At the World Internet Conference "Entrepreneur Summit Dialogue - New Economy in the Internet Era" forum, Jack Ma made a closing speech and shared his views on the transformation of the traditional economy, the Internet economy, and the digital economy.

Jack Ma said that not every company must transform, but every company must upgrade.

1

Every enterprise must upgrade

Not every enterprise must transform, but every enterprise must upgrade. This is because the future Things have changed, the market has changed, the scale has changed, the number of people has changed, and the quantity has changed, so it is impossible for you to remain unchanged.

The company’s choice: first, go to the future, second, go to the next 10 years, and third, go to the next 20 years. The path we finally decided to choose will take us 20 or 30 years into the future.

The most painful thing about this decision is that, first, you don’t know how to make money; second, you don’t know how to survive after making this decision.

2

How to move towards a "digital economy"

Today, it is inevitable to move from the traditional economy to the digital economy. You have to go if you choose, and you have to go if you don't choose. , but the key is how to proceed.

Whether we want to move toward the digital economy, most people must go in this direction, but how?

First, top leaders must reform.

Having a high realm may not make you a big company, but the leader of a large company must have a high realm.

Second, the organization needs to change.

You have to change yourself. Clothes that are new today will be old tomorrow, and the same goes for businesses. I hope everyone will remember that my opinion is that everyone needs to upgrade.

3

Real economy and virtual economy

First, the real economy is inseparable from the support of finance, and finance is inseparable from the development of the real economy.

Second, develop the so-called real economy and unify it into manufacturing.

The manufacturing industry of the future must be the service industry, especially in the IOT era, your era of pure manufacturing has passed, and the service industry of the future must be the manufacturing industry.

All our businesses must be digitized, because only when all businesses are turned into data can we enter the data era. But in the future, all our data must be digitized, because only in this way can data contribute to society. Service serves the customer.

I think these issues need to be protected by systems, organizations, and people to protect your beliefs and the future you believe in.

4

The new economy is a creativity economy and an imagination economy

Transformation is important and painful, but are you willing to pay the price for it? Transformation The strong motivation behind it is because we believe in the future.

Many people believe because they see, but those of us see because we believe.

5

You must have platform thinking

The platform must have strong service capabilities, the platform must have strong manufacturing capabilities, and the platform must have strong The ability to focus on the interests of others is something born of new technologies in this century.

One thing is for sure, your company may not be able to become a platform, but your company must have a platform to share ideas and thoughts, because only this kind of thinking allows others and yours to Customers are stronger.

Q&A session

Question: I am now an entrepreneur born in the 1990s. As a post-90s generation, after returning to China, they gave us many concepts to do some down-to-earth things. . We encountered many thresholds and bottlenecks when we started our business, because these thresholds and bottlenecks may come from different cultural backgrounds, or they may come from a lack of in-depth understanding of the actual implementation of localization, but I feel that more of it is now There are fewer and fewer things that we can do in entrepreneurship, and we must be very refined. Once it reaches a certain level, it will be very natural.

I am currently working on a soft decoration entrepreneurial project, which is to combine soft decoration with the Internet and intelligence. My question is how should our generation deal with this situation? The problem of choosing the right direction at the entrepreneurial level.

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Jack Ma: Let me correct you, grounding is not a concept. What is grounding? You can connect with customers and the market.

The second thing I want to mention is that any big thing starts from naturemarket. If everyone doesn’t believe that you have the opportunity, everyone believes that it will be your turn? There is no chance for thousands of troops to cross the single-plank bridge. The road you choose may never be taken, but you firmly believe it.

What is entrepreneurship? Entrepreneurship is about doing something you like and believe in. Entrepreneurship is not about trying to start a business today to see what has the best chance, then you will basically die. You must be doing something that I love, I like, and I believe in. Find some people who also love, believe, and like it, and be prepared to spend 10 years doing it. Then you have to believe that no one will give you money, so why should others give you money?

Question: I live in China, and my family likes to use Taobao and Tmall very much. Thank you for providing us with this invention. The country mentioned that China's Internet will be further opened to the world, and the door to this Internet will not be closed. We also saw companies like Facebook or Google at this conference, but the services they provide are banned in China. It seems that the Internet is not very open.

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Jack Ma: This is a good question and I will try my best to answer it.

