Li Hong, Chairman Of Rural Base: The Listed Company

In the first act, whose tears are flying

Monument for Liberation, Chongqing, July 8, 1998.

Li Hong in front of the table, attentively attentive to everyone, she seemed to be very capable of putting her hair up high.

This hairstyle will not change in the next more than 10 years.

She did not eat anything herself, and the guests noticed that she was very excited.

It was her 30 year old birthday.

All the friends and family came to the party, more than 10 banquets were set up, and a cup of cups changed, and an employee rushed in. "Red sister, a big thing happened in the shop!"

The so-called big event took place in the village gate shop, a few steps away from the birthday banquet.

This is also the first store in the country.

Two years ago, Li Hong resigned from the California beef noodle restaurant and set up the shop with her husband.

But at this time, the landlord and the two landlords suddenly broke up, and the big room east clamored for the decision to recover the pavement.

Seeing that the birthday party turned into a dinner party, and the banquet and congratulations became a help move, Li Hong's mood was extremely low.

But she still beat the spirit to pick up the pieces.

Such a dramatic setback is enough to discourage a firm that has just gained a firm foothold in the market.

Li Hong is no exception.

Even after years of public opinion portrayed her as a local Knight against foreign fast food, she was also unwilling to accept such a "moral kidnap": meaning was given by others, and at that time she thought about how to survive.

It is not easy to survive in Chinese fast food business.

Not to mention a woman.

In 1968, Li Hong was born in Yuzhong, Chongqing.

Her parents were the employees of the motor pport company. She was also the only girl in the family's three children, but apparently her parents did not give the daughter too much indulgence.

In that particular age, Li, 8, was asked to cook for a fire, and the childhood of honeycomb briquette was everywhere.

However, despite the fact that there were no official courtyards in the childhood, Li Hong, who had a close relationship with the kitchen, seemed to be destined to find life inspiration on this road.

In 1984, Li Hong, 16, studied cooking in Chongqing commercial technical school for two years.

After graduation, she took part in the adult self study examination of Sichuan Teachers College and taught in the TV company of motor pport company.

The first restaurant related work is the store manager of the beef noodle shop in California, Chongqing.

In 1996, Li Hong had accumulated some experience in the catering industry, and she sprouted the idea of opening her own shop.

In November 23rd of that year, the first store in Monument for Liberation Group Eagle Square was officially opened.

This is a fully more than 400 square meter pavement with 20 employees. Li Hong took over the store from the two landlord in the way of contract management and renamed the country chicken. In 2005, the bird flu was raging. In order to avoid risks, Li Hong decided to change the label, and the village chicken changed the "chicken" to "base".

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Rural chicken is mainly chicken, and Western style fast food is mixed with all kinds of noodle soup, the price is between 5~13 yuan.

At the beginning of business sea cry, Lee boss was very cheerful, smiling face to welcome guests, ordering meals and cooking noodles, cleaning and cleaning everything.

As everyone knows, the flow of people outside the shop is like weaving, but the popularity of the shop is like gossamer. "Seeing the people coming and going outside the store, I really want to drag them into the store."

If the business is not good, turn off the lights of the hall, save electricity, and save less electricity; every month, when the wages are first issued, Li Hong will begin to worry that the second day trade union will wear "missing" with their employees' clothes. In order to attract customers, the pop shop in the village store is rolling the popular song "whose tears are flying". Meng Tingwei's soft voice makes Li Hongyue feel uncomfortable: whose tears are flying? This is not my tears flying!

The market was brutal and grim. Li Hong worked hard on taste and promotion.

"Do not have 24 hours of food and drink in 23 hours in the store, and you will lose badly!" the Village Foundation began to make generous profits, and the atmosphere operated. Every noon, the students would not be able to serve the students with the help of student cards, which would be 3 yuan cheaper.

In a flash and a year and a half, the village base gradually gained a foothold in the most prosperous Monument for Liberation area of Chongqing.

The cash flow is right, and the employees' hearts are stable. Then, whose tears are flying, it is hard to hurt Li Hong again.

But at that very moment, there was a dispute between the two landlords, and the lawsuit was fought.

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The second act, the flashing of a bottle.

In 1998, it can be regarded as the first landmark year in the history of village based enterprises.

During this period, the Chinese fast food industry was also scattered and mixed with five flavours.

In Henan, Joe's red sorghum has reached its peak.

The Central Plains man who said he wanted to swim in the Antarctic also had a good swim in the standardization of Chinese fast food industrialization.

