God-level Trader of Rebirth
Chapter 354 Different Foreign Capital
That afternoon, Liu Dongqiang finally arrived in South China City from Baijing.
Chen Weidong immediately notified Lin Zeju, Li Xier and several senior executives from the software department for an impromptu meeting.
"Qiangzi, tell me about the problem you have encountered, and see if we can help you solve it." Chen Weidong glanced at the dusty Liu Dongqiang, and said straight to the point.
"Mr. Chen, it's like this. At present, we have encountered a bottleneck period. The increase in users is not as fast as in previous years. This is not in line with the laws of the market. In the final analysis."
Liu Dongqiang also knew Infinity's work style and didn't like going around in circles, so he organized his language and explained the current crisis that Jingxi Company was facing.
In recent years, with the help of Infinity, Jingxi Company has quickly set off a wave of Internet shopping in China.
They successfully converted Internet traffic of low value in the past into "valuable users" and further realized it.
Created a new business model.
As a result, Jingxi Company's business is booming. Not only has it established its own express company, but it has also established self-operated warehouses across the country, gradually shortening the delivery time to 2-5 days.
Although the company is still in a state of loss, there are still many venture capital companies that are helping them with financing.
Anyone can see that the future profitability of this model is worth looking forward to, and Infinity has invested, which shows that it is really profitable.
As a result, Jingxi Company was not short of money at all during its early expansion.
However, just when they wantonly expand.
Several e-commerce companies emerged one after another in Jiangsu and Zhejiang, such as Babaria, Taobao, Suning.com, etc. They relied on the abundant supply of goods in Jiangsu and Zhejiang, and secretly waged a price war with Jingxi's products.
Many products are even more than half cheaper than those on Jingxi's website.
Although it is said that after joining the WTO, the living standards of Chinese people have begun to improve significantly, but everyone generally maintains a state of diligence and thrift. Who doesn't like cheap things?
During this period, offline brick-and-mortar stores have a very serious situation of ripping off customers.
A pair of men's trousers is priced at 70 yuan. If you directly bargain in half, the merchant can still make double the profit.
On Taobao, which is owned by Barbaria, a piece of clothing sells for only 9.9 yuan, and free postage in the Yangtze River Delta region. This is undoubtedly a huge attraction to many users who are dissatisfied with high shipping costs.
Under Ma Yun's series of marketing methods, many users who were used to shopping on Jingxi's website poured into Taobao one after another, and began to have an impact on Jingxi's business.
Since entering 14, Jingxi Company's user growth in the first quarter was [-]%.
In an environment where the annual growth rate of Internet users in China is close to 40%, Jingxi Company only has a growth rate of 14%, which shows that many potential users are secretly lost.
How to get out of this trough has become Liu Dongqiang's biggest problem at present.
"Qiangzi, why can a piece of clothing be sold so cheaply? Can't your company's merchants lower the price of the product?" Chen Jie was a little puzzled after hearing his story.
It's just a price war, with infinitely strong capital, can't beat a little Barbaria?
There was a wry smile on Liu Dongqiang's face: "Mr. Chen, it's not that simple. Several express companies have been newly established in Hangzhou and Tonglu, contracting all of Barbaria's express services."
"In the Yangtze River Delta region, the urbanization rate is the highest in the country, and the transportation is convenient, so the freight can be reduced to a very low cost. Our own express delivery costs an average of 12 yuan per kilogram."
"Actually, on our Jingxi Company website, the prices of the products sold are relatively high, so this problem is not prominent, but if it is some cheap small commodities, the problem of shipping costs is very serious."
"It's not uncommon for shipping costs to be higher than the product price."
Chen Jie was dumbfounded after hearing this, but he didn't expect the gap to be so big.
"This shows that the e-commerce market has begun to be subdivided. We must focus on high prices, high quality and low prices, and cost performance."
"Of course, it's hard to have both."
