Niu Gensheng--Mengniu Entrepreneurship Story

Niu Gensheng, an inner Mongolian, founder of Mengniu Dairy group. The founder and honorary president of the Lao Niu Foundation, "The first person in global donation", left Yili in 1999. Mengniu was founded in 1999, after a short period of 8 years, so that Mengniu became the global liquid milk Champion, China Dairy Championship. 2002, one of China's top ten entrepreneurial man. June 11, 2011, Mengniu Dairy in HKEx issued a notice that its founder Niu Gensheng resigned as chairman of the board.

Niu Gensheng's career is similar to that of many traditional Chinese bosses, with ups and downs. Its ultra-conventional rapid development surprises and admiration, the fall of the fast is equally bemoaned. Some media people say that Bill Gates to do charity because make money to make a soft, don't want to earn again. Old cattle do charity, then more is toppling, powerless to the heaven. Mengniu from private enterprises to the grain camp will become a management textbook for long-term research topics.

Speaking of Niu Gensheng, many people know him, but know "Mengniu" more! Because a lot of family tables have been inseparable from the "Mengniu" milk. 1978 NIU Gensheng participated in the work. In Yili group from a bottle washer work, as the Workshop director, Director, etc., in Yili achieved the position of vice president of production and operation. Yili once wrote down his brilliance; here, he has won the first prize of Hohhot Science and Technology, Hohhot, the title of super-model workers, in search of Hohhot city, a top ten young entrepreneurs "and other honors. However, in 1999, Yili's shareholders in the "China Securities newspaper" saw such a notice: Yili Co., Ltd. The Board of Directors of the company decided to dismiss Niu Gensheng, the company's vice president of production and operation, who was no longer fit for the position.

Recalling the past, Niu Gensheng laughed: "Perhaps Yili thinks I am not suitable for vice president, now I am the president of another company, chairman, I am more suitable for president." "

Nougat was not so easy at that time. Leaving Yili, he had a very bad taste in his heart. This year he was 43 years old, went to the talent market, the age of 40 years old is not considered here. Nougat is a man of the name, burly, sonorous, not a light-spoken failure.

The rapid rise of mengniu dairy industry has become a significant brand in the history of China's dairy industry, Niu Gensheng with Mengniu Dairy fame. October 15, 2003, China's first astronaut Yang Liwei Heaven, Mengniu became the only milk sponsor. The same year November 18, CCTV 2004 golden Dan ad Tender meeting, the root of the vigorous smashed 310 million yuan, one swoop to seize the "standard King." In the comments Niu Gensheng under the leadership of the Mengniu group high-speed growth of a common vocabulary is: "Miracle." "This miracle" trajectory is: 3 years, Mengniu Dairy industry from the ranks of thousands to the top four, and successfully built a well-known trademark in China.

When Mengniu won the "news broadcast" after winning the bid of 310 million yuan, "Focus interview" and the 21-point TV series inserted in the advertising position, became the 2004 CCTV advertising queen, Mengniu undoubtedly become the benchmark of China's dairy industry development in 2004. June 10, 2004, Mengniu Group successfully listed in Hong Kong motherboard, a total of 350 million shares. At that time, the Hong Kong main board market downturn, Mengniu run to win the big city, activating the once depressed Hong Kong stock market, the international subscription enthusiastically, the subscription price falls in the price range of the highest end of the pricing, that is, 3.925 yuan per share, raising funds nearly 1.4 billion yuan. Most of the management of Mengniu group immediately became a compelling "millionaire" and "billionaire". Among them, the individual holding 6.1% of the Niu Gensheng overnight worth billions.

　　Axe: To retreat to create the best living environment for enterprises

In 1978, 20-year-old Niu Gensheng entered the cattle farm work, 5 years later Niu Gensheng entered Yili, from a bottle washer, then gradually promoted to workshop director, 1992 as Yili's vice president, 1998, Niu Gensheng was removed by the Erie Board of Directors. There was no reason for dismissal, and the Lord became the only solution.

