Looking at China's innovation from Jia Yueting, and looking at enterprise management capabilities from LeTV

There have been heated discussions for several years about whether Jia Yueting is a dreamer or a liar, and whether LeEco is a new species or a freak in the corporate world, but the conclusions are still different for everyone. This time, let's look at China's innovation from the story of Jia Yueting, and examine enterprise management capabilities from the development of LeEco.

1. Did Chinese innovation choose Jia Yueting, or did Jia Yueting fool Chinese innovation?

On November 9, 2016, Trump won the US election, which surprised most people at the time, thinking that he was the most unreliable US president. With Trump unswervingly and unswervingly fulfilling his campaign promise of "Make America Great Again" and launching an "America First" movement in the fields of trade and technology in the face of opposition from all corners of the world, people seem to have We understand that Trump is the most sincere call from the bottom of the American heart. Americans no longer need those hypocritical politicians to be presidents, because they always shout the slogan "Make America Great", but in actual governance, they always give priority to themselves. At a time when America's lead is recognized as being truly challenged, even a real villain who has cast aside conventional rules and even shame, as long as he can go all out and do what he says he does in the performance of his presidential duties, is far from better than all hypocrites. As a result, some people began to look forward to Trump's greatness.

For Chinese innovation, the optimal allocation of resources in the capital market plays a pivotal role. Now, under the wave of trade and technology protectionism initiated by Trump, everyone will definitely miss the last round of A shares that lasted. A two-and-a-half-year bull market. From December 2012 to June 2015, the ChiNext Index took the lead, rising nearly 7 times along the way, while the Shanghai and Shenzhen Main Board Index rose by about 2.5 times during the same period. We talk about accelerating the construction of an innovative country, and we call for independent breakthroughs in core technologies. Without the boost of a healthy and thriving capital market, no amount of efforts may be fruitful.

The main story of Jia Yueting and LeEco happened with that round of bull market. In two and a half years, Jia Yueting's "ecological countermeasure" fully exerted force, and LeEco attracted talents from all over the world, and only went public. The company's revenue jumped 10 times to 13 billion in 2015, and its market value jumped 25 times to 150 billion at its peak. The stock code of 300104 has become the most representative future weather vane in the Chinese stock market.

After that round of bull market came to an abrupt end, there was an extremely abnormal phenomenon that deserves further consideration, that is, under the circumstance of insufficient liquidity, the Shanghai and Shenzhen main boards resumed after a brief 8-month rest period. The two-year bull market started, but the ChiNext went down all the way, and there is still no bottom in sight. How is the Chinese stock market so unique? Why did capital change its normal state, no longer hold heavy positions for growth, and look forward to the future?

During those two years, there were actually several waves of attempts by the GEM to follow the main board to make a breakthrough, but they were ultimately unsuccessful. It was found that the flag 300104 once held high, after Jia Yueting's LeTV, could not find the next qualified flag bearer.

There are nearly 700 companies on the Growth Enterprise Market. If you add the nearly 800 companies on the SME board, this group of 1,500 companies with the most growth potential should be China's innovative force. The main carrier, we can't find a second company that can approach LeEco in terms of innovation activity and appeal.

Therefore, it is the scarcity of China's innovative power that makes Jia Yueting and LeEco go crazy; just as the unshakable U.S. hegemony has made Trump's abnormal governance, both are "people's". s Choice".

Looking further, the scarcity of China's innovative power is first reflected in the general lack of dreams. The reason why LeEco was able to attract an extremely luxurious executive team with the help of capital, Jia Yueting did not rely on his own quality and ability higher than them, but on the peak imagination and conceptual ability that none of them possessed. We can also count all the people we know. At the age of Lao Jia, who else can have the kind of dedication to dreams and the infectious power radiated by the passion that is suffocated by dreams.

A nation that has always had the advantage of late development and is proud of overtaking in corners, if it really wants to improve the national innovation ability, the first thing to make up for is the spirit of dreams and the spirit of adventure. From this point of view, Jia Yueting is a living fossil of China's related dreams, which is precious and rare for thousands of years.

Of course, only the power of dreams is not enough to complete innovation.

2. The death point of innovation is multi-party efforts, and it is impossible for a dark horse to appear in the form of a white horse.

Let's imagine that if South Korea, one of the Seven Heroes of the Warring States Period, bordered by many countries and has limited national strength, Before the troops and horses were moved, they announced to the world what would happen if they wanted to compete with the Six Nations. Even the Qin State, which later dominated the world, found an opportunity to accumulate its own strength step by step in countless times of nervousness and racking his brains, and he was able to achieve hegemony in the end.

Jia Yueting's "ecological reaction" is to make public efforts in multiple fields such as video, television, film and television, mobile phones, sports, automobiles, etc., and has been resolutely counterattacked by leading companies in each field. , sooner or later, there is no way to avoid it.

