Chinese Entertainment Intelligence King

Chapter 356 Weibo's Upgrade from a Slingshot to a Cannon, Sina's Surrender, Yan Family Cuisine, Good Daughter-in-Law

In May, Weibo officially completed its share swap preparations and financing.

This time, Weibo not only brought in several powerful partners to support the company and pave the way for its IPO, but also raised approximately $5 million in funding.

$5 million, equivalent to nearly 35 billion RMB, is a huge sum for Weibo, a relatively asset-light platform.

Yan Li's request for the money was very simple.

Spend it out to transform the existing leading advantage into an insurmountable absolute advantage.

At present, Weibo has established a strong leading advantage, but Sina Weibo and Tencent's Taotao have not given up and are trying to catch up with Weibo through various means.

This is why Weibo has raised so much money.

The strategy is to wage war against these two companies, burn through cash, maintain an advantage, and simultaneously escalate the competition to force them out of the Weibo battle through excessive costs.

Even before the $5 million contract was finalized, Yan Li and Weibo had already discussed how to use it.

Let's focus on the technology first!
This is the top priority. Weibo has always paid great attention to this aspect, striving to ensure the user experience and functionality as much as possible.

Yan Li did not come from an internet company background, and Weibo was established relatively recently, lacking some technical expertise.

Therefore, Yan Li attaches great importance to this aspect and is willing to invest money in related research and development and optimization. He often says in the company that "science and technology are the primary productive forces".

Even many employees at Weibo joked that although CEO Yan doesn't understand technology, he respects technology more than many bosses with technical backgrounds.

Since the establishment of Weibo, Yan Li has been involved in many aspects of Weibo, including marketing, content, business, and management, but he has not paid attention to technology.

He only does two things: spend money and get results.

It's not that I'm afraid of those who don't understand, nor am I afraid of those who do. What I'm afraid of are those who only half understand or whose technology is outdated, who blindly give orders based on their own ideas. That's the real danger.

As it turns out, without incompetent bosses and superiors making irresponsible decisions, and with the team's technical skills maintained at a high level and sufficient funding, it is actually possible to train and cultivate a highly capable team.

While Weibo's technical capabilities may not be considered top-tier in the internet industry, it has never fallen behind established internet companies like Sina and Tencent.

Even in areas such as algorithm recommendation, mobile devices, and platform stability and security, Weibo has developed some unique technological advantages.

This time, approximately $1.5 million has been invested in technology to build a stronger, more stable, and better foundation for Weibo.

Then there's user retention, growth, and marketing!

Several platforms are now vying for celebrity and influencer accounts, with platforms like Weike and Taotao launching exclusive signing programs.

After extensive discussions, Weibo concluded that exclusive contracts were not a suitable strategy for the platform.

Because there are too many celebrities and influential users on Weibo now, if we were to compete with Sina and Tencent by spending money to secure exclusive contracts, the costs would be much higher than those of the two companies combined.

However, they had no choice but to take action, and the two companies have been trying to poach Weibo's users by paying for exclusive deals.

Some people will consider the advantages and prospects of the Weibo platform and continue to stay on Weibo, but there are also those who are only interested in making money.

Some people believe that Weibo may not necessarily win. The names of Sina and Tencent still carry weight, and some Weibo users who feel their treatment and popularity don't match are unwilling to be the tail of the phoenix and would rather be the head of a chicken.

Weibo cannot turn a blind eye to this and will inevitably have to take some action to stop the brain drain.

Exclusivity agreements are unwise, so let's offer subsidies!

After research, Weibo developed a calculation formula that can determine an account's contribution to Weibo's activity based on its traffic and interaction data, and then provide creative incentive subsidies.

To put it bluntly, it's about paying those accounts. Tencent and Weibo buy out the accounts, and Weibo's main strategy is to generate a steady, continuous flow of revenue.

The main goal of this move is to stabilize those wavering mid-level accounts.

The temptation to get paid for changing jobs is quite strong.

But now Weibo is also giving out money. Although it's not as much as buying out, it's still money, and it's relatively stable and long-term with lower risk. Weibo's market space and prospects are also better.

Those who can be poached must have some skills or a strong following on Weibo. Switching jobs can bring in money, but it doesn't mean they can maintain their previous popularity and traffic.