Nougat was not so easy at that time. Leaving Yili, he had a very bad taste in his heart. This year he was 43 years old, went to the talent market, the age of 40 years old is not considered here. Nougat is a man of the name, burly, sonorous, not a light-spoken failure.

Niu Gensheng in the dairy industry known as "dairy geeks," said, has more than 10 years of dairy industry management experience. And he was deposed with several middle-level cadres of Yili, who were gathered together and determined to re-start the dairy business.

The most difficult problem for enterprises to solve is NIU Gensheng the earliest solution, but also the most easily solved problem.

Niu Gensheng said: "Maybe I like to give money to subordinates in Yili, fame outside." Originally, Niu Gensheng in Yili Group, when his highest annual salary reached 1.08 million yuan, he often come out and share with everyone. We all feel that the money to NIU Gensheng rest assured. Originally with Niu Gensheng, the current Mengniu group Ice cream Company general manager of Sun Yubin said: "Cattle always come out not to pull us a person, always educate us to work well in Yili." Why do we have to follow him under that condition? We have been in his training, learned a lot of things, but also think he has the ability to re-do a business. "

At that time, several people had some of Yili's original stock, and they sold the shares and pooled them for more than 1 million yuan. They spent 200 yuan to rent a single office, where the Mongolian Mengniu Dairy Group was established, Niu Gensheng concurrently chairman and president. Yet a mere 1 million is clearly not enough. Niu Gensheng past old subordinates heard this situation, have invested in Mengniu. Driven by these people, their relatives, friends, and all business relationships began to throw money at Niu Gensheng. The reason these people dare to give money to Niu Gensheng is because they believe in his ability. This newspaper reporter learned that many of the shareholders of the year felt that Niu Gensheng must be able to do a large enterprise.

But things don't always go smoothly.

At that time, Mengniu in the very humble office, some venture partners and their friends, family members, business partners to send a sum of cash. Suddenly someone reported to the state authorities, saying there is an illegal fund-raising dens. Results related departments A check, found that there are more than 7 million yuan, did not expect such a humble place incredibly hid so much money, prepared to be treated illegally, mengniu through various aspects of the work done a lot of clarification, but still in a long time to be monitored.

On the wrong foot, but that's just the beginning.

Three months later, Mengniu moved from the rented office building to the Hohhot Horinger County Economic Park. Park around a piece of loess, only a piece of land still idle, but there are a few old man tree, the total area of about 7 square kilometers, about thousands of cubic meters of wood. This old man tree use value although not big, but can not cut off, otherwise is destroy forest, problem is very serious. At that time, Mengniu for the building plant, the forest had to cut off, someone told the state Forestry Bureau, a moment of uproar. Talking about this matter, Niu Gensheng very grateful to Horinger County County magistrate, "then the county magistrate said to us:" You do, if you come to arrest, I go to prison, you put the enterprise to do well. You have done a good job in a year, I can come out in a year; you've done your business in two years, I'll be out in two years. "The county magistrate is hoping that we have done a good job, driving local economic development, planting more valuable trees." "Today's Mengniu Factory is full of four seasons fruit trees," spring see flowers, summer see leaves, autumn see fruit ", Niu Gensheng think this is worthy of the county Magistrate Trust.

Niu Gensheng recalled the past, with the "unbearable" four words, he said: "Business freshmen, every step is very difficult." "

In January 1999, Mengniu Dairy was formally registered, with a registered capital of 1 million, basically Niu Gensheng and his wife selling Yili shares of money. "At that time in Hohhot, a residential area rented a small cottage as an office, a total of only 53 square meters, the monthly rent of more than 200 yuan. When Mengniu Dairy was established, only in Inner Mongolia, with Yili-led milk enterprises there are hundreds of. and Mengniu Dairy with the Yili group in Hohhot that time has been listed for many years, has a complete ice products, liquid milk and milk powder production and sales system, the pure profit of the year amounted to more than 80 million yuan. and 1999 Mengniu Dairy industry just started, no milk source, no factory, no market, can be said to have nothing "but, Niu Gensheng someone." Niu Gensheng Mengniu Milk Industry banner of the World hero centring, learned that this news is still working in yili old subordinates put down high official positions began a batch of land to come, total hundreds of people, no regrets with him from scratch, but in the milk industry, the interests of the pattern basically formed when the survival of the milk industry has been squeezed, Or the calculation of the bright or dark comes from every corner.

