Anyone who knows Wang Zihua's business history will be surprised by the smooth progress of his career. He earned his first bucket of gold as a timber worker, transformed steel into an industry leader, and chose the right time to enter the real estate industry. Every time the focus of his career changes, his Jingaogang Group has entered a broader development space. By his own admission, Wang Zihua has never encountered major threats and setbacks in his business career for more than 20 years. What created his unbeaten myth and constantly refreshed his achievements? The answer given by Wang Zihua seems simple: seize the opportunity keenly and develop steadily.
Earn the first bucket of gold by selling wood.
1982, when Wang Zihua and his elder brothers Wang Zilong and Wang Zilin came to Beijing from their hometown in Putian, Fujian, the three brothers had only a few hundred dollars on them. However, for Wang Zihua, who has been doing business with his parents since he was 0/4 years old, he has a natural feeling of doing business in Putian. Beijing is a treasure house full of wealth and opportunities.
"People from other places who come to Beijing can't make money as long as they are willing to endure hardships." This is Wang Zihua's deepest experience. He is willing to bear hardships and has a business mind, and Wang Zihua soon established himself in Beijing.
Wang Zihua's first starting point in Beijing was the timber business he came into contact with in his hometown of Putian. The three brothers contact the business themselves and handle it themselves. It coincided with the 35th anniversary of the founding of People's Republic of China (PRC). Wooden pots for greening and planting flowers in Beijing, as well as brackets for farmers to grow vegetables in greenhouses, all became their main businesses at that time. It is these simple products that make the Wangs earn thousands of dollars a year, which is a considerable income when the average monthly salary was only tens of dollars at that time.
This small-scale operation lasted for ten years, until 1994, when an accidental news made Wang Zihua really get the first bucket of gold in his life.
In an unintentional chat, a friend of Beijing State-owned Timber Factory told him that Beijing Schindler Elevator Factory urgently needed a batch of wood for packing boxes. The speaker was unintentional, but Wang Zihua keenly felt that this might be a good opportunity. He immediately contacted the door, and the other party's answer made him overjoyed. "We want as much wood as you have."
After the joy, Wang Zihua met a difficult problem. The other party's demand was great, but his capital at that time was very limited, and he could not win the business by himself.
Just as Wang Zihua was in a dilemma, another news opened the door to success for him. There is a batch of wood in Chaoyang Timber Factory that needs urgent treatment. So he contacted again, and the two sides hit it off. The raw materials are provided by Chaoyang Timber Factory, processed in Wang Zihua and sold to Schindler, and the profits are shared equally. The deal was completed in less than seven months, and Wang Zihua made a profit of one million.
"Zero-cost" transformation of large iron and steel enterprises
Earned the first million yuan, with capital, Wang Zihua's timber business quickly became the main timber supplier in Beijing building materials market. However, with the development of the cause, a bottleneck also appeared in front of Wang Zihua. "When there is no scale, you want to make the industry scale. The scale has come up, and you find that it is nothing to want to be big in the wood yard. " Wang Zihua described his situation at that time.
The difference between a successful businessman and a small entrepreneur may lie in the courage and courage to break through the bottleneck at a critical moment. If Wang Zihua is still content to be his timber boss, there will be no leader of this huge group of Beijing-Macao Port. The scale limitation of the timber industry began to make Wang Zihua consider turning his career to another broader development space. 1996, the Beijing-Austria Group was established, and Wang Zihua began to transform and enter the steel and building materials market.
When Jingaogang Group was established, according to the regulations of the country at that time, the registered capital of the company was1100,000. At this time, my brother Wang Zilong had his own independent career. The founding shareholders of the company are Wang Zihua, his younger brother Wang Zilin and a brother-in-law, and Wang Zihua holds 80% of the shares. One million capital, three shareholders, this is the predecessor of Beijing Aogang Group with an annual turnover of nearly 5 billion.