There is a book "Creating Shared Value" by Wang Ruohan, which tells the story of Nestlé's brand in a plain way. There are many passages about the achievements of Nestle's coffee and dairy products, the entire family of upstream farmers, and even the entire village. Very moving. After reading this book, you will naturally return to common sense to think, and accurately find that the corporate ecological strategy promoted by LeEco to the extreme is actually a trade-off that puts the cart before the horse. Without a hundred or ten years of development, without going through the process of increasing to decreasing, without forming a purification system, without a true steady state of internal harmony and external beauty, where can the ecological theory come from? Those short-term "ecological strategies" are just a nice name for the reticulation of the profit chain. The formation of a true ecology requires an original intention of sharing value, and requires a long-term game of species, and greed. Nothing, not even competition.

Therefore, the distance between Jia Yueting's dream and innovation is a clear direction and careful planning. LeEco failed to launch a low-key and poised saturation attack on a specific industry gap. It was mistakenly and naively trying to create a dark horse in the way of a white horse.

3. Dreams are the mother of innovation, and abilities are the wings of dreams to unfold and innovation to improve.

When the wind does not stop, it is difficult to distinguish between eagles and chickens in the sky, whether it is the audience on the ground or each other.

The process of Ma Yun and Jia Yueting flying into the sky is essentially different. Ma Yun had been training for several years when there was no wind, while Jia Yueting just spread his wings when the wind was blowing.

However, the wind will not blow all the time, only at the moment of falling, the chicken will find that it has no wings to fly high in the sky. This wing is the management ability of the enterprise, which is formed through the continuous optimization and repeated strengthening of enterprise management actions to form enterprise management behaviors, which are formed after long-term optimization and habitual strengthening of management behaviors.

And Jia Yueting's personal experience and LeEco's corporate history did not give enough time to grow wings that were enough to lift such a huge mother body into the air. Jia Yueting has publicly stated that he is not good at management many times. These statements themselves further illustrate that Jia Yueting's understanding of the fatality of his lack of management ability is far from in place. The complexity of the product matrix and business network chain built by LeEco ironically exceeds the sophistication of Apple's product line and upstream and downstream. To manage such a brand-new big plate, it is very likely that Jobs was not comprehensive enough, and Welch was too conservative. Could it be that a few management actions were not in place, and a few management choices made mistakes?

For those LeEco investors, this will be a lesson that will be enough to warn a lifetime - to invest in dreams and ignore ability, even if you lose all the principal, you can only be willing to admit defeat.

4. For an enterprise, management capability is 1, and capital, talent, and technology are the latter 0

Before LeEco’s storyline was overturned, many management experts and Investment experts use various theories, theories and models to explain Jia Yueting's subversive traditions. Some people say that LeEco is a model of "interaction between industry and finance", and they greatly exaggerate the driving effect of capital on a company's business. Some people have refined LeEco's "vision, talent, strategy" theory, and predicted that this will replace the traditional "strategy, organization, talent" theory in the Internet age. Some people have seriously written a new ecological strategy theory.

The end of the LeTV drama is a piece of chicken feathers. For an enterprise, management capability is 1, capital, talent, technology, etc., when the management capability is sufficient to control, it can magnify the value of the enterprise hundreds or thousands of times, and there are several 0s behind. When the management capability is insufficient, Everything goes to zero.

"Industry-financial interaction" is a theoretical model related to an industrial development perspective, and it is far from replacing the overall management of financial, human and material resources of an enterprise. "Talent is king", if there is no management that closely organizes talents and transforms personal ability into enterprise ability, the result will be full of "mountains". No matter how good technology is, if it cannot be industrialized with mature management capabilities, but scientists are allowed to run the company by themselves, it is likely to be a disaster for education, because the human world may lose scientists who are expected to achieve greater achievements, and then Entrepreneurs who are outright failed.

To do business, you must give enough respect to management. In the face of the new UVCA era, "enterprise management ability theory" is likely to lead the focus of management science, from management actions and behaviors to management capabilities.

Therefore, it can be concluded that Jia Yueting is not an entrepreneur and has no ability to manage LeTV. From LeTV Industry's "Calling for Wind and Rain", to the "roller coaster" that falls in seconds, to Sun Hongbin's "Supplying Charcoal in the Snow", and Xu Jiayin's "Rejuvenating the Spring", in these four magnificent movements, we should see a few points:

1) Dream is the mother of innovation, it is always great, and any failure cannot discredit the dream itself, it will never be;

2) Innovation is the death point of multiple efforts, and a dark horse cannot be a white horse

3) The company's management ability is the wings for the enterprise's dream to expand and innovation to continuously improve;

4) For enterprises, management ability is 1, capital, talents , technology is the latter 0;

5) For investors, it is a reasonable result to invest in dreams but not in ability, and lose everything.

There is one more point, I dare not make a conclusion, but I feel that it has a great relationship with the future of China's innovation. Please think about it: Did the "people" use gambling and blind obedience to drive Mou Zhong, Tang Wannian, Jia Yueting... ..., and then with a thousand fingers, killing the possibility of self-correction of dreams and innovation?