He's entrepreneurial experience

"Habitualism" fired the first shot.

1996, the 44-year-old general manager of Shenzhen Metal Exchange discovered the potential of the supermarket industry during a European training, and then went to Shanghai to open a 2,600-meter small supermarket (that is, Renrenle Nanyou Store) in Nanshan District, Shenzhen, with daily sales of more than 60,000, and the life was quite moist.

The good times didn't last long. Three months later, Carrefour, the second largest retailer in the world, entered Nanshan, only 2.5 kilometers away from Renren. It is Carrefour's consistent competition principle that peers are not allowed to exist within 3 kilometers.

"On that day, our sales dropped from more than 60,000 to more than 40,000, and then dropped every day. In less than a week, our sales fell below 20,000 vehicles. "

He Jinming is faced with a difficult choice, whether to close the gate or continue to maintain it. At that time, the reason for supporting him to stick to it was very simple. He repaid a loan of 654.38+0 million for opening a supermarket.

He and his team noticed one thing: Carrefour's promotion was overwhelming. Renren's promotion was to put a turntable outside the supermarket and hang a banner that read: The turntable rotates every day, and good luck will get 500 yuan. Give a customer 500 yuan every day, a large number of customers will not get benefits, only stimulate the speculative psychology of individual customers, and it is strange to be unbeaten.

"Only by learning Carrefour quickly, absorbing experience and knowledge, and changing from a layman to a layman, is the only way to achieve us." He Jin Ming thought of an urgent solution to everyone's survival.

From that day on, He became the first and last customer of Carrefour every day. In order to facilitate the recording, he rented a table in the rice noodle shop opposite Carrefour, which costs 50 yuan a day and comes out every ten minutes to record. After recording, he ran back to continue observation. During the 37 days of waiting, he wrote more than 400 pages about Carrefour.

"Carrefour's bowl stands up very vividly, and we just put it flat on it. Their slippers are hung up, and we just piled them up in a mess. " He Jin Ming is looking for differences in details.

Carrefour was the first in China to introduce fresh food into the supermarket, which made He wonder how it was possible to cook in the supermarket, so he secretly ran to the backstage of Carrefour and was soon discovered when the staff was not prepared to open the cold storage. "Hey, what are you doing?" He played the fool fully: "I'm sorry, I went the wrong way."

Soon, Delton, the manager of Carrefour, also knew about this "regular customer". In desperation, he sent two plainclothes to watch him. As a result, they became friends instead of strangers. Looking back on those 37 days, He learned a lot with emotion, but only on the surface. After "painting a gourd ladle", customers feel that everyone is more and more like Carrefour, and the real inner things are not known until the two sides fight.

"The greatest wisdom of China people is change. If you learn, you will change and become faster than you. " He Jinming found that Carrefour's rapid change in the market was the key to its success, so after learning from each other's business experience and professional promotion, he started a "blitzkrieg" with Carrefour.

"Their promotion strategy is changed once a day, and I will change it two or three times a day. Stay put until his market research, and I will adjust my plan as soon as he leaves. " This strategy forced Dalton to personally lead a team to everyone's fun twice a day, even three times in the morning, noon and evening.

This staged war lasted for a year and a half, and the final result was that the sales of Renren Music climbed from less than 20,000 to more than 600,000, while Carrefour plummeted by half. In order to avoid the decline of gross profit margin caused by vicious price war, the two sides shook hands and made peace.

"This competition let us learn the wolf culture of Carrefour, learn strong promotion, and learn to resolutely refuse to share every minute in the market." He is glad that he can give full play to his advantages in the competition with strong players.

Risk expansion and strong promotion

Wal-Mart's new store didn't get the upper hand.

After the war with Carrefour was quelled, everyone's happy days did not last long, and it was greeted by a more severe test of life and death.

1In June, 1999, Wal-Mart, the world's largest retail giant, announced that it would open a 2 10000-square-meter hypermarket at Renrenle Nanyou Store 150 meters within 0 months, and said it would be the largest and most modern store in Asia.

