China Trend Founder Chen Yihong: China Lacks Qualified Professional Managers.
< p > all guest, < a href= "//www.sjfzxm.com" > Lining < /a >, Metersbonwe...
Clothes and shoes that Chinese clothing companies have been unable to sell in recent years have been driven to a dead end.
Publicly available data show that their stocks are less than hundreds of millions, or more than one billion yuan, and even insiders say that the real stock of a company has reached 5 billion yuan.
Faced with such a failure, there are many people who analyze cases.
Some people think that individual professional managers are not responsible for their brand positioning. Some people say that they are caused by excessive marketing, and others doubt whether the founder's personal quality is flawed.
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< p > in the early November, the founder of Chinese trend "a href=" //www.sjfzxm.com/pioneer/ "> Chen Yihong < /a > shared his thoughts on the industry crisis with reporters.
He believes that regardless of whether the founder is in office, the core of the clothing industry or even the fast food industry's failure is similar to China's lack of qualified professional managers. The inventory problem is that the channel owners have defeated the paid professional managers.
This sounds regretful. (Chen Yihong reclaimed CEO in October 2011 after enjoying two years' life) the conclusion is not to blame professional managers. He said China lacks the institutional environment for training qualified managers.
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< p > Chen Yihong's resume can add some persuasiveness to his viewpoint.
He is the former CEO of Li Ning Co. He founded the trend that he was the most profitable company in the industry. He had all the rights and interests of Kappa in China and Japan, and acquired the brand of Japanese skiing and outdoor sporting goods, Phenix.
This may be the reason why the other clothing industry chiefs avoid the media in fear of being untimely.
Chen is not only thinking, he has begun to act.
He is trying to find the right person, the education team, to "brand plus retail" pformation.
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Chen Yihong, a tired face, did not have enough confidence in P whether he could survive until the end.
"I don't know how long it will take.
And to think clearly is not necessarily out of the question, nor is it possible to succeed than others. "
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< p > < strong > "wholesale" leads to inventory < /strong > /p >
< p > Chinese brands do not control retail channels, they rely on agents to complete their sales.
The common situation in this industry is that the best seller is out of stock and the mediocre product is backlog.
Chen Yihong believes that a major drawback of the "brand + wholesale" mode is the poor communication of information. "As long as you sell wholesale, you have already formed sales volume for brands, and it will not care about changes in the retail market."
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After the listing of China's P, an international consulting company felt that my aura was too big: you helped Lining and made a move, and management may not be able to resist your opinion.
In this regard, I am more or less conscious.
Our management compares with Li Ning Co, Lining is not very involved in (company affairs), so his CEO has the power to really manage the company.
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< p > that's the best time for China to move.
Our net profit in 2009 and 2010 is over 1 billion 400 million yuan, and the average profit per employee is 1 million 500 thousand yuan. This is a miracle in the industry.
Considering that the separation of owners and management is universal in the world, I basically agree with the advice of consulting companies.
I am determined to leave the front line. Apart from attending some board meetings or important decision making meetings, I do not participate in daily work.
I enjoy life.
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< p > I hired the most professional manager in the industry.
He is French, starting from the first China office in a href= "//www.sjfzxm.com/news/index_x.asp" > Adidas < /a >, founded Adidas's Chinese team, and finally made him the second place in the Chinese market.
But eventually he left the trend.
We can see that Lining's executive ranks are unstable. In fact, China's trend is much more volatile than that of Lining, but we are not at the cusp of the storm.
This round of adjustment is radically changed from one to another. It is a professional team.
To some extent, it is not that they are not good. There is a problem of timing.
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< p > China's economy has been adjusted since 2009, and the pace of development has gradually slowed down.
Why are sports brands more prominent in the industry? Mainly because of the impact of the Olympic Games.
Whether Sydney, Athens or Seoul can pull up a fraction of the population of the Olympic host country for sports consumption, Adidas calculates that the growth rate of the Beijing Olympic Games in mainland China will reach about 40% according to the usual practice.
But the Beijing Olympic Games are strictly controlled. The proportion of Beijing's population accounts for about 1.8% of the country. So 40% is a high expectation. When Adidas and Nike rushed to the first, second industry, the inventory problem began to appear.
Once they are discounted, the stock of second tier international brands and domestic brands will increase.
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< p > the model of these brands should be "branding + retailers", or "retailers + branding", such as UNIQLO.
In the 10 years of Japan's economic downturn, how did it come to the fore? It broke the development mode of Japanese integrated business control clothing industry, and vertically integrated all aspects of its product chain, for example, the terminal was UNIQLO, and its performance was calculated only after the sale was completed at the retail end.
It is an inverted triangle. The chairman is below, the shop is on top, and everyone is in line with the store and consumers.
The retail market of UNIQLO is a unique model, and no matter who it is, there is no way to take it.
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< p > I came back to do CEO in October 2011, and found that the whole industry in China had the same problem.
Chinese companies are large wholesale models, and brands do not control retail channels.
The whole industry is facing the difficulties of "brand + wholesale" mode.
As long as you sell wholesale and the tickets are finished, sales volume has already been formed for the brand operators. It will not pay attention to the change of the retail terminal.
Companies such as Lining and China are slow to respond to market changes.
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< p > < strong > businessmen beat professional managers < /strong > /p >
< p > Chen Yihong said he was most afraid of the game between non business people and businessmen.
Professional managers are mostly executors, lack of decision-making ability, and may be better at certain individual items, such as marketing.
Dealers discount at random, and brands are stared.
If you do not allow returns, you may not see the dealer next season.
Professional managers have lost to channel bosses.
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< p > inventory is more, brand dealers are pressing goods to distributors.
