The Strongest Life Reborn
Chapter 1961: Understand 1
After Li Chaoren left, Yin Jun became more and more energetic.
He was not happy because he kindly dissuaded Li Chaoren from falling into the pit, but he remembered another thing.
The reason why Li Chaoren became Superman is not only because of his achievements in real estate.
In fact, there are so many real estate giants in Xiangjiang. Apart from the 1980s and 1990s, Li Chaoren's Changjiang Industry rarely occupies the first place in the Xiangjiang real estate market.
For many years, it was either Li Zhaoji ’s Hengji Zhaoye or Zheng Yutong ’s new world development.
These two are basically the biggest energy on real estate.
In fact, as early as the 1980s, Li Chaoren's vision was already in the world, and comprehensive diversified investment was implemented.
For example, Hutchison Telecommunications, which was established this year in the previous life, led the trend of Xiangjiang ’s mobile communication network. Yin Jun remembered watching clips of advertisements for Li Ji for Hutchison Telecommunications.
Had it not been for Li Xiaochao to do the mobile communication industry later, Hutchison Telecom might continue to develop and consolidate, dominating the mobile phone business of Xiangjiang.
But this is not enough to make Li Chaoren called Superman.
Just three years later, Li Chaoren will create a very beautiful investment miracle.
That is to set up a joint venture with the world's largest detergent giant P & G, P & G Hutchison, to help them enter the mainland market.
In this era, apart from Japan, many foreign companies hope to find some partners in Xiangjiang to use their influence on China to help themselves enter the domestic market of China.
This seems to have the same meaning as the mainland of China hopes to let Xiangjiang people and Baodao people act as intermediaries, let them participate in investment, and provide protection.
In such an environment, it is difficult for Xiangjiang people and Baodao people to want to be underdeveloped.
Especially the Xiangjiang people in the 1980s can basically be regarded as making money while lying down.
Li Chaoren lying this time to earn money is more exaggerated.
In order to use Li Chaoren's huge influence to enter the mainland market, Procter & Gamble proposed to establish a joint venture company, not to mention that it also sold 33% of the company's shares to Hutchison Whampoa at a price of 30 million Hong Kong dollars.
Therefore, in fact, all the products of Procter & Gamble we saw in the 1980s and 1990s, including Rejoice, Haifeisi, Pantene, Tide, etc., are products belonging to Procter & Gamble and not the "Guangdong" Procter & Gamble ".
"Guangzhou Procter & Gamble" is nothing more than P & G's deliberate propaganda in order to cover up Hutchison's name and increase its influence.
After Procter & Gamble entered China, how crazy it was to attract gold. I believe that in the 90s and 00s, everyone saw clearly. This is really a super giant that dominates more than 80% of the detergent market in China.
From the beginning, the company has entered a fast-paced rhythm, which P & G never expected.
Therefore, they regretted giving Li Chaoren 33% of the shares, and at such a low price of 30 million Hong Kong dollars.
I knew we would do it ourselves!
But of course there is no regret medicine in the world to take, so they can only keep asking for shares to buy back.
Li Chaoren is not a fool. How can he easily sell when he looks at making money?
So he chose two stages to sell shares.
The first is in 1997, ten years later, Hutchison Whampoa transferred 11% of Procter & Gamble ’s Hutchison shares to P & G for $ 650 million.
The second is that in 2004, seven years later, Hutchison Whampoa transferred the remaining 20% of its shares in Procter & Gamble to Procter & Gamble at a price of $ 1.923 billion.
The two transactions add up, and Hutchison Whampoa sold a total of US $ 2.573 billion, which is 600 times the profit compared to the original investment of 30 million Hong Kong dollars! It's a profit! !
This business was laughed at by Huo Jianning, the managing director of Hutchison Whampoa, as "the fat chicken leg business that makes people's teeth soft", and it is conceivable how satisfied they are.
Judging from the thinking in 2020, this is purely a stupid idiot of Procter & Gamble, and Li Chaoren was picked up in vain.
But if you are in an environment around 1988, you will know that this is a historical necessity.
Procter & Gamble has never done business in the new country of China. How do they know their business is guaranteed?
In case they do a good job, they are directly confiscated by Chinese officials, do they have to cry to death?
Only with Li Chaoren as a guarantee will you feel more at ease, at least you do n’t have to worry about the mainland turning your face and not recognizing people, engulfing their efforts.
From Hutchison Telecom to the thought of P & G Hutchison, Yin Jun began to think about it.
As a Chinese, Yin Jun certainly does not want the detergent market in China to be monopolized by foreign giants.