The risks of changing jobs and the risks of a platform's future are things that need to be considered. No matter if you're a big fish in a small pond or a small fish in a big pond, you have to survive first.

This subsidy incentive can greatly counter the poaching efforts of Weike and Taotao, and even prevent them from poaching non-exclusive accounts from each other's platforms.

Of course, Weike and Taotao can also follow suit, but poaching talent while providing incentives would increase costs even more.

Retaining celebrities and influencers is one aspect, but attracting new users is even more important.

The more Weibo users there are, the greater the benefits and influence, and the more stable the ecosystem becomes. That's the key to retaining those celebrity and influential accounts.

Therefore, Weibo needs to allocate sufficient funds for user acquisition and advertising promotion.

In addition to the previous phone bill incentives, this time there are various rewards such as cash, gifts, and points to encourage new users to register and existing users to refer new users.

Both online and offline, a large amount of advertising will be invested to promote the campaign and increase public awareness.

In short, Weibo has successfully penetrated every corner of the internet, becoming a truly nationwide platform.

In addition, there is a considerable amount of funding to explore product ecosystems and commercialization, as well as strategic investments and acquisitions, to make Weibo stronger through various means and win this Weibo battle.

“In the past, we had millet and rifles, while they had airplanes and cannons. We could only win by taking advantage of favorable timing, location and popular support.”

"Now, we not only have favorable timing, geographical advantage, and popular support, but we also have airplanes, artillery, and even aircraft carriers. We have won the war when we were poor. Now that we are so rich, we must suppress everyone."

Yan Li convened a mobilization meeting for middle and senior management on Weibo, announcing that the Weibo war had entered a fierce stage and that Weibo would definitely win the final victory.

Weibo employees were excited, and some executives even clamored to end the battle in one fell swoop.

Yan Li and some of the senior executives were prepared for a protracted battle. If $5 million couldn't crush them, they would raise another $5 million, or even $15 billion.

However, as the saying goes, Weibo can afford to burn money, but Sina cannot, and Tencent may not be willing to do so in the face of the major changes brought about by the mobile era.

Almost immediately after Weibo announced its successful fundraising of 5 million yuan, Sina's morale plummeted.

5 billion US dollars!

Sina's current market value is less than $30 billion.

After the financial crisis, the market value of various internet companies recovered to some extent, but Sina was the least successful internet company in terms of recovery.

The reason is that Sina Blog, the core business, has been severely damaged by Weibo, and the newly launched Microblog has also performed poorly.

Capital is cruel and realistic. If your prospects are good, everyone will praise you to the skies; if your prospects are bad, everyone will trample you to the bottom.

Now, Sina is not only troubled by its continuously declining market value and difficulties in raising funds, but also worried about whether there will be any wolves taking advantage of this opportunity to bite Sina.

At the end of last year, after the Weibo Night event, Sina's top management made a decision to fight Weibo to the death. Although they were subsequently outmaneuvered by Yan Li and ended up in a rather embarrassing situation, the general direction remained unchanged: to compete with Weibo.

However, less than six months later, Sina's top management had to hold another meeting to discuss the matter.

Over the past few months, Sina's achievements have been lackluster, and it has been consistently outmatched by Weibo.

Now, with an additional $5 million in funding, Weibo is even more powerful and its influence is even greater.

If we can't outcompete Sina, should we cut our losses and abandon blogs and microblogging services?

The conference room was filled with smoke.
Sina CEO Cao looks several years older than he did a few months ago, and his appearance is visibly haggard.

The dot-com bubble burst, blogs cooled down, microblogging lost momentum, and after being countered by Yan Li and labeled a gathering place for rebels, it was almost shut down and forced to make changes. The mobile strategy, which was hoped to overtake the competition, failed from the start...

Such predicaments and pressures made it difficult for President Cao to sleep soundly.

In fact, as early as two months ago, there were many voices within Sina wanting to hold a meeting to discuss whether to abandon the micro-business, but he kept suppressing it with various methods.

Now that Weibo has successfully raised funds, the pressure is too great to hold back any longer, and CEO Cao has no choice but to convene this meeting.

Contrary to what Mr. Cao had expected—a heated discussion—the atmosphere at the meeting was much more subdued.

