#Laogao E-commerce Online Information# "Some people say that the real economy is difficult, but isn't the virtual economy difficult? BAT is also frightened. Both the real economy and the virtual economy are difficult. China has only created several large Internet companies, and they are walking on thin ice." Jack Ma refuted the "virtual and real opposition."
Yesterday, when Jack Ma attended the "10th Anniversary Conference of Zhejiang Chamber of Commerce in Jiangsu Province", Jack Ma talked about his understanding of the real economy: the definition of the real economy is the production and circulation commerce created by humans on the earth through thoughts, wealth, and tools. Production and manufacturing are part of the real economy, and circulation is also part of the real economy. Previously, Jack Ma proposed the "five new" theory: new retail, new manufacturing, new technologies, new finance and new resources, which may build a new world. But Zong Qinghou believes that except for new technologies, everything else is nonsense.
Zong Qinghou's remarks have attracted great attention from the outside world, so Jack Ma's speech today can be said to be a response to Zong Qinghou.
Jack Ma once again mentioned the "Five New" today: "Entrepreneurs must learn and think. It is not technology that allows you to eliminate you, but backward ideas that allow you to eliminate you, but unwilling to learn and self-righteousness that allows you to eliminate you."
The following is the transcript of Jack Ma’s speech (the full text has been deleted):
Let me talk about some of my thoughts and insights, and my views on some issues.
Especially in 2016, the economy is relatively difficult, and it will still be difficult in the next three to five years. I told many friends of Zhejiang businessmen a few days ago that I would tell you a bad news, and the economy will be difficult in the future. I would tell you a good news, and everyone will be in a difficult situation. But when I was so busy at the end of the year, the Jiangsu Chamber of Commerce and the Zhejiang Chamber of Commerce joined together to discuss the future. I think this is a very important and critical moment. Thanks to the Jiangsu Provincial Government for its attention and strong support for our cooperation.
1. Businessmen must be self-respecting, self-esteem and self-confidence
I want to talk about other things here. I think businessmen must learn how to be respected, must adhere to ideals, must adhere to optimism, must adhere to learning, we must respect ourselves, and be confident. Businessmen have always been looked down upon. In the past, everyone thought that scholars, farmers, businessmen were always at the top. When I was a teacher, I looked down on businessmen. I felt that there was no businessman, including today, I felt that I had done my best, whether in paying taxes, employment, or all aspects, but in other people's eyes, Alibaba, Jack Ma was a businessman.
But after starting a business, I realized that, in fact, an entrepreneur who needs to do it for a long time, do it well, and become a big one, most of the things he considers must have nothing to do with money, and major strategic decisions must have nothing to do with money. True businessmen must learn to be self-reliant and must learn to respect themselves. Therefore, only when businessmen respect themselves and respect their own values can we be respected in society.
I have recently discussed and communicated with many Zhejiang business entrepreneurs the most, including emotional intelligence, IQ, and business love. If a company wants to grow bigger and successful, you have to look at its emotional intelligence. People with strong emotional intelligence are generally easy to do, but if they have strong emotional intelligence and do not have IQ, they are easy to fail and fail. IQ means continuous learning. After you have IQ, you have knowledge and structure. The speed in the future will be very fast. However, entrepreneurs do not have enough emotional intelligence and IQ alone, but they must have love business. Only loving business is to regard the responsibility of others, and regard the pain of others as their own. A true entrepreneur is not looking for loopholes in social development to develop, but in social development to make up for these loopholes and create these values. If you really have these responsibilities, you really have this love business.
If you don’t make money, you will not be respected, but if you really want to be respected, you must have a strong love for business, so emotional intelligence, IQ and love for business are very important.
2. In the future, the economy advocates the economy, Jiangsu and Zhejiang, will combine to "reform and opening up"
Jiangsu has a very impressive foundation. China is the second largest economy of the world economy, and Jiangsu is the second largest economy of China. The economy of Jiangsu Province represents the quality of the entire Chinese economy. There is paradise above and Suzhou and Hangzhou below. In ancient times, it was about the land of Wu and Yue. In fact, Jiangsu and Zhejiang were known that Zhejiang was not Jiangsu, and Jiangsu was not Zhejiang. People from other places saw us together. I went out to speak and said that you are Jiangsu, but in fact it is Zhejiang. We can clearly distinguish it. Others can't distinguish it. Jiangsu businessmen and Zhejiang businessmen are different. My colleague sorted it out for me, and I think it's quite interesting.
