New e-commerce New e-commerce refers to the business model of networked supply chain collaboration platform composed of supply chain management and ICT.
By developing cloud software dedicated to establishing Internet platform and supply chain management services, the business value and benefit sharing of users and mutual support among members of business ecosystem will be improved.
For example, the platform empowers individual users with sales power and price advantages, forms a retail distribution channel scattered in the distance, and provides a sales network for manufacturers to sell products.
New e-commerce means the integration of technology and management.
With the rapid evolution of Internet technology (ICT) and the development of Internet social media, the traditional enterprise management software is not compatible with the real business model, and the application of ICT technology and enterprise management methods must be systematically innovated to adapt to the new environment.
Change the internal and external production relations of the enterprise, including the income mode, the benefit distribution system and the expected effect of the application technology.
Manual management is replaced by computer network automation in strategic management and implementation, and the system can make people who are not familiar with management skills operate as freely as enterprise executives.
This kind of enterprise intelligent management has changed the way of combining management science learning with practice, centralized management of users who are scattered and distributed in different places through the internet platform, and enabled users to gain sales power electronically.
In addition to management education, the traditional way of learning enterprise management needs long-term business practice experience to achieve enterprise management ability.
Based on business model innovation, scientific management methods and Internet platform, individual users can be endowed with the ability to work together. Through the reform of strategic management system, improve individual execution. So as to improve management efficiency and reduce the cost of human resources.
It means lowering the threshold for entrepreneurs to start businesses and creating employment opportunities for selling services. From the perspective of entrepreneurship, the transformation of retail physical stores is conducive to lowering the threshold of entrepreneurship in retail industry.
Why is the transformation of retail physical stores transformed?
De-stocking can reduce liquidity, management costs, procurement costs and even rent in storefront areas.
The innovation of mass distribution model takes into account the vested interests of enterprise transformation: traditional physical distribution channels that have always followed its brand products, inseparable interpersonal relationships and markets. Manufacturers can lead their product supply chain to transform together-zero risk.
Combined distribution channel
The transformation of retail stores is not a simple e-commerce (not a seller), but a way to bring the traffic in the store to the Internet platform for trading (no inventory and no commission). Because the platform has more commodity supply chains than retail stores, it can meet more customer needs, increase sales and increase commissions.
Retail stores and "mass distribution" merge channel networks on the platform. On the one hand, the store manager extends the market scope to other areas outside the store's business scope through the platform (increasing commission income); On the other hand, customers with "mass distribution" channels can share their consumption experience in physical stores (attracting customers to spend).
The retail channel has changed from the traditional transaction subject role to the product sales intermediary role between manufacturers and consumers. De-stocking but retaining physical display function and pre-sales and after-sales service function. Online and offline integration has enhanced consumers' trust in products and manufacturers, which is unmatched by e-commerce.
Traditional retail stores (shopping mall counters) can bring their own product sources (manufacturers and brand suppliers) to the platform. At the same time, the platform can also increase the product line for traditional retail stores.
Automated procurement and online retail
The transformation of retail stores and manufacturers' sales are combined. Through the virtual display of internet platform, the purpose of automatic purchase and online retail of goods is realized. The strategy of increasing sales varieties and expanding market scope empowers users to realize the automation of procurement, marketing and transaction distribution through the platform.
The transformation has brought a new retail model with zero inventory, zero capital, zero management and technology cost investment. At the same time, the collaborative business platform has turned passers-by under the store into frequent customers of online shopping.
Retail stores can introduce their good products to the virtual display cabinets on the internet platform, and let the "mass distribution" channel collect commissions for their products, thus expanding their sales scope.
What is light asset strategy? The so-called light asset structure refers to a company model that takes up less operating funds, which is mainly reflected in two aspects: First, fixed assets take up funds, such as building factories and warehouses, purchasing production and testing equipment, acquiring transportation and communication infrastructure in the communication industry, and server facilities in the IT industry.
Second, the operation of enterprises takes up working capital, such as inventory products, credit sales, goods in transit, and a large number of advertising fees. From the perspective of supply chain, it is helpful to fully understand light assets.
The significance of light assets supply chain consists of three parts: production, circulation and consumption. The professional division members of the network supply chain platform system include: ICT infrastructure providers, third-party logistics and online banking, which are integrated into an Internet supply chain management service platform.
