Chapter 45 10. Internet industry - the second take-off in the future

For entrepreneurs who are interested in making a difference in this industry, today's Chinese Internet industry is presenting an unprecedented historical opportunity.With the help of China's growing domestic market, Chinese Internet companies may even create a new business model that leads the world in some unique fields, and create one after another original great company. Introduction to the theme: Upstart Wealth in the Internet Era - Rise Up in the Knockout Competition If we were to pick a batch of entrepreneurial heroes in the past 10 years, countless names would emerge here. If the time is limited to 2005, then this honor is destined to belong to the Internet industry, and this laurels are destined to belong to Robin Li's Baidu Company.

On August 5th of that year, Baidu successfully listed on Nasdaq with the image of the world's largest Chinese search engine company. The stock price on the first day of listing was as high as US$120. , In the market of the day, Baidu's stock reached an unprecedented 354%, and this figure also created the highest first-day increase record of a foreign company since the opening of the US stock market 213 years ago. With the miracle of Baidu's listing, Robin Li became an upstart with a fortune of US$900 million overnight. In Baidu, there are seven people with a net worth of more than US$100 million, and more than 100 people with a net worth of more than US$10 million. Millionaires are even more difficult to count, and among these people who get rich overnight, many of them are students who have just graduated from college for three or four years.

When we witnessed the miracle of wealth created by Baidu, apart from being excited, we could appreciate the speed of wealth creation achieved by the combination of the Internet industry and the capital market. In fact, in this year, with the help of capital, the Internet industry took on a new look and became the most profitable industry in China at that time. It was this attitude that made no one dare to question the prospects of this industry raise doubts. When the time went to 2007, another miracle broke out in the Internet industry. Although the protagonist this time had less seniority, compared with Li Yanhong's Baidu, the new round of myths it created was not inferior at all.

In November 2007, a more popular Internet stock appeared in the Hong Kong stock market. Its impressive performance made its issuing company almost overnight, becoming the Chinese Internet company with the highest market value at that time. This originally unknown enterprise is Alibaba under Jack Ma. Through the international delivery agreement, Alibaba has received a total of US$180 billion in subscriptions, and in the public subscription part of retail investors, it has attracted funds as high as 450 billion Hong Kong dollars. The market value suddenly exceeded 20 billion US dollars, and its price-earnings ratio reached an astonishing 300 times!

However, to everyone's surprise, at the same time that Alibaba was listed, Ma Yun, who was in glory, under everyone's optimistic eyes, made a shocking prediction that "the Internet industry will face a cold winter" . As soon as this remark came out, it naturally caused an uproar. In fact, the reason why people were surprised was not because of the content of the prophecy itself, but because it came from Jack Ma. Just when people were guessing when the Internet winter would come, cruel facts have proved Ma Yun's correctness.After the overly excited market atmosphere, what followed was an unprecedented economic catastrophe.

A winter in an industry does not necessarily mean the arrival of an ice age. Especially for a rising industry such as the Internet industry, we really can't find a reason for its decline. For entrepreneurs who are interested in making a difference in this industry, today's Chinese Internet industry is presenting an unprecedented historical opportunity. As far as the e-commerce market is concerned, it is even a virtual society that is broader than the physical retail industry. According to the data from iResearch, in 2007 alone, the annual transaction volume of the domestic electronic payment market achieved 100%. The total value has exceeded 100 billion yuan.According to this trend, in less than four years, China's e-commerce transaction volume will exceed 1 trillion yuan.

We can imagine what kind of development prospects an industry that controls such a large cash flow will have. With the help of China's growing domestic market, Chinese Internet companies may even create a new business model that leads the world in some unique fields, and create one after another original great company. As China has become the country with the largest number of mobile phone and Internet users in the world, we already have the material foundation to create greatness. For Chinese Internet companies, what they need to do in the next ten years is to further promote the marketization trend , and this is exactly the solution that is in line with the trend of global development.

In fact, this is not the only case in the Internet industry. For any industry, once a business model that leads the world is created, its effect will be incalculable. It is not difficult to go to the global market.