Why are there fewer and fewer individual merchants?
But now many individual bosses have chosen to give up. Why?
First of all, capital is a big limiting factor. It is difficult for individual merchants to obtain a large amount of financing in the initial stage, and most of the sources of funds come from individuals, which is prone to problems such as poor capital turnover and broken capital chain.
Only a few businessmen responded to the call of the state in the 1980s and 1990s, and were supported by government funds in the early stage of socialist construction, so their competitiveness was not great and their sources of funds were concentrated and sufficient. The rapid rise of the real estate industry is a good example.
The other is the wealth accumulated by several generations or dozens of ancestors. Throughout the world, Wal-Mart, Volkswagen, schwarzgruppe and many other well-known enterprises have continued to grow and develop by inheriting family businesses.
In addition, there are many individuals who use the funds left by their families to seek new opportunities and realize the ideal of establishing their own business empire. At first, it appeared in the form of individual businessmen. With the arrival of the 20th century, it gradually turned into an enterprise to consolidate its own development and quickly became a leading enterprise in China.
Second, under the modern market economy system, small and medium-sized enterprises and individual merchants are in an embarrassing situation. Recently, the national policy supports the development of small and micro enterprises and individual merchants, and reduces their tax value.
But there are still many problems: first, the main problems of the internal environment. First, their own quality is not high, their ability to cope with market changes is insufficient, they lack long-term development plans and goals, and the lack of managers' skills leads to limited development and stagnation.
Second, there is a shortage of talents, the mobility of ordinary employees is large, and it is difficult to find professional and technical talents, making it difficult to achieve a benign development momentum. Secondly, there are also problems in the external environment, such as poor financing channels, high environmental protection policies, numerous non-tax items and unreasonable economic structure. These are the direct factors that make individual merchants fall into an embarrassing environment.
Third, with the development of the Internet, e-commerce has gradually appeared in people's field of vision and become a business model that most people prefer to yearn for. 1994 China is fully networked, and the mobile internet was widely used in 2009.
Take the most popular example: in May 2003 10, Taobao was established and Alibaba Group invested. In 2006, Taobao became the largest shopping website in Asia, with nearly 9 million people shopping on Taobao every day.
There are more and more online stores, which greatly limits the development of physical stores. Take our clothes as an example. Online shopping can meet the needs of different customers to the greatest extent, and clearly see different fashion trends, which is convenient and fast.
It has changed the traditional business model and catered to our preferences to the greatest extent. The input cost of e-commerce is low, and the transaction cost and management cost are reduced. It can work in any place without a facade and the communication cost is low. Taking the online shopping transaction volume of 20 13-20 19 in China as an example, we can see the rapid development of Internet economy more clearly.
According to the contents of the e-commerce conference held in Shanghai in 20 13, in 20 12, Alibaba's annual sales exceeded one trillion, reaching11/in one day.
Li Ning has closed more than 1800 physical stores, and in the next three to five years, nearly 80% of the physical bookstores in China will be closed. Nearly 30% of clothing stores and shoe stores will be closed. These data show us that the road to e-commerce is unstoppable.
Fourth, from the market point of view, market positioning is very important. It is the positioning of enterprises, individual merchants and products in the target market; Is to gain the biggest advantage in the target market. From this perspective, enterprises have a greater proportion of advantages than individual merchants.
As far as Wanda Group is concerned, it began to take real estate as its main business in the 1990s, and then expanded its business scope to high-end hotels, cultural tourism, film and television, sports, online finance and other aspects in line with market demand.
It shows us the advantages of enterprises in discovering the market, mastering the market and finally guiding national consumption. Simply put, compared with individual merchants, enterprises occupy the market quickly, accurately and ruthlessly.
Fifth, the COVID-19 epidemic has also brought many impacts. The catering industry bears the brunt. According to the survey, from the Spring Festival of 2020 to March, the revenue of more than 70% catering enterprises nationwide decreased by more than 90% year-on-year, and 33% of enterprise stores were the same as last year; 30% of corporate stores decreased 10%-50% year-on-year.
Its impact on individual merchants is mainly manifested in less passenger flow, unsold goods accumulation and less losses. However, the epidemic ended in a short time, enterprises recovered quickly, and funds were withdrawn quickly.
However, individual merchants are more "depressed" and want to get rid of the farmer's market carefully. In the early days, individual merchants rarely patronized.