Users of the platform include: suppliers of raw materials (spare parts), product manufacturers, distributors and consumers, forming a business cycle ecosystem.
For the production department, the production facilities that need to be invested in manufacturing products are a relatively large sum of money, which is obviously an asset-oriented industry, but the department that produces products is essential.
Large investment can be used for a long time to recover the cost, just like the daily use of investment real estate.
The problem is that with the rapid development of science and technology, equipment and technology may be eliminated and worthless to recover the cost. This is true, and it is also common in traditional manufacturing.
For the circulation and consumption departments, the traditional light asset strategy refers to using other people's funds to help them run their own businesses, not that they don't need funds to run their businesses, but financing in disguise.
For example, retail stores sell goods to wholesalers and factories on credit: you don't need to pay immediately, but you are allowed to pay later.
Selling on credit is equivalent to retail stores financing wholesalers and factories at zero interest rate, in return-selling products for them.
It can be seen that wholesalers and factories not only have their own inventory of products or materials (assuming a month's sales), but also occupy the funds of retail stores in order to sell products.
In theory, the total amount of funds occupied by factories, wholesalers and retailers is equal to three times the monthly sales, that is, the supply chain needs three sets of inventory funds to turn around, or even more.
Changing the management structure and application technology of supply chain may change the capital flow, product flow and information flow, thus changing the light asset structure of supply chain and its enterprises.
Theoretically, the three sets of inventory capital turnover in the above supply chain can be changed into one set of inventory capital turnover, thus changing the light asset structure.
Successful examples of various e-commerce (B2B, B2C) platforms, various Internet sharing platforms (bicycles, automobiles, houses) and various Internet financial technology innovation platforms (electronic payment, P2P) tell us that their products and services have a common feature: they are closely related to all links of traditional industrial chains in different industries (production, circulation and consumption), and they all use network technology to transform traditions.
In other words, projects that are close to the real market demand and can create customer/user value have the imagination of company valuation.
Instead of choosing products and services in a vague market or creating new markets, we should use new business methods to operate products and services efficiently in the stock market and think about business model innovation from the perspective of industry, products and services.
The innovation of business model will promote the innovation of applied IT and produce different expected effects.
Compared with the innovation risk of developing new products in traditional production departments, the innovation risk of business model is much smaller.
Although it is also facing the challenge of market recognition, at least it is not affected by uncertain factors such as product R&D investment, mass production equipment investment and output.
However, the innovation of business model or service model involves the consensus of business ideas of business partners and should be made clear in advance.
In the early days of the light asset model Internet, the application of network technology mainly appeared in non-traditional industries, such as social media in the social field.
With the in-depth development of the Internet, technical applications have emerged in traditional fields, such as e-commerce in trade.
In the future, the Internet will further develop into the field of management systems. Its research and development path: business modeling-technical architecture design-systematic application.
"C2S2M Company Model" reconstructs traditional management consulting services and traditional software sales methods, combines supply chain management with ICT, forms a new networked supply chain structure with network platform as the core, and realizes a new method for manufacturers, distributors and consumers to sell products collaboratively on platforms (software tools).
This model innovatively designs the supply chain platform as a business model of symbiotic cooperation in selling goods, and provides management consulting services and software sales with a brand-new model.
The representativeness of the model represents the generalized supply chain research model of all walks of life, which can best reflect the internal relationship of the business ecosystem. This model is helpful to understand how the structure of light assets is formed, especially to study light assets with supply chain as the interest organization.
The generalized supply chain model represents a wide range of meanings, including agriculture, food processing industry, handicraft production, modern maker and even virtual product production.
Therefore, the light asset structure supply chain model is widely used.
Providing supply chain management services through Internet platform is one of the modes in light asset company.
The core is to guide the application of network platform technology innovation by changing the business model innovation of supply chain management structure, and apply it to the operation mode of Internet platform with socialized professional division of labor and collaborative sales.
Among them, change the structure of capital flow, product flow and information flow, promote the transformation of supply chain related member enterprises to light asset structure, and make the services of Internet platform create value for customers/users.
In short, the platform empowers individual users, forms a channel network, and obtains customer sources with sales power and price advantages, instead of burning money to create traffic.
The role of sales intermediary service provider replaces the role of distribution trader of e-commerce platform.
Realize the matching between the mass production of manufacturers and the mass sales of the sales network composed of fragmented retail.
It represents that a new business closed-loop ecosystem can replace an old one.