Alibaba s Q3 net profit fell by 75 year on year, what should Ali rely on to get out of the trough?

Alibaba needs to further adjust its business model and even participate in direct business.

Whenever we mention Alibaba, many people think of Alibaba as a very innovative company. However, in fact:Alibaba can only provide so many resources, and when more and more merchants do business on Alibaba, the space for merchants to exert themselves is limited, and Alibaba's business model will also be bottlenecked.

If Alibaba wants to solve this problem, it needs to further optimize and even adjust its business model, and at the same time, it needs to make drastic changes in its business.

1. Alibaba's net profit in the third quarter fell by 75% year-on-year.

After Alibaba released its third-quarter earnings report, investors were surprised by Alibaba's performance, as Alibaba's net profit fell by 75% for the same period. Although Alibaba's revenue increased by 10% in the same period, Alibaba's net profit continued to be the first and has a downward trend. <>

Second, Alibaba needs to adjust its business model.

If Alibaba wants to get out of the trough, it not only needs to optimize its management methods, but also needs to further adjust its business model. Alibaba's scale is very large, but Alibaba does not conduct much direct business, which directly leads to Alibaba's inability to fully compete in products in many industries. With the demand in the market further saturated, Alibaba's net profit will only get smaller and smaller.

Third, Alibaba also needs to open up new businesses.

Prior to this, Alibaba once put its main business on the so-called Internet finance. Although Internet finance seems to be very profitable, Internet finance has been clearly regulated, and Alibaba cannot rely on this so-called financial model to seek a breakthrough. If Alibaba does not pay more attention to the real economy, Alibaba's future development will be very difficult.

Ali should strive to adjust its own development model, so as to expand new types of business, so as to get out of the trough and be invincible.

You can rely on your own technology and give full play to your advantages in the industry, and strive to reshape your brand image to get out of the trough.

It should rely on model innovation, or control out of the trough, and need better marketing plans and operation plans.

Alibaba's performance decline is actually very normal, because the history of an e-commerce platform dominating the world has passed. Regardless of the resurrection of offline entities, even the diversified sales model on the current platform has also had a great impact on Alibaba. But it's also a good thing, because you have to think about a "change".

The main reason for the slowdown in Alibaba's revenue growth and declining net profit is the slowdown in the overall traffic growth of the market and the competition from other online e-commerce platforms. The competition between Internet companies is relatively large, and large enterprises like Ali have almost matured, and if they want to rise to a higher level in market value, they must find more "second growth curves" to be successful.

What is the second growth curve? To put it simply, you have to find a new business to drive the growth of the business. For example, a company just started to do the first growth, which is the first growth curve to know, and then discovered the takeaway business, and began to do it with all its might, it is precisely because of the second growth curve that the company can have better development.

Let's take a look at some of our Internet giants, some of them started out in search, but due to the lack of a second growth curve, the search business has been robbed of part of the market share by other Internet companies, so the company's market value has not been able to increase. Ali mainly started by e-commerce, and now many new companies and some Douyin Internet celebrity live broadcasts are also doing e-commerce, which will inevitably lead to a decline in Ali's e-commerce market share under such fierce competition.

It is said that Ali has done well in the field of cloud computing in recent years, and hopes to become Ali's second growth curve as soon as possible. Separately, a consortium led by Alibaba could buy a chipmaker, a deal that could be worth more than 50 billion yuan. Ali's operation can be praised, we all know that our chip industry is currently facing a lot of pressure, but many companies would rather invest money in the sunset of real estate, or even go to the capital market to speculate rather than bend down to lay out chip companies, because of the large investment and slow results.

But the current situation is that the chip industry must be elevated to a strategic position.

What will Ali look like in the future? Time will tell! Thrilling.

Something happened to this company before, which affected the company's image and the company's reputation, so this situation will occur.

Because there are more ways for people to buy goods now, there are many Internet celebrities, and they will directly contact brands to sell directly.

This is very normal, the epidemic is more serious than the late shooting, people's desire to buy is not particularly strong, and the purchase effect of the raid hall Li is not particularly good, so it is normal for this situation to be out of the circle.

Alibaba Group has a very strong social influence, and many of the company's software have been praised by netizens, and related shopping software has become one of the preferred software for people's shopping. In addition, Alibaba Group has announced the company's revenue and profit for the second quarter.

According to official data, Alibaba's revenue in the second quarter of 2021 exceeded 200 billion yuan, but its profit was only 28.5 billion yuan, down 39% from the same period last year. If we analyze the most important reasons for the decline in Alibaba's earnings,On the one hand, it is because of the increasing pressure of competition from peers, and the second reason is that Alibaba needs to invest part of its funds in other projects.

Nowadays, many consumers have access to high-quality products through different channels. This has caused many companies in the same industry to fall into fierce competition, taking Alibaba's shopping software as an example, which accounts for a large proportion of the e-commerce industry. As the industry as a whole continues to grow, many shopping platforms have gained consumer recognition in a variety of ways, and have largely achieved improved profits.

When the proportion of Alibaba Group's shopping software decreases, the total profit decreases.

No company will only stay at the development level of the company's business, and most Internet companies will take advantage of industry advantages and platform advantages to carry out multiple projects. Under normal circumstances, at the beginning of the project, the platform and the company need to give full play to their industrial advantages and invest a lot of money. The income in the early stage is relatively low, and the income of the later project is relatively high.

