The green-can soft-packaged Wonglaoji and red-can Wonglaoji launched by Wonglaoji Pharmaceutical have different market positionings

The former is positioned in the mid- to low-end market, while the latter is positioned in the high-end market. Cooperate with each other in advertising time and marketing. In 2005, Wanglaoji Pharmaceutical's Wonglaoji herbal tea series revenue exceeded 200 million yuan, and the total revenue exceeded 500 million yuan. Gross profit margin food The gross profit margin of the series is 43%, which is lower than the gross profit margin of pharmaceuticals, which is 61%.

In 1828, Wang Zebang created

Wanglaoji herbal tea

In 1956, it was a public-private partnership

Wong Lao Kat is divided into two branches

The descendants of the Wang family registered Wong Lo Kat in Hong Kong/East Asia

South Asia registered Wong Lao Kat

Domestic Wong Lao Kat was merged into the country

Enterprise, now Wanglaoji Pharmaceutical

In 1997, Jiaduobao launched

The red can of Wonglaoji

In 2002, Wanglaoji Pharmaceutical

The industry unified domestic and overseas brands

In 2004, Wanglaoji Pharmaceutical

The industry cooperated with Tongxing Pharmaceutical

In 2003, the red can Wanglao

Jiji moves from Guangdong and Guangxi to the whole country

Provides 20-year franchise for formula leasing

Leases overseas brands for 15 years

Right to use trademarks

Data source: Company report, CITIC Securities Research Department

"Chen Liji" was founded during the Wanli period of the Ming Dynasty, 389 years ago. At the time when he started his business, there is such a legend:

At the end of 1600, Chen Tiquan, a businessman from Nanhai County, returned to Guangzhou after receiving the goods and silver. After the ship arrived in Guangzhou, he hurriedly disembarked. The cargo and silver were left on the ship and were picked up by a fellow ship passenger named Li Shengzuo. Li Shengzuo is also from Nanhai County (Licun, Xiqiao District). He is well versed in medicine and opened a Chinese herbal medicine shop in Guangzhou. Li Shengzuo didn't see any benefit and forgot his loyalty. He waited at the dock all day long and finally returned the silver jade to its owner. Chen felt that Li Gaoyi was in love, had an honest character, and wanted to repay him, but he was politely declined, so he sincerely proposed to invest half of his legacy money in the Chinese herbal medicine store run by Li. Li Qian resigned repeatedly, but finally couldn't give in and had no choice but to agree. So the two of them wrote a partnership document with a red letter, saying: "Each party contributes its capital, shares its interests, works together to help the world, and grows its hair like this." He named his store name "Chen Liji", which means that Chen and Li are a partnership and work together to help the world. Since then, the store name of "Chen Liji" has been hung under the double doors in the south of Guangzhou.

After the Chen-Li joint venture, Li devoted himself to collecting ancient prescriptions and prescriptions, selected the finest medicinal raw materials, carefully studied the processing technology, and finally made a variety of unique ancient prescription medicines with exquisite craftsmanship. In the early years of the Qing Dynasty, the products of "Chen Liji" had gained a good reputation in the country. In order to expand their influence, they take advantage of the opportunity of students to take exams in Beijing every year and transport a large number of products to Beijing for exhibition and sales. Wax pills, this unique medicine attracted people's attention, and its miraculous curative effects gradually earned it a reputation. After the exams, the students returned to various places and spread the wax pills of "Chen Li Ji" based on their knowledge of Kyoto, and treated them as treasures as gifts to relatives and friends. From then on, "Chen Liji" wax pills became famous far and wide and became synonymous with "Guangyao".