After careful consideration, Wang Zihua chose the steel building materials industry. The marketing system of timber business in the past is still playing a role at this time. Like wood, the main users of steel and building materials are also construction enterprises. With these old customers, Wang Zihua's steel business naturally came, which he called "zero-cost transformation". Of course, the steel market, whether it is market capacity or enterprise scale, is far from being comparable to the timber market.
I'm afraid that the change from wood to steel had an impact that Wang Zihua himself could not have imagined at that time. For Wang Zihua, 12 seems to be a career cycle. Since he arrived in Beijing, he earned his first million dollars in twelve years. After the establishment of Jingaogang Group, it was twelve years. He built his own enterprise into a leading enterprise in the private steel circulation industry in Beijing, North China and even the whole country. In North China, Jingaogang has been the steel sales champion for six consecutive years, occupying more than 30% market share in Beijing. In Beijing's new landmark buildings, such as the Bird's Nest, the new site of CCTV and T3 Terminal, Jingaogang is the main supplier of building materials.
Equity investment tastes sweet.
Wang Zihua, who has always been very sensitive to opportunities, once had a regrettable experience.
In 2000, Minsheng Bank increased its capital and shares. Introduced by a friend, Wang Zihua got the opportunity to buy 97 million shares of Minsheng Bank at the price of 1 yuan per share. Wang Zihua has been committed to industry before, never set foot in equity investment, hesitated before the opportunity and chose to give up. It is this share expansion of Minsheng Bank that has created a super-rich person in the Mainland like Liu Yonghao.
"When I was at 200 1, I found myself suffering a big loss. To be honest, I regret it. " Wang Zihua's words also reveal some regrets.
An important difference between a mediocre person and a successful person is that in the face of mistakes, the former can only sigh and complain, while the latter can make up for it while regretting. When the opportunity presented itself to Wang Zihua again, he didn't let it slip away. In 2003, Bank of Beijing increased its capital and shares, and Jingaogang Group acquired nearly 80 million shares at the price of 1.5 yuan per share.
"You put money in, you don't have to worry about it. The dividend yield before listing in previous years was basically around 18%. After four years, including the compound interest factor, my original investment only depended on dividends. More than half of it has been recovered. " Wang Zihua thinks this is the most comfortable project with the highest rate of return in his investment.
Based on the current share price of 13. 15 yuan after the listing of Bank of Beijing, at the beginning, the capital of Prince Huawei invested in Bank of Beijing was nearly1200 million yuan, but now the market value has exceeded 1500 million yuan, and the return of Wang Zihua's investment in Bank of Beijing is close to 9 times of the principal.
After the success of Bank of Beijing's equity investment, equity investment has now become a very important part of Jingaogang Group's business. In addition to Bank of Beijing, Jin Gaogang is the fifth largest shareholder of FAW, and invested 50 million shares in Beijing Rural Commercial Bank in 2005. "Now I have strengthened my understanding of diversification and equity investment. This is not just a question of money, but mainly changes my concept. " Wang Zihua said.
Wang Zihua's diversification is not limited to this. At present, Jingaogang is preparing to build the first rural microfinance company in Beijing. This form has been piloted in western provinces since 2004 and achieved good results. It has officially opened this year. "Half an hour ago, the news broadcast and the economy were talking about this every day." Wang Zihua introduced his business plan with satisfaction.
One foot has set foot in real estate.
Speaking of the biggest move of Beijing Olympic Sports Port Group in recent years, it is of course to enter the real estate field. Just as Wang Zihua is used to seizing opportunities, the real estate investment in Beijing Olympic Port has also seized a very valuable opportunity.
2004 was a very unusual year for China's land market. After August 3 1, the land agreement transfer system was terminated and replaced by the land auction system, which was called "8.3 1". It was at this time that Wang Zihua entered the real estate industry and invested in his first project-Swan Castle in Yizhuang, Beijing. The Yizhuang plot he bought was the last batch of land sold before the deadline of "8.3 1", which, in Wang Zihua's words, was a "breakthrough".