Exit was dominated by public opinion at that time. Many colleagues have come to advise against touching stones with eggs: "Man is the oldest in the world. Your 6,800-square-meter store, which has only been in business for three years, can't compare with other people's 20,000-square-meter global stores. It can kill you with its fingers. "

should i stay or should i go？ He Jinming once again lingered at the crossroads. After consideration, he chose to stay.

This time, the reason is not as simple as it used to be. After the struggle with Carrefour, He realized that competition was inevitable, and he hoped that everyone would be more viable through this competition. "Through the first day, but also hide from 15, can't watch the devil ran away, be a deserter. The opposite of crisis is opportunity. After this crisis, I have a hunch that there will be a very good development opportunity for everyone. " He Jinming used this to persuade his team to bite the bullet and fight the war.

He consulted Wal-Mart's development cases and reports in Canada, Mexico and Germany, and after repeated research, summed up two ways of playing in its global strategy: comprehensive attack and focused comprehensive attack. The former deals with the strong, while the latter deals with the weak.

In view of Wal-Mart's tactics, He and his team found that the disparity in strength is the biggest problem in the process of formulating competitive strategy. Renren.com has only one 6,800-square-meter store, while Wal-Mart has already opened five stores in Shenzhen, and the upcoming store is 23,000 square meters.

"It's basically a platoon attacking an army. If we don't change the disparity in strength, no matter how good the strategic planning is, we will all fail. It is necessary to expand the army. If we expand a platoon to at least one regiment, we still have about 40% control. "

At this time, it was only 1 1 month before the opening of Wal-Mart. He quickly formulated an army expansion strategy: building a second-line protection line and building a rear arsenal to ensure the demand for first-line ammunition.

He explained that "building a second line" means opening new stores in other regions quickly, so as to generate profits and ensure competition with Wal-Mart in the first line. Moreover, the choice of the second line must choose non-competitive areas.

After careful consideration, he first set his eyes on Futian District, Shenzhen, and opened Shenzhen Futian Store in June1999+065438+1October. Afraid that Futian store was in the wrong location and could not guarantee profits, he decided to leave Shenzhen and jump to another second-tier city to spread risks. In April 2000, Renrenle opened another store in Huizhou, Guangdong.

Generally, the retail industry will not choose to cross cities when it has just set up two stores, and during the market cultivation period, 80% of the hypermarkets are unprofitable. At that time, people in the industry decided that this was a bad move and would make everyone's happiness worse.

However, the Huizhou store was packed with people on the first day of opening. What is even more surprising is that it actually achieved nearly 4 million sales that day. He Jin Ming secretly breathed a sigh of relief. Nanyoudian's arsenal is very powerful.

At this time, it was only 1 1 day before Wal-Mart opened, but one thing happened that he, Jin Ming and his team still remember deeply.

Wal-Mart with deep pockets does not pay attention to everyone's happiness. At a distance of 0/3 meters from Renren Supermarket/KLOC-0, a big signboard was erected: Walmart in front 100 meters. This makes people's employees feel humiliated, as if they had been punched hard.

He took this opportunity to bring his team under this signboard and fully stimulated their emotions. They swore loudly that they must fight for this tone for national commerce. "Wal-Mart helped me inspire the team. That night, we cut the signboard with a cold welding machine, dragged it to the beach with a container truck and sank into the sea. "

Then, they began to carry out strategic research intensively. He Jinming predicted that the opening of Wal-Mart would have a great impact on customers. If you want to destroy its opening effect with the promotion effect, you can't just use the conventional promotion method.

Drawing on Carrefour's experience for more than a year, he was enlightened and came up with a unique trick: holding a shopping festival.

In the first week of Wal-Mart's opening, everyone enjoyed seven days of shopping festivals of different commodity categories, such as Fresh Shopping Festival, Food Festival, Chemical Washing Festival and Household Appliances Festival.

"In fact, we know very well that the resources we have are not as good as it, but breaking an arm is better than hurting a finger. As long as we are highly concentrated and concentrate on playing one game every day, others may win. "

"It has a cannon, but when we attack at close range, the cannon can't work." He said that this move made Wal-Mart unexpectedly adjust with Renren, but at this time the effect of competitive opening has been basically offset by the fierce offensive of Renren.

