50% Of Decathlon'S Garment Purchase In The World Comes From China, And It Has Six Generations Behind It.

In February 26th, the "2019 Hurun global rich list" was released.

As in previous years, the Muriel family, the third most mysterious family in France, is still in the top 100.

Holding a large number of enterprises such as Auchan, Decathlon, Leroy Merlin and so on, relying on the 100 years' experience of intergenerational pmission, this low-key luxury has quietly "enriched six generations".

1, thousands of rich and powerful

In 2019, the first land patter in Suzhou, the winner of the IKEA South Block in Chengtie new town was Decathlon, known as IKEA of sports circles.

In the future, more than 20 thousand square meters of Decathlon flagship store will be built here.

In Ji'nan, the "customized lease" single building for Decathlon also reached acceptance conditions early this year. The future flagship store in Shandong is Decathlon's fourth store in Ji'nan.

Since opening its first store in Shanghai in 2003, Decathlon has been expanding steadily in China.

In 2013, the retail market was bleak, but the pace of Decathlon expansion was speeding up.

In the four years since then, the number of Chinese stores has surged from 70 to 267.

In 2017 alone, Decathlon opened 52 new stores in China, and its turnover in the Chinese market also rose to a record 10 billion 500 million yuan.

This year, Decathlon opened 185 new stores worldwide.

Decathlon, which is "advancing", rarely "sang".

China's performance in 2017 is the first time that Decathlon has disclosed its operation in China.

Decathlon, which is mainly spread by word of mouth, hardly advertises. The publicity cost is controlled within 1% of revenue.

The low-key non-listed company Decathlon is behind the same low-key big shareholder, the Muriel Mulliez (Family).

The Muriel family is a peasant for generations, and has deep feelings for the land.

Even in the time of war, family members fled everywhere, and later they bought land again and owned farms.

In 1900, Luis Muriel (Louis Mulliez) founded a small textile factory called Filda (Phildar).

After the baptism of the two world wars, other family members joined in succession.

Lewis, who had 10 brothers and sisters, became the first generation of the family. He had 13 children.

Today, this leafy family has been passed down to the sixth generation, with more than one thousand members.

The members of the Muriel family are low-key and rarely known to the public, but the family businesses are famous.

Some of them are well known to Chinese consumers.

In addition to Decathlon, family businesses include Auchan, Leroy, Merlin, Norauto, Kiabi, Flunch, pizza chain, Pizza Pai, home appliance retailer Boulanger, equipment rental company Kiloutou and so on, which are among the top 500 retailers in the world, Leroy Merlin.

The Muriel family business is distributed in dozens of countries around the world. It employs over 50 people and has an annual turnover of more than 70 billion euros.

The Muriel family owns these companies through holding company CIMOVAM, and shares belong to 600 family members, of whom 250 members are directly involved in the operation of each subsidiary.

Foreign media showed that the Muriel family held 45.5% of Decathlon's shares, while the second largest shareholder holding 44.5% shares was the family of Decathlon founder Michel Relek (Michel Leclercq).

The two families are also in laws. When they were married in the spring tide of textile industry, they were still small businesses.

The first Decathlon, founded by Michel Relek, a small stocking shop owner, opened in France in 1976.

At first, it was just a sporting goods retailer selling all kinds of brand products.

As business grew bigger and bigger, by the year 1986, Decathlon began to design and produce its own brand products.

The earliest Decathlon product was bicycles, and then gradually extended to the whole industry chain of sporting goods and clothing.

Now Decathlon, only the intermediate manufacturing link is completed by OEM manufacturers, and from brand to product design, and then to retail, Decathlon controls itself.

In 2018, Decathlon founder Michel Relek and his family ranked 550th in the Forbes billionaires list for $4 billion.

In the 2019 Hurun global rich list, the Muriel family ranked 66 in the list with a huge fortune of 110 billion yuan.

2, a simple and happy shareholding family.

The huge wealth controlled by the Muriel family is in sharp contrast to the understated and simple life of the family members.

Michel Relek, Gerard Mulliez, a brother of the same generation and founder of the Auchan group, has been driving an old car made after World War II for a long time.

