Just now, Mr. Cao scanned the whole internet in all directions. I want to focus on one point. To put it bluntly, I just want to share with you something that reveals these specific phenomena. In other words, just now Teacher Cao said that the essence of e-commerce is commerce. What has business changed? How to make money online or offline? Let me talk about my experience in these years and share it with you. I feel that e-commerce not only means that the means we use, such as online shopping, the channels we use have changed, but in fact, the most important thing is that the number of ways we make money has changed. To sum up in this book, economies of scale are what we call made in China, which is characterized by a single variety. WTO manufacturing industry is beautiful because it is big, and economies of scale are beautiful because it is small. This is our experience in Zhejiang. From the perspective of business skills, scope economy means that the more I raise the price, the more I calculate, which involves the business of e-commerce. How does business express this? Economic crisis is called economic crisis. I can't fight. Is it possible for me to do it better? These are actually two different ways of thinking. I think if e-commerce is really used well, I really agree with what Li Lina said, that is, it is beautiful because it is small, beautiful because it is differentiated, and beautiful because of price increase. That is to say, if it is made in China in the opposite direction, if it is made in China, its minus sign is beautiful, and China is stuck in the economic crisis. He pointed out the core of industrial capital. For her, these two ways of making money are related to the weapons we use. We have the Internet, which happens to have his standards, so he found it very late. When the Internet appeared, economies of scope became more and more dominant. In fact, this is a conclusion put forward by Li Lina. When the market became more uncertain, the scale became smaller, and there was no future, it was suddenly discovered that the Internet was a weapon to the extreme. Porter believes that financial strategy or differentiation is a price war. This is where we are. Why is it difficult for you to reach a dead end? The best way is to say that my things are different from that. At this time, people will think you are a classic, but why can't you do such a good thing? It is because the cost of differentiation is too high to bear, and these two masters have started driving. What is the reason? In fact, they are all right, that is to say, Porter's conclusion is that the more the real economy is divided, the higher the cost. But the biggest change we have seen is that the high cost of differentiation has become lower, and the more you don't fight the price war, the more cost-effective, so this is my true impression of e-commerce for many years. How has the number of ways to make money changed for us? Now, let's draw a cost model. The front line is C for cost, and the horizontal line is variety, indicating the degree of differentiation. The more varieties, the higher the degree of differentiation. Q is the contrast of blue, and this is the quantity. We look at the traditional China manufacturing, that is, the number of ways to make money in our original real economy. When we look at the blue section, the cost line is that the higher the speed, the higher the quantity and the lower the cost. But if you look at its variety, the higher the N value of the variety, the higher the cost, so the best button is that you adjust the N value to the minimum, and the less the differentiation, the more cost-effective you will be. That's why we are in trouble. This is the "Made in China" map. According to the inevitable result of the traditional economic proportion, when we look at this line from another angle, please note that the positive blue plane cost line is opposite, that is to say, the less I fight the price war, the higher the final cost, the faster I run and the more the cost. This kind of thinking has not realized the real advantages of the Internet, and has not really summarized the essence of the Internet. But in my next picture, the line is reversed. This line is reversed. The greater the value of n, the smaller the cost line. In fact, the more I earn, the smaller the cost. That's what Li Lina just told you. If I use the internet, I use the ecosystem. The more serious the mechanical system is differentiated in non-ecological system, the higher the cost of differentiation. Alibaba has found this rule after more than ten years' summary, which is a problem we have to solve today, that is, how to give full play to this weapon and the new weapon of e-commerce, because we have the Internet. I first saw the refrigerator 30 years ago. It contains a refrigerator full of shoes and uses it as a shoe cabinet. But is this refrigerator for shoes? What exactly is the Internet for? The internet can play a price war. We use the refrigerator for refrigeration, the refrigerator as a shoe cabinet, and the Internet for price war. He can't do it by fighting with his comrades on the internet. You wholesale at the third level and I wholesale at the third level, which is a typical case of using the refrigerator as a shoe cabinet. What's the use of a cannon that can't even hit the door This is the same? So let's see where e-commerce is working hard. Only by helping you get out of trouble can you have the motivation, but if you do a good job of the Internet, the cost will not only not rise but also fall in the process of price increase. I talked to them at dinner yesterday. How do you reduce the cost? He said that when I make clothes, I always stay with world-famous brands to save