Chapter 563

Listening to Fang zhexin's sworn remarks, President Liu first brightened his eyes, followed by a frown.

At first, President Liu was relieved to hear Fang zhe say that JD will not lose the competition with ALI, but then he thought, won't lose? How can you just not lose? Is president Fang so optimistic about JD that he thinks JD can't win Ali?

Fang zhe looked at President Liu's slightly wrinkled eyebrows and said clearly in his heart: "Taobao and tmall under Ali are all large and comprehensive e-commerce models. Although JD has developed from 3C products to now, it also covers many categories, but the foundation and plates are not small behind Ali after all.

Jingdong's current business model, like Amazon abroad, has two types: self-supporting and third-party. This model of competing for profits with businesses is doomed that many businesses will be wary of Jingdong.

If tmall can only choose one platform between tmall and jd.com every day, do you think the merchant will choose tmall or jd.com? "

President Liu was shocked by Fang Zhe's idea. In fact, this unreasonable demand for businesses to choose one from the other did happen in previous lives. When tmall and JD competed, both of them put forward an outrageous demand for one from the other. Later, under the high pressure of the above regulators, the two gave up this means of suspected unfair competition.

President Liu was surprised and afraid. If tmall really offered a condition for businesses to choose between tmall and JD, I'm afraid most businesses would give up JD to choose tmall, because tmall's users and profit space are much larger than JD.

On the contrary, on the Jingdong platform, there are Jingdong self operated flagship stores competing for profits with merchants, which makes many merchants very disgusted. Whenever any commodity makes money, Jingdong will include any commodity into the self operated scope, and in most cases, self operated commodities are also displayed in the forefront of search.

In the words of many businesses, they prefer other businesses to sell more than they do, rather than Jingdong self operated stores to sell more than they do, because the behavior of this platform competing for profits with businesses is too annoying.

President Liu's state of mind was confused by Fang Zhe's words. In his heart, he always believed that JD's second son was only temporary. Sooner or later, JD would defeat Alibaba like Amazon defeated eBay abroad.

What Fang zhe wanted was to let him recognize the reality, first hold his second place firmly, and then, like in his previous life, he was almost surpassed by rising stars.

Fang zhe looked at President Liu's mind, which had been struggling for a long time, and comforted him by saying: "Mr. Liu, I don't think you should let Alibaba become the devil of you and JD. Alibaba is certainly JD's competitor, but JD should do its own thing first. As long as JD can operate its business like an iron bucket, Mr. Ma can only watch JD grow slowly even if he is so angry."

Hearing Fang Zhe's comforting tone, President Liu's mind slowly calmed down. Then he put on a bitter gourd face and complained to Fang zhe:

"President Fang, what you said is simple. Since we learned that Ali was going to take the lead in setting up a rookie network, the executives and I didn't know how many meetings we had, but until now, there was still no particularly good response. I had to come to you!"

President Liu has completely lowered his posture in front of Fang Zhe. Regardless of the strength gap between JD and Huizhong, President Liu is asking for Fang Zhe. It's not awkward for you to say it one by one.

Fang zhe pretended to be modest, waved his hand and said, "there's nothing to ask for. Huizhong is a shareholder of Jingdong. It's what I should do to offer advice and suggestions for Jingdong."

President Liu's eyelids jumped several times, and he had a new understanding of Fang Zhe's cheekiness.

Fang zhe ignored his look and continued: "although Huizhong has no e-commerce business, it has invested in many e-commerce companies. President Liu, do you know the standards and conditions for Huizhong's investment?"

President Liu looks depressed. He knows that Fang zhe suddenly asks a question, probably to inspire him, but... He really doesn't know what Fang zhe wants to say.

Looking at the depressed expression on President Liu's face, Fang Zhe's face solidified, then sighed and said, "forget it, I shouldn't ask a hungry person how to cook rice. I should bring it directly to him."

President Liu was even more embarrassed. Fang zhe directly explained:

"One of the criteria and conditions for our investment is to see whether there is room for the company's business. If so many e-commerce platforms across the country do well in their business, do you think we will invest in it?"

President Fang, do you mean "differentiated competition"? President Liu asked tentatively.

Seeing Fang zhe nodding, President Liu finally breathed a sigh of relief. If he didn't understand, he was afraid that Fang zhe would doubt his IQ.

Following Fang Zhe's idea of differentiated competition, President Liu suddenly thought that the e-commerce platforms invested by Huizhong in recent years are basically vertical e-commerce platforms, from honey bud, which focuses on mother and baby products, to aimei.com, which focuses on beauty products.

Even when Huizhong invested in JD, JD's main business was only 3C electronic products. Later, President Liu was not satisfied with the low ceiling of the vertical e-commerce platform, which challenged Ali and began to expand for a full range of commodities.

If we compete according to Fang Zhe's differentiation, is it difficult for JD to reverse and cut off other businesses to specialize in 3C? Looking at President Liu's suspicious eyes, Fang zhe once again felt that his previous judgment was correct. President Liu Jingdong had no talent in e-commerce at all.

"Differentiated competition means that you and JD should not always think about surpassing Taobao or tmall in terms of transaction volume, number of users and Gmv. Instead, you should calm down and do a good job in your business.

Know yourself and know the enemy. Taobao and tmall are large and comprehensive commodity routes, and 3C products are JD's advantages. JD should first ensure and expand these advantages, and then think about competing with Taobao and tmall from other categories.

The current situation is that tmall is introducing various official flagship stores to make up for the shortcomings of 3C electronic products, while Jingdong wants to keep up with Taobao and tmall in terms of commodity types. As a result, the business front is getting longer and longer.

Taobao and tmall are C2C and B2C models. Goods and commodities are owned by businesses and individuals. They are not afraid of overstocking. But what about Jingdong? What kind of goods should be self operated and what kind of goods should be hoarded. In the long run, Jingdong's profit space is not to mention, and the operation cost is rising sharply.

Moreover, in addition to commodity self-operation, JD's logistics system is also built by itself. The storage cost and the labor cost of hundreds of thousands of couriers are rising all the time. Now JD is still in the expansion period and can't see any problems. However, in the future, once the user bonus is exhausted and JD's development enters the plateau area, these heavy asset costs will directly drag JD down.

I don't need to say that we should develop strengths and avoid weaknesses. We should give full play to JD's existing advantages and solve the exposed problems at the same time. "

Fang Zhe's words made president Liu's cold sweat flow. Listening to Fang Zhe's meaning, Jingdong seemed to be terminally ill. However, President Liu thought carefully. Everything Fang zhe said was right. Now Jingdong is still in the period of rapid expansion. These problems have not been exposed, but once Jingdong's development slows down, these problems will inevitably erupt, Only with Fang Zhe's insight like a torch can we see the hidden dangers and scourges that Jingdong has buried since the beginning of its development.

In a cold sweat, President Liu looked at Fang Zhe and asked, "president Fang."

Fang zhe stood up and said, "President Liu, there is a ready-made example in foreign countries. Why don't you learn from him? The business models of JD and Amazon are so similar. The problems encountered by JD and Amazon must have encountered the same problems. How can he solve them? Can you follow them?"

President Liu suddenly realized and patted his head. Yes, just follow Amazon. If JD introduces Amazon's investment in the future, will the competition between JD and Ali become the competition between JD + Amazon and Ali?