When talking about the commonality between Suzhou and Zhejiang businessmen, everyone is smart, wise, good at management, dares to fight and break through, and is tolerant and open-minded. In fact, the difference is quite big. Jiangsu has superior natural conditions, and Jiangsu merchants are "not leaving their hometowns", while Zhejiang is backed by the mountains and coastal areas, and the land is limited, so Zhejiang merchants like to go out. Su Business has a little bit of "self-care", which means he has a little bit of fighting alone and making a fortune in silence, and has relatively less teamwork. Our Zhejiang Businessmen, especially the Ningbo Gang and Wenzhou Gang, are good at grouping together to keep warm and support each other to grow.
Jiangsu enterprises are stable, unpretentious, flexible, and low-key, and are typical water culture. Our Zhejiang businessmen are higher-profile than Jiangsu businessmen and are a group with their own "Internet celebrity" physique. It is said that Jiangsu companies can build, Zhejiang companies can sell, and there is nothing we can't sell in Zhejiang. In fact, it will build, or sell, or whether it will build or not. In fact, today's world is also a kind of productivity.
Jiangsu enterprises focus on manufacturing, and although the profits are high, they are extremely limited. We Zhejiang businessmen focus on trade, and Zhejiang businessmen are engaged in investment, financial industry, real estate, Internet industry, etc. Therefore, Jiangsu focuses on manufacturing, and our Zhejiang businessmen focus on modern service industries.
Another interesting difference is that Jiangsu enterprises pay attention to power, while our Zhejiang businessmen advocate the market. Both Jiangsu businessmen and Zhejiang businessmen pay attention to power and the market, but the order is different. Jiangsu businessmen advocate power, but they know how to respect the market. Our Zhejiang businessmen advocate the market, but they know how to make good use of the government.
So we have differences and commonalities today. Jiangsu and Zhejiang each have their own characteristics, but I personally think that reform and opening up, Jiangsu represents opening up, and Zhejiang represents reform. Jiangsu is good at learning excellent experiences from other places, so all foreign capital from Jiangsu has come. We are good at innovation and change, and we are good at marketing, so we have more "weird" companies in Zhejiang.
In recent years, many people compared our Zhejiang and Jiangsu. In fact, I don’t think there is any need to compare the two places, but the two places must be integrated. If Jiangsu and Zhejiang are combined, it will be the four words "reform and opening up". The future economy will be cross-regional and cross-space, so the future economy will be more respectful to economies. Our Jiangsu, Zhejiang and Shanghai areas are called the Yangtze River Delta economy, and the Guangdong areas are called the Pearl River Delta economy. Economies must unite and cooperate to develop in order to have a future.
3. Enterprises must persist in learning. If you don’t learn, you will always live in yesterday, complain about tomorrow, or even be afraid of tomorrow.
In addition, I would like to tell you that there are only two types of businessmen, there are only two types of good businessmen and bad businessmen, and there are only good businessmen and bad businessmen. In our eyes, there is no distinction between state-owned enterprises and private enterprises, no distinction between large and small enterprises, and no distinction between real and virtual enterprises. There is no need to divide enterprises into different levels. Others look down on us at first, and we also divide ourselves into different levels. There is no physical or virtual, there is only a distinction between good and bad enterprises, and only a distinction between good and bad businessmen.
China's economy is relatively difficult now, and this difficulty cannot be overcome for a while. If we really think that China wants to transform and China's economy needs to transform and upgrade, it will cost a price to transform and upgrade, and the price is time. So if we insist on transformation and upgrading, our economic difficulties will inevitably be inevitable in the next five to ten years, our GDP figures will definitely decline, and many of our industries will definitely encounter difficulties. But China is now facing two major opportunities. One is that China has not encountered huge opportunities for change in the past two thousand years, and the other is the huge technological changes in the history of human society.
I think there are huge changes in Chinese society. I just said that people who run businesses talk about idealism and have no ideals. I don’t know how to face tomorrow and stick to optimism. No matter how difficult it is, China today is not the most difficult time. No matter how much you complain about this environment or that environment, let me tell you that in ten years, there will definitely be more Chinese entrepreneurs than today, and in ten years, there will definitely be more rich people than today. In ten years, there will be an entrepreneur, such a good company, which will definitely come out from today.