Whoever has the initiative in this battle on the battlefield will surely win this battle. By concentrating advantages to attack a part, we firmly grasped the initiative of competition. If we attack the weak with strength, we can win. He Jinming summed up this classic battle in the history of music for all.

Hold your ground and expand your army.

Confuse the audience and outsmart Wal-Mart.

How can a 6,800-square-meter store compete with Wal-Mart's 20,000-square-meter store for a long time? After giving Wal-Mart a hard time, He Jinming began to worry again.

Expansion is the top priority. In fact, long before Wal-Mart opened, some experts suggested that He Jinming should expand music for all first. However, he Jin Ming thought twice and did not act.

"At that time, public opinion was already on Wal-Mart's side. We are worried that once the renovation is completed, they will misunderstand that we will close the door because of losing competition, which will create a bad image for customers and suppliers. I can only use the strength of a regiment to stop it first, and then consider expanding the army. "

When you choose to expand your army, it is time to hold your ground. Two months after Wal-Mart opened, He and his team thought the time was ripe, so they began to prepare the strategy of closed-door expansion.

Before closing for renovation, Renren spent ten days launching a price attack on Wal-Mart. The prices of more than 27,000 commodities were reduced across the board. On the tenth day, even some goods were 50% off, and the gross profit margin was only 2%. As He Jinming expected, Wal-Mart had to face up to the competition and cut its price sharply. On the tenth day, Renren Music suddenly announced that it would suspend business for renovation, which caught Wal-Mart off guard.

"When we plan, we think Wal-Mart may have two reactions next. First, as soon as he saw it, he quickly adjusted the price. Too much contrast will make Wal-Mart lose its customer image. Second, slowly adjusting the price instead of quickly adjusting the price also falls into my plan. Anti-aircraft guns hit mosquitoes-in vain, empty mosquitoes, and consume mosquito ammunition. " He Jinming said proudly.

So Wal-Mart took the second step. Wal-Mart's marketing director in South China later told He that the price reduction loss was as high as five or six million, and he was almost fired by the company.

After the first move was successfully arranged, He Jinming and his team began to implement the second move.

In the retail industry, the cycle of opening a new store is generally 4 months, and the fastest will not exceed 3 months. However, He suggested to employees that the renovation project should be completed within one month.

He also confused Wal-Mart by letting suppliers know. "Suppliers are the best transmitters of retail information. I told them that everyone will reopen in four months, so please stock up in four months. This information quickly reached Wal-Mart. "

Wal-Mart saw that everyone had four months to decorate, so it quickly raised the price of goods. And everyone's happy employees are rushing to work. They didn't go out of the shop to take a bath. They spread paper on the air duct of the air conditioner and took turns sleeping on it for an hour or two. In the end, they created a miracle of successful expansion of 2 1 day.

Wal-Mart is also worried about the expansion process of its competitors, and sends people to inquire about the decoration of its stores every day. In order to paralyze each other, He Jinming chose to bring in all the equipment in the early hours of the morning, and then "build a car behind closed doors". He deliberately left the garbage outside the rolling gate of the store and did not carry it away. In fact, all the goods have been put on the shelves and the promotion prices have been arranged.

"All the machine guns, anti-aircraft guns and ammunition are ready, but Wal-Mart always sees our construction waste. So they are not in a hurry, not prepared, and the price is still rising. "

2 1 day later, Renrenle suddenly advertised on Shekou TV and Shenzhen newspaper: Renrenle will open tomorrow. That night, all the rubbish in front of the scroll was finally cleared away. The next morning, the floodgates were opened, the spacious shopping hall was brightly lit, and the promotional items were dazzling and the prices were very favorable. Wal-Mart was once again calculated by "cunning" people because it was unprepared.

Li Chengjie, the former director of Wal-Mart's China operations, had to admit: "In China, only companies that can compete face-to-face with Wal-Mart and continue to develop are happy."

