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Why Does Huiyuan Not Buy Coca-Cola?

2008/9/9 9:31:00 41814

The recent news of Coca Cola Co's wholly owned acquisition of Huiyuan is booming. As the two enterprise in the shopping mall to produce similar products, this is a strange thing in itself.

However, Huiyuan is a relatively large brand of Chinese mainland which is closely related to people's lives. The acquisition, like the previous Arctic soda, panda washing powder, Chinese toothpaste and JINGWAH tea, was once again attacked by the foreign investors.

However, have we envisaged to reverse thinking that Huiyuan is a big brand in the country, and even the oldest in the juice market? Why not turn it back, like buying Coca-Cola (specifically Coca-Cola juice brand in China or even in the world) like Lenovo?

Why are our local brands so good that they can never get away from the relentless acquisition of foreign brands?

Huiyuan can buy Coca-Cola on the basis of professional theory. From the following rough technical analysis, we can see:

1, Huiyuan's position in the domestic pure fruit juice market, as well as juice drinks are fruit derived products, while Coca-Cola has only sold juice drinks in recent years in China. To be honest, Coca Cola Co is still a carbonated beverage company (03 years has been identified as Coca-Cola year, to protect the brand), and fruit juice development has actually been bumping against each other, such as the original tin cans "heaven and earth" juice drinks ended in failure in China.

2, Huiyuan has the largest juice production base, production line, professional technology and personnel in the country, while Coca-Cola's fruit juice drinks are processed in only a few factories, and the non carbonated production line is limited.

3, Huiyuan has basically no less than Coca-Cola's sales network, Huiyuan is also a national brand, its sales network is also very comprehensive, in catering, group buying, family consumption and Coca-Cola has a ratio may have some advantages in some areas.

4, Huiyuan has the incomparable market share of other enterprises in the same industry, and has low cost and professional competitive potential in competition.

In the fruit juice market, no matter rufan, Dole, Hua bang, hand in hand (fruit and vegetable juice) or pure Connor, etc., it is hard to keep a close eye on the fruit juice market. The market for fruit juice has always been a battle of Heroes (though Coca-Cola's queer fruit and fruit oranges have won the industry's leading achievements in recent years), the unified Orangeate, the newest fresh daily C, Wahaha, farmer's spring and Yanjing are still sharing the cake.

It can be said that in the juice and fruit juice market, Huiyuan is definitely not a weak brand but an advantage brand.

5, Huiyuan product line is rich, whether it is pure juice series, juice beverage series, children's beverage series, whether it is Tetra Pak or PET plastic bottle, whether it is family or portable, whether it is high-grade or low price products.

On fast moving consumer goods, product lines are beneficial to enterprises, distributors, terminals and consumers as long as they are systematically developed and promoted. This is conducive to long-term development of enterprises in a competitive environment.

6, Huiyuan has formed several major product brands, such as Huiyuan, gurulu, Zhen, etc., all of which have been sold and promoted in the market for many years. They already have a certain brand recognition and a good impression of consumers on Huiyuan brand. This has been done for many years. It can survive from Beijing's Arctic pop water and Guangzhou's Asian soda water for many years. This should give Huiyuan considerable confidence: Huiyuan brand is also highly recognized by consumers.

7, Huiyuan also has some other resources, such as government, region, time, consumers and other resources, which can make it maintain a certain advantage in the market for a long time.

However, the current situation is that Coca-Cola subsidiary is ready to buy a wholly-owned Chinese juice market Huiyuan.

Following a rough analysis, we can continue to go on. Maybe we can find some reasons why Huiyuan can not buy Coca-Cola and local enterprises can not conceive the reasons for acquiring famous foreign brands. These reasons may be the real reason why Chinese enterprises can not be a long life enterprise, can not be a hundred years' Enterprise, and can not achieve international brand.

1, even if the company has done a great job, it is still a production or product oriented enterprise rather than a pformation to brand and market oriented enterprises as soon as possible.

Coca Cola Co has always defined itself as "Brand Company", so Coca Cola Co is just doing its best to make the brand, bringing production into the bottling plant system; P & G has always served the brand as the life, and the most important position of the company is the brand manager. Nike simply does not have a production plant, all the external processing, dedicated to create "Nike" brand.

However, there is still a certain distance between our local enterprises in terms of strategic height, specific strategies and practical operation.

2, even if there is a big business and strong brand ambition, resources and capabilities are indeed difficult to match and integrate.

From the above analysis, Huiyuan's resources are indeed quite numerous, but its ability to integrate and share resources should still have a certain distance from Coca-Cola. At the same time, there is a gap between domestic enterprises and Coca Cola Co and other companies. Domestic enterprises are going to show that the richer the resources, the less powerful the capabilities will be; while the powerful giants always have the resources and capabilities to match up to the surprise, and they are not perfect enough, but they may not be as many as the domestic ones.

3, strategy or planning is not clear.

We can see that from the beginning of Coca Cola Co's strategy of "omnibearing beverage company", in recent years, every strategy, every operation and every step has been carried out around the strategy: the details have been adjusted to the display rules of various products at the terminal.

The advertisement of big fruit to orange and original tea has the potential to compete with Coca-Cola brand advertisement.

Looking forward to ten years ago, many brands such as "heaven and earth", "sunshine" and "Lan Feng" have been sold in the market. They will not give up until they are sure of the success of the Chinese fruit juice market.

And many of our local enterprises have difficulties in implementing strategies or changing strategies, or simply do not have strategies, which make it difficult for enterprises to achieve 100 years of development in the end.

4, there are good products, good markets, and even loyal consumers. However, due to confusion in management or improper management, it is difficult for enterprises to carry out the development of enterprises.

Jianlibao such a good product, why do enterprises still collapse overnight?

From the perspective of professional analysis, it is because the market management is too extensive; why does the sun rise such a good product, why companies disappear?

Or because of management!

The management of some enterprises in the country is buoyant at the high altitude. Under the guidance of the documents, Coca-Cola and other companies all over the world have the general manager's favorite market.

In fact, the true meaning of "management as a service", who can understand and really execute, should be the best management.

5, the human resource is difficult to match with the strategy, strategy and operation, many still stay in "personnel", there are personnel to have "personnel struggle", like "where people have rivers and lakes" as appropriate, this is a common disease of many enterprises.

Huiyuan may also be bought by foreign giants. As long as it is Chinese, it is difficult to accept this possible fact, though this acquisition may make the brand and the enterprise better.

However, if we do not progress, this situation will continue to happen.

It is impossible for us to expect Huiyuan to buy the international IT giant IBM's personal computer sector like Lenovo Inc and make the Chinese people happy and proud.

Well, today's impossible proposition is also the urge for some local enterprises in China. Maybe in the future, we can escape the fate of being bought, and have a good and long-term future in acquiring foreign brands.