The more this happens, the more troublesome it becomes, indicating that some people have become numb and have lost hope in the company, and may have already started looking for another job.

Seeing this, General Manager Cao had no choice but to take the initiative to guide the discussion at the meeting.

Apart from the silent half, the remaining half were divided into two factions: one supporting giving up and the other supporting not giving up.

The reason for abandoning the competition is simple: if you can't win, cut your losses in time, then develop other businesses and survive by cutting your losses.

Those unwilling to give up also have their reasons. Sina has already invested a lot of resources, and giving up now would be a complete waste of those investments. How can they explain this to all parties involved?

Moreover, who can guarantee that the newly established business will succeed? It might even end up worse off than Weike.

Blogs still have some foundation, and microblogging isn't without its merits. With a little more money, even if they can't compete with Weibo, maintaining a top-three ranking and striving for second place is still a viable way to survive.

Mr. Cao shook his head inwardly. He was actually unwilling to give up on Weike.

But he understood one thing very well: competition on social media platforms like Weibo is a winner-takes-all game.

Peaceful coexistence is difficult; at least in the current market, there is no room for both Weike and Weibo.

If he were Yan Li, he would definitely not show any mercy and would have swallowed up Weike completely when he had all the advantages, so that Weike would no longer pose any threat to Weibo.

You either quit or fight to the death; those are the only two options.

President Cao remained silent until both sides were unable to persuade each other and turned their attention to him, at which point he finally spoke with difficulty.

"We sent an invitation to Weibo, asking if they would be willing to acquire Weike and Blog. We are open to cash plus shares."

This statement signaled Sina's complete abandonment of microblogging and micro-businesses.

However, Mr. Cao was no ordinary man. Instead of operating the various businesses at low cost as he had envisioned, he decided to sell them off as a package.

Selling it would not only bring in money and enrich the foundation of new businesses, but also be a significant investment benefit for Sina, mitigating the negative impact of abandoning Weibo. It might even turn a bad move into a good one.

But... will Weibo buy it?

When a Sina executive raised a question, Cao was quite confident: "I think Yan Li will buy it."

Microblogs and blogs still have a lot of high-value technology, users, and content, making them a good supplement to microblogs.

At the same time, if Sina invests in Weibo, the two parties can reach a cooperation agreement, and Sina's various internet and media resources can be connected with Weibo, which will further enhance its capabilities.

Of course, the most important thing is not how much benefit Sina can bring to Weibo, but that if Weibo does not acquire Weike, Sina is very likely to sell Weike to Tencent.

Tencent has money and traffic, but what it lacks is media resources, related content, and users.

If the acquisition of Weike and Blog is successful, Penguin Taotao will experience transformative growth.

Weibo may not care about the various benefits brought by Sina, but it cannot sit idly by and watch Tencent and Sina join forces to create a formidable opponent for itself.

For Weibo, this defensive acquisition is, in some ways, more important than a strategic acquisition.

"In that case, why don't we just partner with the penguins?"

An executive asked, "After being constantly humiliated by Weibo for so long, many people are angry with Weibo and would rather see Weibo suffer a setback."

"It's very simple."

Mr. Cao stated his answer: "I am more optimistic about Yan Li and believe that Weibo will win. Cooperating with the winner can maximize our benefits."

...

Yan Li quickly learned of Sina's plan, and it has to be said that President Cao's move really put him in a difficult position.

Microblogs and blogs aren't that valuable to microblogs; acquisition is possible, but not acquiring them is also acceptable.

However, Yan Li would not accept it if Sina sold these two platforms to Tencent's Taotao.

In Yan Li's mind, Tencent is a much stronger competitor than Sina.

Despite the fierce competition between Weibo and Weike, Penguin Taotao's low profile is simply because Penguin isn't playing seriously.

If Tencent makes up for its shortcomings and becomes a threat to Weibo, prompting Tencent to change its mind and increase its investment, then it could easily turn into a protracted battle.

At least Tencent isn't as poor as Sina; it can afford to burn through several hundred million dollars. After much deliberation, Yan Li nodded in agreement to contact Sina to see what they were thinking.

If a powerful enemy can be defeated at a relatively low cost, why not?

Conversely, if the terms cannot be agreed upon, then there's nothing that can be done. Anyway, Yan Li has always been mentally prepared to go to war with the penguin, so let's just keep fighting.

