Chapter 2162 Preparation and Attack (Second More)

Procter & Gamble is naturally the first cleaning and daily chemical giant to officially enter the mainland China market.

Procter & Gamble in the Mainland, don’t look at the advertisements on TV, they always use “Guangzhou Procter & Gamble” as the ending, but in fact the name of its head office is Procter & Gamble Hutchison.

Hutchison is Hutchison Whampoa Company.

Procter & Gamble does not have any contacts in the Mainland, so there is no idea how to enter and how to develop after entering.

After several application and trial setbacks, Procter & Gamble finally turned to Li Chaoren for help and established a joint venture company with Hutchison Whampoa. Using Li Chaoren's influence in Huajing, coupled with the close connection between Xiangjiang and Guangdong Province, finally became the Take the first step.

Facts have proved that Procter & Gamble's strategy is completely correct.

Entering the almost blank market in mainland China, they made rapid progress all the way, and directly became the number one in China in just 3 years, and they have not fallen since then.

The price they paid for this was that Hutchison Whampoa bought a 33% stake in the joint venture company at a price of 30 million Hong Kong dollars.

Then, in 1997, Hutchison Whampoa sold 11% of this share to Procter & Gamble for $650 million.

In 2004, at a price of 15 billion Hong Kong dollars, I sold 20% of the shares to Procter & Gamble, and I only kept a symbolic 2% of the shares.

But these 2% shares are still worth 1.5 billion Hong Kong dollars, which is 50 times their initial investment of 30 million!

It doesn't count the various dividends in the past twenty years, but the investment-to-return ratio of 700 times the shares. It is absolutely amazing to do business for Li Chaoren's sake.

This is also the most typical example of exchanging influence for benefits.

From this, you can also see how much money Procter & Gamble has made in China, and how high their position in the Chinese market is.

They are willing to repurchase tens of billions of shares, but they are sure to make more money, will they do it?

Come back.

Yin Jun has actually seen it. Last year, the president of Procter & Gamble led a team to Huajing, but there was no result.

According to history, they would go to Li Chaoren to discuss in 1987.

Then a year later, Procter & Gamble Hutchison would be established.

Then Procter & Gamble will start its own legendary journey.

So Yin Jun's time is quite tight.

He only has one year to prepare, and then one year to get a head start in the market.

Even if Procter & Gamble's strategy is implemented slowly, no matter how slow they are to build factories and produce products, the time given to him will not exceed 4 years at most.

During these four years, Kirin Group must gain a firm foothold in order to cope with the overwhelming attacks from Procter & Gamble.

After all, in terms of product background, all the daily chemical washing industries in Huaguo can't beat Procter & Gamble together.

What can be relied on can only be one step ahead, the constant bombardment of advertisements, and the constant research and development upgrades.

Kirin Group does not have its own daily chemical washing factory, nor does it even have a research and development institution.

So what does Yin Jun rely on to take the lead?

Of course it was acquired.

For the acquisition of these domestic daily chemical washing brands, Yin Jun has no psychological burden at all.

Because even if he doesn't buy it, other companies will buy it.

For example, the largest Shanghai Jahwa, most of its brands were acquired by Johnson of the United States, but they later redeemed some of them.

As for other small brands, countless have been eaten.

Many local brands didn't even have the chance to go out of the local area, so they disappeared.

As for those rouge gouaches with ethnic brands, they were purely made by small workshops, without any technical content at all.

Otherwise, do you think that the more than 60,000 R&D personnel of P&G are all working hard?

If people don't work hard and improve every day, can they achieve today's results?

Just because you rely on the ancient secret formula, and then kill all invincible?

Is there such a cheap thing? !

Therefore, after Yin Jun has chosen to acquire these daily household cleaning and household chemical industries, it is only the beginning, and the more important thing is to invest in upgrading in all aspects.

Especially in terms of various effect technologies, it must be increased at any time.

Before the Spring Festival this year, Yin Jun was already looking for someone to negotiate.

So far, he has a total of five daily chemical cleaning and household companies to acquire.

Among them are several big brand companies such as Shanghai Jahwa, Jinwei Yumeijing, and Vitality 28.

It's just that these brands are considered big in China, but when it comes to Yin Jun, the overall scale is not too big.

The most valuable Shanghai Jahwa, when it entered into a joint venture with Johnson Johnson in 1991, their overall value was only estimated at 500 million yuan.

Now according to various surveys and estimates by consulting companies, their combined valuation is only 1.2 billion yuan, and at most it will not exceed 1.5 billion yuan.

