Rebirth of the Wild Age

This year, the mainstream media in Europe and the United States finally admitted that China's economy has risen, and now only fools believe in the China collapse theory.

The British Financial Times correspondent in China, James Kinch, published a book China Shakes the World: The Rise of a Hungry Nation, which not only sold well in the UK, but also ranked among the top ten book sellers in the United States.

Eric Izralevich, a reporter from the French newspaper Le Monde, also published When China Changes the World, which became a bestseller throughout Europe.

Sara Bongiorni, an American financial reporter, decided to conduct an experiment on New Year's Day last year. She and her family would not use any products containing madeinhina for a year. This year she published this experiment in a book titled A Year Without Made in China.

According to the book, first of all, her son couldn't buy shoes. Nearby shoe stores that only sell non-made in China have been squeezed out of business, and American brands, including Nike, all have the madeinhina logo. In the end, she could only find catalogs in magazines and bought a pair of expensive sneakers made in Italy.

Then, the electric lights, birthday candles, firecrackers, and mousetraps in her home are all made in China, and these products in the nearby stores are also madeinhina, so it is impossible to hold a birthday party for the child. Home appliances were broken and could not be repaired. Take the vacuum cleaner as an example. Because the filter was broken, she went to shops all over the city, and the vacuum cleaner filters were all madeinhina.

The content of this A Year Without Made in China is more accessible and vivid than the previous two books. It has aroused huge public opinion in the United States, and Yankees have verified it in their own homes. It turned out that the things they used at home were either directly produced in China, or various parts were produced in China.

China Shocks the World: The Rise of a Hungry Nation, When China Changes the World, and A Year Without Made in China, these three books were published one after another in 2006, making China the name of world factory in Europe and the United States people's hearts.

Affected by this public opinion, more and more European and American businessmen came to China to seek development.

Not to mention those multinational companies, many small businessmen come to China to seek gold. They look for very cheap Chinese products, reach cooperation with Chinese manufacturers, and then ship them back to Europe and the United States, and even ship them to Africa, West Asia and other regions for sale. This has caused local media to report from time to time, which local brand has exported and earned foreign exchange, and has taken the first step to go global.

Even Michael Moritz of Sequoia Capital came to China for a walk.

Sequoia Capital has always had the phenomenon of Twin Stars. The first-generation leaders are Don Valentine and Pierre Lemond, and the second-generation leaders are Michael Moritz and Doug Leone , even Sequoia (China) has Shen Nanpeng and Zhang Fan.

Michael Moritz's most famous record is leading investments in Yahoo, Google and PayPal. He used to invest in Silicon Valley, but this year's Chinese style is so strong that this old man actually came to China for inspection.

After Michael Moritz came to China, the first person he visited was Song Weiyang!

Thomson Golf Villas.

The two founders of Sequoia (China), Shen Nanpeng and Zhang Fan, were both there. Shen Nanpeng and Song Weiyang are neighbors, and he organized this gathering.

Hi, Mr. Song, nice to meet you! Michael Moritz greeted with a smile and shook hands.

Song Weiyang smiled and said, Me too.

Zhang Fan reported his family name: Mr. Song, hello, I am Zhang Fan, the co-founder of Sequoia (China).

I know, you led the investment in KongZhong. Song Weiyang shook hands, It's a pleasure to meet you!

In another time and space, Zhang Fan also invested in Baidu. Unfortunately, Baidu in this time and space may not develop so well.

As for Zhang Fan's investment in Zhongkong.com, it has been particularly powerful in the past two years. It was listed on NASDAQ in 2004. Its main business is wireless value-added services and mobile games. The community surpassed Mobile QQ three years ago.

But, with Monternet crossing the river and demolishing bridges, Kongkong is having a difficult time this year.

Michael Moritz always speaks sharply in the media, but he is a very funny and kind person in private. He said: Song, in fact, before Google was preparing to go public, I always wanted to chat with you face to face.

Are you talking about venture capital? Song Weiyang asked.

