Last week, Chinese food delivery platform Meituan (3690) was interpreted as a satire of Chairman Xi after the founder Wang Xing published a Tang poem “Burning Book Keng” on his blog. Its stock price plummeted and its market value evaporated by HK$120 billion a day.
Except for the small investors who held Meituan stocks, the chairman was implicated. It is absolutely no treacherous disaster. How can the chairman always read Tang poetry? Otherwise, the minister missed the country.
According to market news, the first large-scale sale of Meituan was mostly from Beishui. In terms of political sensitivity, our comrades in the north are more than a few more than Hong Kongers. Foreign capital (which has not yet withdrawn) supports Hong Kong as an international financial center, and it is just trying to use its function as a “receiving station for China’s news.” But what I see is the fear and sympathy of mainland investors for power.
Many people blame Mao Zedong and the Gang of Four for the damage of the Cultural Revolution, but I think the culprit is the people’s lack of reflection and the worship of the power structure from the top down. Nearly half a century after the Cultural Revolution, how much progress have we made?
Successful e-commerce must do two things well
After the Meituan accident, some commented that if you want to make a fortune in the mainland, you cannot be a poet. To exaggerate: Is it okay to continue reading English books? Is it okay to eat western food? This reminds me of the couplet at the entrance of the Happy Valley Cemetery: “Tonight, my body is back to my homeland, and his body is the same as the monarch.”
Meituan benefited from the epidemic last year, and its takeaway business soared. There can be many reasons for the recent drop in stock prices, such as being criticized for oppressing deliverymen, the central government’s aggressive crackdown on leading Internet monopolies, and so on. I glanced at the analysis reports of Chinese and foreign securities banks. Most foreign banks are relatively optimistic, with a target price above 400 yuan. On the contrary, the recommendations of Chinese banks are conservative and the target price is below 400 yuan. Who is the Chunjiang Duck?
For an e-commerce company like Meituan, to be successful, two businesses must be done well; one is customer service and the other is delivery (fulfilment).
By the way, JD Logistics (2618) is also preparing to go public recently. I have read some roadshow materials and saw that mainland e-commerce has done a very good job in logistics. From the original Great Wall of human flesh to the current electronic version. On the positive side of monopoly, the leader can invest a lot of resources to create economies of scale.
Senior Partner and President of Asia Pacific