Digital transformation is about using technology to change the way businesses operate and interact with customers. To succeed, companies need to focus on innovation, customer experience, and data-driven decision-making. By following these three rules, companies can position themselves for success.
I did a podcast about how “Generative AI as a Service” is disrupting some particularly dominant platform business models. I mentioned YouTube, TikTok and OnlyFans. But we can also point to search engines, community sites and many others. How Generative AI Is Going to Disrupt YouTube, TikTok and OnlyFans (Tech Strategy – Podcast 152) The […]
Delve into the reasons why Ofo, once a promising bike-sharing company, failed in the competitive Chinese market. This article offers a detailed examination of the factors contributing to Ofo’s spectacular rise and subsequent fall. Gain insights into the complexities of operating a business in China and the lessons that can be derived from Ofo’s experience.
The Didi financials are finally out. And they are an interesting mix of good and bad. Didi has market dominance and tech leadership in the largest market for shared mobility. But it is also chronically unprofitable. For investors, this could be a fantastic opportunity. Because Didi’s ongoing losses will scare off investors and likely lower […]
In this podcast, Jeffrey Towson discusses why Didi Chuxing, the dominant ride-hailing company in China, is still unprofitable. He explores the factors that have contributed to its dominance, such as its scale and its network effects, and he discusses the challenges that it faces in becoming profitable. For example, he discusses how Didi has to invest heavily in research and development, and how it has to compete with other ride-hailing companies that are also losing money.
There was an interesting report about China ecommerce trends released by Coresight Research, which specializes in retail meets tech consulting. It’s run by Deborah Weinswig, who I’ve crossed paths with a few times in the last couple of years. I find their research to be very data-driven and generally close to my own thinking. So […]
Didi and Uber are two of the largest ride-hailing platforms in the world. However, they are facing increasing competition from other companies. In order to maintain their market share, these companies need to make it difficult for drivers to switch to other platforms. One way to do this is to create high driver switching costs.
Jeffrey Towson discusses what Ofo could have done to avoid its downfall. He argues that Ofo made a number of strategic mistakes, including burning through too much cash, expanding too quickly, and failing to innovate. Towson believes that if Ofo had taken a more conservative approach, it might still be in business today.
Jeffrey Towson argues that Chinese startups like Luckin Coffee, Mobike, Didi Chuxing, and WeWork are facing increasing challenges. He says that these companies are facing more competition, regulatory scrutiny, and rising costs. As a result, it is unclear if these companies will be able to achieve profitability in the long run.
Digital China has arrived. It has unicorns, huge market opportunities and a pervasive cultural impact. Everything is now at world-class scale. Unfortunately, the distorting impact of hot money and hype has also scaled up. And this appears to be increasing. But first…consider joining my executive education course Jeff’s Asia Tech Class for deeper insights into […]