Microsoft's workplace social platform LinkedIn (LinkedIn) issued a statement on Thursday (14th) stating that it would close professional social networking sites operating in China, and immediately attracted a number of foreign media reports on the topic of "LinkedIn's withdrawal from China."
Many media outlets unanimously emphasized that LinkedIn made the relevant decision because of the "substantially increased operating environment challenges and stricter Chinese compliance requirements" in China, and hinted that more foreign companies will choose because of the relevant actions of the Chinese government. Withdraw from the Chinese market.
However, the reality is that LinkedIn is not "withdrawing from China", but will continue to operate its business in China with a "no social media function" website.
As the first social platform company that can enter the Chinese mainland market, LinkedIn has always been in compliance with Chinese government regulations.
In particular, LinkedIn is the first in Silicon Valley that is willing to give up control of China's business, and has been actively cooperating with the requirements of the Chinese government's Internet regulatory agency.
In 2014, when LinkedIn entered the Chinese mainland market, the American social media company indicated that it was willing to accept the Chinese government's content censorship requirements and cooperated with two Chinese companies, Sequoia China and China Broadband Capital. , In order to comply with the legal requirements of the Mainland.
In March of this year, LinkedIn also followed the request of Chinese government agencies to suspend the registration of new members and shut down the accounts of several journalists and social activists who have been following the human rights situation in China for a long time.
Microsoft's workplace social platform LinkedIn (LinkedIn) issued a statement on Thursday (14th) stating that it would close professional social networking sites operating in China, and immediately attracted a number of foreign media reports on the topic of "LinkedIn's withdrawal from China."
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Although LinkedIn’s Silicon Valley headquarters has repeatedly reiterated that it disagrees with the government’s Chinese Internet censorship system, their business expansion in China has never stopped.
They have more than 50 million users in China and launched a localized service platform Chitu in 2015. They hope to compete with other Chinese workplace social platforms, such as Alibaba Group’s DingTalk. The length of a day.
There is no doubt that LinkedIn is subject to various government regulatory restrictions in China, but there is no hindrance to business development.
Wishful thinking of "withdrawing from the Chinese market"
In fact, for a long time, different media have hyped news of foreign-funded enterprises "withdrawing from the Chinese market," and hinted that China's online censorship system and legal system will trigger a series of "disinvestment waves."
In July this year, some American media cited the withdrawal of Vanguard, the world’s second-largest asset management company, with a global asset management scale of US$6 trillion, and pointed out that the Chinese government’s increasingly frequent regulatory requirements frightened. Many foreign-funded enterprises have been established, and it will trigger a new wave of financial crises.
However, although LinkedIn itself faces various market challenges in the Chinese market, they mentioned at the end of Thursday’s statement that they will continue to prepare for the "new job application InJob", but this has been deliberately kept low-key by various media. To deal with it, is it wishful thinking that foreign capital is "withdrawing from the Chinese market" because of the Internet control in Mainland China?
Recently, the US retail giant Walmart has also reportedly withdrawn from China. However, according to many reports, Walmart has faced many challenges from online merchants in the Chinese market in recent years. In the past few years, it has closed nearly 100 stores because of this.
(Associated Press profile picture)
Furthermore, some foreign companies that are considering withdrawing from the Chinese market may also be because their profits in China are gradually declining.
On the contrary, foreign investment often chooses to settle in China because it is profitable.
Recently, the US retail giant Walmart has also been withdrawing from China. However, according to many reports, Walmart has faced many challenges from online merchants in the Chinese market in recent years. In the past few years, it has closed nearly 100 stores because of this.
This is enough to show that profit is the dominant capital, and the most important thing for local governments is to provide an attractive market and business environment, and to formulate appropriate systems and policies according to their social needs.
After the official media issued a document approving the game, the rapid deletion reflects the rhythm of market reforms. Although market supervision is necessary, capital worries cannot be ignored. The mainland's anti-monopoly policies are changing the market ecology.