However, regardless of the circumstances, Sina was completely overwhelmed. Yan Li was in a good mood and drove to a restaurant near Prince Gong's Mansion.

The restaurant's facade wasn't large, and the decor had a slightly antique feel. A wooden plaque hung above it with three large characters: "Yan Family Cuisine."
Upon entering, a waiter approached and greeted him: "Excuse me, sir, we are not open yet."

"It's okay, I know your boss well, I'll have him cook me a couple of dishes."

Yan Li took off his sunglasses, and the waiter was slightly taken aback, as if he recognized him, and hurriedly went to the kitchen.

A moment later, a chubby figure appeared in the lobby. It was Yan Li's biological father, Comrade Yan: "What brings you here? Xiao Wang, get me a drink."

After the Spring Festival, Comrade Lao Yan and Zhang Hong discussed and agreed to open a shop in Beijing.

After several months of preparation, it's almost done. Now we plan to open the business on an auspicious day soon. Yan Li knew this and came to take a look.

Waiter Xiao Wang responded, grabbed a drink, and went to the front desk. He pretended to work, but his eyes kept glancing in this direction.

Yan Li asked curiously, "Where did this waiter come from? Doesn't he know our relationship?"

"Your mom hired him, I think he's from Shandong Province, but I don't know the specifics. I only manage the kitchen."

Comrade Yan patted his belly: "As for our relationship, I'm not crazy. I'm not going to tell everyone that Yan Li is my son. Even if I did, you wouldn't show up, so who would believe me?"

"..."

Yan Li thought about it and agreed. It wasn't like he was bragging to relatives and friends back home, and he was in front of a group of new employees, whom he wasn't even that familiar with, so there was no need for him to boast about his son.

"It's all renovated. This is my first time here. Show me around, please."

Yan Li grew up in his family restaurant and has now opened a new store in the capital. Although it is nothing compared to his current assets and status, it is still somewhat special.

Old Yan wasn't as complicated as Yan Li; he was very happy about his new store and started showing it off to his son.

Yan Family Cuisine is a restaurant with a private kitchen feel; it's not very large in terms of area or scale.

As mentioned earlier, Yan Li didn't expect the shop to make money; he just wanted to find something for his parents to do, so that they could stay in the capital.

Not wanting his parents to be too tired, and knowing that the two of them couldn't manage a large restaurant, Yan Li decided to keep the business only slightly larger than the restaurant in their hometown. Even so, he persuaded his parents to hire some employees by arguing that the restaurant was positioned as mid-to-high-end.

The restaurant is about 300 square meters in size, with two private rooms and ten tables in the lobby. There are a total of eight employees, including my parents.

It's still the same setup as back home: Lao Yan manages the kitchen, he and an apprentice from his hometown are in charge of cooking, and there's also a chopping board worker and a dishwasher.

Zhang Hong is in charge of the front desk, working as a cashier, along with two service staff and one cleaner.

This is already the limit the elderly couple can handle; they really can't accept any more people.

Back in my hometown, there were only two tables available, so it was just the two of us working there, maybe with a temporary worker at most.

This setup was insisted upon by Yan Li. The elderly couple knew they weren't short of money, their son was worried about them getting tired, and the restaurant's positioning was different from their hometown, so they agreed.

Otherwise, according to the old couple's original idea, hiring two people to help would have been enough to keep the restaurant running.

After looking around, Comrade Yan asked Yan Li for his opinion, and the latter nodded: "It's alright."

Yan Li is not short of money, and it's his own house and shop. The decoration may not be top-of-the-line, but it's still classy and no worse than those high-end private restaurants.

With a good environment, Lao Yan's cooking skills are also good, and the prices are moderate to high. Even if Zhang Hong's business philosophy is outdated and the service is a bit lacking, I reckon there will still be plenty of customers.

Yan Li wasn't worried about having few guests at all.

Honestly, he only needs to come to the restaurant a few times to bring in a lot of customers, and he can easily turn it into a celebrity restaurant.

But there's no need. This restaurant is for parents to relax and retire. Bringing so many people here and making Old Yan work himself to the bone would be a waste of his time.

So Yan Li didn't intend to keep it a secret, but he also didn't plan to advertise it; he just let things take their course.

