Behind JD.com's "Being Slashed"

As we all know, the reshuffling of the internet industry has been ongoing. Even in today's era of AI flourishing everywhere, this reshuffling has not stopped.

To summarize and define the deep reshuffling of the internet industry, it is no longer just about digging deep moats and building high walls in the traditional internet way. Instead, it’s about opening doors, fostering mutual integration, and seeking new opportunities under new circumstances—this is undoubtedly the most fitting description.

Precisely because of this, the internet industry is embarking on a brand-new "reboot."

If we were to summarize and define this "reboot," this year's Singles' Day (11.11) is undoubtedly a critical milestone.

Through it, we can clearly see the state of development post-reboot in the internet industry, as well as identify new directions for growth.

Whether it’s traditional players like Alibaba and JD.com or new entrants like Douyin and Kuaishou, none have been spared from joining this new competitive landscape.

As the internet "reboots," players are once again standing on the same starting line. Their competition no longer relies on traditional models and logic but is instead driven by new momentum and methods.

Just by observing the early stages of Singles' Day, the intensity of competition among internet players during this "reboot" phase is no less fierce than before.

I

This can be glimpsed from the fact that JD.com has already "taken two hits" right at the start of Singles' Day.

It’s foreseeable that internet players in this interconnected era are searching for new competitive models that suit them.

To summarize and define the environment these players are in, the "era of stock competition" is undoubtedly the most fitting term.

The so-called era of stock competition means internet players can no longer rely on the growth models of the traditional internet era, nor can they achieve growth through incremental gains. Instead, they must find new opportunities within existing scales.

Unlike the growth potential of the incremental era, in the stock competition era, players must fight for a share of the limited market to secure new growth.

However, the dividends of the stock competition era are finite.

For every player, finding new opportunities in this phase will inevitably come at a higher cost.

If one word could describe the current state, "cutthroat competition" would be the most fitting.

It’s precisely because of this "cutthroat competition" that we’ve seen JD.com face crisis after crisis at the start of Singles' Day.

In a way, JD.com is just the beginning.

In future competitions, we’ll see more incidents like this. For every internet player, finding new competitive models and methods in the stock competition era may be the key to staying at the table.

To sound slightly alarmist, if internet players in the stock competition era fail to fully grasp this new competitive model, they may have survived the incremental era but could collapse under the intense pressure of stock competition.

II

We all know that in the incremental era, competition among internet players had certain conditions and foundations.

Back then, both capital and traffic offered massive growth dividends.

Because of these dividends, players could achieve growth by balancing capital and traffic, even securing a place in the internet industry.

The players still at the table today are all those who achieved perfect synergy between capital and traffic and found development models suited to that market context.

As the stock competition era arrives, the dividends of capital and traffic vanish. Internet players can no longer rely on aligning capital and traffic for growth.

For every internet player, the real key to staying at the table lies in finding self-sustaining methods and transcending reliance on capital and traffic.

All the players still at the table today exemplify this.

Whether it’s Alibaba’s move away from capital dependence, JD.com’s direct sales model, or Tencent’s digital-real integration, all reflect this shift.

If we were to summarize and define the capabilities of internet players in the stock competition era, self-sustainability and the ability to build a business loop independent of capital and traffic are undoubtedly the most noteworthy aspects.

However, this places high demands on internet players.

It signals fewer opportunities for trial and error and intensifies competition among players.

Whether for established internet giants or new unicorns, failing to find a development model suited to the stock competition era will lead to mounting challenges and obstacles.

III

As the internet "reboots," development models driven solely by internet dynamics face increasing challenges.

This is a test for any player operating under internet-centric models.

This phenomenon may have already appeared among traditional players, but it’s now emerging even for newer players like Douyin.

The recent collapse of several influencers on Douyin is a direct manifestation of this trend.

Thus, as the internet "reboots," we must look for the emergence of new business models.

In this process, we’ve seen Alibaba embrace AI, JD.com innovate its traditional B2B model, and Pinduoduo excel in overseas expansion.

All of this tells us that new technologies and models are becoming the killer apps of competition in the reboot phase.

For any internet player aiming to stay at the table or make an impact during this reboot, leading with new technologies and models is essential. They must find development approaches suited to this new era.

To summarize and define the new development models of the reboot phase, "rebooting" the internet with new technologies and models to revitalize it is undoubtedly the most fitting approach.

Conversely, if players cling to old models and remain dependent on capital and traffic, they will inevitably face the same struggles as those who have already left the table.

Conclusion

To summarize and define the current state of the internet industry, the term "reboot" is undoubtedly the most fitting.

JD.com’s "two hits" at the start of Singles' Day are a direct reflection of this phenomenon.

"Reboot" means the internet has transitioned from the "incremental" era to the "stock competition" era.

"Reboot" means the internet has abandoned traditional competitive models.

"Reboot" means the maturation of new technologies and models and the correction of old ones.

As the "reboot" unfolds, competition among internet players will be fiercer than ever, rivaling the intensity of the mobile internet era.

For every player striving to make an impact in this "reboot" phase, breaking free from entrenched mindsets, finding new development models, and letting go of reliance on capital and traffic are crucial. Only by adapting to this redefined landscape can they ensure their place at the table.$JD.com(JD.US)