Chapter 585: The Marginalized Counterattack

"Reorganization? Are you sure?"

When Eliza finally met Ye Qiu and the two had just experienced two life-threatening storms, when she heard from Ye Qiu that the business and management model of Ye Zi Technology should be restructured, she He was so surprised that he stood up from his body, not noticing that his beautiful breasts were exposed in front of Ye Qiu.

But at this moment, Ye Qiu's eyes were serious, without any distracting thoughts, "Yes, I'm very sure!" His tone was also very firm.

Ye Qiu has always believed in a saying, learning is like sailing against the current, if you don't advance, you will retreat.

But this sentence is not only applicable to learning, but also applies to all aspects of a person, a company, or even a country, because everyone must know that the world we live in is not a static, but a dynamic world. , He is changing anytime and anywhere. Only if you change with him and adapt to it can you have a future.

So Ye Qiu decided to take advantage of the introduction of the new tax rate in the UK to reform Tottenham Hotspur's internal management and salary model. But by the same token, when Ye Qiu came to the United States, he also hoped to reform his Ye Zi Technology. reform.

"I don't quite understand!" Eliza obviously felt that it was crazy to reorganize and reform Leaf Technology.

You know, this company has definitely been the most profitable company in the world in the past few years. In just a few years, it has accumulated astonishing wealth. What's more important is that Ye Ye Technology is still growing at a very rapid rate. The momentum is sprinting forward. As long as it takes time, it will definitely become a giant high-tech company like Microsoft.

With such good momentum, Ye Qiu said that he wanted to reorganize and reform the company, which made Eliza confused.

Ye Qiu got off the bed, walked in the air-conditioned room, walked to the window, opened the curtains with a swish, and saw the quiet and dark garden, and the night sky studded with stars.

"You know, I have been thinking about a question, and that is why the former leading companies such as Motorola, Nokia, and even Microsoft will decline in the end?" Ye Qiu slowly said in a very plain, but It's a tone that makes you feel as if he has empathy for the experiences of these companies.

The decline of Motorola and Nokia is an indisputable fact, but it is too early for Microsoft to say that it will decline. But you must know that in the entire high-tech field, especially the top high-tech experts, almost everyone is full of confidence in the future of Microsoft. It's all gloomy because the company has made almost no progress in the past dozen years.

Of course, this world is a dynamic world, and no one dares to say that it will definitely be like this. Therefore, the decline of Microsoft can only be regarded as a high probability event, but it does not rule out that it will suddenly have some great innovation, which will lead the company to go out of business. Quagmire.

"Is it because they don't want to innovate? Or are they unable to develop satisfactory products? Or are they not working hard enough and lacking motivation?" After finishing speaking, Ye Qiu shook his head, "Obviously, all The answer is no!"

"There is no doubt about the innovation ability of Nokia and Motorola, nor the quality of their products. Even their pursuit of excellence and constantly putting forward higher requirements for themselves are not lost to anyone. But why have they declined? And they have declined. It seems to come without warning and catch you off guard!”

Just like Nokia, Nokia was brilliant a few years ago with a market value of 150 billion euros. However, in less than five years, the market value was squandered. But can you say that Nokia has no innovation ability? Lack of high-quality products? Not working hard enough?

People who think this way think of things too simply. Look at the current mobile phone industry, Nokia still ranks first in sales, and then think about it, why!

"I don't know if you have heard of it. The concept of the Zeus mobile phone we launched has actually been in Nokia for a long time. In other words, they once thought about launching the Zeus mobile phone, and it was earlier than us. If at that time They launched such a mobile phone. It may fail because the Internet and telecommunications technology cannot meet the requirements, but it may succeed, and then we will have nothing to do with it. But they ignore it because they think that people who will use this kind of mobile phone will There are very few users, so few that they can be ignored, so they don’t think it’s worth developing such a phone.”

Eliza has heard this story before. In fact, it is not just Nokia. Many mobile phone manufacturers and Internet companies have had such an idea, but they have not implemented it in the end, because in their view, this It is a marginal market that is so small that it can be ignored.

Eliza is undoubtedly a very smart woman, so she quickly understood what Ye Qiu meant, the marginal market.

Almost all innovations in all industries come from edge markets!

When huge business computers became popular, personal computers were seen as a fringe market because everyone felt that no one would use such a big, bulky, inconvenient, and expensive computer at home. , but Steve Jobs launched the personal computer, which completely changed the world.

This is a classic case of a successful counterattack using an edge market.

But is it just Apple?

Wrong. Looking around the world, almost all disruptive technologies in human history have come from innovations in marginalized markets, and then used marginalized markets to counterattack and devour the entire market.

But this is a kind of fate, a reincarnation!

Just like Microsoft in the past, Bill Gates also started from the marginal market and successfully made Microsoft the world's largest Internet company, but when his Microsoft became the mainstream of the market, what did he do?

