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Source: ADBlackList (ID: ADBlackList) Discussions about P&G's delisting have been intense over the past two days. Many people are sharing posts on social media, expressing regret for the FMCG giant, often adding philosophical comments like, "When the times abandon you, they don't even say goodbye." Upon seeing such major news, Bao Heizi was startled. As usual, we immediately searched for relevant information across the web, only to find that the truth is far from what those public accounts are claiming. It's true that P&G is delisting, but from which exchange? P&G announced its delisting from Euronext Paris, but will continue to be listed on the NYSE. This is crucial: P&G is delisting from Euronext Paris, not the NYSE. Why delist from Euronext Paris? P&G stated: Due to cost and management requirements, and low trading volume, it will delist and continue to be listed on the NYSE. The Euronext Paris board has already approved this decision. At the end of March 2007, Euronext merged with the New York Stock Exchange to form NYSE Euronext. Since the two exchanges have essentially merged, P&G's delisting from Euronext Paris has limited impact on shareholders, who can choose to continue holding P&G shares on the NYSE. Interestingly, almost no self-media fully reported the above information. They selectively highlighted the delisting news in headlines. Taking things out of context can be deadly Taking things out of context can be deadly Taking things out of context can be deadly Let's look at P&G's stock performance. This is a quarterly K-line chart, simple to understand, trending upward. Everyone knows P&G has been declining for years, but the efforts P&G is making are being deliberately ignored by many. What has happened to P&G over the past decade? From fiscal 2013 to fiscal 2018, P&G's global net sales were $73.9 billion, $74.4 billion, $70.7 billion, $65.3 billion, $65.1 billion, and $66.832 billion respectively, with data continuously declining at low levels. But after 2013, P&G began divesting many sub-brands and reconfiguring its marketing approach to reduce traditional advertising spending, all to improve profit margins. High sales don't necessarily mean high profit margins, so it's necessary to eliminate brands that aren't very profitable but consume huge resources, which is reflected in lower revenue on financial reports. To assess a company's health, you need to look at sales, profit margins, and growth. Focusing only on total revenue can lead to judgments that may contradict the facts. You can say P&G has hit a growth bottleneck, but don't make people think P&G is finished and about to leave the stage. In Bao Heizi's view, P&G has hit bottom over the past few years and is now seeking a rebound, which has already begun. Moreover, the turnaround of a carrier-level enterprise, or even an industry, is not impulsive but gradual. Given P&G's size, having once reached a peak of $80 billion, its turnaround, adjustment, and reflex arc will inevitably be slower than those of small and medium-sized enterprises. But you can't conclude from that it's saying goodbye to the historical stage; it's just no longer standing in the brightest spot. Before Lou Gerstner took over IBM, it recorded losses of several billion dollars, and after he took over, he laid off nearly 100,000 people. If all this happened now, public accounts would be wailing in unison. Another example: Nokia, the one that exited the mobile phone market—is it finished? In the mobile phone market, yes, but in the telecommunications equipment market, it's still doing well and is a strong rival to Huawei in 5G. Kaifeng Prefecture's suggestion is that we should examine all information like solving a case, scrutinizing every piece as comprehensively as possible, and only after fully and completely understanding the information should we make judgments. The media also has a responsibility to restore the facts as much as possible. Relevant industry insiders expressed their views:

  1. A company with a market cap of $250 billion delists from an exchange that 99.99% of Chinese people have never heard of, yet the article fails to mention that P&G's main stock trading platform is the NYSE, where its stock price has hit a 15-year high, rising from $20 to $100, a fivefold increase. This shows how biased the argument is.
  2. Although P&G is large and slow, it has never stopped growing and transforming. Whether it's the global organizational restructuring or the channel implementation strategy in China, the adjustment of a large aircraft carrier takes time, but its momentum is not diminishing, and its prospects are not bleak.
  3. In China, SK-II and Olay have recently achieved record sales, with some SKUs even sold out. The rejuvenation of these brands is also beginning to yield results.
  4. Unlike the previous overwhelming advertising bombardment, P&G is actively embracing new media, new channels, and new users. When spending is subtle and silent, efficiency improves and vitality increases.
  5. Any company or brand must experience ups and downs. P&G has weathered 182 years of storms and crossed multiple economic cycles. Now, the most important thing is to return to the original intention: touch life, improving lives. -END-