BELLE Group Deng Yao: Power Is Not Important

Deng Yao's magic weapon for success

1. see the target clearly.

2., we must cooperate with each other so that we can get what we need.

3. everything goes ahead of reason.

"I do not want power, but I stipulate that the products produced by the factory should be of high quality, and they must not be produced for other companies. I am the sole buyer of the factory.

Is it not enough for me to do so? What is the purpose of my goal only to make money and who will become chairman? "

Deng Yao, managing director of Lihua Shoes Trading Co., Ltd.

Over the past more than 20 years, the mainland's economic development has been developing rapidly.

Deng Yao, who has been playing in the shoe industry for decades, can witness the change of the whole era.

Deng Yao began his apprenticeship in the 50s of last century. He owned his own small factory in 60s, and set up a shoe store in early 70s. By the end of 70s, he had already started working with the mainland factories.

It's for sale in Hongkong.

After more than 20 years of development, his shoe shoe Kingdom has spread all over the provinces and cities in the mainland of China.

70s: the secret weapon of business

From 1974 to 1976, the mainland was in the "Cultural Revolution" period, and commercial activities almost stopped. At that time, Deng Yao, who had shoes factories and shoe stores in Hongkong, had a prominent position in the industry.

He accepted the invitation of the mainland with the attitude of "no fear of fear", and traveled to almost half a year in two years to bring the latest shoe information back to the mainland.

"At that time, there was no business dealings with the mainland, only to share the contribution to the motherland and share the information and design of foreign shoe industry with the people in different places."

These non utilitarian exchanges helped Deng Yao establish a good relationship and become a secret weapon for his future development in the mainland.

In the late 70s of last century, the mainland implemented the policy of reform and opening to the outside world.

At that time, mainland officials suggested that Deng Yao, as a Hong Kong company, purchase leather shoes in the mainland and sell them to Hongkong and elsewhere.

Deng Yao said that the contact with the mainland officials at that time was a peaceful and sincere attitude.

"At that time, I ordered shoes from the shoe factories in the mainland and contacted the national institutions. I welcome them to produce for my orders, or to study more about the styles I offer, and to sell them elsewhere, such as Singapore and Malaysia, but at the same time, don't make me too much money."

So he began to provide the design to the factories in the mainland, and then sold them back to Hongkong for sale.

At that time, he was the only person in Hongkong who bought shoes from mainland factories except domestic products, and the brand of Belle (BELLE) was also released in Hongkong in 1979.

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80s: no power, just make money.

In the 80s of last century, there were joint ventures and foreign-invested enterprises in the mainland, but Deng Yao continued to focus on the sale of shoes.

Although the footwear industry in the mainland has been developing continuously, it has been a year since Deng's mode of operation has been shipped from the factory to the mainland, and has not been able to cater to the changing trend of footwear in Hongkong.

So in 1987, he decided to build his own factory in Shenzhen and shorten the time from design to shipment to 3 months.

At that time, the technical personnel were provided by a Shanghai shoe factory which had been working together. The workshop was Shekou Investment Promotion Bureau, and the design, development and sale were the responsibility of Deng Yao company.

Involving three aspects of cooperation, Deng Yao admits that the situation is rather complicated.

He affirmed that every aspect must cooperate with each other so as to achieve good results.

"I always get along with all kinds of things with the aim of" cooperation and glory ".

For example, although Deng Yao was one of the shareholders in the management of the factory, he did not ask for the chairman of the board. Instead, he asked the Chinese representative to take up the post.

"At that time, the Mainlanders felt that power was most important. At that time, many Hongkong people and the mainland people had problems in the distribution of power. So I did not want power, but I stipulated that the goods produced by factories should be of high quality, and they could not be produced for other companies. I was the sole buyer of the factory.

Is it not enough for me to do so? What is the purpose of my goal only to make money and who will become chairman? "

90s: business is just competition and not antagonism

With the development of the mainland consumer market, Deng Yao began to develop the domestic market of BELLE brand in 1992.

At that time, many Hong Kong businessmen who set up factories in the mainland could only earn 10% to 15% domestic sales rights. But Deng Yao was the first Hong Kong people to bring foreign experience back to the mainland in the early years. He could win 30% of the domestic sales rights for the factory and accelerated his efforts to develop the domestic market.

At first, wholesale sales in Shenzhen and Guangzhou were sold to wholesalers from all over the world, but not for a long time. Fake counterfeit goods appeared immediately.

"Some fake goods are sold even in front of the shops that sell genuine goods," he said. "There are also some erroneous claims from Taiwan."

In order to protect the brand, he decided to open a special store in 1994, and developed a sales network in the franchise mode to eliminate the way of selling fake goods on the market.

During the development of the franchise mode, Deng Yao appeared in the case of operators who did not follow the rules and steal other brands. Others who could not get the franchise claimed that they would sell the goods to other countries or order wholesalers from Hongkong to secretly sell them back to the mainland for sale.

Deng Yao's way of coping with the former is to act with reason and to add group pressure.

"I will analyze with him that BELLE can provide the account period, the product has certain sales volume, the condition is better than other brands, he uses BELLE's earn to support other brands, it is unfair, and more importantly, it affects the whole brand image and the interests of other franchisees."

For those Hong Kong businessmen who help the mainland buyers to buy goods, Deng Yao will buy all the goods in the market after he finds out the facts, and then he will personally visit and talk with the trustees of the Hong Kong side.

In short, everything is settled by "reason".

The franchising mode has been effective, and has made Deng Yao's business develop rapidly. It also indirectly led to Deng's sales of BELLE in 1998 and made full efforts to develop the mainland market.

Today, there are about 600 mainland stores and 16 thousand employees.

The development of BELLE brand in the mainland is better than that in Hongkong, which makes Deng Yao have the ability to bring the brand back to Hongkong and develop the international market.

Now, Deng Yao has opened the market in Japan and Singapore through agents, and will open a special store in New York in the next two months.

For more than 20 years, Deng Yao has been holding a "sincere attitude towards people, doing business but competition, not confrontation". He has made good progress in the mainland. He laughs, "the people who work with me must be broad-minded and can't be selfish."

A family statement

CEPA, which was introduced in January 1st, has not directly helped Deng Yao's business. However, the change in the overall social atmosphere has made his business more natural.

He urged the people of Hongkong who want to go to business in the north to do things in accordance with the law. They should also pay constant attention to the changes in the mainland's consumer market.

When hiring employees, pay more attention to the quality of the situation: "in my factory, for example, the wages and benefits of employees are better than those of other factories, but the quality of products I require is higher than others', which is also good for employees and shareholders."