Any interpretations on Meituan's business model?
Meituan's business model is to establish new channels to efficiently connect users and merchants. Meituan categorizes service scenarios, invites corresponding merchants to move in, and then displays the categorized interface to the demand users, so that the supply side and the demand side are efficiently connected. In this way, Meituan actually solves the problem of information asymmetry and transmission efficiency between consumers and merchants, and improves the probability and frequency of transactions. The profitability of Meituan also lies in the fact that after the transaction is completed, Meituan can get commission from it. In addition, Meituan can rely on its powerful big data and algorithmic capabilities to provide marketing services and supply chain support to merchants, which in turn can obtain returns in the form of additional services. Essentially, Meituan is building a more efficient pathway based on existing channels, allowing consumers and merchants to form new habits and borrow the platform to complete transactions.