Behind The Serial Venture: The Six Equations Of Ji Qi, Shi Yuzhu And Others

Economic recovery and entrepreneurship boom.

A rare entrepreneur group is once again on the top.

They have been walking on the road of entrepreneurship.

Venture - quit - re start - quit again...

The cycle starts a wonderful business story.

99 of the 100 entrepreneurs are on the way.

And why can they go all the way to success?

Untie Serial Entrepreneurship Families Winner password ,

You can also be the next entrepreneur.

　 Serial venture 6 equations

Explore many successful nodes of entrepreneurship!

Ji Qi finally breathed a sigh of relief. He said, "I hope this is the end of my venture." From founding Ctrip, like home to Hanting, every success brings him to a successful intersection. Such lucky people are rare in the group of entrepreneurs. Because of this, the public pays tribute to his will and creativity by using magnesium lamps and applause. Earlier, when we were deeply reflecting on the collapse of the giant building that Shi Yuzhu built, he quietly climbed up from the bottom of the valley to find a series of opportunities to rise. When we sneer at Ma Yun as an outsider of the Internet, he rewrote the rules of the game of e-commerce with the free mode. Whether successful or successful, they are the ones who have the most valuable experience in entrepreneurship, entrepreneurship, exit, entrepreneurship and exit. Similar cycles have been staged repeatedly in their entrepreneurial process. This special group has been named "serial entrepreneur" by Americans.

Today, serial entrepreneurs are more active than ever before, and the Internet, consumer electronics and other industries that favor innovation are everywhere. Because of the valuable experience accumulated in many entrepreneurial activities, the courage to subvert and innovate, and the keen sense of business, serial entrepreneurs have become the most favorite investors in investment circles. They believe that when you solve a problem many times, you will find the right answer. After tracking the entrepreneurial experience of many successful serial entrepreneurs, the manager tries to unravel the cumulative equation of success, including business models, management teams and capital operations.

Equation 1: Subversion of traditional business models

Whether we can find attractive business models quickly in the industry becomes the key link to decide whether to start a business or not. And the unique product positioning is the basis for deciding the business mode. Trout's interpretation of the essence of positioning: in specific product marketing, it emphasizes the use of social consumer psychology to shape the unique product positioning that gets consumers' psychological identity, and uses the existing concepts of consumers to build differentiated product images, that is, how to occupy a place in the minds of the target audience.

Qihoo chairman Zhou hung told the manager that he was a true believer of Trout. He positioned the Qihoo in the future as a professional security company. This year, in the field of Internet, the top two users are QQ and second Qihoo's 360 security guards. Zhou Hongceng founded 3721, then sold it to YAHOO China for 120 million dollars, then joined the IDG investment fund as an angel investor in 2005, and started business again in 2006 as chairman of Qihoo. Located at 360 of the free security platform, it challenges the traditional charging mode of anti-virus and safety, and gives free mace. In just 3 years, the number of users has soared to 300 million. Zhou Hong believes that the free mode will be the inevitable future of the Internet. The business mode of Qihoo should be based on the free basis to explore the comprehensive application and subvert the mode of selling software now. Therefore, the quality of products and the number of users are the core of the Internet business mode. "3721 did not do well because the user experience is not enough."

He has accumulated more user experience and exploration experience through serial ventures. "Ma Huateng and I are both the biggest product managers in the company. When we are together, we usually discuss solutions to a product. "

Equation two: loyalty, endogenous entrepreneurial team

How powerful is an excellent and loyal entrepreneurial team? Chen Guo, Fei Yongjun, Liu Wei and Cheng Chen are known as the four great Kong kings around Shi Yuzhu. Despite the crisis of closure, most of the vice president of the brain and giant network are employees who follow Shi Yuzhu's giant company. It is the team that follows Shi Yuzhu and Shi Yuzhu, who has passed the crisis, and once again welcomed the summit of the business of brain platinum and giant network.

Shi Yuzhu's team management rule is worth learning from:

1., all aspects of the company are open-minded and fair, so long as there is strength, there will be opportunities. In management, we do not stick to too many rules. When we do things, we do our best to do little things without details. The whole process enables people to realize their personal values. Many enterprises include rule management in foreign companies, but they manage to die too much.

2. When you fail, be tolerant of the team. Shi Yuzhu's way of doing things is: to set goals, to make argumentation, to push forward step by step, and to bite the nail.

3. Resolutely no airborne troops, only to promote the training of the internal system.

4. Trust those who have credit. After the death of Chen's car accident at the side, Shi Yuzhu gave the brain platinum to Liu Wei, who was born in Shanghai. His reason is, "Liu Wei is the vice president of Kant, who spends less money than others." After I have been with me for more than ten years, I haven't made a mistake in the economy. I believe her very much. "

5. Good at correcting mistakes. In the early days, Shi Yuzhu emphasized militarization management, and later found that employees were also flesh and blood. They did not obey the boss's obligations as soldiers did, and gradually spanformed militarized management into a humanized system.

One of the reasons why McKinsey's famed management expert diagnosed Jim Collins's "excellence from excellence" is "let the right people get on the bus." The most fatal mistake that enterprises may make is not the departure of talents, but the partners or followers who do not have common values remain in the vehicle. {page_break}

Equation three: rule of zeroing

"People can't step into the same river two times", and the same is the same. The successful method can be copied, but the success itself can not be replicated.

