Boost the morale of the struggling startup.

This article is reproduced from the autocarweekly WeChat official account

In April 2021, Zeekr Intelligent Technology, as an independent subsidiary of Geely Holding Group, launched its first product, ZEEKR 001.

Zeekr represents the “third lane” that distinguishes itself from new forces and traditional car companies in China’s smart and electrified automotive industry transformation. It bears the mission of Geely Holding Group to align with the industrial technology era from products to corporate structure and new capitalization thinking.

As soon as ZEEKR 001 was released, it showed its enormous attraction. In less than two months, it announced that the 2021 delivery orders were sold out, so Zeekr closed the small delivery channel mid-year and only accepted large orders.

Everything seemed to be going smoothly for the first product of the SEA Haohan architecture, and it seemed that it would be an instant hit. But at that time, despite my long-term optimism for this project, I did not believe that Zeekr’s development would be as perfect and smooth as the number of orders received.

This is a brand-new product with an excellent foundation. Even if the SEA Haohan architecture is placed among all existing electrification architectures in the world, it is one of the most advanced and tensile architectures, and it has many unique technological advantages. Therefore, Zeekr, as a new company, did not start from scratch but from 0.5 or 0.8 to 1. In this regard, Zeekr certainly has a better foundation than new car makers.

However, why did Zeekr choose the so-called “third lane” instead of, like many international big brands, choosing to incubate new smart and electrified product lines within the brand? It is clearly more secure.

If Geely had not chosen to make Zeekr independent but instead placed it directly under the Lynk & Co brand, which already has an established user base, then Zeekr’s start may have been more stable. But Li Shufu and An Conghui, representatives of Geely, never think about problems in this way. Their demand is that Zeekr not only achieves product success, but also builds an independent and complete corporate model that fully aligns with the new era and future travel industry. This is an impossible task under a strong parent company. Therefore, when Zeekr was released, I wrote an article about why Zeekr was under the leadership of Li Shufu and An Conghui. Because at Zeekr, Li Shufu and An Conghui never consider retreat, compromise and safety, but a pure second entrepreneurship.Li Shufu and An Conghui want to tell all the employees of Jidu Auto right from the beginning that Jidu is not a pawn for Geely to try new things; it is a startup project personally led by the two of them, aimed at opening up the intelligent electric vehicle industry’s third path and is the most anticipated path. The capital market has expressed optimism about this project in the first place. After completing the first round of financing very cautiously, Jidu’s market valuation has reached nearly 60 billion yuan.

However, entrepreneurship will encounter the laws of entrepreneurship and the characteristics of entrepreneurship, whether from 0 to 1 or from 0.5 to 1, it is no exception. This is the fundamental reason why Volkswagen and Toyota do not take this path. Unknown factors will surely bring pain to entrepreneurs, but some are visible, and some are not. Entrepreneurs who deny this point are actually denying Murphy’s Law, which is more dangerous than having the courage to prepare for pitfalls.

Therefore, as the year 2021 comes to an end, when Jidu reported completing nearly 6,000 deliveries and showed some imperfect characteristics typical of start-up companies, I want to come to cheer up Jidu, which is not yet perfect. More accurately, I believe that Jidu’s start is very beneficial for the company’s sustained development.

Firstly, the products of ZEEKR 001 that Jidu has now delivered are considered to be 99 points for hardware and 59 points for software. This aspect proves the capability and certainty of the SEA architecture. The 0.5 that this architecture endows Jidu with is reliable in terms of vehicle engineering and hard technology.

When I visited Toyota, I saw a story in the Toyota Museum: At the beginning, Toyota-made trucks often stalled on the road. Toyota’s after-sales service personnel had to prepare several Ford trucks to be ready to receive fault information, and then take a Ford truck to replace the failed Toyota trucks.

Today, the world’s number one car company Toyota started in such an humiliating environment.

By comparison, Jidu’s people should have more confidence. In terms of existing capabilities and resources, no automotive entrepreneurship enterprise has as strong a backbone as Jidu.

