In order to survive, the gross profit margin must be greater than zero, but in Xiaomi mode, the gross profit margin actually seems to be zero.
In fact, through model innovation, Xiaomi took the lead in realizing the survival of dimensionality reduction, that is, he still made a profit when the gross profit margin was zero, and then turned to attack those enterprises that depended on the gross profit margin for survival.
As Liu mentioned in the book "Three-body", isn't the way Xiaomi beat other brands a vivid battle for dimension reduction?
The implication is that if you want to have zero gross profit margin, you must have the ability to strike twice. If you want to have a free model, you must have an extended value chain, otherwise you can't survive.
Give another example.
According to Fortune magazine, the research company CIRP conducted a survey on 300 Amazon Kindle users. The results show that:
The average annual expenditure of users with Kindle on Amazon is $65,438+$0.233, while that of users without Kindle is $790, a difference of $443.
In other words, users who buy Kindle will spend $443 more on Amazon every year. In this case, can Amazon give the Kindle to users, let alone sell it at cost?
So Lei Jun said: Don't compare us with Apple, we are more like Amazon. Xiaomi sells mobile phones just like Amazon sells Kindle. Now you can understand why Xiaomi sells mobile phones so cheaply.
To sum up, destructive innovation has two keys, one is to keep the product simple, and the other is to keep the cost simple.
The simplest product is from trouble to convenience, from complex to simple; The simplest cost is from expensive to cheap, from charging to free.
Simple and cheap power is far beyond imagination.
Let's review, from large computers to small computers, to desktop computers, to portable computers, to handheld devices. Is it convenient or cheap for the latter to subvert the former?
The latter may not perform as well as the former when it first enters the market, but it is low-end when it enters the market, which does not mean that it will always be low-end. The performance of today's desktop computers is far superior to that of small computers in the past. According to this trend, we predict that the performance of mobile phones will surpass that of portable computers in the future.
Let's look at other examples:
360 free antivirus pK Jinshan antivirus software
Ali Finance (Yu 'ebao) pK Traditional Finance
Wechat payment pK Alipay
Mobile game pK page tour and end tour
360 beat other antivirus software precisely because it is free and convenient. In the past, girls in every company didn't use their own antivirus software.
Today, we use 360 to kill viruses for free. As long as you press the button with the mouse, the computer will automatically kill virus. Today 360 has turned a high-end anti-virus function into entertainment software.
Similarly, compare Alibaba's Alipay, Weibo and WeChat, page tour, end tour and mobile game. The latter subverts the former because it is more convenient to use.
Why did WeChat hit Ali hard after it came out? Can I bypass Taobao and JD.COM as an e-commerce company before Tencent WeChat pays?
Wechat payment suddenly appeared. Although WeChat payment is not the mainstream now, and WeChat e-commerce is not the mainstream, Ali has been stabbed by WeChat payment.
Many people think that WeChat payment is too convenient to create risks, but WeChat will make users form habits in a quiet situation because it is more convenient.
Blog is so great, why was it defeated by Weibo with the word 140? Why was Weibo defeated by WeChat? However, will WeChat be defeated? Wechat is still a little heavy Will there be new and lighter products?
So the power of simplicity and cheapness is far beyond imagination. Because it conforms to human nature. What is human nature? Greed, anger and delusion. People are becoming more and more lazy. Satisfying the weakness of human nature actually seizes huge business opportunities.
Classic sentences of young people's entrepreneurship
1, at the beginning of the business, employees were not treated decently, with poor equipment and no complacent technology. Under such a condition that material conditions are not available, we must take the spirit of "blood alliance" at the time of starting a business as the basis of enterprise management, so that everyone can work together.
2. It doesn't matter that entrepreneurs don't read many books, and they are afraid that they won't study in society.
What matters to entrepreneurs is not where your company is, but sometimes where your heart is and where your vision is more important. In the process of positioning, enterprises should understand whether their products can go that far, and whether they can go that far. It may not be big, but it must be done first.
It is not enough for entrepreneurs to have passion and innovation. It needs a good system, system, team and a good profit model.
Starting a business is like trying to find a place where you can make cash sand from the jungle where there is almost no way out (Xunmi Yichuke Faneng), and then panning for thousands of kilograms of sand, hoping to find at least a few gold chips.
6. Entrepreneurship is very tiring and the failure rate of entrepreneurship is high. Entrepreneurs are a little crazy.
7. In fact, the process of starting a business is a process of perseverance and perseverance. There is no secret in this, and it is not easy to really be thrifty as China's old saying goes.
8. If you face a good upsurge in the early stage of starting a business, you will often lose your vigilance, thus ignoring the importance of management; If things don't go well in the early days, maybe you will work harder and be vigilant from time to time, which will be very helpful to meet future challenges.
9. Putting on a show is often the simplest thing.
10, the core issue is to formulate your products according to the market, and the key is to listen to the voice of customers.
1 1. A person who can see things from other people's thoughts and understand other people's psychological activities will never have to worry about his future.
12, first-class creativity, third-rate execution, I would rather have first-class execution, third-rate creativity.
