How to judge the profitability of e-commerce companies?Ranking of the earning power that startup companies must possess

In today's highly competitive e-commerce field, we often hear discussions about intellectual property (IP) and brands. People discuss which area has more profit potential?

Ranking of the earning power that startup companies must possess

Intellectual property (IP)>Private domain resources>Supply chain management>Operation type

The only thing that makes me hesitate is whether intellectual property (IP) is more profitable, or whether brands have more potential?

Let’s discuss it.

The rise of intellectual property

Intellectual property rights have been accompanied bynew mediaThe concept of rising to new heights.

Xiaoyang Ge, Wei Yi, Li Jiaqi, etc. all represent the pinnacle of intellectual property rights.

These intellectual property owners even generated sales of up to 11 billion during the Double 200 Shopping Festival.

Intellectual Property Risks

However, intellectual property success is not without risks.

Expanding too quickly, being unstable and making careless remarks can lead to huge risks.

In the past, some intellectual property owners were banned for not properly handling counterfeit goods incidents.

Behind success, there are many challenges.

The value of private domain resources

Private domain resources are an effective way to solve the traffic reach problem. The reach cost is almost zero. They can reach the audience at almost zero cost.

In contrast, public domain sellers often get stuck due to high traffic costs.

In contrast, public domain sellers often struggle due to high traffic costs, while private domain resources rarely hear of closures, and they are all making money silently.

Importance of supply chain management

Players in the supply chain space are often sales assistants, and they occupy a position among the rapidly expanding number of top suppliers.

Their order volume is stable and marketing costs are almost zero. Whether they are leaders of large or small teams, they can earn considerable profits.

Operational challenges

Operational sellers often face the most anxiety and are looking for new methods every day to research and attract new customers.drainageThere is a lot of possibilities, and they are constantly cutting leeks to attract new users. Once the traffic dries up, they can easily get into trouble.

Operational sellers are looking for new ways to explore traffic opportunities and attract new users every day.

However, they can also run into trouble once traffic stagnates.

Internet marketingOperations is the easiest to get started with, and it is also a skill that is easy to learn but difficult to master.

Final Thoughts

Considering profitability and difficulty, we found that intellectual property, private domain resources, supply chain management and operations each have their own advantages and challenges.

Operations is the easiest to get started, and intellectual property (IP) is the most complicated, followed by private domain resources and supply chain management.

Profit and difficulty are equal, that is, the more money you make, the greater the difficulty.

Ultimately, success depends on a business's strategy and execution.

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