Lin Zeju knows the market business best. This company called Barbaria and Taobao.com have read relevant information and know that this is a website that specializes in selling cheap products and small commodities.
The unit price is generally around 5-15 yuan.
The reason why the price can be so low is because many of them are three-no products without brand and quality assurance.
But consumers don't care about these things, they only know that this item is sold very cheaply, and there is free shipping, which is enough.
There are even many people who think that as long as the price of a product is low enough and the quality is not too bad, it can be tolerated.
It's no wonder that Jingxi Company's traffic is constantly losing.
The positioning between the two is different.
Although many people in Huaxia have become rich first, the living standards of the people in most areas are still relatively low. What they first pursue is not the quality of the products, but the price of the products.
This is also a very helpless factor, which cannot be reversed in a short time.
Even Chen Weidong, from the perspective of a reborn person, has no good solution.
In that kind of novel, it is simply nonsense to win a business war and build a business empire by just saying a few words.
A person's destiny, of course, depends on hard work, but the process of history must also be considered
Now in [-], many things are not as perfect as later generations, and various Internet companies have sprung up like mushrooms, and they are now in a period of barbaric growth.
The above is basically a supportive and tolerant attitude towards this.
It is also very easy to curb the development speed of Barbaria. Infinity Company only needs to report to the marketing department that their platform sells fake and shoddy goods, and it can make them hurt for a while.
But this method is too despicable, and it is not the result Chen Weidong wants.
Ma Yun has made contributions to the Internet economy, and he hopes that the two parties can start business competition in a more formal way.
What's more, he also has the forward-looking vision of the times that ordinary people don't have, and he is not necessarily worse than Jack Ma.
Chen Weidong thought for a while and said, "Qiangzi, in fact, you only need to increase the turnover of Jingxi Company, and the problems you mentioned will be solved easily, just like logistics costs, which will gradually come down as the economy develops."
"You don't need to panic about Barbaria's market erosion. You just need to find out the positioning of Jingxi Company to gain a firm foothold in the market."
Liu Dongqiang was thoughtful, but still had no idea: "Mr. Chen, I understand the truth, but now the company's annual transaction volume can barely exceed 20 billion. We have used various promotional methods, but the effect It's still not that big."
"Oh? Did you do Double Eleven?"
"Mr. Chen, what is Double Eleven?"
In Hangzhou, inside a commercial building.
About twenty people are in a spacious conference room, discussing the company's next development layout.
"Mr. Ma, the transaction volume of our platform in the second quarter is 3.17 million yuan, a year-on-year increase of 67%! According to this growth rate, our total transaction volume this year will definitely exceed 10 billion yuan!"
A female employee read out a set of data in public.
Everyone in the conference room was overjoyed, the company was booming, and they were finally going to make it!
The short, thin middle-aged man sitting in the front was also very excited. Under his leadership, Barbaria Company moved from a dilapidated residential building to a luxuriously decorated central business district.
Besides, in February of this year.
They also successfully raised 8200 million US dollars from a number of first-line investment institutions in Jiangsu and Zhejiang, becoming the largest private equity financing in China's Internet industry.
All of this shows that his thinking is correct!
Although they do not have the huge traffic resources of Jingxi Company, the place where they are located is the place with the best business environment and the most abundant product resources in the country.
This means they will be in a better position to compete in domestic or global markets!
Wait until everyone quiets down.
Ma Yun said: "Although we have achieved certain results now, everyone should not be proud. We Barbaria will never stop here. The theme of our meeting today is not to celebrate, but to find ways to further expand the market. , to promote the growth of transaction volume, I don’t know if you have any ideas, you can talk about it.”
"Mr. Ma, we can advertise on those websites with a lot of traffic, push our website more, and hold some promotional activities at the same time."
"By the way, you can also find offline merchants to help us promote."
The following staff talked about several plans in succession, but Ma Yun was not very satisfied.