Some competitors began to hope that Mengniu dairy this newborn baby strangled in the cradle, Mengniu Dairy industry experienced a billboard was smashed, milk was poured, milk poisoning and so on. Facing the competitor's Ming DAO stabbed, Niu Gensheng chooses the to retreat strategy.

Zheng Junhui, the then president of Yili, had a deep understanding of NIU Gensheng's ability, so Yili was also the hardest hit by the Mengniu dairy industry. But Niu Gensheng has shown great respect on any occasion for the yili that once ruthlessly abandoned him. Mengniu Dairy industry at the beginning of the very modest, played the slogan is: to Yili learning for the national enterprise. At that time, Mengniu dairy propaganda is the second largest dairy industry brand in Inner Mongolia, the first is Yili. Niu Gensheng mentioned Yili on different occasions, and his words were always filled with the nostalgia for Yili and the homage to old leader Zheng Junhui. Niu Gensheng's approach gradually won more sympathy and support. Why at that time to do so, nougat habitat analysis is "hit not to fight back, scold not answer back, only this way to survive, at the same time can grow up." "In the face of competitors want to reign strategy, NIU Gensheng admits:" If you do not fight back is choking. As long as a fight to strangle the likelihood is particularly large. At that time, beaten and scolded for the future not beaten not scolded, in order to survive and develop well, finally can not beaten not scolded. When you have been playing for several years, the process of beating and scolding has gone through, we must learn how to win, how not to fight. ”

　　Axe II: Axe sinking pay achievement rocket speed

Weak is always easy to be bullied, in order to seek the opportunity of rapid growth, Niu Gensheng thought of the capital master. In June 2002, Morgan Stanley, CDH Investment and British Union invested three international organizations to invest in Mengniu Dairy. But three investment banks, such as Morgan Stanley, with the slogan "Justice", have put a yoke on Niu Gensheng in addition to a total of $60 million in risk-taking in Mengniu's dairy industry: in the next three years, if the Mengniu dairy industry earns a composite growth rate of less than 50% a year per share, The management of the Mengniu dairy industry, headed by Niu Gensheng, will compensate three foreign shareholders, led by Morgan Stanley, for 78 million shares of Mengniu, or pay at a cash equivalent; If management can complete the above indicators, Three foreign shareholders will donate 78 million shares of Mengniu Dairy to Niu Gensheng-headed Mengniu Dairy management team.

Look at the enemy in the manufacturing industry every year to get 50%, which in many people in the eyes of the industry is a implausible, it is not a chance of gambling, it seems that the cattle of the army to play down the country can only let others to enjoy. But in the enemy ring, only "fast fish" to survive, otherwise it can only be eaten by the "big fish." Niu Gensheng agreed to the conditions of the International investment Bank, decided to break the axe pay, Last stand.

With the money to support the mengniu milk industry is like the wings, in the competition of gunfire, Mengniu dairy rapid growth, from 2001 to 2004, Mengniu Dairy sales revenue from 724 million yuan, 1.668 billion yuan and 4.0715 billion yuan jumped to 7.2138 billion yuan. "Mengniu Dairy Speed" in China's corporate spotlight CCTV2003 "China's economic people of the Year" to Niu Gensheng's award speech wrote: "He is a cow, but ran out of the speed of the Rockets." ”

Niu Gensheng--Mengniu Entrepreneurship Story