---
title: "How to Approach the Market Under New Market Conditions"
description: "Under the current market conditions, which are not optimistic for most industries, companies face challenges from the lack of demographic dividends and cost advantages, a bottleneck in infrastructure investment, and sluggish financial markets. To succeed, companies must focus on making excellent products, closely following customers, and leading the right people well."
author: "李万利"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
telephone: "+8615854817671"
published: "2016-07-03"
language: "en"
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# How to Approach the Market Under New Market Conditions

> Under the current market conditions, which are not optimistic for most industries, companies face challenges from the lack of demographic dividends and cost advantages, a bottleneck in infrastructure investment, and sluggish financial markets. To succeed, companies must focus on making excellent products, closely following customers, and leading the right people well.

The new market conditions are not very optimistic, at least for most industries. The lack of demographic dividends and cost advantages means export-oriented enterprises can no longer perform prominently, while domestic investment-driven infrastructure has reached a bottleneck with diminishing marginal returns. The financial industry, whether insurance, banking, or the stock market, can only hover at low speed, with no source of innovation and development at the policy level. Everything seems to depend on domestic demand, which is not balanced, healthy, or strong. The marketing world is full of confusion. Xiaomi is no longer a magic weapon, Gree can no longer compete with strength, and even Vanke has become "Vanke" (a pun on "many pits"), with external affairs failing and internal strife frequent. How to approach the market?

**1. Make Products**
The market is constantly changing, but human nature does not change. Enterprises' eagerness for quick success and greed are just like human nature. If you cannot settle down to do things, but instead make a big show of being a person, you are undermining your own strength. Entrepreneurs who do not study products in their enterprises, do not study competition in the market, but instead make friends in business schools, drink at government tables, boast in training classes, and tell lies on television are self-defeating. How to approach the market? I think the first thing is to seriously make your own products. If the product is refined, the world will be accessible. Both ancient and modern, Chinese and foreign, believe in good products; good products have good markets. Huawei, Huawei, Huawei, Apple, Apple, Apple, Laoganma, Laoganma, Laoganma. Important things are said three times. Such products are the survival path for enterprises.

Making products requires the patience of research, study, and archaeology, and the investment of raising a son. Quanjude roast duck was not a one-shot success, nor was Liubiju pickles famous in a few evenings. Entrepreneurs all talk about building century-old enterprises, but without product genes that can support a hundred years, empty talk will lead to an ugly death. Many enterprises' success comes from imitation, which is not a problem in itself; taking is never criticized. But you should not always want to take shortcuts; there really are not that many shortcuts. Wanglaoji succeeded because of JDB, and JDB was made by Wanglaoji, but the enterprise's pattern is distorted under interests, and the space for further progress is narrowed.

To truly make products, you must stick close to consumers' hearts, not entertain yourself or build behind closed doors. Interact seriously with consumers on cost, practicality, style, and fashion. Listen to the wisdom of designers, but also submit to consumers' feelings. Most importantly, do not just follow the feelings of the enterprise's leaders!

**2. Follow Customers**
Under the new market conditions, customers will quickly stratify. The big may become small, the small may become big, those living comfortably may die, and those living awkwardly may become comfortable. The new market conditions will be a reshuffling process, a passive reshuffling. Previously, large distributors operating as companies now make less money than mom-and-pop shops. Those with professional manager teams are not as smooth as those with a few old employees. Those selling big brands have become loaders, while those selling small brands have made a lot of money. Under the new conditions, customers are all at a loss, not knowing future development. This is a good time for enterprises to follow up with customers.

Create good products and find customers who can help each other, so you can have a good future. A good customer base can solve your capital, logistics, and team problems. Good enterprise products can transform the efficiency of customers' resource utilization and allocation, quickly form a superior sales situation, show an upward trend, restore confidence, and benefit long-term development. Following customers means helping them solve problems. The point where an enterprise can best help customers solve problems is the product itself. Service is attached to the product, not independent. Do not only talk about service; that is a castle in the air. Of course, except when service itself is the product.

In addition to products, following customers also means keeping up with their "three flows": capital flow, goods flow, and information flow. Helping customers create a smooth situation for the three flows is particularly important. Customers without money are poor friends; you can help them, but you cannot do equal business. Customers whose goods do not flow are reefs; if not removed, you must go around them. Customers with poor information cannot bring momentum; they are stragglers and cannot form combat effectiveness. Therefore, an excellent enterprise cannot just be a friend at the table with customers, not deeply follow up, and be confused by temporary appearances. That way, you can neither help customers nor thoroughly penetrate the market.

**3. Lead the Right People and Lead Them Well**
An enterprise is a social organization composed of people. People play a key role in the enterprise, especially market talents. The character "企" is often explained as "people go, then it stops," which makes some sense. Many management theories say internal employees are also customers, even more important than external customers, which also makes sense. Since an enterprise must face the market, it must handle the connection between the enterprise and the market: internal employees. Otherwise, it cannot face the market. "To resist external aggression, one must first stabilize internal affairs" is not entirely unreasonable. Many enterprises die from internal strife, internal friction, internal negativity, and employees treating the enterprise as a hostile force. The owner is still complacent, thinking he is the boss, arrogant, thinking subordinates must obey, which is itself a "myth"!

Leading the right people means selecting talents and using them, which becomes a happy thing. Talents need to be combined; combined talents form an organization. So the right parts can form the right car and run normally. Even the best airplane parts cannot form a car; it cannot drive or fly! Leading the right people is this principle. Whatever your enterprise is like, you must attract the right people. Only the King of Qin could use Baili Xi; the Marquis of Yu, the Marquis of Jin, and the King of Chu regarded him as nothing. The market needs talents, and talents need a growth environment. The environment is first a humanistic environment. Leading the right people is also an important test of an enterprise's ability to respond to the market. Without suitable market talents, expecting to gain in the market is a fool's dream.

Leading people well means that enterprise leaders must be responsible to their subordinates, so they can be responsible to the market. Leading people well currently has three most important points. First, sufficient money. Before troops move, provisions go first. Do not talk about culture, ethics, or the future; most soldiers do not buy it. This is human nature; put yourself in their shoes. Second, sufficient authority. Power is used for the people, power is used for the company. If power is not delegated or is not in place, and you only act as a messenger or a process point, talents are just wood. No need to say more; those in power know. Without power, there is a lack of creativity. Third, sufficient face. Talents, being talents, will have some self-esteem. Respecting talents is crucial. Do not be arrogant just because you have money and power. For capable people, they generally do not "cater to" you; they leave as soon as they say.

When people are right and good, products are right and good, then even the most difficult market has hope, and even the worst situation can survive. These are shallow views; can they be wrong?

**At the request of many distributor friends, the third B-end e-commerce inspection class of this public platform will visit Wanshang Yizhan, Yunbao Shangmeng, and Weicheng Distribution from July 9-12. Distributor friends with transformation intentions can come and inspect with us on-site**:

**Organization Form**
1. Company visit
2. Actual market case visit
3. On-site explanation
4. One-on-one communication

Participating distributor friends only need to pay a registration fee of 200 yuan. Time: July 9-12, 2016. Location: Changsha, Xiamen.

**Interested distributor friends can register by long-pressing the QR code below.**

**When adding friends, please reply "Third Registration".**

**Previous inspection enterprise cases:**

**Yishang Logistics Model Inspection**
(Second B-end E-commerce Inspection Group Yishang Logistics)

**Caiba Model Inspection**

**Jinhuobao Model Inspection**

**Beiquan Model On-site Inspection**

**Piduoduo Model On-site Inspection**

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