Newegg COO did not understand Chinese on the first business profit is terrible

China Newegg problem


in the COO pool three Mall – Yong letter office computer Taiwan, most of the content is stored at Chinese the electricity supplier in the United States the company’s financial statements, he will from time to time the data of these companies are analyzed. "Why Chinese electricity supplier will, first FengFengGuangGuang listing, to look at these in a complete mess of statements, the entire revenue and advertising are not proportional." Chi Yongxin is in the United States work Newegg 8 years old employees, the group’s business line at. Last June he was transferred from the U.S. headquarters chief operating officer Chinese District, he claimed to be the United States sent the main operating principles to Chinese stability and the implementation of the board of directors of the people.

let the pool can not understand the most is China’s electricity supplier companies have never put the profit in the first place, this is terrible." He repeated these words many times. The United States and the world’s largest digital IT products shopping site, as early as in 2001, Losangeles in the United States was founded at the beginning, will always remain profitable, and China companies from the beginning of a lot of burn, serious losses.

for the layout of the market Chinese Newegg is almost synchronized with the United States, Chengdu, Xi’an and China 2001 in Shanghai set up a branch, then the Jingdong founder Liu Qiangdong in Zhongguancun rental counter selling recorder.

when Liu Qiangdong in 2004 to set up a Jingdong and to embrace E-commerce mall, Newegg has reached $1 billion sales in America, Chinese Newegg also by virtue of annual sales of 60 million yuan in the domestic market, is 6 times that of sales online mall Jingdong. But during the real force Chinese or Newegg from 2007 to 2009.

B2C was in the China Newegg market fast and obvious to people; in the United States market to complete the new round of "Amazon (micro-blog) speed expansion, then new on its market strategy has been adjusted in the new" global strategy ", China market is from the" rear "into" the main battlefield". According to the 2009 IPO application materials submitted to the U.S. Securities and Exchange Commission show that: in 2009, new egg sales in the United States market is about $2 billion 290 million, net profit of $24 million 890 thousand.

But the

since 2010, has been Chinese Newegg fast staking Jingdong and Kuba to seize the market, by the end of 2009, the Jingdong’s sales have exceeded 4 billion, the market share has reached 41%. China and Newegg sales is only 1/4 of the former, then the development of Chinese soon Newegg was questioned as "stop". "There is a reason why we don’t make a profit from a profitable company." Newegg Chinese market director Meng Fanbo said.


remains in the 3C last year Chinese Newegg electric second position, but in recent years, frequent high-level changes, with the biggest rival of Beijing.

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