You came because I called you
I started talking seriously about business with Jack Ma.
"How's business going these days? I've been so busy that I haven't been able to take care of it."
"It's not a very good situation."
Since rumors were circulating that the Chinese government was intent on targeting Chairman Jack Ma's Alibaba, it was right to assume that the B2B business was doomed.
B2B is the mediation of transactions between businesses, and in China, being stamped out by the government was essentially a death sentence.
Because of this, I have heard news that the exodus of partner companies has accelerated.
"Our B2B business, which was our company's core cash cow, has basically collapsed. The B2B business, which was the only one that was profitable, has turned into a loss, and the deficit is growing even bigger."
I heard that it's not just the B2B part that's the problem. I asked Ma Yun, crossing my arms.
"What about C2C business?"
"The deficit has increased. We expected the deficit to increase, but it is larger than we expected. The biggest problem is that competitors are sprouting up like mushrooms."
"You say there are more competitors?"
"Yes. Suddenly, one company is investing a huge amount of money and sucking up the market."
As far as I can remember, there was no e-commerce company in China that threatened Alibaba.
Of course, it's not like there were no competitors at all.
eBay of the United States has entered the Chinese market by joining hands with Chinese companies, and there are already Chinese companies that have entered the market before Alibaba.
But Alibaba has managed to dominate China's e-commerce market, beating out all its competitors.
Since then, leading Chinese companies such as Baidu, Tencent, and Jingdong have all entered the e-commerce business, but they were not enough to stop Alibaba's dominance.
E-commerce is all about being first, but there are competitors like that from the start?
"Is this eBay?"
"Ebay is a problem, but a completely new company has come in unexpectedly. Have you heard of the Chungjung Group?"
"It's a loyalty group."
It was a company I had never heard of, even when I looked back on my memories from both my past and present life.
"What kind of company is it? Who is the founder?"
"I have no idea about that. Half of Alibaba's employees have already moved there."
"They stole the staff······."
This was tantamount to declaring war.
He said he was determined to take a piece of the pie that Alibaba was taking.
"A company I had never heard of and whose CEO I didn't even know suddenly appeared like a comet. And it just so happened that Alibaba was being targeted by the Chinese government. Anyone can see that it's strange. It would be reasonable to assume that the higher-ups are behind it."
Ma Yun looked around briefly and nodded slightly as if he agreed with what I said.
"Yes. If not, it is a growth rate that cannot be explained. Originally, the C2C business was a market that we and eBay were divided into. We were first and eBay was second, but the difference was not large. However, Chungjung Group jumped in and increased its market share, eventually surpassing eBay and rising to second place."
"But Alibaba is still number one."
"But if things continue like this, there is a high probability that it will be taken away within a few months."
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China's e-commerce business is growing at a rate that is unprecedented worldwide.
I had no intention of sitting still and letting someone steal my obvious jackpot.
"How much do you need?"
In this situation, all I could do was invest. Ma Yun swallowed dry saliva and carefully opened his mouth.
"······In order to put out the immediate fire and maintain market share, we need $100 million."
"One hundred million dollars."
I kept my mouth shut for a moment and thought about it. Ma Yun also waited quietly for my answer, as if he was waiting for my decision.
"Then let's invest 1 billion dollars."
"Huh? A billion dollars?"
"Has anyone asked if you were interested in investing?"
"······Yes. There is."
Ma Yun answered honestly. It was a response befitting of a man who never let go of my hand, even when times were tough.
"Yahoo and SoftBank continue to send us letters of intent to invest."
"That adds up to about a billion dollars, right?"
"How on earth do you know that? There are only three people in our company who know that."
"Haha, it's a trade secret."
You can't say it's a second life. You shouldn't say it.
He smiled kindly and joked around, but soon the smile disappeared and he asked seriously.
"Why did you refuse that?"
"I have already made a promise with President Kim, and the contract states that I must consult with President Kim in order to receive investment from other sources. I am not so bad-hearted as to break that promise."
I already knew that SoftBank's Son Jeong-ui and Yahoo's CEO joined hands to invest $1 billion in Alibaba.
That's why, before Son Jung-ui set his sights on Alibaba, he included a clause in the contract that would give me priority when receiving additional investment.
However, I didn't have high expectations when I added the item to the contract.
Because China as a country and the Chinese people as a people were not the type to keep such contracts very well. They made light of contracts and breaking them was not a problem.
But even though it was difficult, Ma Yun trusted me and waited for me.
"Chairman Jack Ma has shown me his trust, so I will repay that trust by investing 1 billion dollars."
"But if that happens······."
I could see what Jack Ma was worried about. Alibaba is currently worth less than $1 billion.
"For the investment of $1 billion, we can increase our stake to 45% on top of the stake we currently have. We don't want anything more than that."
"Is that really okay?"
"Yes. I don't think that's too much to ask. If there were multiple investors, there would be a lot of interference. You already know me, so you know better. I invest, but I don't participate in management."
As I spoke firmly, Ma Yun's face, which had been hesitant and cautious, suddenly brightened.
"That's true. The US is so heavily influenced by investors… Mr. Kim is an angel, an angel."
"I am doing this because I trust Chairman Ma. If I didn't trust him, I would have participated in the management."
Ma Yun smiled faintly.
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There is no greater compliment than having investors believe in you.
"Thank you. For a billion dollars, I can't afford to lose this fight."
"James Han from Dream High will be visiting Shanghai soon. I will take care of everything then, so you can adjust your plans accordingly."
Ma Yun nodded vigorously. After putting out the urgent fire, he was able to speak more leisurely.
"Are you preparing any new business?"
"We launched Zhifu Bao, an online secure payment service linked to Taobao. C2C transactions are transactions between individuals, so there is a high risk of fraud. Thanks to this, we are still able to withstand the offensive of the Chungjeong Group."
