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Articles by 华商韬略
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Hunan People Are About to 'Monopolize' China's Snack Industry
In just a few years, snack stores have sprung up across China. Brands like Snacks Busy, Zhao Yiming, and Good Want are expanding against the odds despite pressure on brick-and-mortar retail. Behind this boom, Hunan people are busy: five of the top ten bulk snack brands in China were founded by Hunan natives, and Hunan contributes one-third of the nation's leisure food output and three-fifths of its cooked leisure food.
华商韬略Japan's Lost 30 Years: How Did He Keep Raking in Profits for 30 Consecutive Years?
Yasuda Takao, who named his company Don Quijote, has led a fantastical life akin to Don Quixote. He built Japan's most profitable retail enterprise, achieving a record 35 consecutive years of revenue and profit growth, yet is often called the 'retail monster.' His success story, business philosophy, and innovative strategies are explored in this article.
华商韬略He Copied Red Bull, and Surpassed Red Bull!
On April 22, Dongpeng Beverages (Group) Co., Ltd. (hereinafter "Dongpeng") reported Q1 2024 revenue of 3.482 billion yuan, up 39.8% year-on-year, marking a strong start to 2024. Earlier, on April 15, Dongpeng released its 2023 annual report: full-year revenue of 11.263 billion yuan, net profit attributable to parent of 2.04 billion yuan, with its flagship product Dongpeng Tequila surpassing 10 billion yuan in single-product revenue at 10.336 billion yuan. Along with the strong financials, Dongpeng's market value climbed to nearly 80 billion yuan, and founder Lin Muqin and his family's wealth approached 40 billion yuan, making him another beverage industry tycoon. Forty years ago, Lin was just an ordinary technician worried about his future.
华商韬略2023: A Major Shift in Chinese Consumption
Almost at the same time as Pinduoduo's market value first surpassed Alibaba's, Liangpin Shop, which had aspired to be a high-end snack brand, launched its first large-scale price cut in 17 years. Amidst the smoke of battle, a new era of consumption seems to have arrived. "We're really fired up, no one can stop me." During this year's 'Double 11', in JD.com's procurement live-streaming room, many JD procurement employees wore custom-made red vests, shouting desperately to sell. One sold the same learning machine at a price 1,500 yuan cheaper than Li Jiaqi's live-streaming room; another, shouting with excitement, directly gave away 100 TVs.
华商韬略Devoured by Foreign Capital: Who Remembers Its Glory and Desolation?
In 1980, Li Peiquan, director of Chongqing Beverage Factory, decided to develop a Chinese cola using traditional Chinese medicine, leading to the creation of Tianfu Cola. After initial success and expansion, the brand was eventually taken over by PepsiCo in a joint venture, losing its market share and brand, only to be revived later but never regaining its former glory.
华商韬略Japanese Beverages Quietly Penetrate China for 40 Years
Recently, the nationwide rush for electrolyte water made Genki Forest a fortune, but the biggest winner was a Japanese pharmaceutical company that had waited decades for this moment. Over 40 years, Japanese beverage giants like Otsuka, Suntory, Ito En, and Yakult have quietly entered China, enduring years of cold reception before finally reaping rewards through persistence and long-term strategy.
华商韬略Three Decades of Chinese Supermarkets: Local Retail's Encounter and Breakout Battles
People quickly take for granted what they have obtained. Few realize that it has only been thirty years since Chinese people could easily buy daily necessities. This article reviews the rise, crisis, alliance, and return of Chinese supermarkets, highlighting the shift from state-owned department stores to instant retail, and concludes that local supply and convenience are key to future vitality.
华商韬略The "Fragmentation" Phenomenon of Carbonated Drinks
Whenever Buffett raises a can of 80-cent Coke, he moves a step further from his $118 billion fortune. Coke won't depreciate Buffett's assets, but it might cause the 91-year-old to suffer from osteoporosis, indigestion, tooth decay, kidney stones, and more frequent urination. Even if he were 80 years younger, it would be the same.
华商韬略How Are Convenience Stores at Gas Stations Doing?
For every Sinopec gas station, there is an Easy Joy convenience store. The era of 'making money by just lying down at a gas station' is long gone. Under the carbon neutrality context, the sales prospects of oil products are declining, and non-oil sales were once seen as the best solution to offset the profit decline from refined oil. In 2014, Sinopec Chairman Fu Chengyu expressed strong optimism about non-oil sales, calling it 'a gold mine with huge potential.' After 15 years of transformation, Sinopec has become China's largest convenience store chain. How did it achieve this?
华商韬略Lost for Thirty Years, Domestic Soda Finally Awakens
Raw material shortages, preform supply cuts, and contract manufacturers forced to choose sides have intensified the sugar-free carbonated beverage war, with international giants using their trump card against emerging domestic brand Genki Forest. For years, domestic brands have staged comebacks in fields dominated by international giants, but in beverages, especially carbonated drinks—a three-hundred-year-old segment with little technical barrier—they have been suppressed by the giants. Since the reform and opening up, Coca-Cola leveraged its first-mover advantage in developed markets to enter China, and together with Pepsi, has dominated the market for over two decades.
华商韬略Big Fish Eat Big Fish: Five Giants May Trigger the Biggest War in Chinese Beer History
The Chinese beer market is on the verge of a major war among its top five players. With the industry consolidating, the question is which company will be the first to exit, and which one or two will emerge as the final oligarchs.
华商韬略Meal Replacement: A Trillion-Yuan Market's Real Demand and Fake Trend
The meal replacement industry, valued at hundreds of billions, is experiencing rapid growth, attracting capital and new brands. However, despite the real demand for weight management and convenience, the market faces challenges such as product quality concerns and the need for market education, making it a potential 'fake trend'.
华商韬略Retired Teacher Starts Bread Business at 60, Earns Family Over 20 Billion Yuan
How to achieve a large market value in a small track? In just over a decade, Taoli, a small bakery founded by a retired teacher, has won the title of 'China's first bread stock'. Why could Wu Zhigang, who had an unremarkable early life, create a company with a market value of up to 40 billion yuan after retirement?
华商韬略Zong Qinghou's Strategic Shift
In 2016, the clash between the real and virtual economies peaked, with Zong Qinghou, the founder of Wahaha, publicly criticizing Jack Ma's 'Five New' concept. However, by 2017, the two had reconciled, and Wahaha began cooperating with Alibaba. This article explores the challenges Wahaha faced, Zong's transformation, and the role of his daughter, Zong Fuli, in driving change.
华商韬略