The failure of 17 Chinese start-up companies history billion Tang cool 6 rice No street wait in the column

This article is Tingchenling according to the public information on the Internet collation, and added a number of comments made, taking stock of the efforts of 17 Chinese start-up companies and failure experience, including hundreds of billion tang, cool 6, blog China, Rice No, the street, such as resounding brand, it is worth reference and learn from.

1, Billion Tang network

Many people still remember the 2000 Beijing Street appeared large and small billion tang billboard, "Today you are billion tang" that sentence imitate Yahoo advertising words really let billion tang scenery for a while. Yi Tang wants to be a comprehensive Internet portal for young Chinese. They define Chinese youth as the "Yellow generation".

Lessons of failure: lack of positioning, too much financing

On the eve of the first dotcom bust in 1999, Tanghaisong, a Harvard Business School MBA, created the billion-Tang company, a "dream Team" consisting of 5 Harvard MBAs and two Chicago University MBAs.

With attractive entrepreneurial plan, billion tang from two well-known U.S. venture capital DFJ, Sevinrosen hands to two period of about 50 million U.S. dollars of financing.

Billion Tang claimed that he is not only an internet company, but also a "life fashion Group", dedicated to the creation and introduction of international advanced Life fashion products through network, retail and wireless services, and fully serve the young people who define the future of China's economy and culture between the 18~35岁 of the so-called "yellow e generation".

Billion Tang network overnight turned out, quickly in the major universities Gongchenglvede, in the country quickly "burn money": In addition to Beijing, Guangzhou, Shenzhen Three to establish branch offices, billion Tang also recruit staff, and in various places to carry out large-scale publicity campaign. At the end of 2000, the Internet's cold winter suddenly, billion tang money burned more than half, still unable to profit. Since then the transformation has not been successful, the 2008 billion Tang company only left empty shell, the former "Dream Team" in the company after burning money have also chosen to flee.

In my opinion, the biggest problem of the billion-tang failure is not positioning. This is also the problem of most internet entrepreneur companies. Pompous, unwilling to sink down to help users solve the actual problem, but the illusion of money can be smashed out of an internet group out. Billion Tang to China's Internet can be said to make no mention of any contribution, perhaps the only contribution is to provide a very failed investment case. It was born with a gold spoon in the nobility, tens of millions of dollars of money in exchange for only a sigh.

Follow-up development: In May 2009, the etang.com domain name was publicly auctioned for no renewals, and the final bidder was given a 35,000 dollar price.

2, 酷6网

Video site of the year one of the three, Youku, potatoes and cool 6. Among them Youku Koo, and Shanyou are Sohu Department, Potato King is a literary youth. Once in a hurry.

The lesson of failure: The victim of a course battle

In the cool 6 hand bone time of the past year alone, 酷6网 left behind. Founder left, the loss of the year to become big, bloody big layoffs, and then transformed ... Chen Tianqiao resident cool 6 new CEO Shi Yu publicly said: "Cool 6 no longer buy long video copyright, including movies and TV dramas, will focus on the community, UGC (user generated content) and short video. ”

After Shanyou left, grand large-scale clean up the founding team, Chen and shanyou on 酷6网 development strategy arising from the differences surfaced. Chen hope that cool 6 development direction is "video information News", and Shanyou would like to insist on buying genuine copyright "large mode", the final huff.

Video industry has always been known as "burning Money", Shanda has invested nearly 200 million dollars in cool 6, but the grain has not been collected. This is perhaps the most direct reason for the transformation of cool 6. Burned 200 million dollars and ended up in an awkward transition. Management and founder, the idea is different, the enterprise will not have the right direction and end point.

Follow-up development: Founder Shanyou went to Central Europe became a pioneering mentor, Weibo name "Old Li Knife", retired from the lake. The fate of Cool 6 is the same as the grand fate of a frog in warm water.

3. Asian Interactive Media

The Asian interactive Media was established in British Bermuda in July 2004. The Asian interactive media is claiming to be "China's leader in providing a solution for Cross-media TV programs," and its sales revenue is based on television advertising agency business, TVPG (TV Guide) and EPG (Electronic Program Guide) as a supplement.