"Oh, I know that too. After all, it's Chairman Ma Yun."
The emergence of Zifubao has created a sensation in Chinese e-commerce as it can ensure safe online transactions.
Because it solved the biggest problem of C2C transactions: trust.
Originally, C2C was a transaction between individuals, so there were frequent cases of receiving money and not sending the promised item, or sending a different item.
Alibaba directly stepped forward to guarantee safe transactions, and the effect was enormous.
"But doesn't eBay also support secure transactions?"
"Of course we are doing it. But it doesn't fit the local situation in China."
They say the best offense is a good defense. If you have an advantage in one area, it's a good idea to solidify that advantage.
After thinking for a moment, I opened my mouth.
"Ma Yun. The Chinese government will soon announce a policy to support e-commerce."
"Is that true?"
"Yes. I will try my best to help Alibaba benefit more from it."
"Is it possible when the Chungjeong Group is backed by the Chinese government?"
"It won't be the Chinese government. They might be connected to high-ranking politicians, but… It won't be President Hu Jintao or Premier Wen Jiabao. Well, I can guess who it is, but they probably don't have the energy to worry about this right now."
A new company appears at the same time that Alibaba is being pressured. Is that a coincidence?
I think Jiang Zemin and the Shanghai faction are behind the Chungjeong Group.
And now they can't even afford to turn their eyes to places like this.
"You can increase the deficit even more. Think of it as throwing money away and invest more. First, secure people. You can make money later."
"You think the same as me."
"And beyond B2B and C2C businesses, you need to enter the B2C market as well."
Ma Yun's expression became slightly gloomy at my words.
"We are already preparing······. We don't have the capacity for that yet. The loss of manpower this time is too great. We plan to first normalize our existing business and then open."
"It will be too late then. Even if it is a little short, launch it within this year. Keep hiring the necessary personnel. The e-commerce market will continue to grow."
Ma Yun listened to me with a serious face without interrupting me.
"It will probably rise more steeply than Chairman Ma or others think. It is better to increase staff in advance than to increase staff at that time. You need to take the lead in the market by making larger investments faster than others."
It was about two years later that Jack Ma entered the B2C market in earnest.
It only jumped in after winning the battle over the C2C market between eBay and Taobao.
Even then, because we jumped in too late, it took quite a while to dominate the market.
But if we bring that forward, we will be able to dominate the market more reliably and overwhelmingly.
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"Let me think about it."
"Yes. I think China can become the world's number one e-commerce country. So don't hesitate to invest."
"All right."
I gave him all the advice I could. I had a quick drink with Ma Yun and then leisurely looked around.
"By the way, I can't see the person I'm looking for."
All the representatives of the companies I invested in today have decided to attend this party.
But no one else besides Ma Yun has been seen yet.
At that moment, I saw Tencent's Chairman Ma Huateng approaching us.
When our eyes met, he walked even faster and approached me.
He came closer and extended his hand in greeting.
"Mr. Kim. It's been a while. How have you been?"
"Well, you ask me that when you know better than anyone how I've been?"
Ma Huateng shut his mouth tightly and took his outstretched hand away.
Ma Huateng was the one who turned his back on me faster than anyone else and joined hands with the Chinese government.
"But you came anyway. I thought you thought I was no longer needed."
"that is······."
When I asked him directly, Ma Huateng blushed in embarrassment.
"I have told you many times that good will be repaid with good will and evil will be repaid with evil."
"······."
"Or did you think I would never set foot in China again?"
At those cold words, Ma Huateng spoke urgently in a panicked voice.
"Mr. Kim. I think there's some misunderstanding."
"Misunderstanding? What misunderstanding are you talking about?"
"No, the Chinese government said that if we don't cut ties with Mr. Kim, they won't issue us any more permits, not to mention the ones we already have. We had no choice."
You gave me a chance to speak for nothing. Instead of responding to that, I asked Ma Yun next to me.
"What did the Chinese government say to Chairman Jack Ma?"
"······If I continue to resist, I am threatened with not only a suspension of business, but also arrest for treason."
"It's treason."
Treason was the biggest crime in China. I heard that it was quite hard, but I had no idea that I would hear such words.
"Yes, that's right. The Chinese government has recommended it several times, but I kept refusing, so they finally brought it up."
"But why did you hold out?"
"Because I promised President Kim."
What Ma Yun was saying was that it wasn't the first or second time he had been rejected.
I nodded and spoke to Ma Huateng again.
"Have you ever refused me? Did you give in to the threat of canceling the sale? You don't trust me that much."
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"Companies like ours are vulnerable to the pressure of the Communist Party. The longer we resist, the greater the disadvantages we face. I am only trying to save the company······."
It wasn't worth listening to any more. I raised my hand and cut off Ma Huateng.
"I heard you asked for my stake back. Okay, I'll give it all to you. I'll calculate the value now and give it to you at a fair price."
Ma Huateng's eyes widened as if he had not expected me to hand over my shares.
"But you will regret letting go of my hand."
At that moment, Baidu's Li Yanhong approached us from afar.
"President Kim. It's been a while."
Li Yanhong, the founder of Baidu, was recognized as a genius by even the founders of Google.
"Chairman Jack Ma and Chairman Ma Huateng were there too. And of course, it's President Kim. You've invested in all the companies that will lead China's future."
"Well, that's right. Does Baidu also plan to start a new business?"
Li Yanhong tilted his head at the question that was asked without explaining the circumstances.
"Huh? What is that······?"
"I'm asking if you have any plans to get into the gaming business by taking advantage of the massive number of users that use Baidu."
I planned to make Baidu eat up Tencent's largest revenue stream, the gaming business.
< You came because I called you > End
< Because it will be fun to step on >