How do you view Ctrip's acquisition of 37.6% shares in E Long as the largest shareholder, and how will domestic OTA develop in the future?

First of all, from the perspective of Ctrip, now, Ctrip and E Long have come together. On the one hand, where to go is the rapid rise of hotels. (where to go to direct hotels has grown rapidly in the past year. The financial report shows that Q4 has achieved 8.9 million booking nights, including 5.88 million direct sales. This undoubtedly poses a great threat to Ctrip, which is mainly based on hotel revenue. On the other hand, it also increased the pricing power of downstream hotels and consolidated its strong position. According to the survey data published online, Ctrip and E Long gained nearly 60% of the online travel hotel booking market share in 20 14. If you count the same journey that you have already invested in, it should be at least 70%. (Source: Analysys think tank) This M&A cooperation has undoubtedly increased Ctrip's negotiating weight for offline hotels and the difficulty of penetration at the hotel business direct signing level. Whether Ctrip will emphasize where to go in the downstream hotel negotiations is worthy of attention. Besides the OTA environment, Ctrip's shareholding in Tongcheng, Tuniu and Yilong is a powerful joint counterattack for Ctrip to lead OTA to where the upstream distribution channels go. Local tyrants who travel online are consolidating their dominant position in the value chain through joint means. Times have changed, and Ctrip's current opponent suddenly became where to go. To talk about the future of OTA, if Ctrip and Qunar can engage in a long-term tearing war, the subsidies and price wars in the market will not end in a short time, which should be gratifying from the user level, similar to the subsidy wars before Didi and Kuaidi, benefiting the majority of users. If Ctrip finally marries Qunar, they will occupy 58.5% of the online travel market. If the merger of Ctrip and other OTA is included, the online market share may further exceed 70%, and it will also firmly control the pricing power of the whole industry. Overall, Ctrip's M&A action undoubtedly reduced the bloody price war cost of OTA in the same industry at the revenue level. 2. In the negotiation with downstream hotels, it will have a stronger position and pricing power. 3. Consolidate the position of OTA in the value chain for the strong position of upstream channels. In addition, it is worth noting that the capital behind Ctrip's marriage to OTA directly or indirectly has the shadow of Tencent. So in the final analysis, the game of online travel is still the game between BAT. Baidu's layout in OTA is obviously weaker than Tencent's. Interests: Xiuquan, a former employee of Ctrip.