In Dormitory No. 307, Building 7, Boys’ Dormitory, Tianfu School of Economics, An Liang is discussing with his roommates the community group buying of giant companies.

"The research direction of our country's giant companies and overseas giant companies is one problem, and the entry of our country's giant companies into community group buying is another problem."Anliang's response to the spin-off

"I don’t think there is any problem with giant companies entering community group buying."An Liang first explained his point of view.

Lu Wenshan responded,"No, Brother Liang, this is a big problem, isn't it?"

"What's the big problem?"An Liang asked back.

Lu Wenshan organized the argument,"Although community group buying seems to be very cheap at the moment, cheaper than the prices sold by small businesses and hawkers, what about the follow-up situation?"

"What happens next? An Liang was confused,"What will happen next?""

Before Lu Wenshan answered, An Liang continued,"Giant companies have a natural advantage in entering the community group buying market. Because they are giant companies, they have enough resources., whether it is upstream resources, downstream user portrait data, or the trends of the times, they all tend towards giant companies."

"Taking the most upstream resources as an example, giant companies can directly contact the origins of vegetables and fruits to obtain large-scale purchase channels at the best prices; coupled with the resource allocation capabilities of giant companies, they can optimize transportation as much as possible In the downstream user terminal link, giant companies use network channels to bypass site costs and personnel costs, further reducing costs."An Liang added

"More importantly, the times are supporting giant companies. Whether we are the two generations of young people born in the 1980s or 1990s, or the generation that has grown up after 2000s, we are all accustomed to using online channels and are accustomed to online shopping. Just click on your mobile phone and someone will have vegetables and fruits delivered to your door.."An Liang added

"With support from top to bottom for giant companies, isn’t it natural for giant companies to enter community group buying?"An Liang asked back.

Lu Wenshan nodded,"Brother Liang is right, but the problem is, after the giant companies kill the small traders, these current discounts and the cost of the giant companies' early losses will all be recovered from the users later."

"Who came up with this theory?"An Liang was stunned for a moment.

"This theory is all over the Internet, and everyone agrees with it. Giant companies also want to make money. They lost money in the early stage. After they monopolize the market, won't they recover the early losses? Lu Wenshan asked back.

Lu Wenshan continued,"This should be the basic rule in the economic market, right?""

"Yes, this is the basic rule in the economic market. An Liang affirmed Lu Wenshan's statement,"But this is a statement that only knows one but not the other.""

"Wenshan, the theory you mentioned is actually valid when it comes to online car-hailing. Online car-hailing also has giants entering the market, offering overwhelming discounts, and then suppressing the taxi industry until it is breathless. When the discounts are at their highest, the same For the distance, a taxi costs 20 yuan, and an online car-hailing service may only cost 2 yuan."An Liang gave an example.

"But what about now? An Liang asked back,"Taxi is still not dead, and online ride-hailing has not completely occupied the market.""

Lu Wenshan fell into thinking.

"We jump back to community group buying again. The giants have entered the market and issued discounts. The giants have various cost advantages and will eventually completely wipe out all kinds of small merchants and hawkers. Then what’s the next step? An Liang asked back.

An Liang answered on behalf of Lu Wenshan,"The giant has monopolized the community group buying market. Will the price increase next?""

"Of course it’s negative!"Anliang responded,"With various cost advantages, community group buying has already achieved harvesting wool, why do we need to increase prices?"

"Let's give an example. An Liang gave an example,"Take watermelon as an example. Currently, the Xia Ning watermelon sold by small merchants and hawkers is about 2.5 yuan to 3 yuan per catty. The price of community group buying may drop to 1.8 to 2.0 yuan per catty. If small businessmen and hawkers are now selling It disappeared. Could it be that the Xia Ning watermelon purchased in the community group purchase increased to 4 yuan per catty, or even 5 yuan per catty? Lu

Wenshan fell into thinking.

Shen Shizhong responded negatively,"I don't think it is possible. If the price really rises to 4 or 5 yuan per catty, small traders will reappear and sell 2.5 yuan to 3 yuan per catty." Sold at a pound price."

Shen Shizhong continued,"Small merchants and hawkers could make money in the past at 2.5 yuan to 3 yuan, and now they can naturally make money in this price range, so when the price of community group buying increases, small merchants and hawkers will definitely make a comeback!

An Liang definitely agreed,"Yes!" Gentleman is right! Perhaps after community group buying strangles small traders, giant companies should increase prices, but this price increase will definitely not exceed small traders, because if it exceeds small traders, why can't we choose small traders?"

"The entry cost of small businessmen and hawkers is too low. Let’s take Xia Ning watermelon as an example. Many small businessmen (Li Nuo) specialize in selling watermelons in the summer and do other things at other times. In this case, the community If the group buying price exceeds that of small traders, the small traders will in turn educate them."An Liang added

"Even if the price of community group buying is the same as that of small traders, consumers will choose small traders because when buying from small traders, real people can participate and they can choose freely, thus getting a feeling of taking advantage."An Liang added

"The fixed delivery system of community group buying leaves consumers with no choice. Especially when faced with fruits and vegetables of poor quality, resentment will arise. This is a problem that online channels cannot solve."An Liang's in-depth explanation

"Therefore, when giants enter community group buying, there is no such thing as harvesting wool."An Liang concluded._16

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