I participated in the admissions of Lakeside University yesterday. Looking at the young entrepreneurs, their innovation made me sigh that they did not complain. They were pursuing growth. They were not 5% or 6%, but 30%, 40%. 30%, 40% are very stable growth for them. It is not that the real economy is not good, but that your real economy is not good. It’s not that China cannot do the real economy, but that your real economy is unable to do it due to lack of pioneering spirit and innovative spirit. In the next thirty years, we will see more new types of real economy being born.
4. There is no distinction between entities and virtual enterprises, only good enterprises and bad enterprises
Everyone says that enterprises are difficult and the real economy is difficult. When will the real economy not be difficult, enterprises are difficult, when will the real economy not be difficult, is the real economy not difficult, is the virtual economy not difficult, and is it also difficult. Let’s talk about BAT. There are hundreds of thousands of Internet companies in China that are born, and these three or four companies are also walking on thin ice every day and are frightened. Today is you, tomorrow is not you. What is the real economy? Everyone says that the real economy is very difficult. What is the real economy really defined? Have you checked? The definition of the real economy is the business of production and circulation created by humans on the earth through thoughts, wealth, and tools. Production and manufacturing are part of the real economy, and circulation is also part of the real economy.
Today, overcapacity and inventory increase are because our circulation is not smooth. If it can be smooth, our production capacity will be surplus. I hope everyone will not unite the opposition between these real economy and virtual economy. There is no real economy or virtual enterprise, only good enterprise and bad enterprise, and there are also bad enterprises in the real economy. I think in the future, in the Central Economic Work Conference, in the so-called strategy, we will vigorously develop the real economy, vigorously develop the future real economy, and vigorously develop an innovative real economy. But we must eliminate those backward productivity forces. Without this determination, we will return to yesterday and there is a high possibility that we will not be able to face tomorrow.
For this reason, I hope everyone will think about some questions. The next five years will be more and more painful. This pain will definitely exist after surgery. In the next five to ten years, our country and government enterprises will have to undergo several baptisms, the baptism of new technologies, and the baptism of transformation and upgrading. If your company cannot experience the baptism of innovation, technological challenges, or the baptism of your own body or transformation, I believe such a company will definitely be eliminated. Only companies that have experienced these baptisms can face the sun of tomorrow.
5. Some people have been watching for three years, and some have been watching for three years. It’s not that technology can eliminate you, but that behind-the-sighted ideas can eliminate you.
I think many people here are not optimistic, but I still want to emphasize this point. New retail, new manufacturing, new finance, new technology, and new energy must be the future. Some people look at three years, some people look at thirty years, some people look at China, and some people look at the world. It’s just the five new things I hope to propose. All the entrepreneurs here will think about it and spend three more minutes to think. The challenges of new manufacturing and new manufacturing will become increasingly greater. Smart manufacturing will become a theme in the next twenty years. In the past twenty years, human beings have turned humans into machines, but in the next twenty years, we have turned machines into humans. I just said that I may have different opinions. Try to use machines when you can use robots, and don’t use people. I think in the next twenty years, it will definitely be a place where you can use people. People must use people, because if we do it purely with machines, the products we create will lack a real experience. Only people, people are cultured and people are emotional.
The manufacturing industry mentioned in the past was scale and standardization, and the manufacturing industry in the future was smart manufacturing and customized on demand, while the manufacturing industry in the future was smart and customized on personality.
The reform of new finance will also promote the entire China's financial reform. In the past, finance was the 28 theory. 20% of large enterprises, state-owned enterprises, large enterprises, and foreign-funded enterprises could obtain financial support, but 80% of small and medium-sized enterprises, young people, and innovative enterprises could not receive financial support. The problem solved by new finance is the 82 theory, which solves 80% of young people and small and medium-sized enterprises. Only when the finance of these enterprises is supported, I believe that society will truly progress and Chinese society will develop.
New technologies, technology in the IT era, will inevitably be replaced by technology in the data era, and all technologies will undergo earth-shaking changes. Perhaps today is the best opportunity for every company here. The United States' IT is very powerful, but it may not necessarily accept the rapid development of China's e-commerce in the data era. Because China's commercial infrastructure was too bad, we quickly seized the opportunity and developed in the Internet era. Everyone talks about our impact on e-commerce and the real economy. I report to you that this year, Alibaba’s platform sold 3.7 trillion yuan in total. This 3.7 trillion yuan is the sales of the real economy of 3.7 trillion yuan. However, the real economy has changed through traditional shopping malls and Malls. Today, we have changed through the Internet. In other words, countless real economies have found their direction because of the Internet.
