Bring up the 414th speaker, Tang Binson.
Smart Star CEO
Hello, my name is Tang Binson, the owner of a game company. Today I would like to talk about games and globalization.
As the boss of a game company, I often go abroad, have been to many countries, these years more and more have a sense of national pride, why?
You go to some poor countries, which you think are very poor, but they are not in a hurry to make money, earn some money and spend it. Looking at some developed countries, it feels like they are on vacation for one or two months of the year. We Chinese companies are pressing forward and they are not in a hurry. They will one day be overtaken by Chinese companies.
I came back to think that the Chinese would be very strong, and I was even worried about the way of life and thoughts of those people abroad. Until one day I saw a movie called Gonzinpozi, which told a story that changed my mind.
What's the story? A group of Tibetan youth for a faith, from home, step by step, to the Potala Palace, the whole process is very difficult. As an audience, I was thinking at that time, so poor, so bitter, can't eat well, still have to be frozen, for what? Someone died in the middle. What exactly do they want?
Then I suddenly realized that I felt that their lives were no worse than ours. They lived in the beliefs that they thought were most worthwhile. They put their time into what they thought was the most valuable thing.
We Chinese, sometimes feel that many ethnic groups, many countries are busy with life, busy to enjoy, do not know how to make money. I tell you that we don't want to look down on other people's lifestyles. Everyone lives on what he thinks is the most valuable thing.
Game is a belief
The year before, I read a book called "A Brief History of Humanity" and talked about a very simple logic. What is the conclusion? Human beings live in their own beliefs. If you believe, you will have value. If you don't believe, there will be no value. Is it materialism or idealism? Its conclusion is idealism. Faith is both objective and virtual, as long as you believe in value.
I think game is a kind of faith, just like you believe in religion, faith is listed, belief makes money. There are a lot of players in our game and their lives here are satisfying. For example, we have a game in which about 100 people pay more than $1 million, the equivalent of buying a house at our house.
Some people laugh, think they are stupid, but what do I want to tell you? They achieved a $1 million experience. How many of you would like to spend $1 million on one thing? Besides buying a house, what makes you think it's worth $1 million?
I'll talk about the experiences of these players. One player is the president of a union, and he brought a bunch of people to fight. He spent $1 million to make the union "awesome." do you think it's worth it? At that moment, the whole team encouraged and applauded him. You think he's funny, I think he's got the ultimate experience of life.
There is also a player who thinks I need better equipment, which can make me stronger. I think this experience is like spending money today to teach and communicate, because we think classes can make us more money and make us stronger.
According to Maslow's demand theory, eating and drinking is the lowest requirement of a person, the real satisfaction of the person is the demand of the upper layer, and the game can give the person the greatest satisfaction. The belief in this is that you really believe in it, and you really find $1 million in it, and you're very happy.
As the owner of a game company, I've been busy developing games for the past few years, but I don't have time to play games. Last year I began to play some games, and I suddenly found that life had found a kind of fun. In the past, I felt that many college students did not think enterprising, wasted a lot of time to play games, I think these people have fallen. Then I thought, no, they played the game at the moment, realized, satisfied.
There's a picture, called the Empire, what's the story? Human beings live in a space where they are raised. At that time when I watched this movie I felt very good, such a life is so good, life has been greatly satisfied and exciting. I wonder if everyone here is satisfied with this life. But I think human society is evolving in this direction.
For a long time in the future, the game is to give people the best way to stimulate, satisfy, and realize the value of life. It is no less than an entrepreneur's ringing the clock, nor is it a joy to get a salary at the end of the month. I think the game provides a self-fulfilling way for human beings.
There's no next China.
Next I want to talk about globalization. Before we start this topic, we must talk about the Chinese market. This is a five-bar chart, which is a third-party statistic that investigates the spending power of each player in the world, with "per capita payment value" as a comparison. Among them are the United States, China, South Korea, the United Kingdom, and Japan. Guess, which one is China?
The answer is revealed, the second is China, the first is Japan, and the last is Britain.
Can you find in this picture the feeling that China is a developing country? It feels like China is a developed country. What do I want to say to everyone?
The Chinese market is a very large market, the past is very large, the future will be bigger. In the whole of the world's Internet map, consumption will become stronger and stronger.
When the Brazilian market came first, we did US $1 million. At that time, the GDP per capita in Brazil was US $7,000 and that in China was about US $3, 000. Now in 2018, China's per capita GDP is close to US $9,000, while Brazil is still at US $7,000.
Brazil’s first game counts about 15 million yuan. What is the concept? Now go to a Chinese app store and just find a game, which may be worth 10 million yuan. Do you realize how big the Chinese market is?
Recently, many countries have claimed to be the next China, especially India. We see that the population of the two countries is very similar, and India has a large population.
But I have been in the overseas market for nearly ten years. I feel that there may not be the next China. why?
China and the United States, I think, are two "operating system-level" countries, have their own language, have their own industry standards, have their own search engine, have their own social networks, have their own e-commerce platform. Which other country, apart from China and the United States, is such a country in the world?