He did something that all companies that dominate the market would do, that is, to concentrate all their energy on constantly improving their main business, that is, core businesses such as Windows system and Office. This caused Microsoft to miss opportunities for technological innovation again and again, and even missed the rise of smartphones, which directly led to the collapse of Microsoft's entire consumer electronics business.

In the past, who would have thought of making smartphones when doing the Internet and PCs?

In other words, when a company dominates the market, it becomes the mainstream market, but it is impossible for it to cover all marginal markets. Instead, there will be a lot of small companies, a group of entrepreneurs with entrepreneurial passion and creativity who invest in marginal markets in order to get rid of the shadow of large companies, and bring their creativity into this market, creating disruptive innovations, and completing a counterattack in marginal markets again.

This cycle repeats itself, as if it is a kind of fate, a reincarnation, which is constantly staged in human history.

Leaf Technology also started from the marginal market, from a marginal market between the Internet and mobile phones, so it was able to get rid of the shadows of Nokia, Microsoft and other companies, and grow to its current status and influence.

But the problem is that now the Android system has become the main force in the market, occupying nearly 70% of the market share. Will the fate repeat itself? Will there be a disruptive company to overthrow Leaf Technology soon?

This is the question that Ye Qiu has been thinking about all the time!

Some people say, why doesn't Ye Qiu stay in the United States all day, why doesn't he participate in the management of Leaf Technology?

Because there is no need, because in Ye Qiu's view, everything in Leaf Technology does not need him now, because there are more professional people in charge of various things, and as the boss of the company, what he wants to think about and face is not the daily operation and management, but how and where the company will go in the future, which is more important than anything else!

"I understand what you mean!" Eliza is quick to understand.

Leaf Technology is now in the mainstream market, and Zeus mobile phones have a dominant position in the market. Although each generation of Zeus mobile phones has a lot of innovation, how long can this innovation last? Compared with the disruptive innovation when the Zeus mobile phone was first launched, the so-called innovation now is just a small innovation to strengthen its dominance.

In other words, in the core business of Zeus mobile phones, Leaf Technology is equivalent to the current Microsoft and Windows system.

In fact, Leaf Technology can do nothing now, and it doesn't need to do anything. It just stares at its competitors. Whatever innovation others make, I will follow it. Relying on the strong market recognition of Zeus mobile phones and the strong market share of Android systems, no company or any mobile phone system can surpass Android.

This is the advantage of the mainstream market ruler, but it is also a terminal illness!

Because any innovation you make can never surpass the revolution brought about by Zeus mobile phones and Android systems. You can only live in the shadow of past successes forever, and then wait for the next disruptive innovation from somewhere to overthrow you, and then you will suddenly find out, oh, what I missed at the beginning.

Of course, you can have many ways to make up for your problems in these aspects, such as acquiring some innovative companies and acquiring some emerging technologies, and there have been successes from them, but the problem is that most of them are failures.

Eliza knew Ye Qiu's current thoughts very well. She knew what Ye Qiu meant. The acquisitions of Leaf Technology were actually to make up for its lack of innovation, but in essence, it was still strengthening the market dominance of Zeus mobile phones and Android systems. This was an inevitable inertial thinking.

Even if Ye Qiu hadn't thought of it and seen it now, she wouldn't have noticed this problem.

"I have seriously thought about the traditional business rules of the past and the business rules of the current Internet era. I think it is much more cruel and bloody than in the past, because it is an era of winner-takes-all."

Ye Qiu's words were not difficult to understand. Leaf Technology was now a winner-takes-all company. It not only pushed Nokia to the brink of collapse, but also pushed several other competitors, such as Microsoft, Apple, and Google, to a desperate situation, at least in the field of smartphones and tablets.

Not only that, Leaf Technology's industrial concentration is very high. Leaf Technology itself owns almost all patents for smartphones and tablets, and at the same time, it is completely self-produced in some important components. For example, the CPU of the third-generation Zeus mobile phone will use the products of Leaf Technology's semiconductor company, and the tablet computer used its own before.

The purpose of doing this is to keep all resources firmly in one's own hands. You can say that this is a kind of closure, but the problem is that this kind of industrial concentration allows Leaf Technology to maximize the quality of its products.

In addition to industry concentration, marketing is becoming more and more important. The marketing team of Leaf Technology is very good. Tottenham Hotspur has inherited Ye Qiu's consistent characteristics, that is, focusing on news promotion and product marketing.

"But the reason why the current Internet era is bloody and cruel is that it leaves practitioners with less and less time to think and transform. This is because the Internet is gathering creativity from all walks of life at an astonishing speed and forming waves of innovation. The speed is so fast that it is dizzying and difficult to resist!"

The faster the product and service changes, the higher the probability of making mistakes, and the fewer opportunities to make up for mistakes. Therefore, many companies are popular quickly, but they are also ruined quickly. The experience of Leaf Technology and Nokia is a great example.