my own costs. This is not applicable technology, but thinking, which is called low-cost differentiation. We think this has completely broken through Porter's strategy, which is a new strategy. There is no low-cost differentiation strategy in your dictionary. Is it possible to differentiate at low cost? Everyone knows that they are all differentiated at low prices. Is it possible to say that I want low-cost differentiation, yes, like crowdsourcing? A problem solved by crowdsourcing, under what circumstances can a fool beat a wise man? You will definitely say cheating, not cheating, how to cheat in a fair game? This point was finally completely broken after repeated research by Harvard professors. First, they have to ask themselves whether they can differentiate at low cost. Fools don't want wages, and people who want high wages want high-level jobs. You have to invest heavily, and now I want to do something, like Jobs, to raise the price, so that the cost will be lower because of this increase. We used Jobs' fighting power to fight the price war. Why do only world champions think about this problem? I now reveal the answer, when a fool beats a wise man, the wise man just can't help it. When they do experiments, they are divided into two groups. He finally chose the complexity of a system and kept increasing it. When the task is simple, the intelligent group wins, but there is a preset value, that is, when people are not as good as the sky, the fool group wins, and the intelligent person is useless even if his brain and ability are high. This is what Li Lina just said. Under what circumstances will we encounter this situation, when ultra-complex systems compete. At this time, we need to see new research, that is, why this fool hit him. Fools have advantages that wise people never have, and no matter how much they toss, they will not disappear. When we talk about protecting diversity, we don't mean protecting the strong. When the system is complex, Excellence is useless. How to cultivate diversity in our organization, how complex this ecology is, finally evolved successfully. Ants evolved successfully, mice evolved successfully, and dinosaurs were finally eliminated, because they were not beautiful, because they were small and beautiful. I use the diversity and crowdsourcing of the scheme, because in the west, one person can't wear it, and wearing brown socks feels low grade; It is equivalent to the three stooges we talked about. When a hero practices, it is called "Great minds think alike". What we will face in the future is no price war, differentiated service and diversified personality. If so, my low-cost differentiation will not be realized. It doesn't need all talents, it is a kind of strength. Why did the planetarium develop to this point? It requires all-round observation of stars. Finally, we had to turn to three clowns. I told you that I have no money for you, but why did you help me? Because I want your professional opinion, the opposite of e-commerce is the advantage of our e-commerce. To solve this problem, Weibo's method and electronic marketing method are used to type data. Everyone has a suitable solution. I think this thing was realized here. Everyone said I would report to you, I would upload photos, and I would give you twice as much. This way is to provide diversified and different solutions in highly complicated situations, which actually increases the cost, and smart people work for fools to solve the problem of eating routines. This book is recommended to everyone. In other words, we should be open-minded, which has nothing to do with our technology, but what happened to making money in e-commerce, which has an impact on us. And I think it's just time to catch up with this because the Yangtze River Delta region, like Italy, has something to do with how to explore the small and beautiful road. I only think that all the officers and men in the world are not big enterprises. I monopolize toilet seats all over the world, but no one can compare with me after working 100 years. Now it is also Ma Yun's most anxious problem. How can I be beautiful because I am small? You solved this problem, and you are today's Ma Yun. I said there will be at least 24 Ma Yun in the future. But you want to drill in the wrong place. I don't think you have this opportunity, but you should occupy the direction in the period of change and have strategic intuition. You can understand that almost all the truly feasible business models discovered in 10 were broken by this. What is the most important point of these models? It means that I must not sell my free things. The intention of making money is his free business, and charging is the basic business. If this model is to be converted into Li Lina's data, the forest in front and nutrients in the middle will be digested by consumers, and value-added services will be rewarded. If this is not a mechanical world, a living world, this living world depends on biodiversity. How to create biodiversity and how to attract it? In the words of Chen, it is how to keep the roots, and everything is the details of this matter. For example, what role does our special task force play in this regard? In the end, it is to form a forest ecology to avoid price wars and break the limitations brought by Porter. How is this sentence rich? When I am ecological, this will be broken, and I may really become a big shot of Ma Yun in the future, and I will definitely appear in this direction. I have observed 10 for many years, and I think it is the easiest to see in the Yangtze River Delta region. Because of the glorious tradition of being small and beautiful, I am very optimistic about the future Big Mac. That's all for my speech. Thank you.