week 2 group discussion

Group Member:

LU Yi  (Cathy) 1155082008
WU Yue (Alisa) 1155081703
SONG Shuyi (Susie) 1155081864
YU Jin (Joyce) 1155081945
SIEW Ka Hang (Kara) 1155084669


New Media Tech: WeChat application (微信小程序）


Type of market structure:

Monopoly （There is no competitor now)


Characteristics of market structure:

1. Concentration: 
    WeChat has more than 70 millions users now and own a high market share in social media field in mainland which provide a good platform for the applications to move in and approach to the consumers to use.

2. Differentiation: 
   WeChat is the only one social media technology now to provide this service which is the vital difference with other social media applications.

3. Barriers: 
    A. Costumer habit. Costumer may be used to the old methods of using the applications and it may need a period of time for them to change their traditional mind; 
    B. Corporation with the other application companies. It is no doubt that WeChat has to work hard communicating with other companies that product different applications and persuade them to join this new technology and also pay attention to the market phenomenon and structure.

4. Cost:

    WeChat application is based on WeChat itself, so it need to pay the expense to maintain its function. Besides, the main cost of WeChat application is to build the corporation with other apps to share the flow capacity.

5. Vertical Integration: 
    Realize the integration of applications, for instance, the social media application and the life service applications. Based on this technology, WeChat  finally becomes a synthetical platform that can be utilized to use several applications which are with different kinds of functions in only one application.