Industrial upgrading needs “NewB 2 NewB”
B2B upgrades, is closely linked with the background of industrial upgrading and future. From the perspective of industry evolution, lighting and ceramics, the overall industry is small compared with relatively mature fast-moving consumer goods, telecommunications and other industries. This leads to a direct result is the large number of enterprises, dealers are also numerous, these industries, as well as the consumer brand awareness is not high enough, consumer information asymmetry and from enterprise to dealers, overall business, and operation is relatively low.
There is a phenomenon in the home industry: in capital city, we can see 1000 enterprise brands; to prefecture-level cities, possibly remaining 300 or so; to county-level cities, and only 50; if the barangay market, only a dozen left. The main reason for this phenomenon is that many enterprises own business scale is not large, unable to support a strong marketing team, so the channel is not wide enough, depth is not deep enough. Large enterprises have the strength to sink the channel to the county town of a market, because the price gradual increase, the more the channel sink, transaction cost is higher, so from a certain point of view, China farmers are unfortunate, because They buy more expensive things.
In general, industry go through five stages of evolution: the rise of Industry - product competition stage-channel competition stage - the stage of brand competition- capital competition stage. At present, the vast majority of Chinese industry, are in the process of transfer from product competition stage to the channel competition stage. With an industry matures, the relationship between manufacturers from the original simple commodity trading evolved into a strategic partnership, until the emergence of the new channel model, the relationship between the whole game makers a qualitative change, such as the rise of Gome, Suning, completely reversed vendor relationships. Nevertheless, the overall tone has not changed, and that is to say from the wreck of the competition phase shift to the symbiotic win-win gradually, because in the process, win-win basis between manufacturers is convergence, they both aimed at how to be closer with consumer demand, and to establish a trust relationship with consumers.
In this context, enterprises in the industrial upgrading of all the challenges and difficulties encountered in the process, are essentially extended surround channels. Thus, in a relatively mature industry gave birth to the new channels has greatly increased. A few years ago, B2B models both failed in the United States and Europe, but succeeded in China. However, many Chinese companies are not familiar with foreign channels, as well as the language barrier, so they can only be in the end of the processing chain link or foundry. Domestic manufacturers need to find buyers, and foreign buyers also need to find a suitable big seller in the world factory China. These two-way demands provided prerequisite for Alibaba B2B model’s development.
The B2B model has gone through three levels of evolution: first of all, solve the problem of information, can feedback information, secondly, guarantee transactions were behind the pay; and, finally, solve the logistics problem. Despite nearly 10 years of evolution, but B2B platform is still like a big country markets, if it corresponds to the conditions of industrial upgrading, B2B will be moving towards greater specialization, become a powerful way to promote industrial upgrading, even a force for change.
B2B future development direction focus on three aspects: first is technology, because technology can bring a lot of excitation point of innovation, and even the technology itself is a revolution, so the technology is a important strength change guide the future development of B2B. The second is how to carry out the integration of resources, change the environment for the development of the whole industry and the ecological environment, make the outstanding enterprises and businesses involved in the sustainable development to obtain better resources. The third is in China market, there may be a new model with Chinese characteristics, the new model is based on the Chinese local market "NewB 2 NewB".
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