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    Sports Shoes And Clothing Enterprises Lining High-Level Personnel Changes, Want To Start The Third Venture

    2012/7/6 8:46:00 34

    LiningSports Shoes And ClothesPersonnel Changes

    China

    Sports footwear

    The retailer Li Ning Co Ltd announced on Thursday that it will implement a three year change plan. In order to promote change, the company adjusts high-level personnel, including replacing chief executive officer and pferring to an executive in the US company TPGGroup.


    Li Ning Co Ltd announced that Zhang Zhiyong, who has served for more than 20 years in the company, has resigned as chief executive since Wednesday, but will continue to serve as executive director of the company.


    Notice that TPG partner and Li Ningfei executive director Jin Zhenjun (KimJinGoon) was pferred to executive director and appointed as executive vice chairman of the company.


    After retiring from office, Zhang Zhiyong will be led by the company's founder and executive chairman, Lining, in the process of hiring a new chief executive.

    The above appointments come into force on Wednesday.


    The company also said that the company developed a blueprint for improving core strengths and profitability, and the plan was implemented in three stages.

    The first stage concerns retail sales and inventory problems, and improves product and operating costs.

    Jin Zhenjun disclosed that the first stage is already in operation, and the company will solve short-term problems such as inventory in the next 6-12 months.

    The second stage is to improve supply chain management, marketing and product planning models, and provide more products and customer experience.

    The third stage (the next 2 to 4 years) will focus on pforming business models to enhance the profit structure of companies and channels.


      

    Lining

    The Board believes that these new initiatives will help the group move in the right direction, so that Li Ning Co Ltd can return to a sustainable and profitable growth trajectory.


    "The departure of Zhang Zhiyong means that Li Ning Co is about to start," Ma Gang, an independent critic of footwear industry, said on Sina micro-blog.

    The third venture

    "Once again, the development of the company is at a crossroads.

    In the past, Lining's brands were more horizontal, but few successful brands. In 2010, the brand remolding failed and the channel control ineffective became the biggest failure point. At present, the introduction of new teams is to make up for these shortcomings.

    He also believes that Lining himself is the most suitable helper for the company to continue to develop at present. "From age, his strength and intelligence can support more than five years of high intensity work."


    According to the latest announcement, in the first half of this year, the order amount of Li Ning Co shoes products showed a double-digit decline year by year, and the annual decline of clothing products was more than 20%.

    So far, Li Ning Co's net profit has dropped to the end of the five mainland sporting goods companies listed in Hong Kong.

    Jin Zhenjun believes that the current sporting goods market is only short term supply exceeding demand, inventory and terminal sales in the short term is not ideal, it is the company as soon as possible to solve the problem.


    Prior to this, Lining issued sponsorship CBA and shortened the concession period of Italy brand Lotto (Lotto), including J.P. chase, Merrill Lynch, Bank of China, and many other investment banks to reduce the rating of Lining to "reduce" or "lose the big market".


    Li Ning Co Ltd realized net profit of 386 million yuan (US $60 million 800 thousand) last year, down 65% compared to the same period last year, because of rising costs and the slowdown in China's economy.

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