Yang Yuanqing: The Internet Can Not Subvert Traditional Industries.

Yang Yuanqing, today, I want to share with you two views: one is to talk about the current Internet fever, and the two is to talk about the views of the Internet in the era of good faith management.

I think these two points should be done well, which is the driving force of growth. If it is not done well, it is resistance to growth.

In recent years, the concept of Internet has been heated up. It seems that everything is available with the Internet, and the Internet can subvert all traditional enterprises.

A few days ago, I talked with entrepreneurs and friends. We all think that the concept of Internet has been exaggerated so that there are two extremes in society.

One is the fear that traditional industries will be subverted by the Internet, for fear that they will not keep pace with the changes of the times.

The other is impetuosity, which shows superstition and the Internet is the only way for Internet Co to succeed.

Eager to get ahead, it wants to invest quickly through the Internet concept, ignoring the needs of healthy enterprises and the construction of value chain.

It is undeniable that the Internet has indeed led to changes in all sectors of the industry.

Today, developers can interact directly with customers, so that products can be more close to customer needs.

The upgrading of software products is faster than ever. The marketing method is different from the promotion of hard advertising in the past. With the help of social media and interactive marketing, enterprises can promote their customers to more accurately.

In the sales channel, the online mode really gives users more convenience, but also reduces the cost of the channel to the manufacturers.

On the other hand, there are many online services such as online consultation, interaction between forum users, and so on.

Therefore, the Internet has indeed made progress, and the impact of the Internet on some industries can be revolutionary, for example, the media industry, the game industry, and some electronic industries.

But obviously, the Internet can not take the place of everything. It can not replace product innovation, and can not replace technology research and development, manufacturing and supply chain management.

The Internet has not and can not subvert the fundamental value and core value of traditional industries.

It is like a steam engine and electric power that pushes forward the first two revolutions. It is a tool to liberate the productive forces.

We can use it to improve business models to promote efficiency.

Therefore, there is no need for the traditional industries to have fear and resistance to the Internet. Internet finance has brought more convenient means of investment and financial management to users, but it can not change the core value of traditional finance, that is, risk management.

Taxi software can bring convenience to passengers and taxi drivers, but it can not replace drivers and passengers. In fact, its essence is to get users of future electronic payment and the value of their bank cards.

Smartphone manufacturers can recommend applications to users through mobile phones to expand their profit margins, but they can not replace the value of R & D and manufacturing of mobile phones.

Of course, there are always some people who want to take the shortcut, hoping to use the Internet to get business success quickly. Some even outsource all other links, mainly in marketing links, hoping to achieve rapid success and thus turn to capital market funds.

They do not think about how to train their internal strength, how to do research and development, how to control the quality of products, manage the supply chain well, and do after-sale services well.

Such a business model will prove that it will not work at all. They want users to always be hungry, product quality and after-sales service frequently appear problems, and consumers complain constantly.

They forget the short board theory of enterprise success, which is definitely not a sustainable development mode.

So we have to open both arms and embrace the Internet, but we can't deified it.

The Internet has not changed the essence of most traditional industries, nor will it change traditional industries, because it can not replace their core values. It is just a tool for traditional industries to improve their business processes and enhance their effectiveness.

Through the hustle and bustle of the Internet, we can see that its core is still serving good customers and products.

I think we should all learn from an enterprise, which is HUAWEI. On the one hand, they actively pform their business mode through the Internet. On the other hand, they insist on advocating less profound spirit and focusing on their core competitiveness.

So such enterprises, we think not only will not be subverted, but will become stronger and stronger in the Internet age, so this is the first point.

The second point is that with the vigorous development of the Internet, the credibility issue is more prominent and more important than ever.

Some enterprises and individuals make use of the Internet to get information easily and to propagate quickly, so as to follow the rules of the market and challenge the moral bottom line to seek fame and gain, so as to achieve the purpose of fast money collection.

Now many Internet applications are trying to get more authorized users to get information about your contacts, your phone records, SMS, location and so on.

Some enterprises will get rid of the information and sell them to the user.

For example, all of you here have received various forms of harassing phone calls, harassing short messages, being swindled, and constantly being sucked into fees. Some enterprises have been unable to see the unhealthy and illegal contents in order to gain traffic, and some enterprises are also making false statements about the number of users and money in the capital market.

Some people even get to fame, whether it is positive or negative information, get the Internet to go to the sun, to fry.

Jocie Guo can be popular in China, even after being exposed by deception, and we can not help asking what is wrong with our society. Where is our integrity? This is largely due to the imperfection of the laws and regulations and the inadequate supervision by the government.

Recently, the Chinese government is launching.

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The action has punished many enterprises' money.

Some people abroad think that this is specifically aimed at multinational enterprises, but my answer is that it is not that we have done much lately, we have done too much, but we have done so little in the past that we think we do not have this requirement and we should not have such regulation.

Whether it's a multinational company or a domestic enterprise, we all think that the practice we used to do is no problem, and it will always work.

But in fact, it is precisely because the laws and regulations are not in place and the market supervision is not effective enough to let those multinational enterprises that are law-abiding and trustworthy in foreign countries enjoy high reputation. When they come to the Chinese market, they not only bring the fair competition and good faith business brought about by the market, but rely on monopoly and rely on private agreements to make huge profits.

There are even some fraudulent practices. The supermarket deliberately misplaced the production date and sold the meat that was out of date in the processing factory to the restaurant. I believe it is unthinkable in the developed countries.

The case in reverse is also the same. Some of our domestic enterprises have had a good time in China.

But as soon as they go abroad, they operate in accordance with the way China is accustomed to, and soon they are exposed, and everywhere they run into a wall, such as revealing user privacy.

Untrustworthy behavior is bound to bring about injustice.

If he uses false numbers to circle investors' money, will he care about the unhealthy business? This is unfair to the steadfast enterprises. Unfair will have a negative impact on the economy.

Dishonesty will become a huge negative asset for Chinese enterprises to go out, which will lead to a significant increase in our competitive cost in the international market.

So here I would like to call on our enterprises to be strict in self-discipline, to operate good brands with integrity, and to serve good customers.

Fame and fortune are not real success at any time. Long term healthy development is the goal that enterprises should pursue.

At the same time, I hope that the government can call on the government to strengthen legislation, strengthen supervision, establish a fair and just market order, leave no vacuum, let untrustworthy behavior have no opportunity to purify the impetuous spirit in the market, and breed more competitive enterprises with international competitiveness and sustainable development. This will be the driving force for the sustainable development of our economy.