Tencent can't do e-commerce, and Ali can't do social "genetic determination"

Today, I am reading Wu Jun's "The Peak of Tide", and I am deeply touched by his "The Law of Gene Determination". Why is it difficult for a company to succeed in new fields after it enters maturity?

Because a big company that is particularly successful in a certain field must have done too much optimization to adapt to this market, and its corporate culture, way of doing things, business model and market positioning have even adapted to the traditional market too much. These factors that make a company are the genes of this company. The company's genes determine many things. For example, Baidu is not good at socializing and e-commerce, Tencent is not good at e-commerce, and Ali is not good at socializing.

For another example, Fetion is an instant messaging software launched by China Mobile in 2007, when the fire was in a mess. In its heyday, Fetion had nearly 500 million registered users and 90 million active users. Before Fetion was born, people used to chat with two things, one was QQ and the other was SMS. At that time, smart phones were not popular, and many mobile phones did not have QQ. And the traffic fee is too expensive, QQ is not always online, and it always asks "Are you there?" When sending a message. If you use SMS, the cost is also very expensive, hundreds of thousands a month. You really have to pinch the number of messages and count the number of words to chat. The appearance of Fetion can be said to be stepping on the best time. As long as you use the Fetion client to send a message, even if you are not online, the other party can receive your message. You can chat with others in real time through Fetion. The most important thing is that texting is free. If the other party logs in to Fetion, it will be a bit like today's WeChat.

I remember that year, as soon as the computer was turned on, I would log on to QQ and Fetion, which was quite memorable. Since it is so awesome, why was Fetion finally defeated by WeChat?

Some people say Fetion is too closed. At that time, you could only use Fetion to chat with China Mobile's mobile phone number. If you use Unicom's mobile phone number, we can only send a ten-cent message.

From 2007 to 20 12, it took Fetion five years to realize the basic functions and open registration of other operators' number use software. Imagine how many users Fetion lost in five years?

In fact, the root cause lies in China's mobile gene. The main income of China Mobile is telephone charges, SMS charges and Internet traffic charges.

When China Mobile developed Fetion, it didn't want to let as many people use it for free as possible like WeChat, and then make money by other means. For mobile, it is very simple for Fetion to realize free SMS and free call, but it is equivalent to breaking its own money.

Will the top management of the company take risks? What employees care about is the number of year-end awards this year, not the future of the company. Fetion, no matter how imaginative it is, is not as important as how much salary it takes this year.

It is easy to make such a decision if employees are allowed to rob customers of China Unicom and China Telecom and realize a substantial increase in telephone charges, SMS charges and Internet traffic charges. However, if companies are allowed to transform and develop new business, especially when new business conflicts with traditional core business, most companies will sacrifice new business.

For companies, transformation is much more difficult than expansion.

Note: This article comes from (Buyi Scholar-Compound Life). If you have any comments, please contact delete.