As far as the current situation is concerned, companies and factories are still very active in the matter of joint ventures.

After all, the national market is so big, and it seems that there is no way to occupy such a big market because of lack of funds.

Now that Yin Jun has provided funds to help them increase production so that they can sell more things, isn't that a great thing?

The attitude of the city and the province is also very encouraging.

Signs such as attracting investment and joint ventures have long been one of the core contents of their work.

Kirin Group is already one of the top 50 groups in the world, and it is also an industry owned by the world's richest man. The boss is still from Xiangjiang.

Combining all these aspects, it is definitely better for Kirin Group to acquire than for foreigners to acquire.

And the reputation is not worse than Sino-US joint ventures and Sino-Japanese joint ventures.

You see, it is reasonable to say that the reason for the factory's urgency, the local government is also very urgent, and the Qilin Group is willing to spend money. Isn't this a match made in heaven, the Ximen officials met... Uh, anyway, it's your love, I can't get it Now, shouldn't the business be negotiated in threes, fives, and twos?

Of course not.

The reason is simple, the factory needs a lot of capital, and they are willing to let Kirin Group enter into a joint venture to control the equity.

But they don't want Kirin Group to participate in production and operation, they just let Kirin Group invest money in and wait for profit dividends.

Everything else is managed by themselves.

What are you kidding? !

The negotiating team of the Kirin Group was stunned.

What kind of weird idea are you guys having?

Oh, we contributed money, we are the largest shareholder, but we can't control anything?

Also, you said that you earned money for us, but to put it bluntly, we cannot receive any information, so do we know how much you have earned?

Besides, who can guarantee that the business will make money? You lost money in the end, and we are not the ones who suffer the loss?

The negotiating team thought that these factories were teasing them, so they left in anger.

When Le Yiling talked to Yin Jun, she thought the same way.

Yin Jun smiled wryly.

It's really not that these factories are teasing people, but that they really think so.

The reason is that they think, how do you outsiders know about production and management, and how do you understand things in our factory?

Instead of letting you direct blindly and affect work efficiency and production quality, it is better for us to do it ourselves.

All right.

Yin Jun can't control this matter.

Although he knew that the thoughts of these factories were very simple, it didn't mean that he would spoil them.

The problems of these factories are the inherent problems of those state-owned factories. They simply cannot survive in the competition of modern business, let alone develop and grow.

Strict system reconstruction, reforms in various aspects, modern management measures, and the efforts of the laboratory R&D department are required to rejuvenate these aging factories.

The reason they feel good about themselves now is simply because P&G hasn't come in yet.

It is said that there are no tigers in the mountains, and monkeys are called kings.

As soon as these modern companies arrive, a set of combined punches can beat them to the ground, and they have been struggling ever since.

If it weren't for the awakening of Chinese people's awareness of domestic production in the future, and then pay more attention to cheap things, these factories would have no chance of making a comeback.

Even so, their combined market share does not exceed 20%. How sad is this?

Therefore, it is necessary to break their unrealistic illusions from the very beginning, and they cannot be allowed to continue to be in charge of various powers, especially the group of rigid management, not to mention Le Yiling, even Yin Jundu does not want any of them.

The Kirin Group's strong protest and decision to shelve the negotiations made the local government panic.

They definitely hope that the Kirin Group will settle on their side the most.

You only need to think about the Kirin electronics factory in Lin’an, the record factory in Lin’an, and the instant noodle factories in Huajing and Guangdong, and you will know how big the economy will be driven by the Kirin Group, how many people will be employed, and Employment and development of the entire industrial chain!

With such a good company, they dreamed of settling here, and after taking over the factory, they developed all the way to the pinnacle of life.

In the end, you were pissed off by the people in the factory?

Do you still have the concept of xx?

Are you still listening to the command?

The city, and even the province, immediately held a meeting. After setting the tone, they directly pulled the factory directors and management personnel to criticize and educate them.

The factory directors are not worried about the Kirin Group, but they are under the direct jurisdiction of the government.

After a few more visits, they couldn't take it anymore, and they were forced to start the second round of negotiations.

But when the actual negotiation started, all kinds of moths were flying all over the sky, and their various weird requirements and conditions made the five teams of the negotiating team very headache.

It has been 3 months now, but there is no breakthrough at all.

This made Le Yiling annoyed, but there was no good way to do it.

It has to be discussed at the beginning, so that there will be no more troubles when the work starts later.

Don't just make do with everyone to form a joint venture at the beginning, but in the end fight with each other and bring down the whole factory, that's what makes people want to cry without tears!