Although these methods have some effects, they will not achieve explosive growth in transaction volume. Now their company is developing rapidly and has already gained a lot of fame in the Yangtze River Delta region.
But it is also bound to be noticed by many in the industry.
Time is money. Internet companies are very fragile in the early days and are easily attacked by competitors.
Last year, the Infinity Company sent people to try to acquire them, which is the best example.
At this moment, a staff member named Zhang Yong stood up suddenly: "Mr. Ma, we can hold a Singles' Day promotion. On a certain day, we will focus on a large-scale discount promotion. The intensity must be large. This will definitely greatly increase our transaction volume, and at the same time attract more netizens to become our users.”
Ma Yun's eyes lit up immediately after hearing his plan: "What you said makes sense, I think it's feasible! What do you think, Lao Cai?"
The middle-aged man who had been sitting next to Ma Yun, who had been silent, muttered for a while: "Singles' Day is a good idea! How about setting it on November 11th? How about a few bachelors!"
The person who spoke was none other than Barbaria's No. 19 employee, Cai Chongxin.
A few years ago, he gave up a high-paying job of 300 million Hong Kong dollars, resolutely chose to join Barbaria Company, and quickly became the No. [-] person in the company by virtue of his own talent.
Jack Ma has to ask for his opinion on many things.
Afterwards, everyone in the conference room had a heated discussion about the Singles' Day promotion.
It was not until late at night that the meeting was finally adjourned.
This kind of work intensity is commonplace for Internet startups.
After everyone dispersed, Jack Ma returned to the office, took a sip of water to moisten his throat, and then said to Cai Chongxin who was about to get off work: "Old Cai, let's go together tomorrow and ask when the license payment can be approved."
"Well, if there is a result, they would have informed us a long time ago." Cai Chongxin sighed, looking a little frustrated.
The third-party online payment platform is what they have always wanted to do, and this step is directly related to the upper limit of Barbaria's future development.
But this license is very difficult to apply for. It does not mean that you can apply for it if you have all the materials.
In addition, there is another important factor restricting them.
Barbaria has a foreign background and is Japanese.
Chen Weidong immediately notified Lin Zeju, Li Xier and several senior executives from the software department for an impromptu meeting.
"Qiangzi, tell me about the problem you have encountered, and see if we can help you solve it." Chen Weidong glanced at the dusty Liu Dongqiang, and said straight to the point.
"Mr. Chen, it's like this. At present, we have encountered a bottleneck period. The increase in users is not as fast as in previous years. This is not in line with the laws of the market. In the final analysis."
Liu Dongqiang also knew Infinity's work style and didn't like going around in circles, so he organized his language and explained the current crisis that Jingxi Company was facing.
In recent years, with the help of Infinity, Jingxi Company has quickly set off a wave of Internet shopping in China.
They successfully converted Internet traffic of low value in the past into "valuable users" and further realized it.
Created a new business model.
As a result, Jingxi Company's business is booming. Not only has it established its own express company, but it has also established self-operated warehouses across the country, gradually shortening the delivery time to 2-5 days.
Although the company is still in a state of loss, there are still many venture capital companies that are helping them with financing.
Anyone can see that the future profitability of this model is worth looking forward to, and Infinity has invested, which shows that it is really profitable.
As a result, Jingxi Company was not short of money at all during its early expansion.
However, just when they wantonly expand.
Several e-commerce companies emerged one after another in Jiangsu and Zhejiang, such as Babaria, Taobao, Suning.com, etc. They relied on the abundant supply of goods in Jiangsu and Zhejiang, and secretly waged a price war with Jingxi's products.
Many products are even more than half cheaper than those on Jingxi's website.
Although it is said that after joining the WTO, the living standards of Chinese people have begun to improve significantly, but everyone generally maintains a state of diligence and thrift. Who doesn't like cheap things?
During this period, offline brick-and-mortar stores have a very serious situation of ripping off customers.
A pair of men's trousers is priced at 70 yuan. If you directly bargain in half, the merchant can still make double the profit.
