8 Business Models of China’s Manufacturing Industry
Chinese enterprises will be divided into three categories in the future.
First-class enterprises: Platform
Second-class enterprises: Product
Third-class enterprises: Service
First-class enterprises
The mission of the first-class enterprises is to make the platform. They sell the value by the idea, build the standard, and win the future.
According to Harvard University Thomas Eisman's research, the world's largest 100 companies have 60 major business income from the platform business model. More than 100 unicorn enterprises around the world, more than 70% enterpries use the platform model. Thus, it was argued that traditional linear companies would increasingly be replaced by platform-based companies when the Internet reorganized industrial resources into deepwater areas.
And in essence, platform is to make the role of value creators highlighted, and produce continuity, radiation effects. The future trend of China's economy should be platform economy and share the economy.
From China in recent years, the power of the platform, social platform, about the platform for the trend, and then to the specific Taobao sales platform, Apple's App Store platform, all prove that this is a platform of the times. Entrepreneurial platform thinking and the enterprise's own platform will become an important proposition of corporate strategy.
"Either become a platform, or join the platform", which is the future industry competition rules, and may become the next enterprise market outlet. To create a platform-type ecology, will become the industry aspirations of entrepreneurs to pursue the realm of business, and from the market point of view, only the platform of eco-type enterprises are expected to become the market value of 100 billion market.
China 's Internet Evolution
Internet 1.0: Reconstruction of information flow-based industry. Media, advertising, retail and other formats were first modified; many one-way communication of the integrated portal site was born, with huge click traffic to create information symmetry channel, such as the early Sohu, Netease and so on.
Internet 2.0: Reconfigure the short supply chain of services. Travel, life services and other fields have staged O2O revolution; such as Ctrip, cat earthen (Tripadvisor) and other OTA website, they with the development of mobile Internet to achieve the efficiency of people docking.
Internet 3.0: Reconstruction of the supply chain for longer manufacturing. Internet of things, supply chain finance and other technologies are reshaping the traditional manufacturing industry, to rejuvenate the new value. Internet of things to solve the problem of all things interconnection, and the industrial chain of eco-building is also to promote the free sharing of data, the value of on-demand distribution, the ultimate goal is to quickly respond to customer needs, reduce the supply chain link in the cost of waste, improve production efficiency , And the entire industry have a profound impact.
Supply Chain
The future supply chain chain will be upstream, from the "production and sales" model change for the "production", from the United States Group "T + 3 value chain change", Suning "CPFR (collaborative supply chain inventory management) "And other supply chain reform, it must be the first consumer demand, and then to the producers began to respond to demand.
Jay Forrester Professor Jay Forrester in 1961 put forward the bullwhip effect is a good description of the traditional supply chain, due to the existence of the bullwhip effect, the demand from the terminal market step by step amplification, and ultimately lead to supply and demand decision errors, inventory imbalance; While the production model can focus on supply chain data, through the supply chain integration to adjust the demand adjustment, thereby reducing production risk.
Advantages and Disadvantages
In the trend of verticalization of the industry, the times have evolved from the adjoining duel to the big winners of cooperation and win-win. In the past, we are always making up the short board, but in the future we will continue to extend our strengths, and through cooperation, To the professional partners, "a multi-purpose zero defect" characteristics, the future of their own enterprises to a new height.
Some people discuss this long board theory:
"Pepsi in China's strategy is this: they put all the production, channels, delivery, logistics, all outsourced, only to keep the market a few people operating Pepsi brand.
You drink Tsingtao Brewery today, from your nearby 100 km radius of the brewery, bottles and lid from another specialized bottle cap manufacturers, and Tsingtao Brewery is only to come up with their own formula, paste their own labels The "
As determined by the height of the mountain is the top of the stone, the decision to the high point of the enterprise is the characteristics and core competitiveness of enterprises, as well as business managers "complete barrel" awareness.
First-class enterprises: Platform
Second-class enterprises: Product
Third-class enterprises: Service
First-class enterprises
The mission of the first-class enterprises is to make the platform. They sell the value by the idea, build the standard, and win the future.
According to Harvard University Thomas Eisman's research, the world's largest 100 companies have 60 major business income from the platform business model. More than 100 unicorn enterprises around the world, more than 70% enterpries use the platform model. Thus, it was argued that traditional linear companies would increasingly be replaced by platform-based companies when the Internet reorganized industrial resources into deepwater areas.
And in essence, platform is to make the role of value creators highlighted, and produce continuity, radiation effects. The future trend of China's economy should be platform economy and share the economy.
From China in recent years, the power of the platform, social platform, about the platform for the trend, and then to the specific Taobao sales platform, Apple's App Store platform, all prove that this is a platform of the times. Entrepreneurial platform thinking and the enterprise's own platform will become an important proposition of corporate strategy.
"Either become a platform, or join the platform", which is the future industry competition rules, and may become the next enterprise market outlet. To create a platform-type ecology, will become the industry aspirations of entrepreneurs to pursue the realm of business, and from the market point of view, only the platform of eco-type enterprises are expected to become the market value of 100 billion market.
