B2C e-commerce enterprise will face the dilemma to scale or to profit, this is a dilemma as you need to understand the world is a chicken or the egg, will never have the answer. But now, you can have a choice that you are to buy "chicken", or the first to sell eggs".
if we put the chicken eggs as a metaphor for the scale, profit, perhaps the problem is much easier to understand: you want more "chicken", you need to sell more of the "egg", "egg" and then sell money to buy more "chicken", let more "chicken" more of the "egg", and then sell eggs to buy chicken (chicken eggs, chicken eggs as well)……
seemed a bit convoluted, but it is an indisputable fact, if you no more "chicken" more "egg", you would not have the product, price, channels, policies and other advantages, you won’t have so many loyal fans.
we look at the industry is how to look at the scale and profit of B2C e-commerce. Newegg Chinese President Zou Guoqing has said publicly: "if we stop the expansion, we can immediately profitable." At the same time as a typical representative of B2C, 3C digital product sales based Jingdong mall 04 years since its establishment, just a few years time turnover exceeded $1 billion 300 million, more than 09 years is claimed to break through the 4 billion. However, behind the high growth of Jingdong mall has almost zero profit embarrassment. Jingdong mall CEO Liu Qiangdong in the media’s explanation is: "for e-commerce enterprises bigger the security of electronic commerce, enterprise scale is larger, the company’s cash flow, inventory turnover and sales budget will be more accurate, but when the enterprise sales reached hundreds of millions, billions of scale, it has the profit ability of enterprises the."
in order to seize more market share, create more profits, B2C companies are expanding the scale. The larger the scale expansion, the more profits. This kind of scale to profit, expand the scale of the chicken egg with the profit model, is widely used in more and more B2C companies.
deeper research found that the problem of scale and profit is the essence of the enterprise survival and development of the Internet, the reason for this, due to two aspects:
electronic commerce, relying on the development of the Internet, and a notable feature of the Internet is "fast": the spread of "fast" and "fast" development, change "fast", "fast" innovation and technical innovation "". The world of martial arts, too, but not fast breaking, enterprise B2C is the same, brand communication network to be fast, the scale of enterprise development faster and faster, change the price adjustment network marketing innovation faster and faster technology innovation website. In the background of the Internet "fast", B2C enterprise development scale will not slow down, "bullied" and "go" fully reflects the fast pace of Internet industry background and fierce competition in the industry. Therefore, only the rapid increase in the scale of enterprises can quickly >