Comrade Lao Yan himself is confident, mainly because of his skills and recipes for braised meat.

Yan Li rarely returned to his hometown and had no idea that Yan's braised meat had become a local delicacy in Zaozhuang City, known to many people in surrounding counties and cities, and even interviewed by the provincial TV station.

Therefore, Lao Yan and Zhang Hong are worldly-wise, and they have even come up with the idea of ​​an appointment system.

After accumulating a group of regular customers in the early stages of opening, they started taking reservations. There were only so many tables available each day, and once they were done, that was it.

The elderly couple's reluctance to hire more people stems from habit and a sense of waste, not from a lack of appreciation for good or bad practices.

My son earns in a day what the restaurant makes in several years. Why work so hard? If he's physically exhausted, how will he take care of his grandchildren in the future?

Yan Li chatted with Old Yan and learned that the elderly couple understood the situation, which put his mind at ease.

"I haven't eaten yet. Can you cook me two dishes? I'll try them and give you my feedback."

"Row."

Old Yan turned and went to the kitchen. A short while later, he and a chubby young man each brought out a dish.

This fat man is named Zhang Ben. He is Old Yan's apprentice and is related to Zhang Hong. Yan Li also knows him and has greeted him.

Fatty Zhang Ben was a little reserved. Over the years, Old Yan had taken in more than a dozen apprentices, some formally, some verbally, and some as favors.

Some of these apprentices came to learn the craft, but many others were drawn by their master's son.

If you connect with this "senior brother/junior brother", you'll soar to new heights.

However, Old Yan was probably aware of what these people were thinking, so he rarely brought his apprentices to Yan Li.

This time, Old Yan brought Zhang Ben to the new store and even made a special trip to Yan Li's place. Even if he's not Yan Li's direct disciple, it shows that Old Yan values ​​him highly.

"Try these two dishes and see which one I cooked."

Old Yan even tested his son. Upon hearing this, Yan Li picked up his chopsticks and carefully tasted the food, taking several bites before he could distinguish which one Old Yan had cooked.

You have to understand, Yan Li grew up eating Old Yan's food, so you can imagine how familiar he is with it. Plus, he has a good physique and a more sensitive sense of taste. It would be really difficult for an ordinary person to tell the difference.

Yan Li was somewhat surprised. No wonder his father had taken a liking to this fat man: "The Yan family cuisine has a successor."

Zhang Ben said honestly, "It's all thanks to my master's excellent teaching."

Old Yan laughed heartily, saying that with his son's current wealth and status, it was impossible for him to become a chef, and his grandson was even less likely to be one; they wouldn't agree to let him be one even if they wanted to.

But he wants to pass on his skills and leave a name for himself in the industry, so he needs to find some good apprentices.

If his apprentices grow up and make Yan Family Cuisine famous, adding a chapter to the old Yan family genealogy, then he, as the father, won't be completely overshadowed by his son's brilliance.

"Xiao Ben, study hard. When you graduate, your senior brother will introduce you to a hotel or help you open a new store."

Yan Li started making empty promises as usual. He didn't care if others learned the Yan family cuisine; he just treated it as a way to amuse his father.

Not to mention that his own business is booming now, with all the backup plans he has made, even the worst-case scenario for his descendants is not that they have to work as laborers to make a living.

However, Lao Yan felt that it was best to keep some skills to himself. He didn't pass on the braised meat recipe and a few core recipes, intending to leave them only to the Yan family.

Even if Yan Li's branch of the family doesn't need it, he himself has three brothers and several nephews.

Ignoring his father's petty schemes, Yan Li ate and drank his fill, then drove home. His mother, Zhang Hong, wasn't at the shop today because of a backache, so he went back to check on her.

After Yan Li left, Zhang Ben tidied up and went back to the kitchen to get busy. Old Yan made a cup of tea and prepared to turn on the tape recorder to listen to a story.

Waiter Xiao Wang came over; he hadn't dared to come this way earlier and, unaware of the situation, asked.

"Uncle Yan, is that Yan Li?"

"Ah."

"You two seem to know each other well. You also have the surname Yan. Are you related?"

"That's it."

Comrade Yan took a sip of water and calmly said, "He calls me Dad, and I call him son."