Gerrard said, "this car has a very low fuel consumption. Although it is difficult to drive faster than a truck, I am used to it.

Later, I bought a new Mercedes Benz, but I did not feel that life was happier.

To spend money on happiness is the value inherited from the Muriel family.

Since the founding of the family, many family members have advocated simplicity and dislike luxury.

This family has been Catholic for generations. It also followed the orthodox family concept of Catholicism, cherishing family harmony and mutual support among families.

Family instructions tous dans tout (everyone is in the collective), also reflects this family values and traditions.

In the family, relatives are frequent, and children grow up almost in a large family environment of solidarity and warmth, showing an active and sincere side to each other.

In this atmosphere, even in the fourth generation and the fifth generation, the family members have been very numerous, but they still maintain a strong cohesive force. Everyone tries to maintain family unity.

Auchan group CEO Vianni Muriel (Vianney Mulliez) has concluded: "the roots of our family, first collectivism."

In order to strengthen family emotional ties and deepen understanding of family businesses, the family organizes one or two training sessions each year.

For example, every year, in Auchan, there is a campaign to change lives. Family members can choose to be butchers, cashiers, accountants, porters, computer operators, etc.

With the spirit of "tous dans tout" as the cornerstone, in the 50s of last century, the Muriel family formulated a family constitution to ensure the supremacy of family interests.

It also includes punishment for violating rules, and the severest is deprivation of succession.

The implementation of concepts and principles requires a reasonable and effective system to implement them.

The Muriel family set up an ingenious and efficient family governance framework through the Family Federation (AFM), the family Committee, the family holding company (CIMOVAM) and the family private equity fund (CREADEV) to ensure the orderly operation of the family.

The foundation of the four institutions is the Muriel Family Association AFM, founded in 1955, composed of approved family members.

Statistics show that by 2011, there were 780 members of the Muriel family, 550 of whom belonged to AFM.

If we use the joint-stock company to analogy, the role of AFM is equivalent to that of the shareholders' meeting, and the board of directors is the family Committee.

The family committee is composed of 7 members elected by AFM members. In addition to examining whether the family members can get AFM qualification, their responsibilities include assessing the strategic decision of family holding company CIMOVAM.

Muriel family members do not directly hold shares in their subsidiaries, but share the interests of family businesses by holding CIMOVAM shares.

Externally, CIMOVAM represents the family's shareholding to the enterprise, and internally, it is the stock exchange platform within the family.

When family members are allowed to join AFM to become a family shareholder, they are eligible to hold CIMOVAM shares.

These shares can only be circulated within the AFM members through an annual public paction.

For family businesses, they can also join or withdraw from the family equity platform through family Committee valuation.

This kind of family interest distribution system similar to modern shareholding system not only benefits the interests of family members, but also ensures the interests of the family.

3, business schools cannot learn values.

At that time, when his small textile mill had begun to make money, Lewis did not consume profits, but was used for reproduction.

Since then, the financial concept of high reinvestment has been followed.

So the expansion speed of family businesses is fast, but the dividend level is not high.

Those who do not understand Muriel's family may guess that their family members are born with a silver spoon and live a life of luxury and clothing.

However, although they do not worry about food and clothing, they need to work hard to win the recognition and respect of the family.

The adult family members have the qualification to enter the Family Federation.

However, it is impossible to obtain such qualifications only by status, but also through rigorous study and training.

Nowadays, the prestigious business schools in China are expensive, but there are still many entrepreneurs and rich two generation.

But the Muriel family does not like to send young people to business schools, but they prefer to learn in the family.

Not only can we learn the valuable business experience accumulated by our family, but also help us to pass on the values cherished by our family.

When the younger generation completed the learning process and approved by the committee, they could become AFM members.

Similarly, family stock is not allocated on the basis of identity.

They need to earn money from their work to buy the first stocks in their lives.

The family will provide various opportunities for members to participate in family businesses at different levels.

The successor of family business is gradually emerging in this process.

The next generation members who are consistent, competent and enthusiastic with family values are more likely to become future managers of family businesses.