13, always keep others' criticisms of you in mind and forget others' praises.
14. Never be luckier than others. I never thought I was luckier than others. I may be more persistent than them. In the most difficult time, they couldn't hold on. I can hold on for a second or two.
15, always remember other people's criticism and forget other people's praise. Of course, when others criticize you, remember this sentence: men's hearts are "wronged and inflated", so don't get angry.
16, a result is not necessarily a success, but no result must be a failure.
17, sometimes there is always a chance to die.
18, sometimes doing a job and doing a job you like is a good start-up.
19, there are no secrets in shopping malls now, and secrets are not your core competitiveness.
20, the strategy can not be implemented in the results and goals, are empty talk.
2 1, strategy has many meanings. The strategy of small companies is simple, that is, being alive is the most important thing.
22. The world is not what you can do, but what you should do.
23. Our failure is to give up, our enemy is ourselves, and our opponent is time.
24. The most important wealth of an entrepreneur is your integrity. An entrepreneur must have a group of friends. These friends are accumulated by your honesty over the years, and they are getting bigger and bigger.
25, to open fewer stores, open a good store, there are not many stores, but fine.
26, small enterprises have a big mind, big enterprises should talk about details.
27. A person who can be a good boss is not necessarily a good employee, but to be a good boss, you must first be a good employee. Soldiers who don't want to be generals are not good soldiers, and generals who can't be good soldiers must not be good generals.
28. In fact, many people ask questions because their answers are all right.
29. The establishment of great achievements in life lies not in knowing, but in being able to do it.
People should never forget their dreams on the first day. Your dream is the greatest thing in the world, and that is to help others succeed.
3 1, the business plan is definitely not a sales plan, which contains countless details and countless talents.
32. Being fooled is not that others are too cunning, but that you are too greedy, because you will be fooled.
33. The first concept of survival is to do well, not to be big.
34. Life is beautiful for some people, who have been striving for a certain goal all their lives.
All entrepreneurs should spend more time learning how others fail.
36. There is countless darkness behind the sun, and there are many setbacks and failures hidden behind the success. Any successful person, others see the light on the surface, but can't see the huge price paid behind.
37. If you want to start a business in five years, you can start a business again.
38. The strategy of a small company is two words: survival and making money.
39. The success of small enterprises depends on shrewdness, the success of medium-sized enterprises depends on management, and the success of large enterprises depends on integrity.
40, the vast majority of entrepreneurs from micro to macro, through the discovery of some people's needs, and then pushed up to a group of people.
4 1, today is cruel, tomorrow is even more cruel, and the day after tomorrow will be beautiful, but most people will die tomorrow night.
42. Establish yourself and pursue selflessness. You must put aside your own interests in the process of starting a business.
43. The reason why many people fail is not too little money, but too much money.
Paying attention to your opponent is an important part of your strategy, but it doesn't mean you will win.
45. The concept of this era is no longer marketable.
46. For all entrepreneurs, always tell yourself: from the first day of starting a business, every day is faced with difficulties and failures, not success. My most difficult time has not yet arrived, but that day will surely come. Difficulties cannot be avoided, and you can't let others carry them for you. You have to face any difficulties yourself.
47. When winter is cold, our slogan is: "Persistence is victory." As long as you live, there is hope if you don't die. "
48. When a person starts to struggle from his own heart, he is a valuable person.
49. Frustration is actually the tuition that success should pay.
50. A soldier who doesn't want to be a general is not a good soldier, and a general who can't be a good soldier must not be a good general.
5 1. No matter how many resources you have, you should think more of your opponent.
52. We must first understand the needs of the market and customers, and then find relevant technical solutions, so that the possibility of success will be greater.
