More than a year later, Zong Fuli has again resigned from her positions as chairman and other roles at Wahaha Group. On the evening of October 10, multiple media outlets reported that Zong Fuli had submitted her resignation as legal representative, director, and chairman of Wahaha Group Co., Ltd. on September 12, a decision confirmed through the group's shareholders' meeting and board procedures, with Wahaha also confirming the news to the media. Zong Qinghou may have believed that as long as his daughter was in charge, the family business would continue. But he overlooked that a succession without institutional safeguards is destined to be precarious. And Zong Fuli's own choices have accelerated this process. The Trigger for Her Departure: The Trademark Dispute Regarding the root cause of Zong Fuli's resignation, informed sources point to the legal predicament over the use of the "Wahaha" trademark. Earlier this year, Zong Fuli's side pushed a plan to transfer 387 "Wahaha" series trademarks from Wahaha Group to Hangzhou Wahaha Food Co., Ltd., a company she personally controls. However, according to related reports, this move was suspended due to opposition from state-owned shareholders. Under the current shareholding structure, the use of the Wahaha trademark requires unanimous consent from all shareholders. Wahaha Group's shareholders include Zong Fuli personally, other family members, and the state-owned entity of Shangcheng District, Hangzhou. This means that even if Zong Fuli holds majority operational control, she cannot unilaterally decide on the use of the trademark. Facing the legal uncertainty over trademark ownership and the complex shareholder dynamics within the group, Zong Fuli chose to carve out a new path. On September 13 this year, one day after Zong Fuli formally submitted her resignation, a document titled "Notice on Carrying Out the 2026 Sales Season Distributor Communication Work" circulated widely online. The notice explicitly stated that due to historical legacy issues that cannot be resolved in the short term, the company's operations face legal risks. Therefore, she decided to stop entangling in the dispute over the use of the "Wahaha" brand and instead launch a new brand, "Waxiao Zong" (娃小宗). Almost at the same time, Wahaha's Shanghai factory (Shanghai Wahaha Drinking Water Co., Ltd.) launched a new brand "Hu Xiao Wa" (沪小娃) for barreled water, triggered by a production halt due to brand licensing disputes. According to Article 184 of the Company Law, directors, supervisors, and senior managers must not, without reporting to the board of directors or shareholders' meeting and obtaining approval through a resolution as per the company's articles, engage in or operate for others a business of the same type as the company they serve. If Zong Fuli had not resigned from her positions at Wahaha Group at this point, she would also have constituted a problem of competing business. Reform Stalled: The Operational Gap Between Father and Daughter Zong Fuli's connection with Wahaha runs deep, but her problem has never been "capability" but rather "whether she is allowed to make changes." In 2004, Zong Fuli returned to China after graduating from Pepperdine University with a degree in International Business and joined Wahaha, starting from the grassroots; in 2007, she began independently leading Hongsheng Beverage Group, building it into one of China's top 500 private enterprises; in April 2018, Zong Fuli became the head of Wahaha Group's Brand and Public Relations Department, starting to push for brand rejuvenation. During this period, she attempted cross-border innovations like Nutrition Express cosmetics and AD calcium milk ice cream, and collaborated with platforms like Bilibili and the League of Legends Pro League, trying to reach younger audiences with the old brand. Image source: Company official website But reform was destined to be difficult from the start. Wahaha under Zong Qinghou was a typical channel-driven company—from factories to distributors to terminals, with tight control at every level; it won through high turnover, low costs, and a strong sales force. This approach was invincible in the 1990s and made Wahaha the "distribution king" of China's beverage industry. However, when Zong Fuli tried to introduce more open market thinking, youth-oriented strategies, and online direct sales channels, the inertia within the internal system immediately surfaced. For veteran employees who had worked at Wahaha for 20 or 30 years, Zong Fuli's new moves were "too fast" and "too risky"; for partners accustomed to the traditional distribution system, new brands and new approaches meant uncertainty and a restructuring of interests. A former executive recalled in an interview: "She is very smart and strong-willed, but she has limited say internally. Many decisions ultimately had to wait for 'Old Zong' to make the final call." The changes Zong Fuli hoped to push required breaking the very system her father had left behind. The management differences between father and daughter became more complex after Zong Qinghou's death. As one comment put it: Zong Qinghou left behind a company that won the world with a sales force, while Zong Fuli wants to build a company driven by brand power and innovation. The two seem aligned in direction, but in reality, they are separated by a cognitive gap of an entire era. This resignation is more like a strategic retreat to advance. Tianyancha shows that although Zong Fuli resigned as legal representative and chairman, she still holds 29.4% of shares in Wahaha Group, firmly remaining the second-largest shareholder. She can still participate in major decisions through the shareholders' meeting, receive dividends, and have a say in Wahaha's strategic direction. This means she is not "forced to leave" but is paving the way for her next move. In fact, independent entrepreneurship has always been Zong Fuli's ideal. As early as 2016, Zong Fuli founded KellyOne, a personalized customized beverage brand named after her English name, Kelly. Unfortunately, this brand failed to open the market and has now faded from public view. After a period of reflection, Zong Fuli has carried this idea into "Waxiao Zong" and quietly laid out plans. Tianyancha intellectual property information shows that since 2025, Hongsheng Beverage Group Co., Ltd. has applied to register multiple trademarks such as "Waxiao Zong," "Zong Xiaoha," and "Wa Xiaoha." The social media account for "Waxiao Zong" was also certified on September 30, with the certifying enterprise being Hongsheng Beverage Group Co., Ltd. This brand belongs to Hongsheng, free from the constraints of Wahaha Group's shareholders' meeting, effectively creating an "independent battlefield" for the affiliated enterprise controlled by Zong Fuli. Her ultimate choice to "leave" may be because she saw clearly that this battle of ideas has no short-term winner, only attrition. For Zong Fuli, the real challenges she will face after independence may just be beginning; for Wahaha, whether the company can truly achieve modern governance transformation in the future has become the biggest market concern.