China 's Internet Evolution
Internet 1.0: Reconstruction of information flow-based industry. Media, advertising, retail and other formats were first modified; many one-way communication of the integrated portal site was born, with huge click traffic to create information symmetry channel, such as the early Sohu, Netease and so on.
Internet 2.0: Reconfigure the short supply chain of services. Travel, life services and other fields have staged O2O revolution; such as Ctrip, cat earthen (Tripadvisor) and other OTA website, they with the development of mobile Internet to achieve the efficiency of people docking.
Internet 3.0: Reconstruction of the supply chain for longer manufacturing. Internet of things, supply chain finance and other technologies are reshaping the traditional manufacturing industry, to rejuvenate the new value. Internet of things to solve the problem of all things interconnection, and the industrial chain of eco-building is also to promote the free sharing of data, the value of on-demand distribution, the ultimate goal is to quickly respond to customer needs, reduce the supply chain link in the cost of waste, improve production efficiency , And the entire industry have a profound impact.
Supply Chain
The future supply chain chain will be upstream, from the "production and sales" model change for the "production", from the United States Group "T + 3 value chain change", Suning "CPFR (collaborative supply chain inventory management) "And other supply chain reform, it must be the first consumer demand, and then to the producers began to respond to demand.
Jay Forrester Professor Jay Forrester in 1961 put forward the bullwhip effect is a good description of the traditional supply chain, due to the existence of the bullwhip effect, the demand from the terminal market step by step amplification, and ultimately lead to supply and demand decision errors, inventory imbalance; While the production model can focus on supply chain data, through the supply chain integration to adjust the demand adjustment, thereby reducing production risk.
Advantages and Disadvantages
In the trend of verticalization of the industry, the times have evolved from the adjoining duel to the big winners of cooperation and win-win. In the past, we are always making up the short board, but in the future we will continue to extend our strengths, and through cooperation, To the professional partners, "a multi-purpose zero defect" characteristics, the future of their own enterprises to a new height.
Some people discuss this long board theory:
"Pepsi in China's strategy is this: they put all the production, channels, delivery, logistics, all outsourced, only to keep the market a few people operating Pepsi brand.
You drink Tsingtao Brewery today, from your nearby 100 km radius of the brewery, bottles and lid from another specialized bottle cap manufacturers, and Tsingtao Brewery is only to come up with their own formula, paste their own labels The "
As determined by the height of the mountain is the top of the stone, the decision to the high point of the enterprise is the characteristics and core competitiveness of enterprises, as well as business managers "complete barrel" awareness.
Redefine the word "Business"
The traditional "business" is not the same as the future "business". Initially, the establishment of information asymmetry on the intermediate links will be seriously weakened, with the Internet + subversion, price transparency is a new business model. And the current vested interests will be transferred to the new industry chain of wealth, and began to play an important role as a model change.
The Boston Consulting Group (BCG) study pointed out that in the next five years, 32% of listed companies may be due to improper strategic choice and disappeared; leading and lagging behind the gap between enterprises has reached its highest level ever. For the specific situation of the enterprise, to find and develop an effective strategy to match, the courage to try new methods, perhaps more than the same long-term planning more effective. Such as Facebook, with the industry outside the industry participants to work together to form a harmonious and efficient ecosystem, the industry together to shape the industry outlook is the right way.
"Relationship" is replaced by "rules"
Traditional networks will slowly degenerate and new systems of value distribution are taking shape. Everyone is a new node, because of the value and constitute a new network of people.
For example, the relationship between suppliers and buyers will be gradually separated from relatives and friends, and evolved into a more rigorous system of supplier management; sunshine procurement is one of the results, the transaction risk will be reduced, the rebate is more reasonable value chain replaced.
The new superstructure is forming
Based on the industrial Internet, different industries will be due to similar patterns, similar standards, and replicable patterns of mutual penetration, mergers, joint, which constitute a new commercial superstructure, and then with the help of the platform to form a new business ecosystem The
The evolution of platform ecology can be divided into three categories, first, content platform ecology. Content platform focus on consumer demand and independent design, the ultimate goal is to complete the brand incubation.
Second, the industrial platform ecology. Polymerization industry resources for the industry chain to provide integrated services. From the information platform, to the trading platform, to the supply chain service platform, which is the evolution of most of the traditional industrial platform.
Third, cross-industry platform. Some people introduced it as "hatching ecological ecology", for the industry to create a replicable model, focusing on large data, and data feeding industry chain, to guide the development of manufacturing.
In the platform ecology, all the value chain will form a "data-driven", combined with the digitization of assets and the flattening of the industrial chain, on the one hand the marginal cost of the enterprise tends to 0, on the other hand, breaking the horizontal border, making economies of scale Can be relatively infinite expansion, this is the wealth of the manufacturing industry future.
The optimal competitive strategy for future
Before you look at the vision, you have the following questions:
1. First, the industry's prospects for the development of the industry can be foreseen?
2. Moreover, the industry environment is easy to shape, that is, enterprises through their own efforts and actions to change the industry's development track, as Apple through the iPhone to reshape the global mobile phone industry as? Or does the business have to follow a set of established rules?
3. Finally, how difficult is the market environment in which the business is located? Does the business struggle hard every day for survival or have the remaining resources available for long-term investment?
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