On the Advantages and Disadvantages of Marketing Strategy from the Perspective of Enterprise Development

With the rapid development of Internet economy, the marketing amount of enterprises has changed greatly. Over the past decade or so, we have witnessed many micro-enterprises achieve business success through excellent marketing strategies, and many enterprises have been abandoned by the times because of improper marketing. This paper selects several typical enterprises and their landmark marketing strategies to explain how marketing strategies become the key to enterprise success.

Pinduoduo: Rise in the Micro End

Not long ago, Pinduoduo's market value has surpassed Alibaba and become one of the leaders of e-commerce in China. I believe that in the near future, Pinduoduo can also strive for their own market overseas and compete for hegemony with international e-commerce giants.

Pinduoduo was founded in 2015. At the beginning of its establishment, it focused on the sinking market of e-commerce. Through the marketing strategy of CM2 group purchase, it seized the market at the speed of viral spread. Simply put, the marketing strategy of Pinduo is to encourage users to initiate a group with relatives, friends, neighbors, etc., to obtain lower-cost purchase concessions, this is one of its marketing strategies; In addition, Pinduoduo also through the "cut a knife" of red envelope cashback, through the continuous sharing of social platforms, to spread their applications to potential customers around users. Through these two strategies, by 2020, Pinduo has gone from a small unappreciated company to an e-commerce giant with 788 million active buyers.

Let's evaluate the business model of Pinduoduo. Simply put, the business model of Pinduoduo makes full use of the human weakness of human love to take advantage, through similar fraud "cut a knife", "10 billion subsidy" and other marketing strategies, successfully maintained huge user stickiness, and in a short time exponential expansion of market share. From a moral point of view, I don't agree with the practice, but from a business point of view, it's a successful marketing example.

Hua Xizi: Success in Marketing, Perish in Marketing

Huaxizi is a Chinese beauty company born in 2017 and headed downhill in 2023 and facing bankruptcy. The reason why this article cites Huaxizi's example, because this enterprise is too special: it succeeds in the development of Internet marketing, fails in the disadvantages of Internet marketing, with this example to explain the advantages and disadvantages of Internet marketing is simply appropriate.

Huaxizi brand is a deep binding brand with Taobao anchor, through the platform above the head anchor signed a contract, let the anchor endorse, use the head anchor's huge traffic, to achieve exposure and cash. Huaxizi is a low-end makeup brand, but the price of its cosmetics is more expensive than many international first-line brands. Even so, many consumers are willing to pay the bill. The main reason is that Huaxizi colludes with head anchor Li Jiaqi. By controlling the price of all online shopping platforms, the price of their head anchors is the lowest, to mislead consumers, consumers think that they have got a huge discount, so they rush to buy. This marketing down, let consumers think that they have got benefits, businesses and head anchors also gained a lot of profits, from a certain angle, is the best of both worlds.

However, as this marketing strategy was exposed by industry insiders, consumers realized that they were lambs to be slaughtered, so began to resist, Huaxizi also went downhill, but not to the company's bankruptcy.

Unfortunately, years of successful experience in Internet marketing made Hana Xizi think he could do anything. So after the accident, they still used Internet platforms (such as TikTok, Weibo, and Little Red Book) to place a large number of soft advertisements and brainwashing articles. But not mentioning their marketing deception, making consumers more disgusted, and thus further disgusted with the brand.

Comprehensively speaking, Huaxizi belongs to a no core technology, relying on the development of the Internet, focusing on marketing and successful enterprises, but also because of their own marketing and bury everything; Therefore, the purpose of the enterprise is to make money, marketing is the purpose of making money, but not the foundation of the enterprise.

DongfengSokon: The Perfect Combination of Technology and Marketing

DongfengSokon is a small and micro auto company with a history of more than 20 years. It has been committed to making affordable family cars for Chinese people. Its cars are reliable and cheap and have been loved by consumers.

But all along, DongfengSokon auto companies are in a loss-making state all the year round, although sales are not bad, but bicycle prices are too cheap, resulting in low profits; And the company also values marketing, but has not found a good marketing strategy, resulting in its marketing spending a lot but little results.

However, in recent years, DongfengSokon's deep cooperation with Huawei has achieved large-scale profit growth. Huawei is a company with a high marketing level. Through its cooperation with Huawei, DongfengSokon Company has aroused great discussion on the Internet and social news. Its brand awareness has even surpassed that of foreign brands such as Mercedes-Benz and BMW. As a result, its sales volume has increased greatly. Up to now, DongfengSokon has become one of the new energy giants in China.

In this section, we will not elaborate on the specific marketing strategies used by Huawei to achieve success after the cooperation between DongfengSokon and Huawei. It is not just the methodology. In terms of direction, small and micro enterprises choose to cooperate with enterprises with strong marketing capabilities, which is a better marketing idea. This model is not only a win-win strategy, but also an example for all small and micro enterprises to study carefully.