But in fact, China's detergent market has long been monopolized by foreign giants.
Giants such as Procter & Gamble, Unilever, L'Oreal, Meijie Shibang, Johnson, and so on, jointly occupy 80% of the various cleaning products markets in China.
State-owned brands can only struggle in a small range of areas, not even counterattacks.
This is the situation in the previous life. Although there are continuous efforts by companies such as Libai, Lanju, Huhai Jahwa to expand, it can't shake the overall situation at all.
But this life is different.
Even the first Procter & Gamble company that came to China to eat crabs had to cooperate with Hutchison Whampoa in 1988, and to really enter the Chinese market, it would be around 1990!
Huaguo's current detergent market is in the hands of its own state-owned brands and enterprises!
Whether it is Huhai Jahwa, Jinwei Yumeijing, or vitality 28; whether it is washing powder, soap, shampoo, skin cream, etc., Huaguo has its own brand, and the quality is quite good.
The cosmetics, washing products, etc. of our time are really not bad.
For example, Yumeijing skin care products won the French Gold Medal in 1992 and were recommended by France to the domestic people-this is France! One of the ancestors of the cosmetics industry! !
But their biggest shortcoming is that the market segment's vitality is too low.
For example, the ultra-concentrated washing powder of Vigor 28 has accounted for 25% of sales in Xiangjiang, not to mention domestically, directly occupying 70% of the share.
In the early 1990s, it increased to 80% market share.
In this case, once a foreign company cuts off your brand of vitality 28, there is a huge vacuum for them to plunder and occupy.
In the history of our washing powder market, that's how it was lost.
If there are four or five viable two or eight companies in the market at the same time, and everyone occupies a certain market share, then even if one of them is finished, the remaining market will be quickly occupied by other companies of similar strength, and will not It was all swallowed by foreign companies.
Huhai Jahwa's "Lumei" and "US-Canada" are also the same as the example of Vigor 28. After being forced to joint venture with foreign capital, they were directly entered into the cold palace and lost their occupied market share.
However, that sentence remains.
You stand in the era of the 1980s. The low vitality of this market segment is often a brand that dominates the country, which is not unreasonable.
Because in this era, almost all companies and factories are state-owned and collectively owned units!
Everyone is a family, what kind of competition and market competition are useful? Does it make sense?
There is no need at all!
Anyway, making money is also national, monopoly is also national, good is also national, and bad is also national. Do I have to do more and less, how much does it matter?
The competition is not enough, and the aggressive attitude is not enough, so it caused the strange situation in the 1980s.
It was really after 2000 that when the major private companies rose and continued to rely on their strength and ambition to seize the market, that was the beginning of our recovery of some lost ground.
Yin Jun remembered the wave of invasion that Procter & Gamble set off, and naturally wondered if he could do something.
After all, there are still three or four years of preparation time. If you have a proper strategy and can plan actively, you will definitely get better results than in the previous life.
It is also a good thing to take these brands in the hands and guide them to develop.
At least in the hands of Yin Jun, these folk brands are absolutely impossible to disappear in the long river of history ~ www.wuxiaspot.com ~ is only lamented by the later people.
Moreover, ten years later, when actively introducing foreign capital and forcing local factories to set up joint ventures with foreign capital, these factories are already Hong Kong-funded enterprises. It is absolutely impossible to force them to joint ventures with companies such as Procter & Gamble and SC Johnson. Spoil these brands.
With Yin Jun's foreshadowing for several years, I believe that neither Beijing nor the local government will create any obstacles for Yin Jun to enter this industry.
But such acquisitions and integrations can definitely not be solved by speaking.
Involving the acquisition and integration of several or even dozens of factories is a very large project. The eating and drinking of tens of thousands of workers and the improvement of various production scales and plans require a lot of manpower and material resources.
The so-called interlacing is like a mountain.
Kirin Group is not like Procter & Gamble and Unilever, they have been doing this kind of work all their lives, as long as the conditions are negotiated, they directly pull production lines and machines from abroad into China, they can immediately put into production and start to occupy the market .
Therefore, even if Yin Jun had this idea and interest, he could not negotiate rashly.
This requires very detailed planning and investigation, as well as a series of trials and discussions before it can finally be shaped.
Relative to these, capital is a very small thing. The hundreds of billions of Hong Kong dollars in cash flow of the world ’s richest man is not bragging, but real gold!
Thinking of this, Yin Jun wrote down some of his ideas, including what company he wanted to acquire and how to integrate it, all written in the book.
After two days, he was ready to discuss with Le Yiling.
Regardless of the success of this acquisition and integration, it is always wrong to understand and investigate first.
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