At that time, the price of buying land in Wang Zihua was 165438+ 10,000 yuan per mu, but after the deadline, the price of a nearby piece of land has become 2.58 million yuan per mu. Today, the land price there has risen to about 0/0 million yuan per mu/kloc. Wang Zihua still remembers the tense game. "At that time, in addition to information and strength, the most important thing was speed, and several families came to see the land. In the end, whoever is fast is who. " Wealth once again favored Wang Zihua, who was the fastest response of all those who were interested in this land.
Compared with other enterprises that enter the real estate field after completing the primitive accumulation, Wang Zihua thinks that his Beijing-Olympic Port has several advantages in entering the real estate field. The first is strength. "Real estate is a capital-intensive industry, and you can't get in without enough funds. The accumulation in the steel industry has enabled Jingaogang to allocate enough funds for real estate projects. " Then there is the cost. "The Beijing Olympic Port itself is a building material. We engage in real estate, and the cost is at least one lower than that of other enterprises, which is unmatched by other enterprises. " Finally, I am familiar with this industry. "Since the 1980 s, we have been dealing with real estate developers every day, watching meetings and investing in real estate is also in line with our diversified positioning."
The "Swan Castle" project has not yet opened, and more than 80% of the sales of Jingaogang still rely on steel and building materials. However, in the planning of Wang Zihua, the future Jingaogang Group will focus on steel and real estate, and their business will be 50% and 50% respectively, that is, the scale of 200-300 million yuan. "It's not that far away." Wang Zihua has a clear idea about his design.
Listing is not getting rich overnight.
With the development of this scale, Beijing-Macao Port has achieved the leading position in the industry. Many people suggest that Wang Zihua should go public for financing. After listing, both the enterprise scale and personal wealth may be ten times or even dozens of times higher than now. In this regard, Wang Zihua still maintained his usual calm. "The key is not how much wealth you have today, but the long-term sustainable development of the enterprise. In our enterprise, timber develops to steel, steel develops to equity investment, and equity investment develops to real estate. Make steady progress all the way and never get rich overnight. "
In the attitude towards listing, Wang Zihua pays more attention to the responsibility of listed companies. In his view, the company's listing must first protect the rights and interests of shareholders, that is, investors, and secondly protect the rights and interests of employees. Without the protection of employees' rights and interests, there will be no stable and positive work efficiency, and ultimately the rights and interests of investors will not be guaranteed.
"Don't consider so many responsibilities, listing is very simple. It is easy for us to directly package or find a listed company for merger and acquisition, but we will not rush to go public, so we must follow suit. In the future, listing will be the best asset of our group. "
Putian Wayuyuan's dream of modern enterprise.
In the future, Wang Zihua hopes to turn the family business into a "century-old shop" with the characteristics of modern enterprises.
Among the private entrepreneurs in China, the rich in Fujian are a low-key and mysterious group, while the rich in Putian have become the best entrepreneurs in Fujian because of the family business tradition. Wang Zihua, Chairman of Jingaogang Group, honorary president of Fujian Chamber of Commerce, is a typical member of Putian's private rich.
Wang Zihua has successfully developed the family business into a private enterprise with annual sales exceeding 4 billion, from the family seafood and timber business to the steel circulation field, from Fujian to Beijing, and then to the national market.
Traditional atmosphere makes a business mind.
1962, Wang Zihua was born in Zhongmen Town, Putian City, Fujian Province. Wang Zihua was deeply influenced by Putian business since he was a child.
"Putian has a tradition of doing business for generations, which has to start from history." Wang Zihua said that before the reform and opening up, Putian was the most populous county in Fujian with a population of more than 3 million. It is difficult to develop agriculture because it is located in a hilly area with a large population and a small population. Putian people have been doing business for generations.
In Putian area, Zhongmen Town, where Wang Zihua's ancestral home is located, is the core area of commerce. Relying on the convenience of Putian near the sea, the Wang Zihua family began to engage in seafood business from their ancestors and fathers, and gradually expanded from Putian to Fujian Province.