Software bugs are a problem that internet and technology-based enterprise face throughout their life cycle. Not to mention that the first generation of software of the vast majority of companies has been criticized by users like muddy springs. Even in the process of overall software improvement, upgrading and repairing bugs, most upgrades are likely to encounter pitfalls from time to time.The delay caused by a link of the supplier in the software system, as well as some usage or even emotional details issues, are all pure technical problems that genuine technology companies have gone through and are still facing. Because the software design for a large group of people must constantly evolve with changes in societal emotions and population trends. The commotion of many software products is not caused by corporate negligence, but rather a result of excessive effort leading to inappropriate outcomes.

screenshot of ZEEKR 001 by ZEEKR

As a technology-based new energy automotive company, it is fortunate that Jidu Auto has emphasized software in the first lesson. This will improve the overall comprehension of software-based automotive concepts and enrich the company’s perceptions. Enterprises that focus on software will undoubtedly relate to this statement that may initially seem empty.

Compared to hardware, the software system exhibits more elements in its closed loop, including code, product, emotion, and upgrades. The additional elements of emotion and upgrading are not simply physical add-ons, nor does it seek to satisfy a particular demand. Instead, it involves empowering people, which is a logical sequence of life. Therefore, we say that code without values is lifeless. The fundamental characteristic of life logic is that it evolves in a spiral. Hence, software companies must not treat software as if it were hardware during the initial phase.

For example, the software system of the ZEEKR 001, which is jokingly referred to as 59 points, can easily be elevated to a relatively high industry level with the speed and refining genes that Chinese enterprises exhibit, as well as the capabilities that Geely has demonstrated with its Lynk & Co and Geely brands. Moreover, for those who have already received their vehicles, any issue can be remedied through Over-the-Air (OTA) updates. In fact, Jidu Auto has made many OTA upgrades to refine the ZEEKR 001 software system since its delivery.

screenshot of OTA update by ZEEKR

Meanwhile, Jidu Auto’s first-hand experience garnered from confronting software issues will bring a greater sense of appreciation for software. Technology products that closely track emotions and trends can only be superficially acquired on paper. One must apply a hands-on approach to fully appreciate this. As advancements in autonomous driving technology continue to unfold, a better understanding of software will become increasingly important.

There is no such thing as perfect software, and as such, it is always progressive and adaptive. The technology companies that we currently consider as perfect are those that have discovered the perfect fusion model of corporate and software personas, rather than those that merely produce perfect products. The aim of enterprises is to continue improving the dynamic correspondence between their products and the changing needs of their users.## Reflection and innovation are the driving forces for the development of software enterprises

Looking back, reflection and innovation are almost equally important to the development of software enterprises. The future Zeeker will be grateful for the reflection class they took at the beginning.

I think the main reason to cheer for Zeeker everyone is that each person in this new brand is probably under the internal and external pressure brought by public opinion. This is a public opinion environment that good manufacturing companies have never faced. But it is a standard configuration for good technology companies.

What I want to say is that when interpreting with a bottom-line mindset, within the scope of my own vision, there has never been a truly good enterprise that has been crushed by public opinion. Never. Enterprises that are crushed by public opinion must have problems that cannot be solved internally.

What is a good enterprise? In terms of this dimension, there are actually three points: the founder or leader has a resolute character; the internal management is positive, with unified ideas, and is constantly improving towards the direction that conforms to the development dream of the enterprise; the product ability is strong and sustainable, and can innovate.

In my opinion, Zeeker stands firm on these three points.

First, let’s talk about the product. If you recall the ZEEKR 001 released eight months ago and the ZEEKR 001 delivered now, the most exclusive advantages of Zeeker’s product and the points that rational consumers look forward to the most have all been successfully landed. Perfect hardware is the basis of software-defined products such as cars and smartphones, which goes without saying.

And some visible and unsatisfactory points can be improved to perfection within a calculable time. In terms of software-type enterprises, the effective information in criticisms and complaints is one of the most important links in product definition. There is no successful software-type technology company that can be an exception. Even the most worshiped Apple is no exception.