Looking at the dumbfounded waiter Xiao Wang, Comrade Lao Yan secretly felt pleased. He still had to put on airs from time to time, but he couldn't be as rough as he was back home; he had to be more tactful.

Thinking back to the melodramatic TV series I watched yesterday, Lao Yan even started daydreaming.

He operates on a reservation system, and some customers refuse, offering him money instead. At that moment, he simply calls his son, and wow, he's absolutely thrilled.

Yangjiaodeng Hutong

When Yan Li arrived, no one was home. He made a phone call and learned that Dong Xuan knew Zhang Hong was unwell and had taken her directly to the hospital.

Upon learning that Dong Xuan and the others had already left, Yan Li waited at home. About twenty minutes later, there was a knock at the door.

When Yan Li went out, he saw Dong Xuan, Tong Yaya, and Dong Xuan's assistant helping Zhang Hong into the courtyard.

This really scared Yan Li. It was so serious! Old Yan had clearly said he was just feeling a little unwell.

After helping the person inside and settling them down, Yan Li asked several questions before realizing that it wasn't serious at all; it was just that Dong Xuan and the others had made a big fuss.

"The doctor said that Mom's back pain is caused by being too busy and tired when she was young. Her intervertebral discs have degenerated a bit, and her facet joints have some hyperplasia. She should avoid overexertion and gradually relieve the pain with physical therapy."

Yan Li nodded. He knew about this. Zhang Hong had an old ailment that had been diagnosed long ago and she had been undergoing rehabilitation. She thought she was much better, but it had relapsed.

Zhang Hong was afraid that her son would think she was too busy with the shop and wouldn't let her open it again, so she quickly explained.

"I'm not tired. I just caught a chill. I'll be fine in a couple of days."

Yan Li looked at Dong Xuan, who nodded, but he was still worried: "I'll come over if I have time these next two days, and if I don't, I'll send someone over. We'll talk about the shop after you've recovered from your illness."

Dong Xuan said, "You're so busy, don't worry about it, leave it to me."

"No matter how busy I am, I can't outrun my mom."

Yan Li could leave other matters to Dong Xuan and the others, but he was truly worried about his parents' illness and wouldn't feel at ease unless he took care of them personally. He still had that much time.

"Okay, if you don't have time, just tell me. Family members always care more than outsiders."

Dong Xuan usually has a more relaxed life at school, but she's currently filming "Double-Sided Embroidery," so she's not as free. Otherwise, she would definitely want to show off her talent.

After chatting for a while, Dong Xuan and Tong Yaya went to buy food for Zhang Hong, while Yan Li accompanied Zhang Hong, who kept praising Dong Xuan.

Of the three women, Fan, Qin, and Dong, Dong Xuan had the best relationship with the elders in their families.

It's not that Qin and Fan are bad, but Dong is more patient and more willing to interact with the elderly, and find ways to care for and look after them.

This is quite rare. Yan Li is also filial, but it would be difficult for him to spend every day with his parents, take them on trips, and take care of their food, clothing, and shelter.

How was Dong Xuan able to take Zhang Hong to see a doctor without Yan Li's knowledge?

That's because she talks to Zhang Hong on the phone almost every day and visits at least once a week. She has a very clear understanding of Yan Li's parents' situation. Even if Zhang Hong doesn't tell her, she can quickly sense that something is wrong and rush over to check on them.
Regardless of whether Dong Xuan had any ulterior motives, even if she did, Yan Li would accept it if she did this much for his parents.

No one is perfect when it comes to his deeds but not his heart!
Yan Li has an intelligence network and often adheres to this policy. He appreciates Dong Xuan's good care of his parents.

"Alright, Mom, you're making me feel so embarrassed. I know your daughter-in-law is wonderful. Once we're done with this busy period, we'll work hard and give you a grandson as soon as possible."

Yan Li revealed her pregnancy plans. It's May now, and both "Beauty's Rival in Palace" and "Double Embroidery" are more than halfway through filming, so it'll be time to conceive soon.

"Really?"

After Zhang Hong asked a question and received a confirmation, her back pain disappeared, and she clapped her hands and laughed foolishly.

"It's great, it's great."

　I still have 1000 left, I'll pay the rest tomorrow.

　　
　
(End of this chapter)