The Millennium Semiconductor Survival Guide.

Chapter 192 Wild Hope (4K)

NewPay has established a subsidiary in China, focusing on the electronic confirmation of cross-border e-commerce.

This is the business model mentioned by Zhou Xin and Jack Ma at the previous Internet conference. Customers use their NewPay account to store the payment in NewPay's virtual account, and the payment will be settled after the goods are settled.

This approach has helped Alibaba stand out in China's B2B e-commerce market without rivals.Because the largest foreign trade target of Huaguo is American, NewPay has strong credibility in both American and Huaguo. Huaguo people are out of trust in Zhou Xin, and American people are out of trust in NewPay. trust.

NewPay has been able to operate to this day, and there is absolutely no problem with its reputation.For American’s foreign trade companies, they even hope that NewPay’s illegal operations will freeze funds, so that they can use legal means to claim a sum from NewPay.Such claims are at least in tens of millions of dollars.

NewPay is essentially a Chinese company with American capital behind it, and the actual control is firmly in the hands of Zhou Xin. The American judiciary will not favor NewPay when making a judgment.

Later generations of giants such as Google, Apple, and FB also have European capital holdings behind them, but they are still sued by European anti-monopoly every year for a reason of huge fines.

Compared with NetEase and Sohu, Ali has actually enjoyed the dividends brought by the resources behind Zhouxin. In the initial stage, among the large number of B2B cross-border e-commerce companies in the country, only Alibaba can obtain the electronic confirmation support of NewPay .

Compared with Tencent, it is a bit lackluster. Even without Alibaba, NewPay will do this, just change a partner.

Moreover, NewPay's electronic title confirmation currently only supports American's cross-border business. Due to the different levels of electronic payment implementation in various countries, the degree of business support for other regions of the world is extremely limited.

However, NewPay cannot be rolled out in other countries, not only because of laws and regulations. For Korea, Korea formulated an electronic trade agreement in 2001, which clearly stated that it supports electronic financial transactions.

NewPay wanted to use this as an opportunity to enter the Korean market, but no matter what kind of lobbying, the Korean government refused to open the license to NewPay.

Korea's local enterprise protection policy is not weaker than that of Huaguo. The mainstream electronic payment software in most other countries is PayPal, while in Korea it is kakao Pay.

In this context, Alibaba and Jack Ma hope to obtain more resource support from Zhou Xin.

"I think the online Wal-Mart can be completely handed over to Alibaba, Tencent is responsible for the enterprise QQ business, and Ali is responsible for the online supermarket business.

Huaguo and American have completely different environments in terms of many infrastructures. It is possible to build an online supermarket in American, but it will definitely not be possible to do it in China.

The domestic supermarket industry, let alone giants, cannot even concentrate on a few supermarket brands within a province. Every city has local supermarkets and provincial supermarkets, and first- and second-tier cities also have national supermarket brands and foreign supermarkets.

This leads to huge operating costs in China, because you have to talk to supermarkets of different brands separately. In addition, the lack of support for electronic payment in China is also a big problem. Users have not even developed the habit of online shopping, so I want them to shop in supermarkets. It is unrealistic to get used to changing from offline to online. "

Jack Ma undoubtedly has a very keen sense of smell in this regard. He achieved a monopoly position in B2B in later generations and was able to switch to C2C business on a large scale. When Taobao was in full swing, he was able to persist in making Alibaba Cloud down.

Let’s not talk about Alipay. This is a track that anyone with a discerning eye can see. Taobao’s C2C business and Alibaba Cloud did not have very successful cases at home and abroad at that time.Foreign ebay is also a C2C model, but it is obviously not as good as B2C Amazon in terms of commercial value.

"American is completely different. There are chain brands in large, medium and small supermarkets, because chain brands can purchase on a large scale and gain the initiative to bargain in the supply chain. This also leads to the promotion of online supermarkets. Only You just need to talk to the headquarters, and talk about a supermarket brand that can radiate to a large area.

I have carefully studied Zhou Xin's top-level design of all Internet products. His consideration is never the product itself, but he hopes to use the product to achieve many purposes.

If I go to American to build an online supermarket, even if I am just a service provider, helping Wal-Mart and Carrefour to build systems, and Alibaba just does this kind of outsourced system development work, I can still find the value we can realize.