The soup, noodles and vegetables were handed over to different factories, and the logistics distribution to the restaurant was assembled. The media exclaimed, and finally found a good seedling that could meet the fast food.

Unfortunately, good Miao has not yet been fully developed, but Joe has been arrested for illegal fund-raising.

Another positive example of this period was in Guangdong. Cai Dabiao, who started selling steamed goods stores beside the National Road, declared that the computer controlled steam cabinet developed in 1997 was the first to tackle the standardization problem of Chinese food in the world.

The word "global" is a sexy word, though Cai Dabiao's solution is hard to call a surprise.

In Chongqing, Li Hong did not die because of the premature death of Monument for Liberation shop.

Instead, she has opened three stores in two intersection in Chongqing, Fuling and Shapingba.

Li Hong's insistence is not that she suddenly planted the great dream of Chinese fast food, but the practice of Monument for Liberation store, which made her realize the better way to live.

It is undeniable that the rural base in the initial stage is like a woman who has just been washing her feet and plowing up the fields. The body is full of the phantom of Western fast food, but the endoplasmic substance is a hybrid between Chinese food and Western fast food 37.

Because "similar appearance" is similar, the industry even spread Li Hong to name McDonald's store to work and learn.

For example, the village based children's play area was painted by gourd in the store. The product line was also danced with French fries and noodles, and fried chicken and rice resonated.

But soon Li Hong found that the French fries and fried chicken were doing well. Customers still went to McDonald's. they competed with their rivals in foreign fast food.

In 1999, Li Hong resolutely cut off the fast food part by chopping his knife, and restored the Sichuan cuisine on the newly planned dishes, which in turn fused the director of the major cuisines.

"Every time a new dish was produced, the employees were tasting it. After a week, it was widely recognized that it was delicious.

On the contrary, either improve or give up.

For example, pickled chicken, Huaiyang cuisine red stewed beef, double yellow lion heads were introduced in this period.

In addition, compared to the 20 yuan consumption of foreign fast food, the rural base firmly locked the price range at 12 yuan.

A widely spread story is: in order to ensure the quality of rice, the rural base has chosen different areas of rice for experiments, including washing several times, soaking for a long time, and so on.

"Even in the northeast rice, the village base has contrasted the varieties of the 5 regions."

For example, the village foundation stipulates that all foods contain no monosodium glutamate, and no additives are added to the beef.

Some of these cruel commitments in the Chinese fast food industry were finally adhered to.

In any case, the village foundation turned around this time, and the prices, services and tastes of the three weapons were firmly grasped. The steaming hot pepper chicken and letinous edodes chicken rice served up. The taste was good and the price was cheap.

Just now, the salesmen did not seem to think that their village base could open 100 stores in the country one day.

Even once, Li Hongban jokingly said to his employees, "if you can open 30 homes in the countryside, that will be a beautiful day!" the employees were suspicious, and laughed on their faces: "I wish I could be that way!"

Bread will eventually exist, but first a bread machine is needed.

Data show that from 1996 to 2006, the total number of village based outlets was 10, and the rate of expansion was not fast enough.

The third act is no toilet in the village.

Feng Lun has a piece: a person can put the shape on the ten day, called behavior art; after ten years, it becomes sculpture.

The rural base business model has remained unchanged for ten years. This is Li Hong's most proud place. How to efficiently and meticulous farming in a bottle is the most fascinating place for her.

Perfect, sometimes is a poem; if you want to perfect in the catering industry with a very low threshold, it depends on whether you can perfect every threshold in enterprise operation.

In the nearly ten years of 1998~2007, there was only one thing in the rural areas: standardization of all links involved in a Chinese set meal.

For example, what steps should be taken to wash the windows of the store in different weather? What kind of posture should be used for cleaning the dead corners of the store, how many angles should the arm be bent to save time and effort, and even how to remove the scale from the stainless steel plate in the kitchen?

These are related standards.

It is said that a qualified rural base employee walks five kilometers a day.

The five kilometers refer to the distance between the shopkeepers walking back and forth in the store every day.

While quantifying employees, Li Hong is also quantifying himself.

Every day, it takes no more than 20 minutes from make-up to home. As long as you are in Chongqing, you have to queue up at the village base at noon.

In rural areas, there is a unique "half year phenomenon".

Originally, looking at the village gate shop opened a fire, followed by all the followers, and even inside the village base, some people "group to sea."

But even the original chef plus the original manager is still hard to produce chemical reactions.