Once, Emperor Tongzhi occasionally suffered from a cold and suffered from abdominal pain, vomiting and diarrhea. The imperial doctors consulted and suggested trying "Zhuifeng Suhe Pills" produced by "Chen Liji", and it worked. The emperor was overjoyed and granted the title "Xinghetang". At the same time, he approved the "old tangerine peel" stored in the factory as raw material as a tribute, and paid tribute to the court for many years. Therefore, during the Tongzhi period of the Qing Dynasty, the factory was also called "Chenliji Xinghetang Pharmaceutical Factory".

When the government promulgated the "Trademark Law" in the early years of the Republic of China, the factory painted the name "Xinghetang" as a shield-shaped trademark and registered it, which is still in use today. It was only during the "Cultural Revolution" (1967) that it was forced to cease use. Chenliji Pharmaceutical Factory was renamed Guangzhou No. 2 Traditional Chinese Medicine Factory and used the "Guangzhong" brand trademark uniformly. After rectifying the chaos, the name of Chenliji Factory and the trademark "Xinghetang" were restored in 1979.

The entire development process of Chenliji Pharmaceutical Factory can be summarized as follows: it was founded in the late Ming Dynasty, emerged in the late Qing Dynasty and the early Republic of China, and developed after the founding of New China. In the early days of business, the pharmaceutical factory only employed a few workers, with a front store and a back factory, and manual production, which was a typical small workshop format. Later, due to the increasing reputation of the products and his good management skills, in addition to going to Beijing for exhibition and sales, the products were also exported to border minority areas.

According to historical records, at that time, a pill of "Zhuifeng Suhe Pill" produced by "Chen Liji" could be sold for one silver dollar in the Nujiang and Xishuangbanna areas of Yunnan Province. At that time, the domestic Chinese patent medicine industry had formed three major bases: Beijing, Guangdong, and Jiangsu and Zhejiang. Beijing was represented by Tongrentang, Jiangsu and Zhejiang were represented by Hangzhou Hu Qingyutang, and Guangdong was the first to promote "Chenliji". In the 1820s, as Chinese people went abroad to make a living, the products of "Chen Liji" were introduced to Singapore, Malaysia, Vietnam, Thailand, Myanmar, Indonesia and other places. In the sixth year of Xianfeng's reign in the Qing Dynasty (1856), a wholesale office was opened in Shisanhang, Guangzhou, as a port trade institution for product export and import of foreign medicine raw materials. In 1900, the British and French forces invaded Guangzhou. Unfortunately, the old store was destroyed by artillery fire, so the pharmacy was temporarily moved to Foshan Douchi Lane (now Shengping Road). After the war between the British and French allied forces ended, the factory was restored to Guangzhou and Foshan became a branch. Later, some people spread the rumor that Chenliji Pharmaceutical Factory was founded in Fushan. This was a misunderstanding. The Foshan branch did not declare closure until 1954, before the public-private partnership.

In 1922, "Chen Liji" opened a Hong Kong branch at 206 Queen's Road Central, Hong Kong, and in 1935 opened a Shanghai branch at North Sichuan Road, Shanghai. Later, due to the outbreak of the Anti-Japanese War, it was inconvenient to operate, so the staff of the Shanghai branch were reassigned to open another branch on Main Street in Singapore. When Hong Kong fell in 1942, the Hong Kong branch was transferred to Macau's Xinma Road to open a Macau branch. Due to the sluggish business, it soon closed down. In 1948, he planned to set up a branch factory in Malaysia, but it was abandoned midway due to personnel disagreements. In the winter of 1948, he went to Taiwan to set up a branch (addressed on Boai Road, Taipei City). Although he launched a dozen products and sold 50,000 to 60,000 boxes, he was unable to maintain his business due to the depreciation of counterfeit currency. Before 1935, on the eve of every New Year's Eve, the factory would send personnel to bring goods to Chao'an County to open a temporary wholesale point. The turnover was very large and the reputation was very high. All these branches and branches form a cross-provincial and transnational economic network. In the early years of the Republic of China, it had entered the "golden age" of production and marketing.

Excerpted from "Guangzhou's Famous Time-honored Brands"