That is the data. We can get the sales data of American’s products in each region, and then find comparable products in China, help domestic manufacturing companies connect with American’s supermarkets, and help domestic products sell to American. .

It seems worthless to make a system, but the data obtained behind it is very valuable, and what domestic products lack is exposure, and what is lacking is the opportunity for foreign countries to see. We, as an intermediary, give them this opportunity. Control has a natural advantage.

Joey, you and I have visited many foreign trade companies in the Yangtze River Delta region. When you were in the Lion City two years ago, could you have imagined that the original factory prices of products in the Yangtze River Delta could be so low?
And the biggest unresolved benefit for the entire foreign trade industry this year is whether Huaguo can successfully join the WTO this year. According to my colleagues in the Ministry of Foreign Trade and Economic Cooperation, the probability of joining the WTO this year is at least [-]%. "

Cai Chongxin is also very excited. Ali is mainly engaged in B2B e-commerce. To put it bluntly, it is helping small and medium-sized manufacturing companies in Huaguo find foreign customers and help them sell their products. Cai Chongxin is very aware of the impact of joining the WTO on the domestic foreign trade industry. What it means means that the domestic manufacturing industry can form a scale effect.

If you look at it higher, you will know that Huaguo enterprises have the opportunity to grow bigger, which means that they will have excess profits to invest in research and development in the future.

Cai Chongxin said: "Jack, our business model is very clear. We just need to stabilize our current No. 2 position in the B40B field, and then rely on Huaguo's accession to the WTO to go public on NASDAQ or Xiangjiang. Newman has Ali in his hands. [-]% of the shares, which is particularly advantageous for us when we go public.

Overseas investors will go crazy when they see the name Newman, and they will lose their minds. Regardless of our business model and business form, as long as there are no obvious loopholes in the financial statements, it is easy to find investors who are willing to buy Alibaba shares. .

I feel that after seeing the success of Tencent going overseas, your mentality has changed. In fact, Tencent and our business form are completely different. Newman did not entrust the business of online supermarket shopping to Tencent. Tencent’s overseas business is only limited. on instant messaging software.

Let's lay a solid foundation first. In the future, we will definitely have the opportunity to go overseas. Now our annual profit is only 1000 million US dollars. This amount of money can't afford any splash in Silicon Valley. "

Cai Chongxin and Jack Ma have also worked together for three years, and the friendship between them is very good. Some words can only be heard by Cai Chongxin, and Jack Ma will listen to them.

Cai Chongxin gave up the annual salary of 500 million RMB, and went to Alibaba to get a monthly salary of 500 RMB, which was very exciting for Jack Ma.From the moment Cai Chongxin agreed to work with him, Jack Ma quickly thought of an allusion in his mind, that Lu Buwei's rare goods can live.

Judging from the results, Alibaba's growth rate did not disappoint Cai Chongxin. In just over a year, Alibaba became the leader of B2B e-commerce in Huaguo, widening the essential gap with other e-commerce platforms.

Cai Chongxin said seriously: "At the end of 1999, when you, Peng Lei, and Zhang Ying were discussing in the conference room, no one could find our core competitiveness.

If it is just an intermediary, why should merchants choose Alibaba?

At that time, we disbanded all the teams outside Hangzhou and successfully obtained investment from Newman. NewPay's electronic confirmation of rights helped Alibaba find its core competitiveness.

We survived the Nasdaq storm and are doing well. The one on Pony is just Southern Weekly, and you were on the cover of Forbes last year, and you must know that it is the global edition of Forbes magazine.

You are the first native Chinese entrepreneur to be on the cover of Forbes in 50 years.

Alibaba is not bad. What we need to do now is not to expand blindly, not to go to American to expand our business. We don’t have the strength now.

I don't deny that going to American and going to sea can bring us excess income and unimaginable benefits, but not now.

Now we need to find a way for Alibaba to survive without Newman.

I mean, if the electronic confirmation of NewPay is open to other B2B e-commerce platforms in the future, what is the core competitiveness of Alibaba?
If NewPay's electronic title confirmation function is closed to Alibaba and opened to other platforms, how will Alibaba survive. "

Cai Chongxin's words were very sharp and hit the point directly, almost hitting Jack Ma's thoughts.