"Stores are beginning to be like that, but often less than half a year, that is, shutting down business."

So where is the essence of the ten years of the rural base?

The "three great happiness" of the fast food industry: standards, logistics and turnover rate. There are also three "worries": taste, service and cost performance.

To solve the "three great exultation", there is no "three great worries".

Let's start with "three great jokings".

Chinese fast food is like western fast food. Stores can afford to be able to keep up and lock.

True Kung Fu can replicate more than 300 shops, just because it is through "steaming" the way of coincidence, not only caters to the color and aroma of food, but also plays a role of thermal insulation.

But Sichuan cuisine and Cantonese cuisine are very different. Sichuan cuisine masters stir fry is like a splash ink landscape painting. "A handful, a little" is very delicious, but Cantonese cuisine is more like science and engineering research, and all ingredients are accurate to "Ke".

So how can the rural base standardize Sichuan cuisine?

There are all kinds of quantitative data in food purchasing, logistics and production when making rural base meal.

Li Hong believes that quantitative data and control points, like the rings of big trees, can be accumulated over a single day.

In the past more than 10 years, Li Hong has been very familiar with frying Chinese dishes. In order to ensure the consistency of the dishes in all the stores, the rural base has finished the distribution of semi-finished products, and the stores have standardized the processing mode according to various quantitative data.

As for logistics, it is not just the operational barriers of manufacturing enterprises. In the fast-food chain industry that expands the profit margins with the expansion of stores, the logistics link is also regarded as the engine of enterprise operation.

The rural base stores tell the logistics center timely according to the actual consumption of customers, and the logistics center is delivered from the warehouse to the restaurant. Then, the stock requirements are sent to the suppliers according to the shortage situation. Some pickles, semi-finished products, etc. are sent to the central kitchen by the logistics center for processing, and then sent back to the logistics center warehouse, and then delivered to the restaurant through the logistics center.

Fresh raw materials such as dry goods are distributed directly to restaurants instead of central kitchens.

"Before all the logistics links in rural areas were communicated by telephone, electronic management was realized now: each node carries out real-time information flow through the electronic terminal.

For example, the sales situation of the restaurant, and the corresponding missing information, the logistics center and the central kitchen will know in real time through the logistics system on their own computers, and the management of the company will understand the data of each node in time, analyze its problems and make timely decisions through its own computer.

As for the turnover rate of "three exultation", the answer given by the rural base is equally incredible.

At the peak, a good village base can receive 3000 people a day at noon.

For some frightening data, some even joked that because many rural base stores had no toilets, so the guests could walk like robots.

Is it really because of the toilet problem? The fair answer is that the rural base has made a very detailed analysis of the turnover rate.

It will deconstruct the turn over rate into queuing time + ordering time + waiting for meal time + seat search time + meal time comprehensive value.

For example, how to shorten the time of guests looking for seats.

In 2006, there were customers who said that no seats could be found in peak hours. However, compared with the turnover in saturation, the seats did not reach saturation. What was the reason?

It turned out that there were many 4 seating tables in the rural base, but only 2 people sat down to eat. Other people were unwilling to share a table with strangers.

People are private animals with a sense of distance. The sense of distance also increases the time for customers to find seats and the crowding of restaurants.

For this reason, the Village Foundation began to optimize the seating structure, and introduced the table long table, which reduced four sets of tables.

It's like waiting time.

McDonald's and KFC have no more than 13 single products, but customers queuing up for a long time. The number of single products in rural areas is more than 21. The pressure of catering staff can be imagined.

To this end, the rural base has designed a terminal ordering, 4~5 bar staff coordination mode.

Every peak of meals, trained by strict training staff to form an efficient assembly line, exaggerated without losing the standard action, just like performing acrobatics...

In addition, the training of general catering enterprises attendants is a cycle of three months. The village foundation will summing up training for a day's work every morning and evening.

Old belt new, new old age, the main points of training are also focused on every detail.

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Part II: the quick legend of Village Foundation

For traditional enterprises, whether it is a crazy expansion without cost, and whether the enterprises with "market share" as the ultimate goal are more valuable, or is there a better growth enterprise on the basis of a certain profit?

The village foundation gave its own answer.

In the past ten years, vigor can become arrogant and experience will become a shackle. Only by persisting in doing one thing can it be called a career.

In 2007, the continuous deep tillage and perfect rural foundation mode finally possessed the magic color.

This magic refers to the expansion of stores in the time coordinate diagram, a curve suddenly turned into a straight line.

