Lu is known as an evergreen tree in business. As one of the most respected first-generation enterprise leaders in China, Lu led Wanxiang Group to develop from a small factory to one of the largest private enterprises in China, and went abroad, from international marketing to international production to international resource integration, and with the shrewdness and mind of his farmers and entrepreneurs, he crossed from China to the world. At present, 19 overseas companies are controlled through mergers and acquisitions. A peasant entrepreneur with only junior high school education showed the world his legendary story of internationalization. This point, even many senior managers with overseas study experience can't compare with it.
From Lu's entrepreneurial track, it is not difficult to find that although he has no formal education or systematic management experience, he has gained the ability to accurately grasp business opportunities through years of practice, step by step, slowly and steadily. At that time, the private enterprises that started with him had long since disappeared, but Lu Wanxiang experienced wind and rain and grew into a towering tree.
First of all, in international marketing, starting from 1990, Lu put forward the strategic policy of "big group strategy, small accounting system, capital operation and international market".
1994, Lu realized his desire to go abroad and established Wanxiang American Company. Mainly responsible for developing the group's international market and establishing the brand image of the group's products. Long Yongtu once praised him for "using foreigners' resources to be foreigners' bosses in foreigners' places". Over the years, Wanxiang has paid great attention to the returns of shareholders of the company. Lu said: "The company's goal is to maximize shareholder value, which is not limited to maximizing the income of major shareholders, but also protecting the interests of small and medium shareholders and achieving a win-win situation for both parties." At present, Wanxiang American Company has become the fastest growing and largest Chinese-funded enterprise in the Midwest of the United States.
1997, Lu fought a beautiful battle of universal joint marketing, and the small universal joint officially knocked on the door of the world automobile giant General Motors. It has been Lu's wish for many years to provide accessories for world-class automobile manufacturers. With the improvement of product quality and the opening of the world market, today, his wish has finally come true. Later, it successively provided supporting products directly or indirectly for internationally renowned automobile manufacturers such as Ford, Chrysler and Volkswagen.
From developed countries in Europe and America to developing countries, Shandong has been exploring the world market. By the end of 1999, Wanxiang American Company had established 10 companies in the United States, Britain, Germany, Canada, Brazil and Venezuela, and established an international marketing network covering more than 50 countries and regions, becoming the largest Chinese-funded company in the midwest of the United States. He opened the markets of Japan, Italy, France, Australia and Hong Kong 18 countries and regions with "Qian Chao" universal joint products, and earned more than 2.29 million US dollars in foreign exchange annually.
In terms of capital operation, Lu also showed extraordinary wisdom. He didn't just rely on product sales to open the market, but walked on two legs and achieved rapid development by issuing stock financing.
In 2002, the company invested several hundred million yuan to set up the first financial company in Zhejiang Province. In 2004, Wanxiang invested 65.438+0.2 billion yuan to invest in the first insurance company with private capital as the main body; In the same year, Wanxiang participated in Zheshang Bank, ranking the largest shareholder with 65,438+00.34% shares; Subsequently, Zhejiang Industrial and Commercial Trust was reorganized. Together with the previous Wanxiang Leasing, Wanxiang Futures and Tonglian Capital, Wanxiang owns a number of financial enterprises. In this way, Lu established his capital empire in the capital market and gradually implemented his globalization strategy.
Lu realized that in the final analysis, the international competition of enterprises is the international competition of enterprise capital, and the internationalization of capital is the ultimate symbol of enterprise internationalization and the advanced form of company development. To this end, Wanxiang's eyes have turned from China to the international financial market.
Wanxiang pioneered the acquisition of overseas listed companies by domestic private enterprises and established long-term cooperative relations with many famous financial institutions around the world. The credit line granted to Wanxiang by American banks such as Citigroup reached nearly 1 100 million US dollars. In 2003, Wanxiang established Wanxiang Manufacturing Fund in the United States, and a group of local political and business celebrities became shareholders. After that, Wanxiang made overseas acquisitions in the name of "Wanxiang Manufacturing Fund" to speed up the pace of overseas acquisitions and further accelerate the internationalization process of Wanxiang.
By the beginning of 2004, Wanxiang, a private enterprise, had 80 companies in eight countries, including the United States, Britain, Germany, Canada and Australia, of which 18 were wholly-owned or controlled. Wanxiang Manufacturing achieved an operating income of 654.38+05.2 billion yuan in 2003 through the international marketing network covering more than 0/00 countries and regions around the world.
Compared with self-starting, self-producing and integrating other people's ready-made resources and abilities, the input cost is the lowest, but the income is the highest. When integrating external resources, the effective method is to conclude a strategic alliance. Strategic alliances are different economic entities, including entities in the same industrial chain and enterprises in different industries.