China Brand Development International Forum
On May 10th, the China Brand Development International Forum was held at the Shanghai Exhibition Center. The forum invited nearly a thousand Chinese and foreign guests to conduct dialogues and exchanges on issues such as speeding up China's brand development in the new era.
According to Zhang Ruimin, chairman of the board of directors of Haier Group, and CEO Zhang Ruimin, the purpose of the company is to create a brand for export, or to earn foreign exchange through exports. The average company often stays in export earnings. Why? Because there is a rule in the world, if If you want to create a brand outside a country, you have to lose at least eight years, that is, pay for eight years.
In this process, Haier has established brands in many countries. Some countries have lost more than 8 years. Enterprises may have lost a lot of money, tens of billions, and 20 billion, but this is very necessary because you create a brand. You must establish a network and gain local users' trust in you. This is not what money can buy. It must rely on time and slowly let users know you. Therefore, we now have the highest share of the Chinese brands in the international market. There are many others who still do branding, OEM, because they can guarantee profits, cash flow, but more short-term views, is contrary to the creation of the brand. 'Zhang Ruimin said.
If a brand enters a deep water area, the biggest problem encountered is what model can be used to integrate different countries’ cultures. Because the failure rate of international mergers and acquisitions is very, very high, but the first reason for this failure rate is that various cultures do not It is difficult to bring together different cultures.
Zhang Ruimin was quite proud when he talked about Haier's model, saying that Haier has now created a model, a 'salad' model, and Harvard Business School agrees. Like a salad of Western food, salad can have a variety of different vegetables. These Vegetables represent different cultures of different countries. You can keep them, but salad dressings are unified. Salad dressing is our model. It is the one-on-one model. The so-called one-on-one model is the integration of employees and users. , 'We have solved these problems well after we use this model.'
Zhang Ruimin
According to Zhang Minrui, for example, Haier’s merger with Sanyo in Japan, Sanyo’s culture is team spirit. This is proud of it. “After we merged, we did not change its culture. We just asked him, and with this culture, why did it lose money? 8 years? Because we used the one-on-one model, the team spirit can be retained. Before you only listened to superiors, and now retain the team spirit, but to change to listen to users, after using this model, 8 months after the loss . '
'We merged with GE's home appliances, which is an old company with more than 120 years of history. Their culture is 'shareholder first' and we use the single-in-one model, not 'shareholder first', but 'user first' '. At the shareholders' first level, we have a very well-structured linear structure management. With ours, you have to become non-linear, that is to say, completely to the users. We sold 10 years before GE’s home appliances. Growth, instead of decline, profit is basically rampant. We spent a year and we have all experienced substantial growth, especially profit, with double-digit growth. This was unimaginable in the past.' Zhang Minrui said.
Zhang Minrui finally stated that enterprises must truly create a world famous brand in China. First, they must strengthen their confidence. Second, they must have (create) a new model that surpasses existing management models.