shirts and did a good job, but I didn't pay much attention. The news recently, only to see the comments.

Recent comments have been related to investments and investors, noting a surprising phenomenon. Several PPG investors are talking about the reasons for the investment PPG, the PPG model is one of the important reasons for innovation. Some people even think that PPG mode is the founder Liang first thought out.

This kind of argument makes me very puzzled. Forgive me Ching, I can't see where the innovation of PPG mode is. Simply put, the highly respected PPG model is a so-called "light Company", there is no factory, no store, through the network direct retail, all orders issued to suppliers to produce, affixed their own brand.

Innovation in this way? In my opinion, this is an old, but very useful pattern, too many people have been doing this for many years. Under the line of famous brands, especially clothing shoes and hats and other brands, most of them are not factories, production by China and other countries of the factory completed, products, their own only a strong design department. Brand in their own hands, production is outsourced.

Some less well-known brands, it is more convenient. Even design departments do not, mature and stable product design, direct production in China, affixed to their own brand is finished.

This pattern has been on the line for a few more. I have 5 years ago, a client on the Internet to do so, selling shirts, but also their own brand, but also retail, but also from the Chinese factory purchase, and PPG business model almost no difference. The difference is that no PPG did so much noise.

All along, I have advised the webmaster to sell products directly. Go to the supermarket to turn, most products can move to sell online, part of http://www.aliyun.com/zixun/aggregation/8786.html "> Product market capacity enough to make several listed companies." Pick a familiar or reliable source of products in the online retail. In the beginning may not own the brand, after a period of time has the bargaining power, lets the factory direct to affix own brand.

This is a model that is not innovative at all, but that it will succeed.

Of course, that's not disrespectful to the founder of PPG. On the contrary, I admire the founder of PPG very much. The key is not model innovation, but whether there is ambition, networking, money, resources, executive power, to do this. This is not like our small webmaster can do.

If investors really think this model is innovation and investment, I really do not agree. Another point that investors are talking about is that people are valued, they are teams.

Perhaps the so-called model innovation is to conceal the importance of the team? Because the model is called innovation, so there are mistakes, loss, but also can say new things, which do not pay tuition? In order to conceal the execution and the team judgment error.