Li Jieqiang joined Yasin on the eve of the 1999 AsiaInfo listing, was responsible for system integration and software, founded the Hua You century in 2000, and successfully established the Guangzhou Mobile Alliance digital media after the successful listing. The three venture, from a professional manager to a senior serial entrepreneur, believes that to succeed, there must be a return to zero mentality. "Past successes have passed, and entrepreneurs are unlikely to succeed again in the original way. You must find a new direction. " The mentality of returning to zero is that when you work in a big company or when you first start a business, customers and employees are easily recognized because of your company's aura. Once again, venture capital, market and team are faced with many changes. They must start from the beginning. Can they face failure and setback with a more peaceful mind? Every business is going back to the starting line to start again.

Wang Jianguo, the founder of five household appliances, founded the Five Star Electronics Company after selling five star electric appliances to best buy. He founded a chain of children's and children's products, the children Wang and high-end home builders enjoying their homes, and jumped from the home appliance industry to an unfamiliar industry to start a new business. His perception is that many two businesses failed. There are two reasons for this: first, the lack of all the passion of the original business, and two of the experience of the first successful start of the business. "We must stand in today's position, consider what we shall do in the future, and not think much of what we have done before. Learn to change thinking patterns.

Equation four: small companies start

Zhou Hong is not only a serial entrepreneur, but also a famous angel investor who has invested in more than a dozen start-ups. He told managers that serial businesses usually start from small businesses. They should master several laws that compete with big companies:

First, we should do some research on the risks of conflict with national policies.

Second, prevent cash flow from drying up. If an enterprise has enough cash flow, you can lose money, you can not earn money, but as long as you have cash flow and cash in hand, you can live and have chances to live.

Third, prevent enterprises from losing control in the process of management.

Fourth, avoid competition with giant companies. From the very beginning, when we choose the direction, we must innovate, we must subvert, and we must not plagiarize. If there is no special idea, why can you copy the innovation of big companies more than big companies? Therefore, small businesses must operate in reverse direction, do things that others can not see today, and do things very boring today.

Fifth, don't be a high-profile competitor. After innovation, in the process of cooperation with large companies, we must keep a principle of low key, low key is king, let big companies do not pay attention to you, and then expand your field as soon as possible.

Sixth, when competition is inevitable with giant companies, do not distract attention and concentrate very much. You must be more focused than he is. He has many talents and lots of money, but if you can concentrate all your strength on a needle, the needle can be stabbed very deeply.

Equation five: light assets operation

Most of the serial entrepreneurs are concentrated in the light assets industry. For example, Zhu Weilian founded the United States advertising company, banyan tree, Tian Lian and rainstorm entertainment. Ji Qi founded Ctrip, home economics chain hotel, Hanting, Yang Ning's ChinaRen, air network and Hun search. The entrepreneurial orientation favored by serial entrepreneurs is the Internet and software industry, the two is mass consumption, and the three is the media. Consulting with Mr. Wang, Yi Yang Chun pointed out that these areas need less capital and resources, lower threshold and easier to start. If there is a good business model, without high capital, they can turn ideas into products. People who start from scratch should choose to enter the light asset industry. Many heavy asset industries in China, such as manufacturing, do not have enough capital and resources to enter. The other is that in many industries where large numbers of SOEs are entering and occupying a large share of the market, serial entrepreneurs should not be easy to intervene. Because China's national conditions are quite special, many ordinary entrepreneurs do not have the competitiveness of resources.

Because of the entrepreneurial experience, many successful serial entrepreneurs are well aware of the importance of cash flow and low debt, and tend to operate light assets when companies are operating. Rumor has it that in 2008, when Hanting's funds were tight, it was suggested that Ji Qi, founder of the bank, live on debt. Ji Qi firmly opposed it, unwilling to carry on the debt burden and insisted on equity financing. In addition, when undertaking mergers and acquisitions, experienced serial entrepreneurs will choose to leverage leveraged buyout to exchange shares.

It is easy to get into the misunderstanding that many people believe that Internet e-commerce is an absolute light asset operation industry. Yi Yang Chun's research shows that Amason and WAL-MART's financial statements are very similar, and the profit margins are the same. Amason's huge investment in publicity and promotion and logistics leads to increased cost, almost the same as WAL-MART's cost ratio.

Equation six: consider exit when financing.

When you start financing, you have to consider exit. It is the biggest difference between serial entrepreneurs and first-time entrepreneurs. Yi Yangchun believes that in the first round of financing, we should do a complete set of future capital planning. "What does capital planning include? You have to weigh the good thing about how big the business depends on the market, how big the investment is and how the equity should be set up."

"Equity is also a resource, because many founders have an incentive commitment to the management team's shareholding ratio. After several rounds of financing, equity is diluted, leaving the management team's equity to meet its commitments. In addition, if the stake is less than 25%, we must consider whether the founder has absolute control over the company. " Yi Yangchun believes that the essence of VC is greedy. When it is not in the stock market, it will be able to promise anything to entrepreneurs, especially if they are willing to take the lead. It means another thing to commit to these commitments if they want to introduce resources and enhance management. Finally, the relationship between PE, VC and entrepreneurs is very stiff.

Many investors are optimistic about an enterprise. In order to increase investment in the second round and increase the shareholding power, it is possible to ask for a very low price of the second round of financing so that they can make more money. In fact, it is sacrificing the interests of enterprises and other shareholders.

When absorbing capital, entrepreneurs will also have their own ideas. They can be divided into three situations: they need to have brand investment institutions to invest; they hope to get more money under the same conditions, and want to have a good opportunity to go public in the future. Yi Yang Chun emphasizes that he should consider his own needs and find investors who can meet his needs.