On Taobao, which is owned by Barbaria, a piece of clothing sells for only 9.9 yuan, and free postage in the Yangtze River Delta region. This is undoubtedly a huge attraction to many users who are dissatisfied with high shipping costs.
Under Ma Yun's series of marketing methods, many users who were used to shopping on Jingxi's website poured into Taobao one after another, and began to have an impact on Jingxi's business.
Since entering 14, Jingxi Company's user growth in the first quarter was [-]%.
In an environment where the annual growth rate of Internet users in China is close to 40%, Jingxi Company only has a growth rate of 14%, which shows that many potential users are secretly lost.
How to get out of this trough has become Liu Dongqiang's biggest problem at present.
"Qiangzi, why can a piece of clothing be sold so cheaply? Can't your company's merchants lower the price of the product?" Chen Jie was a little puzzled after hearing his story.
It's just a price war, with infinitely strong capital, can't beat a little Barbaria?
There was a wry smile on Liu Dongqiang's face: "Mr. Chen, it's not that simple. Several express companies have been newly established in Hangzhou and Tonglu, contracting all of Barbaria's express services."
"In the Yangtze River Delta region, the urbanization rate is the highest in the country, and the transportation is convenient, so the freight can be reduced to a very low cost. Our own express delivery costs an average of 12 yuan per kilogram."
"Actually, on our Jingxi Company website, the prices of the products sold are relatively high, so this problem is not prominent, but if it is some cheap small commodities, the problem of shipping costs is very serious."
"It's not uncommon for shipping costs to be higher than the product price."
Chen Jie was dumbfounded after hearing this, but he didn't expect the gap to be so big.
"This shows that the e-commerce market has begun to be subdivided. We must focus on high prices, high quality and low prices, and cost performance."
"Of course, it's hard to have both."
Lin Zeju knows the market business best. This company called Barbaria and Taobao.com have read relevant information and know that this is a website that specializes in selling cheap products and small commodities.
The unit price is generally around 5-15 yuan.
The reason why the price can be so low is because many of them are three-no products without brand and quality assurance.
But consumers don't care about these things, they only know that this item is sold very cheaply, and there is free shipping, which is enough.
There are even many people who think that as long as the price of a product is low enough and the quality is not too bad, it can be tolerated.
It's no wonder that Jingxi Company's traffic is constantly losing.
The positioning between the two is different.
Although many people in Huaxia have become rich first, the living standards of the people in most areas are still relatively low. What they first pursue is not the quality of the products, but the price of the products.
This is also a very helpless factor, which cannot be reversed in a short time.
Even Chen Weidong, from the perspective of a reborn person, has no good solution.
In that kind of novel, it is simply nonsense to win a business war and build a business empire by just saying a few words.
A person's destiny, of course, depends on hard work, but the process of history must also be considered
Now in [-], many things are not as perfect as later generations, and various Internet companies have sprung up like mushrooms, and they are now in a period of barbaric growth.
The above is basically a supportive and tolerant attitude towards this.
It is also very easy to curb the development speed of Barbaria. Infinity Company only needs to report to the marketing department that their platform sells fake and shoddy goods, and it can make them hurt for a while.
But this method is too despicable, and it is not the result Chen Weidong wants.
Ma Yun has made contributions to the Internet economy, and he hopes that the two parties can start business competition in a more formal way.
What's more, he also has the forward-looking vision of the times that ordinary people don't have, and he is not necessarily worse than Jack Ma.
Chen Weidong thought for a while and said, "Qiangzi, in fact, you only need to increase the turnover of Jingxi Company, and the problems you mentioned will be solved easily, just like logistics costs, which will gradually come down as the economy develops."
"You don't need to panic about Barbaria's market erosion. You just need to find out the positioning of Jingxi Company to gain a firm foothold in the market."