Next, let’s talk about internal management. Zeeker people will never forget the experience of 2021. People who share the same ideas as Zeeker, from technology companies, new car companies, traditional car companies to Geely internal, came to Hangzhou and worked hard to give full play to their abilities. They made mistakes, took detours, did good things with good intentions, but your dreams and goals, as well as the enthusiasm you work for them, have not changed. Through exploration, collaboration, integration, and improvement, the third racetrack’s racing line is gradually becoming clearer.

Finally, let’s talk about the leader. In Zeeker’s dream-chasing team, your captain is the dream-maker Li Shufu, and your helmsman is the long-distance runner An Conghui.I don’t want to go into detail about the past achievements of these two individuals, but you should remember their entrepreneurial ideals and tough personalities. These are the accumulation of time and trust in the Chinese automotive industry. These two names itself represent the genes of extreme long-termism. There will be no individuals who cannot adhere to long-termism and waste time in extreme long-termism. There will be no giving up or compromise in pursuing the core of the enterprise. If extreme long-termism also has an employee survival rule like all large companies, establishing long-term values must be the first priority.

Musk once talked about the hardships of entrepreneurship in an interview and couldn’t help but cry, but in the end he firmly stated: because I don’t know what giving up means, unless I am trapped or dead.

Both Geely and Extreme Racing are enterprises founded on love and dreams. The passion and courage contained in Musk’s touching expression have long been fully interpreted by Li Shufu and An Conghui in practice.

Whether it is from the initial design of the enterprise and brand, or the sustainable thinking of the product, there is no problem in Extreme Racing. After reaching this consensus, all problems are starting, developmental, and exploratory problems of establishing new things and new tracks, and are a precious asset of the brand that is committed to creating a new model for the travel enterprise.

A few months ago, when a friend asked me whether Extreme Racing cars could be bought, I could only cautiously say that if the product is as Extreme Racing claims, it can be bought. Now, when many friends come to ask me whether Extreme Racing can still be bought or even whether they should cancel their orders, I can confidently say that it can be bought! No need to cancel!

This landing product demonstrates Extreme Racing’s core technological capabilities, and a large amount of technology exceeds the current market’s available products in terms of level. The ability and tension in subsequent technology development and iteration are visible to the naked eye and can’t be covered by many corporate-friendly scenario-based propagations.

Similarly, I am confident in the entire user service system of the Extreme Racing brand. With the genes of the entire Geely Automobile, user thinking is not something that has only been searched in the past two years. The user thinking of this enterprise is deeply ingrained and the system is complete. They have the most smooth information feedback channel from the user side to the production side, the highest level of product improvement decision-making meetings, and the fastest product research and development process to meet user demands.Based on the development of information technology, Zeekr has upgraded the full-scenario user experience. As far as I know, Z customers are very satisfied with the overall customer service that has been delivered so far. Some complaints about the exploration of the new user service system have brought constructive feedback, which has become the mainstream voice of the entire user group.

Of course, although it is a start-up, Zeekr cannot hope that the public will have a higher tolerance for it like many new car companies, nor is it the character style of An Conghui, the Confucian scholar who has been struggling with products for 20 years. I heard that An Conghui now spends most of his time in the research institute and factory in Hangzhou Bay. The consistency of the entire brand from product to user service will be established in 2022.

Looking at all the new car industry struggling enterprises with blurred paths for clearer prospects, Zeekr is one of the most certain enterprises I can see, regardless of the product, funds, technical sustainability, and system strength; this is even more evident in the strategic ability of corporate development.

This view has not changed since the hot sales of April to the initial stages of stepping forward in a small wave. Zeekr, as a technology-based enterprise, never needs to care about the imperfection of the status quo at any time. In fact, if a technology company feels perfect, it basically loses its driving force. It only needs to maintain the gene of pursuing perfection.

Image of Zeekr

This article is a translation by ChatGPT of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.