In general, the competition in the industry has made multiple platforms face different challenges, which allows us to enjoy a better shopping environment. With the passage of time, more and more consumers feel that the shopping platform is very competitive, and will naturally use the shopping platform selectively.

I think the main reason is that the global economic situation is not good now, consumers don't have much money in their hands, and they are frugal in many places.

Because Ali has been impacted by other platforms and has taken away part of the traffic, it will lead to a decline in profits.

The economy is declining, our company's efficiency is not good, it used to be a lot of express delivery, but now it is obviously less, because the income is declining.

The main reason is that the competitive pressure is too great, and part of the funds are invested in other projects and new development areas, so it will cause a decline in net profit.

This is because the competition in the market is very fierce, and the sales of this group Sakura are not particularly high, and the competitiveness has declined, so there will be such a performance.

Because Ali has been hit hard in recent years, and secondly, because the development investment has been particularly smooth, this situation has occurred.

There is no particularly good way to sell, and now there are many e-commerce companies that are constantly emerging, so they will decline.

From what I know reliably, there is no doubt that it is caused by too much competition between industries. As we all know, now the development of the country is getting better and better, many well-known enterprises, the development of their enterprises, has become more comprehensive, this time, Ali's quarterly financial profits declined, and the impact of the industry, can not be separated, but I can't imagine, why a company's profits can be so big, this is what I have never imagined, according to Ali's statistical report to analyze, if simply calculated by profit, then the overall profit of Ali enterprises is still very good, if you want to compare with the previous quarter, then, I think, now many domestic enterprises, their profits are not as good as in previous years, why？I think many people have a deep understanding of the impact of the new crown epidemic, especially those who have opened their own companies or are shareholders and partners of the company, because in the past two years, many enterprises have been suddenly broken by the new crown epidemic, which is the most fundamental and realized fact.

Although Ali's profits fell by 39% compared with the same period last year, however, I personally think that people should be content, and enterprises should be more important to the point, Ali's operating income has exceeded 200 billion yuan, what does this figure mean for enterprises?Although the competitive pressure of domestic counterparts is increasing, Alibaba has so many companies in the country, does the development of these companies not need new funds to support and inject?<>

As we all know, the new crown epidemic has hit the world very hard, whether it is domestic or foreign, of course, because of policy problems, the new crown epidemic has been controlled very well, and now the epidemic situation abroad is still very serious, these foreign companies, under the heavy blow of the epidemic, can still continue to maintain achievements and profits, there is no doubt that this company, he must be a long-term enterprise and has a very good reputation, as far as domestic enterprises are concerned, there are very few enterprises seriously affected by the new crown epidemic this time, but the most important thing in China is small and medium-sized enterprises, not listed companies, this point, we as bystanders with this problemWe all need to know. <>

This year's sales are not particularly good, and the sales are not particularly high, and many people will go to some live broadcast platforms to buy goods.

Ali is China's largest e-commerce platform, and Alibaba's net profit has declined, indicating that people's willingness to buy is relatively low. This is due to the overall pandemic environment.

It means that their development has been hindered to a certain extent, they don't have much competitiveness, and they should regulate something.

It shows that the impact of e-commerce is very big for Ali, and Ali is now facing transformation.

How will the real data know.

I think we need to pay attention to Alibaba's net profit, but also Alibaba's business model, and more importantly, Alibaba's overseas markets.

Alibaba's problems are actually very many, although Alibaba's scale is very large, Alibaba is involved in many fields, in Alibaba has never been able to make further breakthroughs in these areas, Alibaba's net profit is also showing a cliff trend. If this trend cannot be stopped, Alibaba is likely to lose money in the next 1 or 2 years, and many investors are also very worried about this situation.

1. Alibaba announced its third-quarter financial report.

Alibaba announced its third-quarter financial report, according to which Alibaba's revenue increased by 10% over the same period, while its net profit fell by 75% over the same period. Although Alibaba's net profit in the Chinese market is growing, the pace of growth is too slow, and Alibaba has not captured the real demand in foreign markets. <>

Second, I think we need to pay attention to Alibaba's net profit.

Although Alibaba's profit in the same period has risen, Alibaba's net profit in the same period has appeared, which is not only related to Alibaba's own business model, but also related to Alibaba's expenses and losses. If Alibaba doesn't make too many investment moves, net profit** is definitely not a good thing, and it may even become a precursor to Alibaba's crisis. <>

Third, we also need to pay attention to Alibaba's overseas market issues and business model issues.

There is no need to say more about the business model, because this problem is a problem that Alibaba is solving. In addition, Alibaba's share of overseas markets is gradually shrinking, and Alibaba is not taking full advantage of overseas markets. The overseas market itself has been affected by the new crown epidemic, and in the case of overseas regions not recovering the corresponding purchasing power, Alibaba needs to seek a business breakthrough!

Focusing on Alibaba's net profit, we also need to pay attention to Alibaba's business model, and we need to pay more attention to Alibaba's overseas market. Pay attention to Alibaba's net profit. Although Alibaba's profit in the same period has risen, Alibaba's net profit in the same period has appeared, which is not only related to Alibaba's own business model.