Beijing time, 9.30 pm, Nasdaq opens.
Sina's shares, which closed at 1.6 USD last trading day, had dropped to 1.45 USD. That's a drop of 9.4%! Sina's top management almost fainted when they saw this share price. The last time this share price dropped was after the dot-com bubble burst. Now, the global internet market is recovering …
Sina's share prices had just started to improve after they launched their wireless business in April. Sina's share prices had been rising for several days, but today, it plummeted. Not only Sina's top management cannot accept this, but it also shocked many small investors.
Currently, Sina's market value is low. This is mainly because in the investors' eyes, Sina's product line is too simple. Most of their businesses are on their web portals. Sina's share prices started to soar after China's wireless business. But Sina needs to wait until the second half of 2003. That's why Sina's share prices are only supported by their web portals.
A quarter of the website's traffic was stuck. This was definitely bad news for the investment market. The US stock market was free and open. Once bad news came out, bears would flock to it. In this case, it was almost certain that the 9.4% drop at the opening was just the beginning.
Sina's core management is disheartened by the market's reaction. Until 10 pm, everyone is still in the meeting room. They are monitoring the share prices closely, and at the same time, they are reassuring the investors over the phone. At this time, the share prices had fallen to 1.39%, and the 1.40% mark is gone. Now, the share prices had fallen by 13.2%, and it's a disaster.
The short-sellers were still seizing the opportunity to run into the arena. This was simply a feast for airdrops. The only regret was that the plate was too small. There were too many monks and not enough meat, so they couldn't have a feast.
Li Mu was also paying attention to Sina's share prices. He does not know about the stock market and does not know about Nasdaq. But Sina's share prices dropping 13.2% is not surprising to him. Although Li Mu does not know about the US stock market, he knew about the movements of some US tech companies. He knows that Nasdaq does not have a 10% daily limit. In his impression, Sina's Weibo, which imitated Twitter, had fallen 27% in a day. Under special circumstances, a 30% drop in a day is not a problem. That's why Li Mu felt Sina's share prices had not fallen too much.
At 1 am, Sina's share prices fell below 1.30 RMB to 1.28 RMB. This is a 20% drop.
Nasdaq closes at 4 am the next day, and Li Mu did not wait to see Sina's share prices. He chose to go to bed.
At 4 am, Nasdaq closed, and Sina's share prices fell to 1.22 USD, a drop of almost 24%!
The drop in share prices was almost the same as the drop in traffic!
This shows that the market's valuation of Sina is concentrated on its web portals.
Sina's share prices plunged, and NetEase and Sohu's share prices increased by almost 10%. The reason is simple. Makino Technology had blocked Sina's traffic, and the traffic from Sina will be diverted to other portals. That's why NetEase and Sohu are the direct beneficiaries of this incident.
Sina, NetEase, and Sohu are all listed on Nasdaq, but their market value is less than 100 million USD. Sina, which had just started its wireless business, is the one with the highest chance of reaching 100 million USD. But now, Sina suffered heavy losses.
No one had expected Muye Technology's influence to reach such a level. Sina's stock price plunged, and the internet industry began to take a serious look at the navigation website that they had looked down on before. After the integration of Hao123 and YY123, its influence on the domestic PC website landscape was too strong. From the looks of it, how could its value be limited to the mere advertising fees brought by traffic? Its true value was that in the future, if other websites wanted to increase traffic, they would have to spend money on YY123 to buy their position and traffic. Even if it was a big website, if they did not spend money, their position and weight on YY123 would be greatly affected. Wasn't Sina an obvious example?
Only then did everyone realize that YY123, whom they had always despised, had seized the development of domestic PC websites by the throat. It had become the new trump card in the hands of Muye Technology. Muye Technology did not have many cards in its hands, but almost all of them were trump cards. The position of a giant was set.
No company dares to look down on Makino Technology anymore. To them, no matter how simple and untechnical Makino Technology does in the future, they will never doubt Makino Technology's ability to innovate. YY123's transformation had made them realize how scary Makino Technology is.
And Sina is the one who can understand this the most.
Li Xingping, who had returned to Guangdong Province, also realized that he was tricked by Makino Technology.
As soon as Makino Technology acquired Hao123, they quickly integrated it and blocked Sina as soon as possible. It was enough to show that they had been planning for this for a long time. They must have coveted Hao123 for a long time, and they were not as indifferent as they appeared to be. On the other hand, Li Xingping jumped into Makino Technology's trap and was threatened by Makino Technology. In the end, he sold Hao123 to them at a low price, allowing them to completely dominate the navigation website market.
However, Li Xingping could not do anything about it. He did not regret it because he knew that if he did not sell Hao123 to Makino Technology, with Makino Technology's way of doing things, they would definitely crush him. It was just a matter of time.
… …
The next day, the anxious Sina CEO repeatedly requested a meeting with Makino Technology, but Li Mu still did not give any response. He did not care about the losses Sina suffered because he was only making adjustments to his product system. Even if Sina changed their backer or used their connections, Li Mu was not worried because Sina still had Chen Ze in Makino Technology.
Li Mu came to TaoBao early in the morning to discuss the Summer Brand Day activities with Liu Yidong. In Liu Yidong's office, Liu Yidong, who was familiar with the US stock market, introduced Nasdaq to Li Mu and also analyzed Sina's share prices. He felt that Sina's traffic was not completely controlled by Makino Technology, so Sina's share prices were not completely controlled by Makino Technology. The market would think that Sina's share prices had hit rock bottom. The short-sellers had made such a huge profit in a day, and the share prices would hit rock bottom and start to close out their positions. The speculators would also take this opportunity to rise again. That's why Sina's share prices should rebound when Nasdaq opens again tonight.