Lessons of failure: misappropriation of funds leads to delisting

October 2005, the company won the investment of Sequoia Capital. After Sequoia Capital, the Asian interactive media has absorbed Japan's famous financial and advertising companies, including Nomura Securities Company of Singapore, Merrill Lynch Japan Securities Company, Japan's largest advertising company, NTT Mobile Communication Company, Japan's largest satellite communications company Jsat, Itochu Itochu, etc. April 2007, Asian Media listed on the Tokyo Stock Exchange, according to its listed "prospectus", 2005 the company's net profit reached 465 million yen (about 30 million yuan), net assets of 1.897 billion yen (about 126 million yuan). But after only one year, it was a dumb way to retreat.

The fuse was due to the Asian interactive media's accounting firm's refusal to issue an audit opinion for its 2007 annual report and to expose the scandal that its CEO, Jianping, embezzled the company's assets. Asian Interactive Media Retreat, so that 11 financial investors at the same time Miss, exit the platform.

Follow-up development: The company embarrassed to return to the city, the founding partner of Sequoia Capital Zhang Fan also resigned.

4. E Country

2000 E-commerce Star Enterprise, once the slogan for one hour distribution home.

The lesson of failure: The market is too advanced

E Country 1 hours to obtain the user praise at the same time also obtained the same many suspicion: "E country 1 hours" brought huge distribution cost, e country still can make money? The more you sell, the more you lose. How long can e-country sustain without the involvement of new funds? Some people simply think that e country 1 hours is only "successful market operation". Some people calculate an account, as long as the order of e-country 10 yuan per pen, you can kill it. The more you sell, the more you lose, and the greater the pressure on the country of E.

In fact, the tragedy of e-country lies in the premature entry into the market before the market matures; In 2000, China was extremely immature in terms of logistics, payment, distribution and even online shopping. Rely on a company to prop up the whole industry chain, Arabian Nights.

Follow-up development: Collapse.

5, if the adjacent network

If the adjacent network was founded in 2004, soft silver investment. The goal is to replicate LinkedIn as China's largest business social networking site.

The lesson of failure: The imitation of national conditions

In the 2004-2006 wave of business SNS copy 2 China climax, if the neighbor is still alive. But experienced many twists and turns in the middle, founder Shing two into two out. The site was once laid off and almost closed.

If the neighborhood and other business SNS. Users never come up. At one point, people believed that the so-called six-degree interpersonal relationship theory, in practice, there is no hope of success. An average person could reach Obama by six degrees, but that doesn't mean he can get to know Obama and seek practical help. So the six-degree theory is similar to the Ponzi scheme.

The bigger difference is that the United States is a professional society that respects individual curricula vitae and professional competence. This is the sociological reason for the rise of LinkedIn. China is a social relationship and power determines the economy. If you know the party secretary, will you take the initiative to introduce the network to others? What's more, most of the people in China who have wealth and power don't even go to such websites.

Subsequent development: After the reorganization, the management gained control and now transformed into a headhunter. After the rise of the network.

6. DB Net

In the June 2003, Zhengli and his friends created 163888 websites, meaning "hair hair on the way". Subsequently, they developed K8 software, 163888 gradually became China's leading network singer gathering place. Xiang Xiang, Yang Xen just wait for Web singers to launch successfully in the website, "Mouse Love Rice" and other network songs rage, so that 163888 of websites reputation, known as "Chinese first music community."

The lesson of failure: to go astray

In October 2004, IDG invested 2 million dollars (it is reported that the final investment is not fully in place), accounting for its 20% stake. 2006, the site registered users reached 12 million. The same year, 163888 won the Alcatel VC 6 million dollar investment, accounting for 12% equity.

June 2007, the site has a new name and a new domain decibel network, but the decibel net profit model has not been fundamentally changed, relying on selling space and collecting membership fees of the profit model to be unsustainable, advertising has become the main source of income DB network.

2009, Zhengli suspected of operating pornographic video chat business arrested, January 2010, the case hearings, Zhengli pleaded guilty. The reasons for Zhengli's involvement in the sex business are unknown.

Follow-up development: The decibel network is weakening. The company has always been at a loss, and new investment has not been in place. The last dismal collapse.