Michael Moritz shook his head and said: No. I just want to ask you why you were optimistic about Google at the beginning. Your shareholding ratio is too high when you invest, which has far exceeded the red line of venture capital. According to normal investment logic, Google is very It is possible that because of your shareholding ratio, you will lose the next financing opportunity, or even never develop because of it.”

Song Weiyang smiled and said, But Sequoia Capital is still in the market, isn't it?

I almost gave up, says Michael Moritz, because Google was a piece of cake that had been eaten, and I had a big bite out of it, which made me feel bad.

Song Weiyang said: The essence of venture capital is not to divide the cake, but to help make the cake bigger.

Michael Moritz said: Yes. Google's pie was made big enough, so I endured the nausea and entered the market. From an emotional point of view, this is the most uncomfortable investment I have ever made, although It’s second only to Yahoo in terms of rewards for me.”

Hahahaha! Song Weiyang laughed.

Michael Moritz said: After you became the top ten richest people in the world, I specifically studied your investment case. I am very sure that you are a layman in the field of venture capital, and your previous investments were all serious. Game-breaking. It’s extremely risky and yet it works, which baffles me.”

Song Weiyang spread his hands and said: I don't care about the rules of the game, because I invest from the perspective of entrepreneurs, not from the perspective of venture capitalists. If Google misses out because my shareholding ratio is too high For the next financing opportunity, I will make additional investment myself, because I am very optimistic about Google, and at worst I will invest all the way until Google goes public.”

Crazy, this way of investing is like playing roulette in a casino. You bet heavily on a single number every time, said Michael Moritz. Unlimited magnification. Anyone who keeps using this method for venture capital is guaranteed to lose everything within a few years.

Song Weiyang said with a smile: It seems that I am very lucky, and I have won every number I gambled.

No, one bet is luck, and the next bet is strength, Michael Moritz asked with a smile. It is indeed a novel idea to do venture capital from the perspective of an entrepreneur. Can I ask? How did you Choose an investment object?

Song Weiyang said: Select an industry with potential and look for a company with potential. Of course, the most important thing is that the founder of this company is worth investing in.

Haha, just like me, Michael Moritz said with a smile, clapping his hands. When I invest in a company, I first look at the founders of the company, not other things about the company.

Shen Nanpeng interrupted suddenly: Invest in people, not in companies.

Not just the founders, but its early team, Michael Moritz elaborates, every company has a unique DNA that takes shape during the company's first six months. A For a technology company, the first three or four engineers hired will determine the future of the company and form its own unique company dna. An outstanding entrepreneur usually has an outstanding partner, and they each find outstanding employees .If the entrepreneur is outstanding, but the people he hires are mediocre, it will be too late. Three months is a time limit. If you can’t hire outstanding employees, then this company will never grow, because its corporate DNA has already been formed.”

Very interesting company DNA theory. Song Weiyang nodded.

Zhang Fan interjected: But is there such a possibility? For example, seven or eight years ago, China's commercial Internet was a blank area. There was a mediocre entrepreneur who was nurtured in the United States and saw opportunities when he returned to China. He has some Business talent, but recruited all mediocre employees, but because of the popularity of the Internet, it became bigger and stronger.

Song Weiyang laughed loudly: As long as you stand in the air, pigs can fly.

No, no, no, Michael Moritz shook his head. Once the initial team is mediocre, the company will never grow big unless there is a major change in the top management. Even if this kind of company takes off because of the wind, it will hide There are countless contradictions and problems, and it is very likely that it will detonate before the IPO is listed. Even if it is successfully listed, it will fall into chaos within a year or two, and investors will not have time to sell their stocks.

Song Weiyang said: Thousands of roads lead to the same goal. I like to read history, and I can tell by looking at the history of China. Whenever wars and recklessness coexist, the initial team around the warlord often determines the development limit of the warlord. The mediocre Yuan If a hero occupies a high position, the power of the entire group will be mediocre. And what Mr. Moritz said before and after listing is like before and after a warlord proclaims himself king and emperor. These are two very important nodes. Before proclaiming king and emperor, Yuan Cong's heroes will definitely detonate internal conflicts in order to fight for power and profit. After proclaiming king and emperor, the contradictions among Yuan Cong's heroes will become superficial and intense, and this contradiction will inevitably affect the entire power group. The same is true for companies and enterprises. It’s all about change.”