Famous aphorisms about seizing opportunities
Famous aphorisms about seizing opportunities
1, it is extremely important to be good at identifying and grasping opportunities. In all great undertakings, people should observe opportunities like a thousand eyes before starting to do things, and seize opportunities like a thousand hands when doing things. bacon
2, with good knowledge and skills, it is the easiest to make good luck. anonymous
3. Find your own opportunities. Pitakus
The secret of learning a lot is not to learn a lot at once. Dead end (short and narrow)
5, seize the opportunity of hair on your forehead and you don't seize it, you seize the bald head; Or at least it will give you the handle of the bottle first. If you don't take it, it will give you a round bottle, which is difficult to catch. There is no greater wisdom than making good use of opportunities from the beginning. bacon
6. Lucky timing is like a transaction in the market. As long as you delay a little, it will fall in price. bacon
7. Sometimes, although one door is closed, other doors are open. Cervantes
8. People should look at opportunities like a thousand eyes before starting to do things, but they should seize opportunities like a thousand hands when doing things. bacon
9. It is better to study idle than to study idle. work
10, since life, the whole life and all the fun are open in front of me, why do you have to struggle and work in this small, closed cabinet? Leo Tolstoy
1 1. Don't think that opportunities are like guests coming to your home. He knocks on your door, waiting for you to open it. On the contrary, opportunity is an elusive living treasure, invisible and silent. If you don't have the spirit of hard work, you may never meet it. anonymous
12. What's the use of timing for those who can't take advantage of it? An unfertilized egg will be washed into waste by the tide of time. surname
13, when the time comes, heaven and earth are United, and it is not free to transport heroes. Luo yin
14, learning is labor, full of ideas. Ushinski
15, life is a dangerous narrow valley, only brave people can cross it. Michepan
The first sign of an educated mind is being good at asking questions. Plekhanov
17, a person has already calculated, and if you don't do it quickly, you will definitely regret it. Dante
18 Like the meeting of seagulls and waves, we met and approached. The seagulls flew away, the waves rolled away and we parted. Tagore
19, we were born in this world and the only destination is to live well, show ourselves, show them to those who love us, and show them to those who look down on us. anonymous
20. I didn't get any other benefits from my efforts, but I became more and more aware of my ignorance. Descartes
2 1. Luck comes every month, but if you are not ready for it, you may miss it. anonymous
22. A great soul will strengthen thought and life. Emerson
23. What's the use of timing for those who can't take advantage of it? An unfertilized egg will be washed into waste by the tide of time. surname
24, life is not equal to breathing, life is an activity. Rousseau
25. A wise man creates more opportunities than he finds. bacon
26. Of course, everyone can try to be brave, but only within their own knowledge. Goethe
27. Opportunity is the best moment in the long river of time. anonymous
28. People are learning things every day, and what they often learn is to find out that what they learned yesterday is wrong. B.V
29. Learning is an extremely precious thing, and it is nothing shameful to absorb it from any source. Abrifaz
A wise man creates more opportunities than he gets. bacon
Inspirational aphorisms of celebrities on seizing opportunities; Reflections on reading selected works of celebrities on reading celebrity aphorisms 15 Advice to young people who are starting businesses.
1, don't take the immediate suffering seriously, and don't pay attention to your current income. Your goal is to struggle and strive to be yourself with a career. Remember: I was born to be useful, you will find your strengths and find your place early.
2, don't just see others enjoy, but also see others pay. I feel that the life you enjoy like this is not far from you. Don't always think about opportunism. Now China won't give you so many loopholes to drill. If you want to drill, you can finish the original accumulation first.
3, don't dream of falling pie in the sky, let alone expect who will give you a lot. What you want from others, you have to pay. Don't be lazy, keep practicing every day, and you will have a chance when you are well (but pay attention to teamwork)
You must have your own savings, don't buy a big house too early, even if you rent the cheapest one, it is nothing more than a place to sleep. Even if your annual salary is100000, you have to accumulate it, because you are facing a future venture. When your venture is successful, you can afford a big house, but at that time, I think you still like a small house because you are mature.
5, do things down-to-earth, one step at a time, don't aim too high, it will bring pressure to yourself. Make a three-year plan for yourself, and then make it three years. Summarize the gains and losses every year. Be sure to listen to other people's suggestions, analyze the good ones and eliminate the bad ones.
Be a person with self and do what others don't want you to do. What everyone does is mediocre and worthless. You should learn to find and seize opportunities. In fact, opportunities are available every day, depending on whether you find them.
7. If you are young or just out of school, you must learn to change jobs. On the one hand, you can find your own position. On the other hand, the most important thing is that you can master a lot of experience and knowledge in all aspects. If one day you find yourself so poor in every unit, your colleagues crowd out or even your boss is jealous, then you are half successful and it's time to start your own business. Of course, don't always think about going it alone. If you meet a company with a certain scale and talent appreciation, you must make sure it is a top firm.
8. Don't think that you must do a good job after graduating from college. Anyone who just left school is a blank sheet of paper, which can only be said to be a blank sheet of potential. Any line is your primitive accumulation. I suggest you do grass-roots sales for one year, not pyramid schemes.
9. Don't worry too much about your parents. Even if you think a lot, it won't help much, but you can't be unfilial. True filial piety is to be yourself and let parents enjoy their old age. It is also what parents want to see most when you are in good health.
10, be careful about making friends. You can't live without friends, but there won't be too many close people, or maybe none. Then, friends can bring you joy, but don't always be immersed in joy.
1 1, you can have feelings for women, but you can't care too much, because women are another kind of animals. As long as you understand them thoroughly, they will be very comfortable. If you have to feel bad, you can write a novel. Remember: your main business is entrepreneurship and wealth.
12. If you are young and don't have a girlfriend, don't look for a girlfriend. She will make you tired. You can learn to relax at this time. (Unless that rich woman with a net worth of hundreds of millions really marries you), after you succeed in starting a business, there will naturally be beautiful women looking for you. For the sake of ideals, you can give up naive feelings. Everyone has had emotional experiences in his life. You know, true love is often a tragedy.
13, stay away from the wine table. Don't regard drinking as a good thing or ability. If you drink too much, you will miss a lot of things, and if you are on the wine table, you will fart.
14. If you listen to these principles and do it, and your monthly income will be less than 500,000 after ten years, find a village girl to marry and have children to honor the elderly.
15, are you finished? Let's start tomorrow after reading it