Wu Gang: The choice after the big heat of the Hand tour market

A little more than I expected, against the theme of mobile games in China's capital market ahead of the heat, and is very hot. This time is supposed to be in the next year, but the whole domestic economic situation and the decline of the real estate industry, so that a year now only billions of of the size of the market has become China's capital market chasing hot spots. was fully focused. This may not be a good thing. 1, from the industry, just some scale, only tens of millions of of profitable hand travel companies, quickly divided by the various families, a large number of companies have signed the relevant income and profits of the gambling agreement, in the mobile gaming market is only the initial period, may be because of the demand for large profits and missed the big market opportunities. As the market leader of the company's acquisition, will leave a great value chain vacuum, in many of the end of the tour, the company is not ready to travel, small hand tour companies are very small, the acquisition of the CP needs to complete the performance, the bargaining power to reduce, will make the channel immediately bigger, unilateral control, forming an oligopoly. 2, the early overheating of the capital market, without strong performance support, is unsustainable. It's likely to be a fever in the second half of next year. And gaming companies listed outside the road twists and turns, from a certain level, broke the hands of investors think. Summed up over the years, the main mainstream VC will be in the most hyped stage to seek to exit, and then some of the domestic capital began to take over, and then later is a number of private capital after the perception. Later ..., a pot of fried rice, no one will continue to fry. A year later, companies looking to develop capital markets are likely to face a very awkward, or very cold, situation. Maybe this cold, not as good as a year or two ago, because a couple of years ago, the mobile gaming market is in the ascendant there is a lot of imagination space. And after next year, it has been overdrawn. How to choose? 1, now began to do mobile gaming companies to seek the return of the capital market, it is estimated to be in a hurry. As far as I know, started to do false performance, fake income of the hand tour company began gradually more and more. 2, already has the income and the profit scale the hand travel company chooses to be merged, is one from the financial return, the very economical stage. The concept of mobile gaming is indeed overrated, not the pinnacle, but not far from the top. 3, already has the income and the profit scale hand swims the company, chooses with has the strength, has the background, has the correlation enterprise to carry on the strategic investment. Back to the tree, ready for the next brutal competition. 4, the hands of the company not enough cash, continue to finance, increase the amount of cash to withstand the rapid rise in the channel costs, the risk of rising market costs. From the merger of the Guangzhou Silverside of the trading notice, silverside the year before the profit balance, last more than 6 million, the first half of this year has tens of millions of profits, operating for many years and just had a financing, net assets but 80 million yuan, the bottom line is not thick enough. 5, the hand tour enterprise must be in long-term development, the immediate interests before making a choice. The future will be very difficult. Fortunately, the hand tour market is a development of the market, seeking to return through the market companies, there are still great opportunities. Like today's end-market, thoughHave a good profit, but the capital market has been unable to give a satisfactory return. Opinion, does not represent my company's position and choice, welcome discussion. The author of the Stone CEO micro-letter: Rain11