Let's talk about India. India uses English. The middle class in India uses the services of the United States. It is naturally connected with the United States. The best talents in India all work in the United States. Like my hometown of Hefei, saying that you want to be the next Beijing, do you think it is possible? Hefei’s talents also went to Beijing.
Where the world can attract talents, I think there are only cities in the north, Guangzhou and Shenzhen, and the United States. If a country has no way to retain talent, it will not be the next "operating system level" country. It is at most an APP.
I think Israel is a APP, that focuses on application-level innovation around the U. S. and China markets. We see many countries mistakenly thinking they will be the next China. In fact, their GDP will not grow very high for a long time, and China's per capita GDP will continue to grow rapidly.
Before, many of us went to India to study, and at night we wanted to find a place to eat and sing. But we have already arrived at 11 o'clock in the evening from school to hotel. Where is the time to spend? We spent a full four hours on the road, and it was like this every day.
I later learned how important a country's infrastructure is to a country's economic development. Without good infrastructure, people waste a lot of time on the road and they don't have time to spend.
And China has created a very good consumer base, such as WeChat payment. To give an example, when everyone can easily pay, what do you save time? Still used for consumption. In the past decade, China's infrastructure and Internet infrastructure have gradually improved, which will create a very prosperous consumer market.
In the past, China’s per capita GDP was six thousand dollars, and people had to buy a house to buy a car. The real consumption was only one thousand dollars. This is very similar to the current India, their money to buy a house, the car may not be finished. But China's future GDP per capita may be 10,000 US dollars. After buying a house and buying a car, all the money is used for consumption. What is the market?
I think the future of world-class enterprises can only be born in China and the United States, because it is fully backed by China and the United States market. Why Facebook, Google, Microsoft was born in the United States? Why Huawei, Lenovo, Xiaomi was born in China? Because they are backed by a strong market.
In the future, Chinese enterprises will not be able to become a global company if they do not have the means to base themselves on the Chinese market, cannot base on local advantages, graft local resources, and build a strong scale in the local market, and they will not be able to become a global company.
The world is flat.
We do not see a business, it is zero in the United States market, but can do very well in other markets, become a strong enterprise, which is impossible. There is a logic in this, I think that true globalization does not exist localization.
In 2009, there were many social networking sites around the world, including Germany, Brazil, Denmark, the Netherlands, and India, even in Vietnam. At that time, we were thinking about a question. Can Facebook be able to kill all the local social networking sites around the world? Our judgment is that we can't do it.
We think a lot of Internet companies in China beat Facebook with localization, and so can German and Brazilian companies, so we were betting on local companies and judged they could fight Facebook.
Then I went to Germany to talk to local social networking companies, when they came first and Facebook was fifth. When the person in charge said a word, I felt that they would not be able to play Facebook in the battle. He says his company has 200 people and 50 people working on systems like Facebook. When I heard it, my heart was half cold.
Why?? Because there are 2000 people on Facebook, he has 50 people doing things like this, and the remaining 1950 people are doing things they can't do. Why are there 2000 people on Facebook? Because they have a strong market, what they do is the North American market, the size of the North American market for them to support 2000 people.
What the Internet industry wants is scale effect. To be large enough, you have to have a stronger investment, a stronger service to make a better product. After all those local companies were wiped out by Facebook, Facebook's employees became 10000 people, and it could invest more products and technology to sharpen every detail to perfection.
With the advent of the era of globalization, every local company faces the challenge of globalization. If you don't have the power and scale of globalization, you will be killed by the companies on the other side of the globe in minutes.
Everyone may ask, why can't American companies do it in the Chinese market? I think there are many reasons, including the reasons for China's policy, including China's huge domestic market, which allows Chinese companies to have a huge base and form a certain scale to compete with American companies. Other small countries do not have a huge domestic market and cannot compete with the US market.
There is a sentence called "the world is flat," and some enterprises are called "international bulldozer." What does it mean? They are pushing the world to become more and more flat.
This is another problem. Real globalization is a kind of value output. 20 years ago, there was no Coca-Cola, no KFC, China did not know this thing, and the United States did not know whether it was suitable for the Chinese people. But Americans export it strongly, turning it into a local culture.
A truly global enterprise should have its own value output ability to push what it really thinks is right to the world.
The world is getting more and more flat, and we see more companies that make the world more and more flat, like Google, Facebook, which allows us to connect to every user in the world. At this level, if we place too much emphasis on localization, we will move against the trend.
I often give an example. Our classmates in the Chinese market will not be alone in Guangdong Province, but in Hunan Province alone, especially in overseas markets. In the long-term future of overseas markets, its overall size will become smaller and smaller. In this case, if you are operating in a country or a country, the market will become smaller and smaller.
So what do I think? For example, in the future, the entire Japanese market is as large as a Zhejiang province. The entire Southeast Asian market is a Guangdong province, the entire Indian market, and probably a Fujian province.
What abilities do we need? What we need is the ability to unify these markets into one market to operate, like American companies, like Silicon Valley companies, in order to become global in the future.
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