Yang: Lenovo continues to grow by selling

China's economic growth has entered a new normal, the way Chinese enterprises to achieve sustained growth? At the closing forum of the 2014 (13th Annual) annual meeting of Chinese business leaders held yesterday, Yang, chairman of Lenovo Group, said Lenovo's play was the unification of independent manufacturing and brand marketing, and the best balance between efficiency and innovation.

He said that in the past 30 years, Chinese companies have been relying on labor cost advantages to maintain growth, but the advantages of manufacturing is difficult to sustain the continued growth of the follow-up. Compared to some developed countries in Europe and the United States have already shifted manufacturing to China, India, Vietnam and other developing countries, followed by the service industry and more innovative companies to obtain economic growth, a group of Silicon Valley in the U.S., the birth of Microsoft, Google, Amazon, The rapid economic growth of innovative companies such as Facebook is a good example.

Therefore, Chinese enterprises in the future to obtain high-speed development needs continuous innovation. At present, the innovation of Chinese enterprises is not only in technology and products, but also in business model. Alibaba in E-commerce platform model, millet vermicelli economy, so that two companies have made rapid growth.

Where does the next opportunity for continued growth from Lenovo come from?

1, maintain a small amount of inventory, always sell fresh fruit. In the 1994, Lenovo beat the international giants in China by running a small, fast-moving business model, and the core was to bring the latest scientific and technological achievements to the market faster than the Giants, keep a little inventory forever, sell fresh fruit forever, and use this efficiency advantage to make users benefit. This is the essence of the Internet model has the same place.

Since then, Lenovo has continued to innovate and upgrade the business model, creating a relational and transactional model for different types of customers, thus laying the leading position in the global PC market.

2. The best balance between efficiency and innovation. More than 20 years ago, the IT market was led by the European and American brands, will be manufactured to China, because it can obtain lower labor costs and higher competitiveness, after all, it will be manufactured entirely to OEM manufacturers, their own responsibility for brand and marketing, and even the development of outsourcing, They choose their most satisfying products from the products developed by these manufacturers. But this way they gradually lost contact with upstream suppliers, and lost the spark of innovation.

Lenovo has always adhered to independent manufacturing, has better competitive costs and continuously improve efficiency, through direct contact with upstream manufacturers to capture the dynamics of cutting-edge technology, to maintain Lenovo's innovative genes, to achieve the best balance between efficiency and innovation. Thus forming Lenovo's unique competitiveness in the world.

At the same time, access to new markets through investment in mergers and acquisitions, including the 2005 acquisition of IBM PC business, and the recent completion of the IBM x86 server and Motorola Mobile business acquisitions. Through mergers and acquisitions, Lenovo has not only promoted brand influence and awareness, but also acquired intellectual property and innovation capabilities, allowing Lenovo to quickly enter the international market.

3, the formation of innovative companies, the derivation of a new business model. At present, Lenovo has set up a subsidiary of the Internet model, trying to build a customer-centric business model, that is, the user experience and application as the center, the above grafting hardware equipment, the new business model. Within the company set up a business change project team led by me, a comprehensive, in-depth overhaul of the company, ranging from interactive product development and iteration to internet marketing, digital marketing, social media marketing and fan marketing, from Business-to-business to Business-to-consumer online sales and drive channels to O2O, To build a community forum of mutual-aid services ... To achieve a fundamental shift from selling products to operating customers.