Michael Moritz said with a smile: It's the first time I heard people use history to analyze enterprises and investments, but I have to say, what you said is very reasonable. The thinking angles of Chinese businessmen are so jumpy and peculiar, or are they just Is this limited to Mr. Song?

Shen Nanpeng said: Mr. Song is a recognized Confucian businessman in China.

Michael Moritz said: A follower of Confucianism? I thought it was a follower of Sun Tzu's Art of War.

You also read The Art of War? Song Weiyang asked.

Michael Moritz shook his head and said: I don't read it, but many people on Wall Street read it. Because many politicians and entrepreneurs admire The Art of War, Wall Street analysts, strategists, and consultants naturally want to follow suit. They give advice to politicians and businessmen, and the analysis reports are stinky and long, and it is difficult to get the approval of customers. However, if you read The Art of War and quote the classics in it, and explain the problem clearly in a few words, you will be recognized by politicians and businessmen It is regarded as high-end and has a level.”

Haha, it turns out that Sun Tzu's Art of War is not a reference book, but an instruction book. Song Weiyang laughed.

Michael Moritz also found it funny: For those kids on Wall Street, The Art of War is an instruction manual, a kind of decoration when communicating with big customers. They probably never read it through, but at least remember A few quotes from it.

Sun Tzu's Art of War was popular in the West during World War II and the Cold War, especially after the Korean War and the Vietnam War. It was initially limited to the military and political circles.

The required reading subjects for the US military are Sun Tzu's Art of War and On War.

Of course, most people are arty, because a few big figures and the media praised Sun Tzu's Art of War very highly, so other people also talked about Sun Tzu's Art of War. Even if these guys don't read it themselves, they will buy it and put it on the bookshelf to pretend, or recite a few famous quotes from the book.

Since the 1970s, Sun Tzu's Art of War has become popular in the American business world, and has been praised by many bigwigs in the field of management and economics. In fact, this kind of praise is the same as Song Weiyang's talk with the heart, mainly for the purpose of pretending and improving style. By the way, tell the truth to the children.

Publishers also followed up with various hypes, causing The Art of War to occupy the number one spot in the world's sales in the categories of military strategy, Asian history, and Eastern philosophy all the year round, and occasionally rank among the top ten sales volumes in business management books.

Publishers are making crazy money, and there aren't many bestsellers that don't pay author royalties.

If Sun Wu could live to modern times, he would be listed on the Forbes list of the world's billionaires just by virtue of his royalties.

Michael Moritz had a serious chat with Song Weiyang, Shen Nanpeng and Zhang Fan could only listen silently, occasionally inserting a sentence or two to show their presence. Gradually, they began to talk nonsense, talking about p2p, nanotechnology and other things, which belong to the hot spots of venture capital in recent years.

In the end, Michael Moritz invited Song Weiyang to participate in the event, but our richest man in Song resolutely refused.

This Yankee came to China not only to investigate the market, but also to help Sequoia (China), which was founded last year, attract investment partners. If Song Weiyang agreed to participate in their activities, it would be tantamount to publicly helping Sequoia (China) on the platform, a fool would do such a thing that benefits others but not himself.

Even if Shen Nanpeng took the initiative to help out in Wenjun Liquor commercials, it would be impossible for Song Weiyang to reciprocate.

Michael Moritz failed to make a plan, but made another plan. He hoped that Sequoia (China) could reach a strategic cooperation with Jinniu Capital. Venture capital is not too much money, but it is too much money invested by oneself. A project always likes several institutions to invest together. In this way, it not only dilutes the investment risk, but also allows the invested company to enjoy the resources of multiple institutions.

Regarding the strategic cooperation, Song Weiyang readily agreed.

In the future, most of the investments that Sequoia (China) will participate in will be followed by Taurus Capital. For example, Shen Nanpeng is currently investigating the Country Fund. Once he decides to invest, Taurus Capital may invest several million in it.