Honeycomb expansion

Carrefour Xi 'an Store was forced to suspend business for rectification.

When Renrenle gained a firm foothold in Shenzhen with three stores, He Jinming put forward the slogan of "based in Shenzhen, rooted in Guangdong, facing the whole country" when discussing the next strategy with the top management, which attracted a lot of boos. His team agreed that it was absolutely impossible to break into this country after opening only three stores.

He believes that if an enterprise does not have a good strategic support in the initial stage, it will consume the market period conducive to its growth and adhere to cross-regional development.

Everyone is just deliberately avoiding the East, and has formulated a strategic plan of "extending two wings in the middle". "At that time, our strength was not enough to attack the opponent's strongest defense." He Jinming explained.

He divided China into six blocks: South China, Southwest China, Northwest China, North China, Northeast China and East China, and established a regional center in each block. Guangzhou is the center of South China, Chengdu is the center of Southwest China and Xi is the center of Northwest China. The North China Center specially chose Tianjin to avoid the fierce competition in Beijing.

By occupying the strategic regional center, the advantages of this region can be formed. Renrenle chose Xi 'an as the first stop of its expansion in different places. On February 24th, 2000, at 65438+, Renrenle went out of Guangdong and Xi 'an Shopping Plaza opened.

At this time, the local government also gave everyone a very attractive preferential policy to engage in real estate development. Do we concentrate all our resources and wisdom to run our retail industry, or do we learn from our peers to diversify?

He Jinming refused the kind invitation without much thought, and still concentrated on Xi's stability. He put forward a new strategic adjustment idea: if you don't advance, you will retreat. If you don't stretch your fist, you have to make a hole in the ground.

When Renrenle opened its seventh store in Xi 'an, and formed an absolute advantage, it began to move south and attack Chengdu. In 2003, Renrenle successively opened stores in regional strategic centers such as Chengdu and Tianjin.

In 2005, Carrefour entered Xi 'an with high profile and proposed to open 27 stores in Xi 'an within three years. Renren and Carrefour once again meet in a narrow way. It is staggering that it took everyone 10 months to close Carrefour's first store in Xi 'an.

This is the first time that Carrefour has closed its store since it entered China. Xi 'an Store Manager and related senior executives were all dismissed. Because the manager couldn't find the reason for the failure, he angrily led the management team to hold a sign in the most prosperous East Street in Xi 'an, blaming God. Bei Heneng, the global president of Carrefour, couldn't figure it out, and once asked why.

"The reason is very simple. We opened seven branches in Xi 'an, forming a fist. You only held out one finger. I can fight as I want. Just like Carrefour is a wolf, but more than a dozen vicious dogs can't stand it. " He said to Jin Ming.

He said that in 13, Renren Music basically completed the idea of building four strategic regions in China: South China, North China, Southwest China and Northwest China. At present, there are 5 1 stores in South China, 8/kloc-0 stores in Northwest China, 7/kloc-0 stores in Southwest China and 8 stores in North China. "

The funds raised by Renrenle will be used for the Guangzhou distribution center project and the property right purchase project of Xi 'an Gao Sai Store. At the same time, 8 stores will be added in Guangxi, 4 stores in Hunan, 17 stores in Shaanxi, 12 stores in Sichuan, 6 stores in Tianjin and 22 supermarket chains in Guangdong. After completion, the total number of stores will exceed 160.

Hua Tao, secretary-general of Shenzhen Retail Association, compared the expansion of everyone's music to "cell expansion". Because most domestic suppliers are regional, it is difficult to achieve real national procurement, so we must seek development and win-win in the region. Cafe de coral's approach is to break into a point in a region and open a store quickly when it is mature, and the resources of suppliers will quickly gather to it, forming a regional advantage, if not the strongest, at least not weak.

"Our corporate culture includes Carrefour's wolf culture, promotion culture, market sense of urgency culture, Wal-Mart's team building culture, process culture and system management culture, as well as our own cost control culture, rapid learning and rapid response culture. Integrating them together is a happy culture for everyone. " He said to Jin Ming.