Walking Model - Top 50 Innovations in Chinese Internet Business Models

Author: None
Publisher:
Publish Date: 2006-08-01
Features: Since the beginning of the 21st century, with the emergence of computer multi-core technology, the rapid development of broadband network technology, and the advent of the Web 2.0 era, the internet has brought earth-shaking changes to our lives. This book is carefully selected, covering five aspects—information, network services, community socializing, online transactions, and wireless internet—presenting 50 emerging internet companies that have emerged in recent years. Through in-depth interviews conducted by nearly 30 journalists from "Internet Weekly," it focuses on describing and analyzing the corporate stories, business models, and entrepreneurial experiences of these outstanding companies. It is believed that this book will definitely help and guide internet entrepreneurs who are currently starting or planning to start businesses but are struggling to find the right approach and experience...
Capital Pursuit On April 1, 2006, 30-year-old Yao Jingbo and his nearly one-year-old 58 moved into Fuli Twin Brothers in Beijing's CBD business circle. The office there originally had 60 workstations, but Yao Jingbo had two removed to make room for 58. From its initial three-person team to its current 20+ members, 58's growth rate seemed to exceed Yao Jingbo's initial expectations, yet it has always remained under his control. This is largely due to the experience Yao Jingbo accumulated over the years navigating the internet industry. In 1999, after graduating from Qingdao Ocean University, Yao Jingbo worked as a technician at the Shandong branch of the Bank of China. However, he found that purely working on technology did not align with his ambitions, so he quickly left the bank to start an online mall with friends in Guangzhou. Although such websites now look similar to Taobao, they were launched a bit too early, and with limited funding, Yao Jingbo soon moved on to create Yiduwang. "In 1999, the Chinese internet began to enter a bubble phase, but markets for domain names, virtual hosting, and other enterprise services continued to grow steadily," Yao Jingbo noted. Five months after its founding, Yiduwang had already become a leader in the industry. After Yiduwang was acquired by Wangdang, Yao Jingbo worked there for five years, leaving as the Vice President of Marketing. He expressed gratitude for the experience and resources he gained during his time at Wangdang. "Working at a large company first significantly increases the chances of success when starting a business later," he said. However, there was one thing Yao Jingbo had not learned before founding 58—dealing with capital. Although his initial interactions with investors seemed risky, the process itself was very smooth.
Saif Partners first noticed 58 in a private publication of Qingke two months after the company's founding. Yang Dong, a partner at Saif, quickly recognized its potential. After Yang Dong connected with Yao Jingbo through 58's customer service department, Saif and 58 soon entered the "engagement phase": they signed the agreement on the last working day before the Spring Festival within less than two months. Prior to this, most of the companies Saif invested in were already in the growth stage—"these companies had already generated substantial revenue or even decent profits," Yang Dong explained.
Yang Dong gave two main reasons why Saif chose to invest in 58 so quickly, despite it being in its early stages: First, the classified information market had already proven its viability both domestically and internationally; second, the entrepreneurial team led by Yao Jingbo had prior experience in both founding and managing businesses, making them "likely to succeed in this endeavor."