Core Content Summary
Tu Long (Yang Ying) is a down-to-earth scholar who has transitioned from brain science research to serial entrepreneurship. She uses her own experiences to break the stereotype of intellectuals as being overly sophisticated in their entrepreneurial endeavors, emphasizing the need to do the “dirty work” (such as directly selling products to strangers) and opposing the focus on high-end technology while neglecting distribution channels. She believes that China does not lack good products but rather the ability to sell them effectively. She shares lessons from failed startups (for example, mistakes in the board game supply chain) and demonstrates how Chinese brands can move up the value chain with high-end skincare products. From a brain science perspective, she explains consumer decision-making and uses AI to reduce costs and increase efficiency without laying off employees. Her core message is that entrepreneurship requires honesty: one must confront reality, experiment firsthand, and the key to enduring over time is continuous learning and practical application.
1. Intellectual Entrepreneurs Should Not Be Pretentious: Selling Products Is Not a Low-Status Task
Tu Long points out that many highly educated entrepreneurs aim for “high-end” projects (like brain-computer interfaces) but are afraid to sell products, questioning how they can take on industry responsibilities. She started her business by selling books, as it represents the purest form of sales testing: the publisher handles all aspects of the product (design, pricing, and storage), leaving only one question—to understand why strangers would buy from you. This directly tests whether you truly understand your customers, rather than relying on family and friends’ support. She challenges those who view selling as a low-status job, arguing that consumers have no obligation to understand your ideals. In China, with so many products available, being able to sell good ones is valuable for both manufacturers and consumers, and it’s by no means a humble task.
2. Distribution Channels Are More Important Than You Think: Selling Quality Products Is the True Value
Tu Long distinguishes between “upstream” technologies (new drugs, new materials) and “downstream” applications (logistics optimization, understanding customer needs, and selling Chinese-made products globally). She believes not all smart people should aim for the upstream; the upstream focuses on creating products, while the downstream ensures value is delivered to consumers. Without proper coordination, even the best products will be sold at low prices. For example, Sephora’s innovation was simple: by making high-end cosmetics available for free trial from locked cabinets, they reduced the need for sales staff, transforming the beauty retail industry. In her own skincare business, she uses AI to analyze skin research and explains it in plain language to customers, applying downstream technology to reach the right audience at a lower cost.
3. Three Stages of Surviving in Entrepreneurship: Don’t Believe in the Illusion of “Small but Beautiful” Businesses
Tu Long outlines three critical stages for surviving in entrepreneurship:
1. Annual revenue below 30 million RMB: Maintain a net profit margin of at least 7% (rely on profits; if you can’t raise capital, borrow from banks).
2. 30 million to 400 million RMB: Achieve a net profit margin of at least 3% (you’ll need loans for further development).
3. Over 500 million RMB: You can afford temporary losses as investors will help improve efficiency.
The most dangerous mistake is thinking that customers will always be loyal to your brand—she calls this the “illusion of being the perfect partner.” Consumers are fickle and will buy from the best option available. For instance, her board game business failed due to increased supply chain costs, leading her to switch to courses as a more viable model.
4. Brands Are About Practicality: Selling at Full Price and High Repurchase Rates Demonstrate True Strength
She believes the essence of a brand lies in three key metrics: whether consumers recognize it, whether they are willing to buy it at full price, and how much sales drop after price increases. If you need discounts to sell products, you have a basic brand, not a strong one. Her high-end skincare brand has an average transaction value of 3,000–4,100 RMB and a 70% repurchase rate, proving that Chinese brands can compete on the global market without relying on cheaper alternatives. She also emphasizes that measurable indicators (such as repurchase rates) are crucial for building a brand.
5. In the AI Era, Don’t Worry Uselessly: Machines Are Tools, but Long-Term Sustainability Is Key
Tu Long is realistic about AI’s role in entrepreneurship: it’s not meant for layoffs but for reducing costs. Her brand uses AI to analyze research and connect formula developers with consumers directly, eliminating middlemen. She opposes ineffective cost-cutting measures like cutting staff benefits or forcing overtime, pointing out that real savings come from platform investments and influencer fees (which account for 58% of revenue). She believes that the ability to adapt over time is more important than age; Generation Z entrepreneurs have the advantage of not making past mistakes, but experienced individuals can still succeed by recognizing and adapting to new circumstances. When anxious, focus on your core business before exploring new areas.
6. The Essence of Entrepreneurship: Don’t Deceive Yourself
All of Tu Long’s advice boils down to one principle: don’t deceive yourself in business. Admit you want to make money, recognize your limitations, accept that methods may become obsolete, and ensure your products reach consumers. Her journey (from brain science to book sales to skincare courses) may seem unconventional, but her approach is consistent: experiment, learn from failures, and start over. This might be the best way for ordinary people to navigate the challenges of entrepreneurship—avoid fantasies and take practical action; if you make mistakes, correct them.
In summary, Tu Long’s insights provide a practical guide for those seeking to succeed in the business world, emphasizing honesty, practicality, and continuous learning.