The fourth act of the blind and the players.

"A boy who has been playing soccer for many years has been a substitute on the pitch. He is very self abased.

But as long as there is a chance to play, the father will applaud, and finally, one day, he became a regular player.

And until his father died suddenly, the boy told his teammates that his father was blind.

Applause, just to encourage him. "

This is the story she told by a newspaper in Chongqing when Li Hong was interviewed. The person who told Li Hong this story is Gong Ting, managing director of Hainer Asia Fund.

As early as 2007, rural infrastructure became the target of venture capital hunting.

Gong Ting was said to have gone on a business trip and saw the village base flow like weaving, and walked in.

A detail touched him deeply: a cleaning member stood on the ladder to wipe the glass. It was cold in winter. The temperature difference between the inside and outside of the shop was obvious. The cleaner did not notice that his fingerprints were mixed with water vapor and remained on the glass. When he found it, he was far away from the glass.

But the cleaner quickly ran back.

She moved the ladder again and quickly wiped out the watermark.

"The watermark itself will fade away, but the employee is so faithful."

Gong Ting wants to see the boss of this enterprise.

As everyone knows, Li Hong is not cold at this time.

Her impression of venture capital seemed to be a lot of talk and not much dry goods.

Prior to this, Gong Ting had repeatedly contacted Li Hong on his own initiative, and sent countless messages, but Li was not interested in meeting him.

Until July 2007, before the docking of Sequoia Capital and Chongqing swan, Lee called the Gong Ting phone. "At that time, I didn't care at all. I just wanted to consult the investment idea of venture capital."

It happened that Gong Ting was in the neighborhood, and 20 minutes later, they met.

Meet, shake hands, and greet each other.

Gong Ting told Li Hong the story of the blind and the players.

Gong Ting told her that venture capital is the blind, and no one will know what the enterprise will do in 35 years, that is, constantly encourage enterprises to run ahead.

"He's passionate, and he talks about the place of emotion, and tears."

In fact, Li Hong is no longer satisfied with being the biggest self-employed person in China at this time.

"Wealth is a deep pool. It is far enough for a person to have tens of millions of lives, but if thousands of employees can have enough wealth, such a company can truly reflect its true value."

Li Hong began to rethink the future of rural foundations.

She thought of "China McDonald's" and thought of the first Chinese fast food brand in the first tier cities in China.

In the past more than 10 years, vitality can become arrogant and experience will become a shackle. Rural foundations need new cycles.

In November 2007, Sequoia Capital and Haina Asia jointly injected $20 million into the rural base.

The two sides are involved in three laws, Sequoia and Haina do not participate in the operation, while the rural foundation will focus on improving corporate governance and incentive system.

The curtain opened.

After 2007, the rural base began to expand all over the world. No one had ever thought that the rural foundations that had been wandering around the Monument for Liberation in Chongqing would sweep the country in a mountainous fashion.

Feng Shui is also changing in turn.

If the local fast food was beaten by KFC as a representative of Western fast food, the fast food giant has begun to encounter the strong counterattack and heartless drive of a new generation of Chinese fast food brand.

Let pnational giants feel that it is not surprising that the village base will soon become the local "staff canteen" wherever it goes, and Changsha, Guiyang, Shanghai and Chengdu...

Cut the waves all the way.

In 2008, the number of single stores in rural areas was 43, and in 2009 it reached 81. By June 2010, the number of single stores has soared to 101.

According to its prospectus, the total number of single shops in rural areas will reach 130 in 2010.

It is worth mentioning that the expansion of rural base has not been through the way of joining.

Previously, it used to be a joint venture for a short time. The affiliates were allowed only 30% of the shares. The rural base invested 70% and was responsible for management.

However, as the standardization of rural base has been done very pparently, the payback period is generally maintained within two years, and the associates are also very practical.

After the introduction of foreign capital, in order to strengthen the terminal control power, Li Hong's first move was to buy back the shares of the joint restaurant.

A story happened during the financial crisis of 2008.

When the chill wind of various industries and the impact of the catering market were impacted, Shen Napeng suggested that the rural base should adopt the most conservative management mode.

Li Hong did not agree with her instinct and told her to copy the bottom. In 2008, the village base opened more than 30 Direct stores in one breath, and the price of many outlets was very low.

It was also in this year that the price of rural basic dishes began to rise, and a Chinese fast food rose by 1~2 yuan.

In more than 10 years, only one thing was done, and the village foundation finally found the stone of this industry.