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< p > the problem is coming, brand managers are professional managers, but most of them are businessmen.
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< p > professional managers can not see far.
When the market environment is out of order, they are still looking at data and indicators.
He needs the performance and data to get the bonus.
He is like a manager in the financial industry. He has no time to wait. He must be quick to get the money.
Professional managers take the company's money, and businessmen take their own money.
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< div > < span style= "font-size: 12pt" > {page_break} < /span > /div >
< p > channel providers can overstock the goods of the brand. If they want you to have the conditions, they will give the support and account period, and push the goods to the market through various means.
If the channel business is not available to you, it will eventually lead to too much inventory, and all of them are yours.
He can't give you any money.
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< p > the trend of China in that year was no accounts receivable. Now the inventory of each company is from 10 billion yuan to several billion yuan. Do you want to get it back from the dealer?
The game between non business people and businessmen is to see if you have enough resources.
Professional managers may have defects in resources.
For example, the CEO of the multinational company in China may be better at marketing.
Professional managers are mostly executors. They do well in data, but what about decision making? Finally, non business people must lose.
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Less than P, the biggest fear is the confrontation between professional managers and bosses. This unequal game is the biggest reason that brands are now very difficult.
This is the result of your support for professional managers.
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Why do the P brand owners have the same problem? To some extent, it is because of their low professional quality.
Brand operators set up direct channels, which test the ability of professionals to control and control.
But the Enlightenment of Chinese society is "what you say and what you do." the bureaucratic system of bureaucracy is not conducive to innovative thinking, and people's sense of responsibility is much weaker.
When should the discount be promoted? How much should the inventory be controlled? Basically, professional managers should rely on the boss to make decisions.
When a company has problems, professional managers look at them and see what the founders can do.
Or if I see these problems clearly, I will not tell them. I will see what the founders will do.
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< p > my main experience in the past two years is that there is no real professional manager in China.
If China's professional managers fail to meet the goals set by the board, he may want to talk to you about reasons and talk about many problems.
In foreign countries, it is the last elimination system. If you don't do well, don't talk nonsense.
And not the boss fired professional managers, failed to reach the target he himself proposed to leave.
This can not be in line with international standards, because companies in Europe and the United States basically have few founders, and companies must use professional managers now.
China has not reached that stage, and most of its founders are alive.
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< p > and China is changing so fast that you make decisions very quickly.
Who can make decisions quickly? To some extent, there are only founders and only bosses.
It depends on whether the founders are concerned about everything or else there will be problems.
Professional managers are not necessarily bad at dealing with businessmen, but the whole retail sector in China needs to rethink and establish new management models in the absence of external systems such as the state and society.
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< p > the best professional managers should be able to turn the boss's ideas into reality.
You see UNIQLO, the boss's idea is to buy raw materials in China.
The company sent two people, the first report said that China did not meet the requirements of Japan's factories.
The second said no, but the factory is willing to meet the standards, but also rich, but no technology. I suggest that the retired technical experts in Dongli please come.
It turned out to be a success.
It can not be said that the first person is not professional, but second people see the way to solve the problem.
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< p > Sheng Bai Jiao is BELLE CEO. When he joined the retail dealers together, he gained the benefits through the rapid growth of the industry over the past 10 years. So BELLE set up a model to control the retail end earlier. Its retail business is almost entirely self run.
This is the professional manager who has the concept of businessman.
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< p > but such people are hard to find.
He must have the ability of a businessman, and he may start his own business.
There are not many people who have business people like me who have been in Li Ninggan for 15 years.
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< p > < strong > trend may not be < /strong > < /p >.
< p > sports brand is out of trouble. I don't know how long it will take.
In other countries, there are two brands left in the United States, two in Germany and Japan, and one in South Korea.
There are still more than ten in China. I may be able to come out, or I may not be able to come out.
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< p > when a professional manager fails to set a business target, he may talk to you.
The past pattern has not been able to survive, and from brand to operation to supply chain, there must be great changes.
We are a labor-intensive traditional industry. There are ten thousand people in two thousand stores of a brand, and the pformation of enterprises is not so simple.
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< p > now let's see who comes first.
In order to find new models quickly, I basically need to do three steps, but I can not say now.
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P slightly better than others is that the trend of money, but I will not take the money as a real advantage.
In the second place, I may have made some preparations in retail sales. Four years ago, I had controlled third of retail companies's 22% shares, brand plus retail, but it was very complicated to integrate.
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< p > when your thoughts are fixed, you have to find the right people, which is a core issue.
Depending on the industry, are there any innovative and rebellious people?
They are by no means the vice president of Anta and vice president Lining. These people no longer have the ideas and passions of entrepreneurs. They have to be selected in the middle or middle levels.
At the same time, the internal team should choose the people who do not follow the rules, train them, bring them to understand your thoughts and know what you want.
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< p > to adjust the whole mode, we must educate more people and work harder.
Everyone is accustomed to wholesale, you pform into brand plus retail or retail plus brand mode, team and channel concepts and practices have to change.
I may not have a full weekend off in any month, or even take a day off in three weeks.
Now is no easier than starting a business.
Entrepreneurship is more simple. A capable person with a group of competent people has become one thing. That is the earliest venture.
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"P > new model, we all have no experience, I am not willing to talk about my idea, because not necessarily right, and even thought of it may not be able to do it.
Many enterprises do not work hard. In the end, they can not get together in time, geography, and harmony.
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< p > sports brand is out of trouble. I don't know how long it will take.
In other countries, there are two brands left in the United States, two in Germany and Japan, and one in South Korea.
There are still more than ten in China. I may be able to come out, or I may not be able to come out.
To do business is to invest, and investment will fail.
< /p >
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