"Since 14 years old, I have been running business with my father and brother in Fujian Province. By the early 1980s, our family had reached the level of ten thousand households. At that time, reform and opening up had just begun, and there were very few households with 10,000 yuan in the country. " Wang Zihua said.
With the reform and opening up of 1978, the family business in Wang Zihua has gradually changed from traditional seafood to timber management, and the government has gradually relaxed the policy restrictions on individual operators. At this time, the idea of going out of Fujian to open up a bigger market began to appear in the mind of teenage Wang Zihua.
"The idea at that time was very simple, that is, to make life at home better, and going out of Fujian may mean greater opportunities." Wang Zihua told reporters.
Take 500 yuan to start drifting north.
From 65438 to 0982, Wang Zihua, who just turned 20, had 6 years of business experience and had certain independent business ability. At the same time, due to the small market in Fujian, the Wang Zihua family was not satisfied with being excluded, and decided to let their three brothers go to Beijing to develop their family business.
In this way, Wang Zihua, his brother Wang Zilong and his younger brother Wang Zilin came to Beijing with 500 yuan RMB, and the three brothers began their unaccompanied "drifting north" career. Wang Zihua said half jokingly, "We may be the earliest drifting northward."
In order to do business in Beijing, the Wang Zihua brothers decided to start with the familiar timber business. At that time, compared with the wood processing that had been liberalized in the south, the market in Beijing had not been liberalized. Wang Zihua Brothers started with the simplest wooden flowerpots, wooden greenhouse shelves for growing vegetables and wooden blanks.
In order to quickly open up the market situation, Wang Zihua rented a house for a production team in Datun, Beijing, looking for buyers to contact the business during the day and processing and producing by himself at night.
When he first arrived in Beijing, Wang Zihua was fully aware of the difficulties in starting a business in a foreign land. "In order to open the market, and Datun is far from the urban area, I sleep on the roadside at noon when I am tired of running business, and sometimes I sleep in the park when conditions are good. All three brothers have done it. " Wang Zihua recalled.
On one occasion, Wang Zihua heard that a military compound needed wooden flowerpots, but he needed a pass to enter the compound, so Wang Zihua couldn't get in. Unwilling to give up this potential business, he decided to climb the wall and enter the military compound. "At that time, I was young and I was not afraid of anything. I don't think I am a thief. Climb the wall. " However, Wang Zihua was caught by the guards, and it took him a long time to speak. The doorman was moved by Wang Zihua's spirit and didn't investigate his behavior of "breaking into the restricted area".
Thanks to continuous efforts, and the fact that the Beijing market is still in a blank stage and there are almost no competitors, Wang Zihua achieved success in the first year. Only relying on the simple processing of small wood, from 1982 to 1984, you can make a net profit of more than 12000 yuan every year and gain a foothold in Beijing.
"In those days, ordinary people earned only a few tens of dollars a month. Even in Beijing, our three brothers are all small achievers. " Wang Zihua said with a smile.
Sell stocks to motivate employees.
From 1982 to 1994, after 12 years of hard work, Wang Zihua made a business with a net profit of 1 10,000 yuan and successfully earned the "first bucket of gold"; By 2008, after 26 years of hard work in Beijing, Wang Zihua Jinggao Steel Group has grown into a private enterprise giant with annual sales exceeding 4 billion yuan, occupying nearly 20% of the steel circulation market in North China.
Although the wealth accumulated in 26 years is hard-won, Wang Zihua is not as petty as some private entrepreneurs. Since 2008, Wang Zihua began to implement its long-planned plan. By transferring its shares in the Beijing Olympic Port, its executives and employees will also become the owners of the Beijing Olympic Port, and the proportion of transferred shares is also very rich.
At present, Wang Zihua holds about 80% of the shares of Jingaogang Group. According to his plan, in the future, his shareholding in Beijing-Gaogang will be reduced to just over 50%, and about 30% of the transferred shares will be used to reward executives, employees and introduce talents.
