domeet webmaster

This article is from the WeChat public account: Morningside Morningside (ID: Morningsidevc) , author: Liu Qin (within the text of the statement from Morningside online activities jointly organized by the University Lake), head Figure from: IC photo

THE TAKEAWAY:

• This crisis is a test of all-round major capabilities for entrepreneurs. Don’t take it as a passive danger, but take it as a rare opportunity.

• Facing the crisis, the basic skills of outstanding entrepreneurs are reflected in: controlling risks; interpreting external signals to find vitality in the crisis; observing and reviving internal organizational capabilities;
  

  1. • Even if you face a momentary failure, don’t let the failure define you. The time when a person grows fastest is often not the time of success, but the time of failure.

       1. • Two suggestions for entrepreneurs after returning to work.
            

            Question 1

            
            

            What impact do you think this epidemic has on entrepreneurship and investment?

            Liu Qin: This epidemic is a very extreme change in consumer behavior, and will bring explosive growth in demand in some industries. For example, in the education industry, because of the epidemic, schools and the Board of Education began to encourage distance education. Parents did not have the option of offline education. Therefore, many online distance education needs suddenly exploded. In addition, demands such as online entertainment and corporate remote work have exploded recently.

            A lot of companies we invest in the TMT field, they are doing to promote changes in consumer behavior patterns, such as transferring traditional offline models to online, or online and offline symbiosis. For such companies, this The epidemic situation has actually brought very good education and effects on the market. It is an effect that cannot be achieved by how much market investment. This is a positive side of the epidemic.

            Of course, there are also many companies, such as offline retail, face-to-face services, or companies that involve offline delivery models, because the business model is more or less affected by the epidemic. But we also see that everyone is actively adjusting and responding.

            In addition, the epidemic has brought great challenges to the organizational development and management of many enterprises.

            But from an investment perspective, Extreme situations are also a good opportunity to observe companies and entrepreneurs. Organizational management capabilities, team capabilities, resilience, etc. Turning crisis into life, which companies have very good ability to adjust quickly.

            So within Morningside, we actively evaluate those companies that are favored by the epidemic and encourage them to seize opportunities to enlarge the market. For the affected companies, help them manage cash flow and prepare for financing.

            During this period, we also completed the financing of four new projects, and in some projects we even made additional investments during the Spring Festival. In terms of investment strategy, we regard this epidemic as a window of opportunity, even if external investors are hesitant, but if we feel that the fundamentals of this enterprise are not affected or even benefit, we will boldly invest more. When investment behavior declines, we must instead make investments with a reverse thinking.

            In addition, we will also actively observe and evaluate many companies that we have not invested in before, hoping to take advantage of this opportunity to find companies that can respond to the crisis well.

            Question 2

            What do you think are the core basic skills of entrepreneurs in the face of crisis?

            Liu Qin: The core basic skills of CEO or No. 1 when facing crisis, I think it is mainly reflected in the following aspects:

            I. Quick response, control risk

            I think the first thing a CEO needs to do when facing a crisis is to control risks, respond quickly, evaluate quickly, and do some short-term and effective countermeasures to ensure sufficient cash flow to survive. But this step may be just the average of a passing CEO.

            Second, actively interpret external signals and look for opportunities

            I think that a really good CEO, in addition to the short-term response, the second thing, must think about these aspects of the company’s long-term development:

            • Analyze what impact the crisis has had on the company ’s fundamentals and user needs;

            • Analyze the changes in user demand behavior patterns to see if there is an opportunity to seize the market and turn the crisis into an opportunity;

            • If you can’t grab the market in this crisis, analyze your business model of products and services, can you keep up with this change, or even seize this opportunity to integrate your existing business Paradigm changelevel.
              

              Many paradigm innovations actually come from small variables. Today, when the variables come, whether the CEO can seize the opportunity and turn the crisis into a turnaround is actually a test of the CEO’s ability to interpret external signals.

              Three, test and review organization capabilities

              A lot of people said that I saw the opportunity brought by this change, but can I seize it? This depends on whether the entire company has the ability to organize quickly. Xiaohua (Chen Xiaohua, CEO of Daojia Group) I just said that when the changes occurred, I saw this opportunity, but many new ideas were not mine. Chen Xiaohua proposed it by himself, but by many of the company’s core executives. This is very important. If faced with changes, all the company’s rapid response capabilities come only from the CEO himself, and your personal strength is limited. At this critical moment, can your company’s accumulated organizational development capabilities be truly released?

              Facing such a crisis, the degree of release of organizational capabilities is related to your long-term organizational capability. A good company with strong organizational ability must have both a top-down driving force and a bottom-up responsiveness. If you are an empowered CEO, your core executives are not conservative and have the initiative to take the company’s affairs as their own. When a company’s organization has this vitality, in the face of crisis, its organization The ability can be fully demonstrated.

              But in today’s situation, you find that although you have done a lot of organizational work before, your company still does not have such a strong reaction ability, and it is also a very good opportunity for reflection. Why is it when everyone faces this In a crisis, someone responds better, someone responds worse? As the CEO should have a sense of self-reflection, internal discussions, and conclusions, how can we become better. Also take this opportunity to take a good look at your core executives. Who can respond more proactively in such a crisis and can show very good response speed and ability? Who deserves special training?

              Fourth, social contribution

              Of course, in this crisis, in addition to doing a good job of internal business success, we must also actively help our community and help our society to do some public welfare within its ability. This is also to give back to the society and even build a company brand. Opportunity