Mengniu: Niu Gensheng Why Take The Risk?

February 2009, Mengniu To another crisis celebrated its tenth anniversary. Such a tradition in the food industry, a full field of competition, ten years from inception to completion of the course the country is regarded as the first value is a miracle.

If the time ever stay in August 2008, Niu Gensheng And his team at least in the business field with their genius and courage go down in history. Started the legendary experience, the pace of development can not be copied, marketing sword go the wrong front, was shrouded moral glorious image of Niu Gensheng and his altar Mengniu Lift accepted by their own worship. Unfortunately, history can not be assumed, in September 2009, Mengniu inevitably be involved in Melamine Event, and the next incident Deluxe OMP is to push the cusp Mengniu.

Idol came crashing down. Sanlu Incident, Niu Gensheng thrown a million words written: “The stock plummeted, led us to Morgan Stanley Mortgage Mengniu shares shrunk considerably in value, which attracted predators ready to make some capital outside, side of woven lies, side mouth to be filled … … timely deposit, related to the survival of enterprises the right to speak. as a national Dairy products Mengniu enterprises, to the most dangerous time! “” Mengniu (ox Holdings), and finally even give away the brothers, it should not want to be bought by foreigners. “In the entrepreneurial circles” Quotations, “most fans the most extensive, most famous, eloquent best Niu Gensheng hope this one is full of patriotic feelings with another long letter full access to rivers and lakes gas people’s sympathy. But this time They found that past handy, palm shares used in communication between the patients no longer Emmanuel.

Niu Gensheng performances almost on under the control of, the audience is no longer a thunderous applause, but the shrill of whistles and the full house of laughter. All the people laugh, because Niu Gensheng performance not only funny but seems not very nice, then sent to the capital market to Mengniu Cooperation Who, at this time how suddenly became sinister big bad wolf?

In OMP milk just listed, see the product flyer, my heart began to have great appreciation for their own companies worried about this. It was a serious learning process as long as the junior high school biology curriculum can see flaws in the propaganda trick, tricks used by close to a variety of aphrodisiac Health Products . Typically, a decent company with identity will not be taking such a risk, but Mengniu has done so, why? Business ethics do not say that any business for the first even those who understand this business inside the market risk and legal risk. What makes it Mengniu take the risk?

Answers have to begin at the beginning. In 2002, the Morgan Stanley, CDH, Actis three foreign companies registered in Cayman, “China Dairy Holdings “(referred to as the Cayman Company), holders of” Mengniu “66.7% stake. In October 2003 to 35.23 million U.S. dollars three foreign to buy 367 million shares of Mengniu,” Conversion claims may “, agreed in June 2006 convertible shares (0.74 Hong Kong dollars / share Conversion Price) to support the listed Mengniu. in June 2004, “Mengniu Dairy,” listed in Hong Kong to 3.925 Hong Kong dollar 350 million public offering of shares, IPO financing of 1.4 billion Hong Kong dollars. Mengniu listed, Department of foreign capital and management signed a new “gamble” protocol: 2004 to 2006, Mengniu profits have increased 50%, if not reach, the company management will lose about 60 million Morgan Stanley shares ~ 7000 shares of listed companies; if performance growth targets, which would produce the appropriate management of share awards to Mengniu. Mengniu really after, “ran out of rocket speed! “

Industry analysis: “Now DELUXE year, 15 billion yuan in sales revenue, gross margin of more than 100% of Mengniu’s profit contribution up to 40% to 50%.” In the last resort, Mengniu to give up their bottom line. Completed the marketing from the “Fudge” to “deceive” the change, sometimes, in marketing the difference between the two is ambiguous, but in every consumer mind, but between the two has clear boundaries Consumers can tolerate product publicity “Fudge”, but would not tolerate cheating, especially in a reputable company has been cheating?? you not only insult my intelligence, but also an insult to my personality.

“Small victory with wisdom, victory depends on virtue,” This is Niu Gensheng the most famous words, these words from “University”, after being quoted Niu Gensheng, a well-known maxim. And there’s subtext is: Mengniu started by Chile, to achieve the scale of today by the German. In suffered a setback after the busybody brings to this sentence was “a small victory with mental retardation, victory by unethical”, these words to change the unreasonable, in fact, both Mengniu small victory or victory, “Wisdom” is has been exist, but not a “virtue” is now in doubt, many consumers with their actions on Niu Gensheng said, “I do not believe it.”

I do have a “corporate culture of learning materials Mengniu compilation,” Mengniu factory tour a few years ago received gifts, has been preserved. Booklet has more than 100 pages, divided into ethics articles ethics articles, management articles, study papers, articles and so hard that the motto which included the Changzhangduanduan epigrams and stories mostly from Niu Gensheng Yu made at different times, different occasions to the statement. Sentence concise, easy to understand, Niu Gensheng can really claim to be a generation of master transmission. Purpose, mission, location, objectives, strategy, spirit, ideas, principles, pursuit of —— all under the heading of each section of the whole out of the 46 catchy, to my cultural level, it is like to not out of these Chinese words intended to convey the meaning of how different they can be compiled Mengniu so many of doggerel.

Mengniu many people visited the factory in Hohhot, these slogans were neatly posted on, hang on the wall must to every visitor, and many visitors took the little book copy the way, those who are invited to visit the young journalists have reason to believe that these “heavenly principle and human desires,” the motto of epigrams under the influence, Mengniu of every employee and their boss, Niu Gensheng sublimation full of virtue and morality as the saints. “Financial scattered people together, were scattered wealth accumulation,” “general incompetence, exhausted the three services,” “product is equal to character, quality is life”, “Business is business people, these words of many well! It is these wonderful summary will be Niu Gensheng send a “business Godfather” and “moral model” of the altar. Mengniu is one where in pursuit of profit-oriented enterprises, Niu Gensheng, or where an entrepreneur, it is clearly a Purdue temple where living beings living Buddha.

Niu Gensheng meeting will be saying is:

BOLA TANGKAS