Eliza is also a well-known CEO in the world. Her current knowledge is higher than in the past, especially her understanding and knowledge of the Internet field. This made her really shocked after hearing Ye Qiu's words, because she found that Ye Qiu was thinking too far, but he was not only thinking about the present, but even thinking about things ten or twenty years later.

But isn't this the quality that a company's decision-makers should have?

"What do you want to do?" Eliza was finally convinced by Ye Qiu.

Ye Qiu thought about it and organized his somewhat complicated and chaotic thoughts. "I think that in the future Internet era, companies will be divided into two types. One is like Microsoft, which focuses on one or two core products, and the other is like Google, with scattered businesses that spread to various fields and industries, and then try every means to connect these fields and industries through the Internet."

"Both types of companies have their own advantages. Microsoft can focus on developing a product and make it refined and strong, bringing huge and rich profits and returns, and dominating the market, but the risk is that the technology and product updates are too fast. If you can't keep up with this pace, you will be replaced and eliminated sooner or later."

Microsoft is now obviously a little behind the times, especially in the past few years after the promotion of smartphones. This old-fashioned pace seems more and more cumbersome, especially now, there is even news that Microsoft is not considering acquiring Motorola or Nokia at all, because they don't plan to enter the hardware. Microsoft's hardware used to look for partners.

Ye Qiu dares to guarantee that Microsoft will pay the most painful price for its current decision-making mistakes.

Tottenham Hotspur also belongs to the Microsoft type, and only needs to focus on the football field, which is Tottenham Hotspur's core business.

"The benefits of the Google model are also obvious. It is like a greedy snake, constantly entering various fields and swallowing various technologies. If it is successfully digested, it means that their advantages are improving and risks are weakening. But if they cannot digest and cannot break the barriers between various fields and industries, they will fail completely!"

To put it simply, one is small and fine, and the other is large and comprehensive. Which one is better is hard to say.

In fact, when Ye Qiu formulated a development plan for Leaf Technology, he once proposed an intelligent ecosystem. In fact, this is the direction that Leaf Technology should develop from small and fine to large and comprehensive. On the premise of maintaining the advantages of small and fine, it should be large and comprehensive, breaking through the barriers of multiple fields and industries.

Ye Qiu had never systematically organized and re-understood the future of his company and industry before. To be frank, the smart ecosystem was just a decision he made based on his memories of his previous life and the knowledge and resources he now had. He had no systematic theories or ideas at all. He was just lucky.

But now he clearly saw why he did this, and he clearly knew what he wanted to do and how to do it. This undoubtedly made him clearly see the future of himself and Yezi Technology.

"Okay, you succeeded!" Eliza was now completely convinced by Ye Qiu's thinking. At least she had never thought about these things before. "Tell me, what are you going to do?"

Ye Qiu raised two fingers, "Two things. First, reorganize the company's internal management structure, abolish all hierarchical management, and let all employees decide what they want to do."

This is just a general direction. There are still many complicated things in the details, but in the final analysis, the biggest change is to give employees the right to choose independently, so that they can decide the research direction and field they are interested in. The company will provide research funding support. At the same time, the company will also launch a series of measures to recognize the value of employees, such as salary increases, and even the rights and interests of research results.

Eliza frowned when she heard this. She could foresee that once this was done, the entire company would be in complete chaos. But if she thought about it carefully, the method of encouraging innovation promoted by Leaf Technology was actually almost the same, except that Ye Qiu did it more thoroughly.

"Second, set up an independent new subsidiary specializing in self-attack!"

Since all disruptive innovations are made from marginal markets, Ye Qiu will reform the company's management model to maximize the innovation ability of employees, and at the same time encourage employees to innovate, and even carry out some self-disruptive innovations in marginal markets.

The purpose of Leaf Technology is to provide employees with a better innovation environment, encourage them to gain benefits through innovation, and tell them that the benefits of innovation within the company will not be less than the benefits of leaving the company to start their own business, because the former can provide them with very large human, financial and resource support.

At the same time, the establishment of a company with the purpose of self-attack is like hanging a sword of Damocles over the head of Leaf Technology. It can not only keep the crisis awareness of Leaf Technology at all times, find the weaknesses and mistakes in all aspects of the company, but also activate the company's self-improvement mechanism.

Of course, if one day in the future, Leaf Technology is unfortunately destroyed by this operating policy of its subsidiary, Ye Qiu also thinks it is no big deal, because it can be destroyed by its own subsidiary, and it can also be destroyed by other competitors.

There is a saying that is right, it is better to die in your own hands than to die in the hands of others!

And if Leaf Technology can constantly improve its weaknesses and shortcomings and keep its innovation, then this company will prosper and become stronger and stronger, and even become a century-old enterprise.