To ensure the pmission of family interests and family values, there are steering committees or boards of directors in Muriel's family businesses.

The steering committee and chairman of the board are usually held by family members.

But the rest of senior management posts are open to outstanding talents outside the family.

On the basis of controlling the final decision power of family businesses, the Muriel family is a person of merit in the management of enterprises.

Andrew, Gerrard's brother, once said, "support his subordinates and give him the right to make decisions freely.

If it doesn't work, then recover the power. "

In order to fully inspire employees' potential, Muriel family also encourages employees to hold shares in family businesses and share the interests of enterprise development with shareholding employees.

At present, the number of employees in the Muriel family is about 500 thousand, many of which hold shares in the enterprise.

For example, since 1985, Decathlon has launched the employee stock ownership plan.

In Decathlon China, the proportion of employees joining the shareholding scheme is close to 84%.

4, maintain the ambition of opening up territory.

For those who are more ambitious, families will provide enough resources to help them start their own businesses.

But such support is by no means unconditional.

The Muriel family has plenty of financial resources. For the members' financial needs, the family mostly uses internal financing to solve the problem and excludes external financing.

Some members even raised money in the stock market as a "company selling body".

The family's private equity fund CREADEV can be regarded as a venture capital fund within the family, which is mainly used to support family members' entrepreneurship.

In 1950s, the textile industry in France declined.

Lewis's eldest grandson, Gerrard, wants to leave the textile industry and start his own business after accumulating experience in his field.

In 1961, after family support, Gerrard, 29, opened a grocery store in rube.

One day, he received a phone call from his father.

"He said," your business has been losing money for the past three years. Why should we continue to invest in you? "

At the age of 86, Gerrard recalled, "after answering the phone, my face is as pale as my apron."

Thierry Mulliez, former chairman of the Family Association, once said, "people who never make mistakes are people who don't do anything at all." Thierry Muriel

The family gave Gerrard a second chance, but only if he had to succeed in three years.

To recede, Gerrard immediately summed up the lessons and planned the future with his entrepreneurial partners.

This time, he succeeded, and the fruit was Auchan.

In 2018, Auchan group ranked 156th in the world top 500 list.

Family platforms provide superior entrepreneurial conditions for younger generation to make them more fully trial and error, but this is different from spoiling, but based on trust based on investigation.

In the past more than 100 years, the Muriel family has been able to continue to expand their territory and maintain the firm foundation of the family because they are prudent in every investment.

"Rich but three generation" seems to be the curse of the top of the family business.

The McKinsey report shows that the average life expectancy of family businesses is only 24 years in the world, about 30% of which can be passed to second generations, less than 13% of the third generation, and only 5% of those who can continue to operate well after three generations.

The Muriel family in these 5% years has grown into a cohesive and large scale wealth, business, networking and talent platform relying on blood relations, shared values and Centennial management.

Today, the sixth generation members are fighting for becoming a family shareholder, and the Muriel family group is also constantly strengthening in the China cloth board.

5, crack the secret of inheriting risks.

According to the 2019 Hurun global rich list, China ranks first in the world in terms of 658 one billion dollar rich, 74 more than the United States, followed by Germany, Britain and India.

At the same time, China is also the largest country in the world with one billion dollars of riches from scratch, while the number of women who made up one billion dollars from scratch accounted for 80% of the world's total.

The average age of these rich men is 59 years, 5 years younger than the average age of the global list.

Today, the rich and those who have grown up with reform and opening up have reached the point of thinking about inheritance.

The intergenerational pmission of wealth and power often involves risks.

If we go wrong, families and businesses will be severely weakened.

The Muriel family not only successfully completed the inheritance of the century, but also continued to grow and expand in this process.

Its core secret is nothing more than two:

First of all, carefully maintain the consistent values of family.

On this basis, through a set of effective and reasonable mechanisms to ensure the interests of each family member, and to ensure that family members always maintain enough initiative.

The intergenerational faults of values and the lack of wealth inheritance are the biggest problems facing the Chinese rich.

The 100 years experience of the Muriel family can provide valuable reference for China's high net worth population.