Yu Minhong: You can’t believe too much in China’s policies just like you can’t believe too much in women
"2014 Observer Annual Conference and China's Most Admired Enterprise Award Ceremony" was held on October 10 at Renmin University of China. Yu Minhong, chairman of New Oriental Education and Technology Group, said that China’s policies cannot be trusted too much, just as you cannot believe too much in what a woman says.
Yu Minhong said that researching policies is very risky. I have been deliberately neglecting all the country’s policies. When the country was in the private education system and did not allow schools to be turned into companies, I established New Oriental Education Technology Group. In fact, I violated the national policy, but the country didn’t treat me like that. China’s policy cannot be trusted too much, just like you cannot believe too much in what a woman says.
Yu Minhong said that relying on policies to make money will have problems. Researching what is the concept is like studying a woman. As a special woman, you can meet all her needs, but even so, you still cannot understand all women. What exactly are the needs?
Yu Minhong also emphasized that many institutional things and protective things in China are still protecting the thinking in the era of non-mobile Internet, wanting to protect state-owned enterprises, wanting to protect the original system from impact, etc. I think these things are all problematic. Because, as I just said, the general trend is unstoppable. When a river is rushing forward, no one, no matter how much power and strength, can stop the development of the entire historical trend, so regardless of the government No matter how powerful it is, it is impossible to stop all the changes in business models and the innovation of all systems in the era of mobile internet. Therefore, we have only one way, which is to move forward. I propose to government leaders that you should pay more attention to education instead of technology, which serves education.
The following is the record of Yu Minhong's speech:
Yu Minhong: Good afternoon, dear friends. There are too many people who can talk about it, but not many people who do well. I put myself in this category-sometimes I talk a lot but forget to do it. The ranks of things. So I told the people of New Oriental that I must return to New Oriental's work steadily from the beginning of this year, because it doesn't matter how much I said, because I am not a full-time speaker.
"Economic Observer" is a very influential newspaper that ranks New Oriental as the most respected company.
Macroeconomics must follow economic laws to do things. Everyone knows that things that violate economic laws will eventually bring serious consequences. For example, China once had a "Great Leap Forward", which was the evil result of violating the laws of macroeconomics. For ordinary enterprises, the macro economy is a general trend. In this general trend, sometimes it can be predicted, and sometimes it is not. The changes in the macro situation will make hundreds of Chinese companies thrive overnight. Time will be shattered again.
The real estate industry just mentioned by the leader is just such an industry. When the macro economy tends to support the real estate industry, as long as individuals do real estate, they can make money. But in the past two years, everyone has heard about real estate boss jumping out of buildings, and it still The jump from the building he built was caused by the macro economy in a sense, not because of the poor quality of his building.
For most private enterprises, in addition to the macro economy, I have a metaphor. The macro economy is a big river. Private entrepreneurs often float in this river. Boats with no maneuverability can only move downstream. New Oriental is a micro enterprise. How to install the engine is very important, so that it is easier to drift than a boat without an engine when it is drifting, and it will not be impossible to move forward when it goes upstream. , There is no doubt that this requires private entrepreneurs to take the right path and control this path from the beginning.
Each of the guests just now has their own prejudices. When he talks about financial capital and the world, I don't think it is necessarily. People like me have not used a penny of finance, so they are still doing very well. I think we must first respect the law. What is the real law is the law of the market, the law of letting the market speak, although macro-control is particularly important to the health of the market. Personally, I always believe that if anyone does things, he follows the correct rules, and he is not easy to risk.
What is the focus of market law? I think it’s enough to grasp one key point. What Chairman Mao said is serving the people, what is serving the people, and what your people are—your customers. For me, it is students and parents. For Ma Yun, it is a customer on Taobao, Tmall, whether it is B or C, for Lei Jun, it is a customer of Xiaomi mobile phone. I think the most important thing is to repeatedly study the needs of customers, and to repeatedly exceed the needs of customers, the most powerful thing is to guide the needs of customers in the direction you want. In fact, it is what you want, not the direction he wants in his heart, he doesn't know what he wants in his heart.
All men don't really know what a woman wants in her heart. Any man who can guess what a woman wants in her heart usually succeeds, of course, it succeeds in a woman's heart. why? Because the needs of many people are to be developed, most people don't know what they really want in their hearts. The reason why Jobs' Apple was able to succeed was because it developed customer needs.
The issue I’m discussing with the people in New Oriental is not high-tech. I think Internet applications are normal applications for education. The era of mobile internet must be combined with education to provide customers with more convenient services. Solve what customers want in their hearts and guide them to your consumption needs. I think this is his law. To understand national policies, don’t study policies, because you must know from a macro perspective, but relying on policies to make money will be problematic. Researching the concept is like studying a woman. As a special woman, you can Satisfy all her needs, but even so, still can’t understand what all women’s needs are.
So I think researching policies is very risky. I have been deliberately neglecting all the country’s policies. When the country was in the private education system and it was not allowed to turn schools into companies, I established New Oriental Education Technology Group. In fact, I violated the national policy, but the country didn’t treat me like that. China’s policy cannot be trusted too much, just like you cannot believe too much in what a woman says. If you study the needs of all women, you can create a service that satisfies all women. This is normal, but one thing cannot be created. Conversely, men are the same. They meet my needs, but not necessarily his needs, because he and I have different hobbies for women. How to find people’s inner laws, desire for products, and discover them. Lei Jun is a good example. Recently, he published a book "Sense of Participation". Let’s see how they seek feedback from customers every week. Color, change to the function inside.