First of all, China has always been open in the past, and it is open now. We are actually open to Google, but Google chose to leave. We did not drive it away. It has always been here, Yama Xun never left China.

It’s not that we won’t let it succeed, it’s that they didn’t succeed. I suggested to them 10 years ago that they look for managers who have an entrepreneurial spirit rather than professionals. Because no matter which country you go to, doing business in other countries is very difficult.

Don’t look for people who are committed to pleasing the boss instead of pleasing consumers. As a multinational company, we will send people to other countries, but many people are unwilling to please their own consumers. This method is No.

The second thing I told them is that when doing business in other countries, you need to follow the rules of that country, such as the Internet. I am not a member of the government, nor do I speak on behalf of the government, but I We know that if Google and Facebook want to come to China, they must abide by Chinese laws and regulations.

So what are China’s laws and regulations? In fact, it is not necessarily Facebook or Google today. Chinese companies like ours will also have to follow the laws and regulations of the local government when they go to the United States or other European countries. That's why I talk to government officials around the world and locally to find out what they don't like.

One more thing, it is not easy for foreign companies to come to China, but we have also seen many successful foreign companies, such as Microsoft, IBM, Coca-Cola and Cisco. You give me 5 examples, 5 examples of successful Chinese companies in the United States, 5 names, or 5 examples of Asian companies that are successful in the United States. Because it is indeed difficult for you to do business in other countries. It requires time and network.

I think the Chinese government is opening up, and we are also opening up, otherwise you would not be allowed to enter this Internet conference in Wuzhen. So if you decide to enter China, you must be prepared to abide by Chinese laws and regulations and spend ten years. Don’t feel like leaving if you are not happy. This is not a market that you can enter and exit at will. That's what I think.

Question: I would like to ask whether our cloud platform can enter the deep water area and be applied in the process manufacturing industry?

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Jack Ma: Of course, if you believe it. I believe it too.

But it’s really not that easy. Just like anything I just mentioned, e-commerce is not easy in China. It would not be possible without the efforts of a group of people; the industrial Internet and industrial cloud would not be possible without a group of people persisting for many years. The most amazing market must be created came out.

I personally think that the industrial cloud must have a future, but it’s not you, so I don’t know. Anyway, I believe, I try to see, this is our point of view.

Question: Thank you very much, Mr. Ma. I admire you very much for being the world's best in terms of globalization and e-commerce in the Internet world. You have also made a lot of innovations in the Internet and finance.

I have been working in the field of capital markets and capital services for nearly 20 years. I would like to ask you about the close integration of the Internet and capital markets. What are your thoughts on this innovation? Do you still have ideas that can make some great achievements and contributions to the country?

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Jack Ma: I dare not say that I can comment on the Internet and capital markets. I really don’t understand. I dare not make comments that I don’t understand. I just think that for capital markets , China will continue to improve and strengthen in the future. China's capital market is in the early stage, and the Internet should be able to do many things.

What Alibaba cares about is the transformation of the traditional economy into the Internet. What Alibaba cares about is helping SMEs reach the market, helping SMEs get money, and helping SMEs trade globally. This is what I dare to say. Things to do.

As for how to go public and raise funds, I am completely confused. A real business is when you serve your customers well and your own processes well, then the money will come naturally. There is money in this world, and some bad people will come, but if there are good people, the money will definitely come. This is my opinion.

All entrepreneurs and business people are focused here. I have also seen that the Wuzhen Conference has gradually become a place where many young entrepreneurs can communicate, listen to ideas, and have an open mind. And what we should pay more attention to is the very interesting views and ideas at the Wuzhen Conference (very interesting), which should be helpful to the government in formulating policies, conducting research on scholars, and entrepreneurs. We should not pay too much attention to gossip. information.

I saw a lot of news about meals this morning. Food is very important, but what is more important is what is discussed at the dinner table. We must turn the Wuzhen Conference into the Davos Forum. Only if the sparks of our thoughts permeate the world like snowflakes will we be good. Here we should sincerely share some opinions and ideas, right and wrong. This is the most important thing. So this is what I want to share with you.

Thank you for attending the Wuzhen meeting. As a local, I grew up in Tongxiang here when I was a child. I am very happy that everyone is here. I am here just hoping to share my views with you. I can’t invite you to dinner, so you just Enjoy yourself.