Li Mu asked him about the chances of Sina's share prices recovering, and Liu Yidong estimated it to be less than 5%. After that, he analyzed for Li Mu. "If Makino Technology does not remove the ban, then Sina's share prices will drop by 20%. After that, Makino Technology will not be able to push down Sina's share prices any further unless Makino Technology makes new moves against Sina. For example, once the YY portal is launched, Sina's share prices will fall further. Most of the time, Sina's share prices will not be affected by Makino Technology."
Li Mu said. "I should have shorted Sina's share prices earlier."
Liu Yidong laughed. "Their market value is only a few tens of million USD, and their shares are not worth much. Are you interested in them?"
Li Mu laughed and said, "I don't like it."
Liu Yidong said. "Let's talk about the Summer Brand Day!"
Li Mu laughed. "How are we going to set the Brand Day? Tell me what you think first."
Liu Yidong nodded. "My general idea is to buy the Brand Day within a limited time. I am going to set the Brand Day on July 10th, which is the second day after the National College Entrance Exams. Do you think this timing is okay?"
This year is the last year that the National College Entrance Exams will be held in July. The Provincial College Entrance Exams will be held on July 7th and 8th, and the Local College Entrance Exams will be held on July 7th, 8th, and 9th. From 2003 onwards, the National College Entrance Exams will be held one month earlier. It will be fixed on June 7th, 8th, and 9th.
On July 10th, both the national and local exams were over. Almost all the students from primary school to college had already started their summer vacation, so it was more suitable to hold the summer brand day at this time. However, the time was a little rushed. It was already late June, and the event planning and preparation needed time. It also needed time to warm up, so Li Mu was inclined to push it back a little.
Liu Yidong asked Li Mu, "When do you want it to be held?"
Li Mu said, "Let's set it at the end of July. At that time, the National College Entrance Exam scores will be out. For the prospective students in the city, their priority is probably to buy a cell phone. At that time, we can launch a cell phone promotion specifically for these graduates."
Liu Yidong nodded and said, "Then let's set it on July 23rd. The National College Entrance Exam scores should be out by then."
Li Mu said, "You have to hurry up and communicate with the brand in the next few days. After the details of the event are set and the homepage is done, we will start to warm up. You must first confirm the products and the price of the event to participate in the Brand Day. During the warm up, there will be a little mystery. For example, if the brand sells a cell phone for more than 2000 yuan, as long as the price is good, we can advertise it as 1 x 00 yuan. This X is unknown, so we will not announce it for now. If you want to know the specific price, you can pay attention to our event."
Liu Yidong said, "I understand what you mean. I will confirm these parts as soon as possible."
Li Mu said, "Also, we can do a pre-sale. No matter what the user buys, as long as he pays a 50 yuan deposit in advance, on the day of the event, the 50 yuan deposit can be used as 100 yuan. But if he doesn't buy it by then, the 50 yuan will not be refunded."
When Liu Yidong heard this, he frowned slightly. He stared at Li Mu and asked him, "What's in your brain … How can you think of all kinds of tricks?"
Li Mu smiled and said, "Divergent thinking, we first have to be clear about our goals. Our goal is to increase sales as much as possible on the Brand Day, so we have to think of all kinds of ways to ensure sales. The deposit is one way to increase sales. As long as the user pays the deposit, the possibility of him changing his mind will be greatly reduced. When the time comes, you can think of a way to transfer part of the cost to the manufacturer, and then to the consumer. For example, the original price given by the manufacturer was 900 yuan, then we can think of a way to get the manufacturer to lower it to 880 yuan, and then raise the selling price to 930 yuan. In the end, the user will still buy it at 880 yuan, but because the deposit is not refundable, the turnover will be much higher than 900 yuan."
Liu Yidong listened and nodded repeatedly. "I really admire you. The longer I work with you, the more useless I feel."
Li Mu smiled and said, "Don't say that. You haven't completely switched to e-commerce yet. When you have completely adapted to this industry, thinking, doing things, and looking at problems from the perspective of the Internet, then your ability might not be worse than mine."
Liu Yidong said with a smile, "If you have any good ideas for the summer brand, don't hide them. Say them all."
Li Mu smiled and said, "There are many ways to operate, but you don't have to use them all at once."
Liu Yidong said impatiently, "Tell me first, so I can learn. It will take me some time to digest your wonderful ideas."
Li Mu smiled and said, "Well, then I will say some of my trump cards, but you have to grasp them well. Don't use them all at once and let others learn them."
Liu Yidong nodded repeatedly and urged, "Don't keep me in suspense."
Li Mu smiled and said, "In the future, we can do a coupon campaign. For example, if TCL cooperates with us, we can give all Taobao users a coupon for TCL phones that cost more than 1,000 yuan. We can also create a small wallet or coupon bag function for Taobao users so that they can directly see their own coupons. Think about how many people will be tempted by this coupon, how many people who originally didn't want to buy a phone will buy a phone because of this coupon, and how many people who originally wanted to buy a phone from other brands will buy a phone from TCL because of this coupon? For TCL, a phone that costs more than 1,000 yuan will definitely have a profit much higher than 100 yuan. What's more, we can leave them a few dozen yuan of premium space, further reducing the cost of their discount. "
Liu Yidong's eyes lit up and said, "This coupon thing, if we really do it, we can use it in many ways in the future!"
You've already exceeded your reading limit for today. If you want to read more, please log in.
Login
Select text and click 'Report' to let us know about any bad translation.