Regardless of whether it is a traditional industry or a non-traditional industry, keeping up with innovation and insisting on innovation is a way that will never go wrong. When it comes to innovation, think of high-tech. In fact, this is not the case. Many innovations have nothing to do with high-tech. I have been to a coffee shop. The cups in the coffee shop are very distinctive and beautiful. Many customers just want to appreciate that cup of coffee, and they have to buy a cup after drinking. You said that the cup is half high-tech. The relationship between Mao Zedong, do you mean innovation? It is innovation.
So when we think of innovation, it is related to high-tech. In fact, it is not necessarily. People from New Oriental and I say that our innovation is two paths. The first is with high-tech, and the second is how to do in the existing model. To be different. It goes without saying that high-tech and innovation are closely related. New Oriental now has a team of two to three hundred people studying the combination of the mobile internet era and education every day. I don't know when the real results can be achieved, but it must be done. If you don't do it, you will lose an opportunity for innovation, and more importantly, lose a lot of markets.
That is to say, it is necessary to understand how to continuously change and combine this innovative model. Not afraid of change, not afraid of change, has become a word that every business person must say to himself every day. I think that China's economy can have greater development, and this development just needs to remember this sentence-don't be afraid of change. Many of China's institutional and protective things are still protecting the thinking in the era of non-mobile Internet, wanting to protect state-owned enterprises, wanting to protect the original system from impact, etc. I think these things are problematic. Because, as I just said, the general trend is unstoppable. When a river is rushing forward, no one, no matter how much power and strength, can stop the development of the entire historical trend, so regardless of the government No matter how powerful it is, it is impossible to stop all the changes in business models and the innovation of all systems in the era of mobile internet. Therefore, we have only one way, which is to move forward. I propose to government leaders that you should pay more attention to education instead of technology, which serves education.
In addition, the last point, I just talked about customers, whether it is innovation or serving the people, there is one of the most important principles, which is to adhere to the principle of serving individuals or representing individual enterprises, which is very important. I am strictly forbidden by New Oriental to cooperate with institutions with abnormal market behavior. For example, New Oriental can cooperate with countless public primary and secondary schools to promote its own products, but we will not do this. Why? Because once you cooperate with a public elementary and middle school, cooperate very well with a certain school, and a certain dean cooperates very well, he can help you form a team, for example, to establish a relationship with a certain school and give the principal a certain This kind of special treatment, don’t talk about giving money right away, you can give other things, the principal said that I will help you organize, a school helped me organize 500 international summer camp students, but I can’t do this, the reason is very simple, because I I feel that this has violated the market principle that I want to adhere to, because this is a non-market and has become a relationship principle. I particularly dislike the relationship principle. The second reason is that once such a business changes, it is unsustainable. For example, you happen to have a good relationship with a principal, and you sent you 500 students this year. You are very happy, but he was taken the next year. After you get off, you have to deal with the principal behind, but the principal and the principal in front are deadly enemies, and he is determined not to deal with you.
I found that a lot of B2B, especially the other end B, is not commercialized B. It is doing business very well this year, and it will go bankrupt next year, because B hasn't done it well. Almost 300% of New Oriental’s 2 million students come from BXNUMXC. New Oriental directly faces individual parents. Although it is relatively difficult to do on the surface, it has brought stability and development to New Oriental, because it relies on personal reputation to spread New Oriental’s services. And teaching. This is also an important reason for what I call the law of the market. You will find that no long-term enterprise is dedicated to certain institutions, especially state-owned enterprises, or is closely related to China's public power-related institutions. Many of the so-called entrepreneurs who have such a close relationship have been locked in with government officials.
Speaking of the most respected companies, I think New Oriental has a touch, but it cannot be said to be one of the most respected companies. I think the most respected companies must do the following. First, they must promote social progress. Important, of course, to promote social progress, there is no need to discuss environmental issues, because companies with environmental problems are not companies that promote social progress.
Second, I believe that companies must play a role in promoting positive values. In addition to promoting social progress, companies also have the responsibility to establish social core values. For example, how companies practice socialist 24-character core values It has become very important. Don’t think that this has nothing to do with enterprises. Because China is now an enterprise and commercial society, the values of enterprises and business represent the values of this society. In a sense, this is the first Two elements. The third element must be able to create employment opportunities. If a high-tech enterprise, one company will be done by one person. Although this company is good and leads the development of society, if it cannot create jobs, it will make everyone unemployed, unless his money can give everyone. Otherwise, it is not a good company. New Oriental has done a good job in this regard. New Oriental has 3.5 employees working.
Third, there must be innovations in new business models. New Oriental is not doing well. It is from traditional training institutions and mobile Internet-related high-tech institutions. We have to wait for some time. Despite New Oriental’s courage and determination, the future will definitely Will continue to lead China’s training and education and other education trends in the mobile Internet era, but at this point I have been reflecting on myself, because I get a book about technology, I will feel uncomfortable, but I got a This Dream of Red Mansions will be very happy, because I am an entrepreneur with a background in humanities, and I will be interested in cultural books, social history and philosophy, technical books are inherently separated, I force myself to read this every day Books, let yourself at least change a head first, so that New Oriental can finally continue to lead the development of the industry on the road of innovation. Everyone must make progress every day, every enterprise must also change every day, and every era must think about progress every day, otherwise it will be left behind. Finally, we were eliminated by history. It would be nice for everyone here to make progress together.