Gome CEO Wong Kwong Yu: 15 Earned 1 Billion 500 Million

A 17 year old "migrant worker" who went to Beijing with brothers and a 30 thousand yuan loan to start selling household appliances. The "North drift family", a 32 year old "boy", has the same quality as a lion. It has enough patience to prepare for future opportunities and seize the opportunity to rush out to get prey.

He worked hard in Beijing for 15 years, earning 1 billion 500 million yuan and becoming the twenty-seventh place in the list of mainland China's rich list of Forbes. This person is president of Peng run group and general manager of Gome, Wong Kwong Yu.

Wong Kwong Yu is the founder of Beijing's Gome.

Wong Kwong Yu, 17, came to Beijing with his brother and started selling household appliances with a loan of 30 thousand yuan.

Today, Gome has occupied 35% of the distribution market of domestic appliances.

The most impressive thing about Wong Kwong Yu is that he is good at setting up momentum.

In fact, like Suning and Sanlian, the core of Gome's success is to squeeze the profits of upstream manufacturers desperately in the most brutal way, so as to "give profits" to consumers, greatly expand their reputation, expand sales and expand profits.

After the "success" of Gome, Wong Kwong Yu retired and spent 5 years behind Gome's "behind the scenes".

Today, Gome is facing new challenges: upstream profits are almost squeezed, and peer competition is increasing day by day. Gome, with more than 100 large direct sales outlets in 14 regions, appears to be developing slowly.

Commercial "big crocodile" is driving the "diving" of household appliances, which is a routine used in the last two years.

However, if we pay attention to it, we can find that the manufacturers of voice producers in the market of color TV industry have been eliminated from hundreds to five or six now, and the industry integration has already been completed. If the downstream retailing industry simply relies on the way of squeezing the upstream profits, it will not be able to squeeze out the upper reaches of profits even if there are two or three joint antagonism, dealers will not necessarily carry it, let alone the competition among retailers in the same industry.

On the 26 th of 10, Wong Kwong Yu finally returned to the mountain to punish Gome, completely separated the sales network from North South Division, procurement and sale business, moved the management of the company down, and all the top management teams of the former Gome were decentralized. He and Mr. Li Juntao, the two general manager of Gome, respectively served as the general manager of the two large area sourcing center of South North, of course, from the structural point of view, Wong Kwong Yu's comeback became the most sufficient reason for the original top management team to move down.

The move from staff to institutions has reduced the "puffiness" of Gome.

Since then, Gome's plan has reached 200 stores in 2003, focusing on the Yangtze River Delta and the Pearl River Delta region, and launching the two tier market, and further opening branches in the second tier cities.

Sales scale doubled this year, that is, the impact of 20 billion yuan.

Wong Kwong Yu is proud of his reform.

He said: "to send management personnel to the front line, separating procurement and sales from two parts is the core of this reform.

I think we have made great innovations in the management mode.

Wong Kwong Yu, a capital platform, is also very good at capital operation.

In 1988, Wong Kwong Yu founded Peng Run Investment Co., Ltd., with a total assets of about 5 billion yuan.

Peng run investment enterprises are Gome, Peng run real estate, Peng Tai Investment.

On 4 26, Peng ran invested HK $135 million in the acquisition of 74.5% stake in Hong Kong listed companies Capital Automation Holdings Limited, and injected some of its assets into listed companies and renamed it China Peng run group (Peng run real estate).

Wong Kwong Yu said that in July next year, Peng run will develop two large flats, "1 million square meters, 300 thousand square meters."

In addition, we have prepared some small and medium-sized real estate projects.

11 mid month, Peng Tai Investment Company acquired Ningcheng Laojiao.

"It is certain to make liquor, but it has not yet been decided whether to do it as a major industry."

Wong Kwong Yu said, "it is a simple principle to buy things at a low price and sell things at high prices."

The itch in the heart of Wong Kwong Yu, the most important thing to do is to "tighten up" the nerve in the market.

Gome has been preparing for listing in Hong Kong.

According to sources, the broker for Gome is France's Paris Peregrine.

As early as the beginning of the year, Zhang Zhiming, who was the chief executive of Gome, once told reporters that Gome will be listed in Hongkong H-share at the end of the year.

But at the end of the year, Gome was still blowing only without wind.

In the past 11 months, the H stock market has shrunk by 50%, pushing the Hang Seng index down.

Eurasian agriculture and modern agriculture have been in trouble, and Hongkong's confidence in domestic private enterprises has dropped to its lowest point.

Gome's H-share listing is "disadvantageous".

"We are waiting for the opportunity. The capital market is not very good this year. We plan to wait until next year.

Next year is not the best time to say, if not good, we will wait. "

Wong Kwong Yu believes that Gome will continue to develop if it is not listed, "Gome is not listed for listing.

Our principle is that we can do what we can and cannot wait to do it.

It is more meaningful to choose a better opportunity when going public. "

The listing of Gome is imperative.

Suning group, the old rival, has never stopped running on the way of A share listing; Shandong Sanlian Group has taken the lead in the Zheng Baiwen's first round of the long march on the backdoor listing in the beginning of the year, and joined the board of directors, and Zhang Jisheng, the triple leader, became chairman of the board.

It is imperative that whoever first finance and who will expand first, and the situation is pressing. Gome is recognized as a family business. Whether the way of family centralization can continue to operate effectively is a problem of the commercial aircraft carrier of Gome.

Wong Kwong Yu, who was 17 years old, and his 3 year old brother, Huang Junqin, together with their 3 year old brother Huang Junqin, went from Guangdong to Shantou to Inner Mongolia to do business with Inner Mongolia.

A year later, because of the discontent of the local people, "easy commitment to neglect the cash" to fight in Beijing.

After half a year, he started operating an electrical appliance shop with an area of less than 100 square meters in Zhuzhu City, Beijing, which is the beginning of Gome chain store.

When Huang brothers first arrived in Beijing, they found the two floor shop in zhuzhukou, which is the Sales Department of a state-run garment factory called "Gome clothing store".

The two brothers soon discovered that the clothes were not very good, so they sold their appliances.

In January 1, 1987, the sign of "Gome" was hung out in front of the shop.

Wong Kwong Yu said that at that time they saw the development potential of household appliances as a "big piece" in people's consumption life.

More than a hundred thousand yuan spent on investing in Zhushi Kou store came from profit accumulation in "doing business in Inner Mongolia" and "doing business in the first half year of Beijing" - Huang did not want to say what trade he had done before.

In the late 80s of last century, the market demand of the whole country was far greater than that of the supply.

Wong Kwong Yu is keen to find the best market for home appliances. At the same time, it is foreseen that with the development of China's economy, the market will eventually turn to the buyer's market.

Therefore, they did not adopt the practice of buying up and selling prices in order to increase profits in general merchants, but decided to "adhere to retail, small profits but quick turnover" business strategy.

This strategy continues to date and has become the foundation of the founding of the United States.

In 1993, Gome opened more stores in Beijing.

In 1999, Gome began to expand to the whole country.

Now, the property of Peng run, Peng run's property, is the largest, with more than five star luxury hotels and two helicopter helipads on the roof. According to Wong Kwong Yu's estimate, its market price is around 4 billion yuan. Penning home, a 330 thousand square meter residential area near Beijing's second ring Road, is worth nearly 2 billion yuan.

If the scale of assets is not enough, Gome, which has already built a huge network in the whole country, has a net asset of 500 million yuan, according to its executive vice president, he Ju.

In addition, Peng run has other investments.