WAL-MART, Beijing Hualian, Carrefour, Chung Bai and the new century are competing to invite them to join in cooperation. Pepsi Cola and Coca-Cola compete for their right to supply at no cost.

From 2007, the total income of rural base soared, and the operating income in 2008 increased by 524% compared to the same period last year, reaching 231 million yuan. In 2009, the gross income of the rural area increased by 214%, reaching 494 million yuan.

At the same time, China's fast-food chain industry has been growing rapidly in the catering sector in recent years. From 2004 to 2009, the fast food chain business revenue increased from 25 billion 380 million yuan to 47 billion 60 million yuan.

The spring of Chinese fast food is coming.

Fifth acts of fast food Empire Phoenix Nirvana

Since 2007, rural base workers have been surprised to find that there are many English newspapers in the boss's office.

Li Hong, 39, invited his teacher to learn English, an hour a day.

Learning English is for communication. In Li Hong's words, this is also a personal preparation for the NYSE listing.

In August 14, 2007, the rural base was incorporated in the British Cayman Islands, with a wholly-owned Hongkong village base set up in the same period, while the Hongkong rural base owned the rural based Chinese management company (the rural based Chinese management company as a substantive entity to conduct business in the mainland).

The road to listing is officially open.

Two years later, in September 7th, the Chongqing village foundation, which was praised by the industry as "China McDonald's", submitted the IPO listing application to the Securities Association of the United States.

Previously, in order to attract and retain core personnel, the rural base board approved an additional bonus of up to 7 million 720 thousand shares of common stock, with a total value of more than one hundred million yuan.

After the listing, the village based team will produce more than one hundred millionaires, many of whom are the grassroots managers of the stores.

Li Hong was also called the most generous restaurant owner in history.

Similarly, Li Hong is also known as the boss who can best reflect the typical genes of entrepreneurs.

This assessment comes from Shen Napeng.

During the Hongkong roadshow, Li Hong and her team chose a cheap and affordable hotel instead of a five star hotel frequented by investment banks.

An enterprise is going to be listed on the NYSE. Accommodation makes such a choice, which can reflect the corporate culture very much.

After fourteen years of entrepreneurship, many enterprises have issued heroic expressions to create "McDonald's and Kentucky Fried Chicken" in the Chinese fast food arena. But the reality is cruel, killing the horrible, red sorghum, A De duck, Ronghua chicken are proud of the hero for a while, the smoke is dispersed and the Loess is obliterated.

The success of the rural base is related to its enterprise style, and the style of the enterprise is inseparable from the analysis of the helmsman's character.

There are many critical moments in the history of rural base enterprises. How to choose and compete, sometimes it is difficult for you to judge from the state and strength of the enterprises themselves, but only from the personality and personality of entrepreneurs.

Like many female entrepreneurs in Chongqing who are famous throughout the country, Li Hong has a kind of daring to dare to rush to fight, but in terms of appearance, she speaks softly, doesn't say anything, and is more like a Jiangnan woman.

The rural base is standardized, trying to control the extensive catering industry. Such standardization is even reflected in the tone of Li Hong's treatment of various media. The stories or details that different media get from her mouth are the same.

A senior Restaurant Restaurant in Chongqing has also said that many restaurants in Chongqing have done very little and made a lot of noise.

Li Hong did not join in the fun. She went to class and attended the training.

Beijing, Shanghai, where there are good courses to listen to, very good to learn.

But she did not attend an association, nor a president, nor a director.

Compared with the rigid image of entrepreneurs, Li Hong once dreamed of a woman's more beautiful dream.

She took part in a model training class, studied weiqi, painted oil paintings, and even had an oil painting rack in the office, and drew several strokes when it was all right.

And her latest painting is a golden wheat field...

The rural base enters the harvest period, but the harvest does not represent the harvest, the Chinese fast food river is doomed to be more turbulent.

Excluding the competition from McDonald's and Kentucky foreign food, rural Chinese fast food competitors still gather in China, including the national giants such as Yonghe soya bean milk, Kung Fu, Guoshan noodles, and great lady dumplings.

In addition, there are local fast food vassals in all regions. Guangzhou Sanhe hundred flavor, three meals a day, Beijing's Yi Ye family are all strong.

...

A detail worth narrating is that during the interview, we made a total of three covers for Li Hong. She was very cooperative but not very expressional, until the photographer reminded her to chat with the staff about the village base, when we saw a different Li Hong.

Her eyes were firm and natural and relaxed. What could be more inspiring than being in a career that you love?