China’s Economy:Internet Thinking Explored from An Economics Perspective

类别:宏观经济 机构:中国光大证券(香港)有限公司 研究员:光大证券(香港)研究所 日期:2014-04-14

If we are to remove the buzzwords in China, “Internet thinking” mustbe on the list. This is largely to do with the success of Xiaomi mobilephones which Ju Lei, founder of Xiaomi, has boldly attributed toInternet thinking. After Xiaomi, the public has become very interestedin Internet thinking and hopes to use it to revolutionize other sectorsand replicate Xiaomi’s success. However, what exactly is Internetthinking? So far there does not seem to have a definitive answer.

    Many simply dismiss it as a publicity gimmick or Xiaomi marketinghype.

    We believe the confusion is caused by the absence of a cleardefinition of the Internet thinking concept itself. This is exactly whatthe author is trying to explain from an economics perspective.

    In the author’s mind, Internet thinking does exist. Once the Internet isbeing used in businesses, traditional marketing models andphilosophies are revolutionized. Strictly speaking, the so-calledInternet thinking is a business model emerging from a vastcustomer base which has experienced tremendous baseexpansion and cost reduction enabled by the Internet. Theguiding principle of Internet thinking is this: “Ordinary people isking, user experience is priority, and scale is key”. Next, we shallengage the supply and demand analytical tools in economics toelaborate.

    Any given type of goods (service may also be defined as goods),may be rated differently by different users. Customers who are reallyin need of the goods will be willing to pay higher price while thosewith weak desire will only be willing to pay lower price. Therefore, asthe price of a product (or service) increases, the number ofcustomers willing to pay for it will decrease. If we translate this in agraph with price and quantity as the two axis, we will have adownward sloping demand curve that we are all familiar with. On theother hand, companies usually face increasing marginal cost. Thelarger the output, the higher the selling price required to make up forthe higher cost. Graphically, this is an upward sloping supply curve.

    The intersection of the demand and supply curves represents theactual transaction quantity and price.

    Under traditional production technologies, marginal costs ofproduction rise rapidly. This is because companies have limitedcapacities. When utilization closes to the maximum capacity,machine impairment and labour cost will drastically increase. Thismay also be a result of the companies’ limited marketing capacity sothat it needs to bear higher cost to promote the goods to morepeople. No matter what the reasons are, the endgame is that thecompanies can only serve so many customers. If we represent thisgraphically, we will have a rather steep supply curve. Theintersection of this supply and demand curves will not be too faraway from the origin. Let’s call this the “near end” of the demandcurve (Figure 1).



康美药业 持有 -- 研报
四方股份 持有 50.00 研报
九牧王 持有 -- 研报
中百集团 持有 -- 研报
郴电国际 持有 -- 研报
明泰铝业 持有 13.91 研报
软控股份 买入 -- 研报
正邦科技 持有 21.00 研报
四方达 持有 -- 研报
新都化工 持有 36.00 研报
首钢股份 持有 -- 研报


新华联 0 0.41 研报
宁波银行 0.92 1.14 研报
国金证券 0.40 0.27 研报
昆药集团 0.41 0.57 研报
丽珠集团 1.51 1.48 研报
康美药业 0.51 0.65 研报
高能环境 0 0 研报
贵州茅台 7.31 12.48 研报
大秦铁路 0.79 0.76 研报
江南水务 0.57 0.56 研报
五粮液 1.49 2.27 研报


万科A 34 持有 买入
保利地产 30 持有 买入
万科A 28 持有 买入
金地集团 27 中性 买入
平安银行 27 持有 买入
泸州老窖 27 持有 持有
江淮汽车 26 持有 中性
碧水源 26 持有 买入
保利地产 25 持有 买入
万华化学 25 持有 持有
金地集团 23 减持 买入
浦发银行 23 持有 买入
探路者 23 持有 持有
华夏幸福 22 持有 买入
三安光电 22 持有 持有
永辉超市 22 持有 持有
贵人鸟 22 持有 买入


电子信息 1066 163 392
金融行业 874 47 261
生物制药 753 102 375
房地产 741 61 179
商业百货 685 66 216
化工行业 573 96 193
食品行业 540 42 251
农林牧渔 491 36 183
服装鞋类 462 35 150
酒店旅游 443 33 277
电子器件 423 85 96
机械行业 400 96 102
汽车制造 395 53 120
建筑建材 353 62 130
交通运输 324 54 94
钢铁行业 307 41 55
农药化肥 288 26 96