Liu Dongqiang was thoughtful, but still had no idea: "Mr. Chen, I understand the truth, but now the company's annual transaction volume can barely exceed 20 billion. We have used various promotional methods, but the effect It's still not that big."
"Oh? Did you do Double Eleven?"
"Mr. Chen, what is Double Eleven?"
In Hangzhou, inside a commercial building.
About twenty people are in a spacious conference room, discussing the company's next development layout.
"Mr. Ma, the transaction volume of our platform in the second quarter is 3.17 million yuan, a year-on-year increase of 67%! According to this growth rate, our total transaction volume this year will definitely exceed 10 billion yuan!"
A female employee read out a set of data in public.
Everyone in the conference room was overjoyed, the company was booming, and they were finally going to make it!
The short, thin middle-aged man sitting in the front was also very excited. Under his leadership, Barbaria Company moved from a dilapidated residential building to a luxuriously decorated central business district.
Besides, in February of this year.
They also successfully raised 8200 million US dollars from a number of first-line investment institutions in Jiangsu and Zhejiang, becoming the largest private equity financing in China's Internet industry.
All of this shows that his thinking is correct!
Although they do not have the huge traffic resources of Jingxi Company, the place where they are located is the place with the best business environment and the most abundant product resources in the country.
This means they will be in a better position to compete in domestic or global markets!
Wait until everyone quiets down.
Ma Yun said: "Although we have achieved certain results now, everyone should not be proud. We Barbaria will never stop here. The theme of our meeting today is not to celebrate, but to find ways to further expand the market. , to promote the growth of transaction volume, I don’t know if you have any ideas, you can talk about it.”
"Mr. Ma, we can advertise on those websites with a lot of traffic, push our website more, and hold some promotional activities at the same time."
"By the way, you can also find offline merchants to help us promote."
The following staff talked about several plans in succession, but Ma Yun was not very satisfied.
Although these methods have some effects, they will not achieve explosive growth in transaction volume. Now their company is developing rapidly and has already gained a lot of fame in the Yangtze River Delta region.
But it is also bound to be noticed by many in the industry.
Time is money. Internet companies are very fragile in the early days and are easily attacked by competitors.
Last year, the Infinity Company sent people to try to acquire them, which is the best example.
At this moment, a staff member named Zhang Yong stood up suddenly: "Mr. Ma, we can hold a Singles' Day promotion. On a certain day, we will focus on a large-scale discount promotion. The intensity must be large. This will definitely greatly increase our transaction volume, and at the same time attract more netizens to become our users.”
Ma Yun's eyes lit up immediately after hearing his plan: "What you said makes sense, I think it's feasible! What do you think, Lao Cai?"
The middle-aged man who had been sitting next to Ma Yun, who had been silent, muttered for a while: "Singles' Day is a good idea! How about setting it on November 11th? How about a few bachelors!"
The person who spoke was none other than Barbaria's No. 19 employee, Cai Chongxin.
A few years ago, he gave up a high-paying job of 300 million Hong Kong dollars, resolutely chose to join Barbaria Company, and quickly became the No. [-] person in the company by virtue of his own talent.
Jack Ma has to ask for his opinion on many things.
Afterwards, everyone in the conference room had a heated discussion about the Singles' Day promotion.
It was not until late at night that the meeting was finally adjourned.
This kind of work intensity is commonplace for Internet startups.
After everyone dispersed, Jack Ma returned to the office, took a sip of water to moisten his throat, and then said to Cai Chongxin who was about to get off work: "Old Cai, let's go together tomorrow and ask when the license payment can be approved."
"Well, if there is a result, they would have informed us a long time ago." Cai Chongxin sighed, looking a little frustrated.
The third-party online payment platform is what they have always wanted to do, and this step is directly related to the upper limit of Barbaria's future development.
But this license is very difficult to apply for. It does not mean that you can apply for it if you have all the materials.
In addition, there is another important factor restricting them.
Barbaria has a foreign background and is Japanese.
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