Chapter 876 Vicious
The money-burning war between Ba E-commerce and Alibaba is becoming increasingly fierce, which reminds Liu Chen of the battle between Didi and Kuai in his previous life.
Since the release of taxi apps in the second half of 2012, fierce competition has never stopped. When Didi Taxi and Kuaidi Taxi quickly found the "financial owners" Tengxun and Alibaba, they began to monopolize the market, and other taxi apps quickly disappeared.
In the next year, the two giants, Didi Taxi and Kuaidi Taxi, launched a life-and-death competition, burning about 2 billion yuan! As a result, although no one could do anything to each other, the model of burning money to compete in the market has been fixed.
The final result of this war was that Didi and Kuaidi announced that they had achieved a strategic merger. The new company will implement a co-CEO system, and the two companies' CEOs serve as joint CEOs. The two companies remain unchanged in their personnel structure, their businesses continue to develop in parallel, and their respective brands and business independence will be retained.
Liu Chen later thought about this question, why did Didi and Kuaidi merge unexpectedly?
After thinking about the reason carefully, he made this judgment: Didi and Kuaidi both entered an ineffective game: neither party can withdraw, and once they exit, the other party will take all; they can only continue to burn money; the user is very utilitarian, whoever gives the red envelope will not be settled.
Therefore, merger is an inevitable result.
Then he focused on the game between Ba E-commerce and Alibaba, and Liu Chen also thought about the final outcome.
If you compete for financial resources, the current e-commerce industry cannot be compared with Alibaba. After all, SoftBank and Yahoo are behind them.
Although Liu Chen is young and promising, it is unrealistic to compete with these two world-class consortiums in such a short period of time.
Therefore, he did not think that he could kill Alibao in burning money. All he had to do was to persevere until a certain point in time, until Ma Yun and Sun Ziyi didn't want to continue burning money.
He once thought about a question: In his previous life, Alibaba Bao was so large, but why is it not the only one in the Chinese e-commerce industry? There are several other companies competing and have a considerable market share.
This problem troubled him for a long time, but he didn't think of it in the end.
This time, Alibaba took the initiative to provoke a dispute and wanted to ban and suppress the domineering e-commerce, which made him have some thoughts.
It is unrealistic for Alibaba to kill Ba E-commerce. Similarly, it is impossible for Ba E-commerce to make Alibaba E-commerce disappear like Jiangdong E-commerce.
There should be a balance between two opposing companies, which can be conflicts and competition, but it cannot rise to the point where you have to fight to the death.
To put it more in detail, the company must have its own positioning.
The positioning of Ba E-commerce is already very clear. Relying on the super logistics center, it realizes 24-hour express delivery and adopts direct sales method, which is more guaranteed for the quality of products, and the possibility of counterfeit and shoddy products is very low.
In order to meet supply needs, Ba E-commerce also allowed some self-operated stores of small and medium-sized manufacturers.
With the establishment of super logistics centers, in theory, these self-operated stores should be withdrawn so that they can achieve self-operation in a complete sense.
However, Liu Chen was worried that if he did this, it would cause dissatisfaction among these stores and make things worse, saying that the e-commerce company would unload the donkey and kill the donkey, which would have a bad impact on the e-commerce company at that time.
So he reminded Cao Rong that the best way for these self-operated stores is to incorporate them into the super logistics center and screen these manufacturers. Qualified manufacturers will serve as suppliers to dominate e-commerce.
This is to ensure the quality of the products sold by Ba E-commerce and avoid counterfeit goods.
It is unrealistic to completely avoid fakes. No e-commerce company in the world can do it, but it is feasible to avoid them as much as possible.
At this point, Alibaba has taken a completely different path from Ba E-commerce.
When Alibaba was listed in the United States in his previous life, the latest issue of Forbes magazine was Ma Yun, the cover title: Unstoppable, second title: His empire of 200 billion was built on the mountain piled up by counterfeit goods.
From this we can see that in the eyes of foreigners, Alibao is synonymous with fake goods.
Since Liu Chen started his e-commerce business, he has been very concerned about the issue of counterfeit goods. This concept also had a profound impact on Liu Jiang. Later, Jiangdong E-commerce adopted the self-operated method.
But it is not that fakes must be eliminated. At least, Alibaba has proved with facts that the existence of fakes also has its meaning.
Because of their different positioning and market orientation, BaE-commerce and Alibaba Bao have the possibility of symbiosis.
Liu Chen has been looking at him for a long time. He doesn't know if Ma Yun and Sun Ziyi have realized this.
However, Liu Chen felt that they should not realize it. After all, he had returned from time to time and knew many things they didn't know.
The more you know, the more comprehensive the perspective you think about problems.
This time, General Liu started the incident, which in Liu Chen's eyes was a double-edged sword.
It is very worth using billions of funds to completely lay the structure of the Chinese e-commerce industry and create two business empires of hundreds of billions of yuan.
The final result of Didi and Kuaidi’s money-burning battle was that Didi’s market value exceeded 50 billion US dollars.
The only difference between Ba E-commerce and Alibaba’s money-burning war is that the two companies will not merge.
Liu Chen cannot sell the e-commerce company, and Ma Yun cannot sell Alibaba Bao.
As a truly passionate businessman, he will not sell his dreams at will.
Liu Chen had already seen the ending when the money-burning war was in full swing, which was why he asked Cao Rong to let go.
Otherwise, who would foolishly spend hundreds of millions of dollars in?
However, one of the problems facing him now is that Ma Yun and Sun Ziyi do not have such a long-term vision, and Liu Jiang is determined to kill the e-commerce company.
Although the foreseeable outcome is beneficial and acceptable to both parties, at least when the money is burned to a certain extent and both companies feel pain, things will turn around.
Otherwise, if they go to Ma Yun and Sun Ziyi to talk about this matter, they probably won’t believe them and will continue to burn money until Ba E-commerce can’t hold on.
In their opinion, it is most beneficial for Alibaba to make the collapse of e-commerce in the world.
Next, it depends on whether Ba E-commerce can persist until Alibaba realizes that it will not work to continue burning money.
"No matter when it is, living is the most important thing."
"This is how human life is, and it is like a company and a company. Only by living can we have unlimited opportunities and infinitely bright futures."
Liu Chen sighed.
Chapter completed!