from 1999 8848, Ma Yun Wang Juntao founded Alibaba founded in 2004, to joyo.com Lei acquired by amazon.com, e-commerce as an advanced concept has been experiencing temptations, temper. After 2004, Liu Qiangdong began to close the line on line, every guest started 2007, electronic commerce has greatly changed people’s production and life style.
2008, Groupon will be targeted to buy, two years later, the domestic Internet overnight appeared hundreds of imitation of its model of the group buying site, and even staged a thousand regiments after".
in the buy site competing fall in 2011, the entire electricity supplier financing environment from Sheng to decline, followed by the winter has been to talk. Now, the major electricity supplier for the outside world that adequate forage, side cut category, cuts are very careful in reckoning. They pass the promotion charm, trying to squeeze the market, high sales, towards IPO. But before the spell victory, had to continue to burn.
Key words: burn
crazy investment brings operational risk
traditional retail to sell a commodity to get a profit model, electricity providers do not like. They consider how to seize market share, the accumulation of traffic and users, how to kill the opponent, his talent shows itself fast. They do not need the funds from corporate profits, are investing money in the investment side.
because the financing speed cannot catch up with the burn rate in recent years, many website of business capital chain rupture, even off the news of layoffs. Among them, the luxury electricity supplier bear the brunt.
although the gross profit is higher than the ordinary category, but the luxury electricity supplier and therefore bear more business risk. For example, payment account period short, cash flow pressure, the high cost of advertising, staff salaries etc..
at the beginning of this year, the luxury business Luxuries net mass layoffs for the medium and low level employees, the main reason is that burn too fast.
is still product network A round, B round of financing were obtained in 2011, in July 2011 announced a $50 million C round of financing. But the final failure to enter.
and other luxury goods business, December 2011, Huha network founder Lian tingkai in employee housing provident fund, insurance, wages are out.
in January this year, NetEase’s NetEase is also announced that the capital chain rupture and closed.
burn pattern has made several domestic electricity suppliers listed series to produce a loss of earnings.
two quarterly report this year, Dangdang loss of $196 million, Mcglaughlin loss of $4 million 900 thousand.
is still listed before staking Jingdong has been in deficit