If it is closed, it means that China will close 37,000 such large chain supermarkets and Malls of such a large scale, which is incredible.
So I want to tell you that we must think that the development of e-commerce in the United States is because the original traditional retail has developed very well, so it is difficult to develop. Traditional retail is the mainstream in the United States, and the Internet is not the mainstream. I want to tell you that the stronger the IT development era, the greater the resistance in the data era. When encountering well-known resistance in the data era, it is not those poor areas, but those provinces in Shanghai, Jiangsu, Zhejiang, and Guangdong, the better the IT technology facilities, the less willing to accept the technology in the data era. In those poor areas in Guizhou and Yunnan, areas in areas with poor IT development were not good enough, seize opportunities and face future innovations.
Yesterday's huge technological revolution, the strongest yesterday was today's weakest, and yesterday's advantage became today's history. Please note in this regard that the impact of new technologies is far beyond everyone's imagination. Most of the work of white-collar workers yesterday would be lost, and most industries and companies that took it for granted yesterday would fall. It’s not technology that allows you to eliminate you, but backward ideas that allows you to eliminate you, it’s not the Internet that impacts you, it’s conservative ideas, yesterday’s ideas, and lazy laziness that is unwilling to learn that eliminate you, and self-righteous things that eliminate you. So I hope that our entrepreneurs in Jiangsu and entrepreneurs in Zhejiang will face the future together and seize new opportunities.
Finally, I also believe in new energy. The first technological revolution gave birth to energy, mainly coal, and the second technological revolution, the energy born was mainly oil, and the future technological revolution will be data. All enterprises must pay great attention to their own data. Data must be circulated. Governments, enterprises, and all walks of life will allow data to circulate, so that data should pay attention to privacy and security. All businesses must be data-based, and all data must be business-based. This is the real future.
So whether you believe it or not, just like twenty years ago, in 2002 and 2003, I gave no less than a hundred speeches in Guangdong. Internet e-commerce will impact many industries, and no one takes it seriously. But I am not saying that it will hit it in 2001 and 2002, but it will indeed hit it in fifteen years. I want to tell you that in the next ten or fifteen years, it will have a strong impact on the foundation of all industries here. This is not our impact, but the arrival of a technological revolution. This is human society. You can treat it as an opportunity or a challenge.
6. Don't let the history of the Red Flag Act repeat itself
Finally, I also think that in the next thirty years, I have said on many occasions that any technological revolution will be fifty years, the first twenty years will be the transformation of technology companies, and the next thirty years will be the real development of the application market. Electricity was not invented by Americans, but Europeans invented it, but the United States makes full use of electricity. Cars were not invented by the United States. In the early days, Britain invented cars. Those who hated cars were all coachmen. At that time, coachmen were white-collar workers. After the car came out, they hated the most and hated the most. They encouraged the government to smash the car. It was these traditional conservative forces. Britain had a very stupid plan called the Red Flag Act. I don’t know if you have heard of it. There must be two people in each car, and there is a red flag in front of the car. The car cannot exceed the speed of the red flag. If the car exceeds the speed of the car, the car's license plate will be revoked. In order to protect the interests of traditional forces and protect the interests of the coachman. As a result, the German automobile industry surpassed the United Kingdom and France surpassed the United Kingdom. The United States quickly turned its country into a country on the wheel in the automobile industry. Because of the development of automobiles, the United States became a major energy power.
I think in the past industrial era, we seemed to have standardized everything that was standardized, and in the future we will personalize the standard things. The basis of all this is data, so we used to say that human calculations are not as good as heaven's calculations. In fact, the heaven of heaven is cloud computing, which is big data. People are not as good as big data calculations. Maybe it can be calculated in the information age. The big data era is simply impossible, so I hope everyone can grasp this technology, grasp this era, and seize this opportunity. This opportunity is for everyone.
I hope that in 2017, 2018 and 2019, China's economy has been relatively difficult in these three years, but this difficulty is the pain of transformation and the pain on the operating table. As long as you can survive, as long as you change yourself, as long as you look to the future and have confidence that others can survive, why can't you survive? I have always felt that if Zhejiang businessmen cannot pass the economy, if Su businessmen cannot pass it, then what businessmen in the world cannot pass it.
Thank you everyone, and I wish you all the best in 2017!
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