This further narrows the business scope of individual merchants, reduces their desire for development, and further promotes the process of individual merchants transforming into small and micro enterprises. However, if we look back at the first point introduced in this article, we will find that the transformation is more difficult, and capital is the first difficulty and the most fatal point they face.
Ideological bondage is also the most deadly. Oliver Wendell Jr once said, "Many ideas will be more powerful when transplanted into his brain than where they first grew up."
Compared with enterprises, the limitations of individual merchants' development ideas are more obvious. All kinds of collisions in thought may produce different sparks.
With the changes of the times, the entrepreneurial field of individual merchants is relatively wide, and individual entrepreneurship can only be started from small aspects due to various restrictions. Most of these small aspects are generally not creative and innovative in the public eye, and even produce "visual fatigue". For enterprises, with broad development road, talent gathering and broad thinking, it is easier to produce new development points, and it is not easy to be eliminated by the modernization wave.
Moreover, human resources and individual merchants are far less than enterprises. A company consists of human resources department, marketing department, legal department, finance department, logistics department and public relations department, which not only crushes individual businesses in quantity and scale, but also in quality.
"Wujiang" wrote that "the soldiers scattered their bows and defeated the tigers, and they broke through the encirclement." Xiang Yugu is a hero, and it is hard to resist the momentum of thousands of troops. What's more, shopping malls are like battlefields, and manpower can also be the key to success or failure.
Furthermore, in order not to be knocked down by the trend of the times, we must seek innovative talents. Facing the reality, truly talented and practical people will understand the importance of teamwork, which also makes individual merchants less and less, and many people give up individual merchants.
These reasons, whether macro or micro, have directly led to the transformation of individual merchants.
Transformation does not mean giving up. Many individual merchants have transformed into studios, which are essentially consistent with the nature of individual merchants and appear in the public eye in another way.
However, unlike individual merchants, studios have higher professional requirements and even operate only for one thing. Relatively speaking, this method is more conducive to cooperation with enterprises, to obtain higher profits, with less cost, strong directivity and concentrated resources.
Compared with the company, the advantage of the studio is that it is usually set up by members with the same hobbies, and it is more professional than the relevant departments in some industries. The studio has a small structure, fewer members, more flexible operation than the company, less rules and regulations and higher work efficiency.
Since we talk about transformation, let's talk about the business thinking of big entrepreneurs and how to help individual enterprises transform:
1. Let's talk about the wealth view of entrepreneurs. The wealth view of entrepreneurs is also the wealth view of market economy. Market economy is a combination of the transformation of wealth matrix from production factors themselves to factors.
In their view, only by relying on their own intelligence, participating in exchanges and promoting division of labor can wealth roll in. As we usually say, roll interest.
The enlightenment to individual merchants here is actually about establishing a correct outlook on wealth, just as a correct outlook on life can guide or even change a person's future development. Taking the catering industry as an example, it seems common to harm others and benefit themselves.
The authenticity of materials is the most fundamental and difficult requirement. Many individual businesses use some harmful additives in order to cut costs and reap huge profits. For individual merchants, customers are capital. If you want to win in the competition and gain a firm foothold, you must have a good reputation.
2. "Tomorrow after tomorrow, there are so many tomorrows ... success is just around the corner, and there is no need to draw lots." Procrastination must be familiar to everyone. In the eyes of ordinary people, time is a circle that repeats day after day and year after year. In the minds of entrepreneurs, time is a straight line and irreversible.
In a sense, entrepreneurs strive to improve the efficiency of time use and produce more material wealth in unit time. Therefore, individual businesses must have their own concept of time and seize the opportunity.
3. A successful enterprise kingdom must also be a place where talents gather. The criterion for entrepreneurs to choose talents is talents, not "character"; It is a gift, not a birth; It is level, not qualification; Intelligence, not experience. They need not only people who obey the rules, but also people who violate them.
Dare to innovate, it is more likely to bring new opportunities and challenges to the development of enterprises. These ideas are also very important for individual merchants, and they should enrich their knowledge and talents while selecting talents. In the transitional period, we should not only follow the rules, but also use our reserved talents to innovate and develop and create a new world.
In the final analysis, whether enterprises or individual merchants, the final conclusion is economic benefits, and good economic benefits will eventually become the choice of most people, which is also the fundamental reason why many bosses choose to give up individual merchants.
Judging from the overall economic situation of China, it is not only an international concept, but also an irreversible development trend in the era of continuous development of the Internet. Therefore, more and more individual merchants will seek more cooperation opportunities and transform into enterprises.