Jack Ma said: "Your concern is also my concern. Ali's executive team has talked to me about this issue on different occasions and at different times, that is, once Zhou Xin moves on, he no longer favors Alibaba. , what shall we do?
I asked Peng Lei to study other electronic payment software of American, such as X.com, Square, Amazon payment and ebay payment. None of these payment software can replace NewPay.

First of all, let’s not discuss whether these American’s electronic payment software will cooperate with Alibaba to engage in the thankless electronic confirmation business. Even if they are willing to cooperate with us, their reputation, user coverage, and domestic corporate recognition It can't be compared with NewPay at all.

And in the foreseeable future, these electronic payment software will only be widened by NewPay.

As for our own payment software?This is unrealistic. Amazon and eBay have not produced good results. Alibaba is going to American to make electronic payments, which is not realistic at all.

So I want to go to American to build an online supermarket, which is also based on this consideration.

If NewPay does not support Alibaba, then we can use the data of online supermarkets to create trading opportunities for small and medium-sized enterprises in Huaguo. Data and relationships will become the second leg of Alibaba.

NewPay has been cooperating with Alibaba in the future. We have a good cooperative relationship, so there is no problem, and this does not affect our online supermarket.

Let me talk about my thinking. American’s supermarkets have a wide variety of products. Except for agricultural products, which are unrealistic to export to China, almost all other products can be exported to China.

Originally, the ex-factory price of products from Eastern Europe, Neon, and Korea was $10, while Huaguo’s products only cost $1. Even if the ex-factory price of Huaguo’s products was $1, Huaguo’s companies still had 70% of the profit, which means their The cost is only 0.3 USD.

And after we facilitated the transaction, we charged from the transaction between Huaguo Enterprise and the buyer of American. We adopted a commission system. The ex-factory price of Huaguo Enterprise was 1 US dollar, so we took 10% of it.

This is a win-win situation. American Supermarket and consumers have obtained cheap goods, Huaguo enterprises have obtained export opportunities, and we have also found a new source of profit. "

There are very few win-win things in the world. Who is the loser in Jack Ma's conception?The original suppliers of American Supermarket, Korea, Neon, and Eastern European companies.

In later generations, Huaguo is known as the shredder of developed countries. In fact, Huaguo has not yet reached the level of shredders of developed countries. The first to be shredded by Huaguo is definitely the developing countries, because they are the main competitors of low-end manufacturing.

When the developing countries are almost done, it will be the turn of the two brothers Nihong and Gaoli.

Jack Ma went on to say: "We were originally a middleman who facilitated the transaction, and we were originally a passive facilitator.

We just help companies post information on the Internet, establish a membership mechanism, and find NewPay to empower them around transaction credibility. These are all passive mechanism construction tasks. We have built the Ali platform.

What we need to do next is to more proactively facilitate the connection between foreign demand and domestic manufacturing.

The future of Alibaba absolutely lies here. "

Cai Chongxin realized that the way Jack Ma said may not be unfeasible.

Jack Ma went on to say: "We also do online shopping websites when we go overseas, and there are still a lot of similar demands overseas.

It is impossible for them to do all the business by themselves. I plan to talk to Zhou Xin and hope to get support from him. If he does not support it, we will go out and do it ourselves.

In fact, the cost will not be very high. We only need a sales team and a system deployment team to go to American. This does not require many people, and the development is still in China.

Compared with Silicon Valley, domestic software development engineers are much cheaper.

Tencent can put R&D in China, why can't we put development in China?
So the cost is not as high as you think.

And if we find the project, then the project itself will bring us benefits.

I am now more and more aware of the importance of data. It is not enough for enterprises to develop informatization, and data-driven has a longer-term future. "

At almost the same time, Tencent rented a floor in Silicon Valley as an office area. Zhou Xin was chatting with Pony Ma: "The future development path of enterprise qq must be digital.

Enterprise qq needs to do business intelligence to bring greater value to consumer enterprises from the data level. "

　Sluggish, only 4k today.

　　The recent chapters belong to the marginal influence brought by the Mphone. After these are finished, I plan to write about the academia.

　　
　
(End of this chapter)