Entrepreneurs’ top priority is to build a capital moat.

Sun Qiang, TPG Group’s Chinese managing partner, recently participated in an online live broadcast hosted by the China Enterprise Furniture Club, analyzing the epidemic from multiple dimensions including international, economic, social, and group behavior. The impact of the epidemic on the economy and industry also interacted and shared with netizens.

Here are some important points:

  • This new crown pneumonia is a black swan incident never seen in a century. Compared with the crisis events of the past few decades, in addition to short-term economic shocks, the new crown epidemic may also bring changes in long-term behaviors and models, which will affect the development of many industries and also generate many new opportunities. .

  • From a global perspective, there will be a certain trend of anti-globalization. The emergence of localization of the industrial chain appears. People are more reflective of the concentrated lifestyle of big cities, the demand for government functions is strengthened, and online society is able to Accelerated development.

  • Reviewing the economic crisis since “Black Monday” in 1987, Sun Qiang summed up the common characteristics and crux of the crisis-the problem of liquidity, and said that the imperative for entrepreneurs is to build funds The moat, multi-pronged approach, open source and reduce expenditures to ensure the security of the supply and operation of the capital chain. The methods that can be considered include: applying in time, using full bank credit, issuing debt financing as soon as possible, flexibly arranging manpower and salary, fully grasping the government’s assistance policy, and actively expanding financing channels.

  • Online transformation and home upgrades, changes in living patterns, remote office models, automation improvements, and changes in travel modes may become trends, which will bring long-term economic growth transformation and investment opportunities.

  • How to invest under the influence of the epidemic? From the perspective of investment regions, China and the United States are more optimistic. These two countries have rich resources, vast domestic markets, strong scientific research capabilities, and relatively complete industrial chains. They can withstand the risks and stand out under the pressure of anti-globalization and localization of the supply chain. Under the blessing of entrepreneurial innovation, asset-light, platform, and high-tech companies in these two markets have great potential for development.

  • For the question of whether the US stock market will continue to melt down during the epidemic, Sun Qiang said that one of the reasons for the meltdown is that the index funds account for a higher proportion of market transactions. They are computer program operations. When the stock market changes to reach When a certain limit is reached, the computer automatically sells. This massive sell-off has caused the stock market to fall further, causing a series of sell-offs, which has exacerbated the turmoil in the stock market. As long as computer program trading and index funds continue to exist, circuit breakers caused by large-scale shocks during the panic periodThat could happen.

  • In addition, when answering a netizen’s question on the development of domestic real estate, Sun Qiang said that China’s urbanization is still on the way, and it will move from the simple rural labor force to the 1.0 era in the city to a better foundation. The development of 2.0 era represented by facilities and one-hour urban circle construction. By then, China’s urbanization rate will increase to 70% or even 80%, and industries such as infrastructure and home building materials will benefit from it.