According to Wang Zihua, at present, more than 10 executives of Jingaogang have obtained the shares they sold. The specific method is to give them 1: 1, that is, to attract executives and employees to increase capital and shares of the company at a fixed price, and the executives will contribute to buy the company 1 share, and Wang Zihua will give them the same proportion of shares, so that they can get 2 shares of Jingaogang.
"In the future, this model will be extended to all subsidiaries of the Beijing Olympic Port, and the scope of rewards will increase from executives to ordinary employees." Wang Zihua said that before the end of this year, Jingaogang will complete the first subsidiary equity incentive pilot.
Frankly speaking, Wang Zihua doesn't mind that the stock donation will reduce his wealth. "Business owners can't settle accounts like this. Making employees the owners of the company can motivate them to create more wealth. The company's profits will double, and the boss's wealth will only increase more. " Wang Zihua told reporters.
Perfecting talents to enter the top 100 private enterprises
In fact, in addition to equity incentives to attract more talents to join, Wang Zihua is also trying to take the lead in the personnel training of private enterprises.
"Many people think that the traditional industry of steel circulation does not need high cultural knowledge, but I don't think so." Wang Zihua said that Wang Zihua only graduated from high school because he started to do business in his teens, but his dream of establishing a modern enterprise prompted him to take the lead in learning within the enterprise.
From 65438 to 0999, Wang Zihua entered the MBA program of Macau International Open University, and obtained an MBA degree after two years of study. "Practical experience alone is not enough to meet the needs of modern enterprises. Our entrepreneurs all started their businesses in the early 1980s, with relatively strong general practical experience, but weak theory. Through the enrichment of theory, they can broaden their horizons and adapt to diverse needs. " Wang Zihua said.
Wang Zihua introduced that among the more than 500 employees in Beijing-Austria Port, 80% have bachelor degree or above, and the proportion of master degree or above has exceeded 20%. Wang Zihua said that at present, Beijing Olympic Port spends hundreds of thousands of yuan on talent training every year, and plans to gradually expand talent training funds.
Through a series of measures, Prince Huajin Gaogang Group has successfully expanded from a simple building materials market to a mixed operation including building materials, real estate, financial investment, infrastructure construction and other fields.
"In fact, in terms of income, Jingao Port has the strength to enter the top 100 private enterprises. By attracting talents, improving the quality of personnel and gradually expanding diversified operations, it is planned that the operating income will increase by more than 50% in the next three years, and the annual operating income will be more than 6 billion yuan. " Wang Zihua described to reporters his blueprint for the future of the Beijing Olympic Port.
Encourage children to start their own businesses.
In fact, in Wenzhou, Putian and other hot spots of private enterprises, the succession of private entrepreneurs has been concerned by the outside world, and Wang Zihua, which started from scratch, is also facing this problem, which Wang Zihua is not shy about.
Wang Zihua's son 14 years old, is a senior one in a middle school in Beijing. For his son who was born and raised in Beijing, Wang Zihua made it clear that he had no intention of letting his son take over from the beginning.
"I'm going to let him go abroad for further study after finishing college in China, and find a job by himself, starting from the grassroots level and working for at least 5 years."
Wang Zihua told reporters frankly that most of the problems that China's "post-80s" and "post-90s" generally showed, such as poor self-reliance and lack of hard-working spirit, were caused by rich families and no twists and turns.
"Let the next generation take over from the beginning, which can only encourage children's sense of superiority." Wang Zihua said that in order to let the next generation experience the hardships of starting a business, he did not rule out the possibility of letting children start their own businesses.
"I can give him millions, tens of millions or even hundreds of millions of businesses, but it must be completely independent." Wang Zihua told reporters that only by letting the next generation have the experience of starting a business can we know the hardships of starting a business.
"It is easy to start a business but difficult to maintain. There is an old saying in China that people who are not rich for three generations are short of the entrepreneurial spirit of the first generation. Only when the child has this trait can I rest assured that he and professional managers will build a century-old shop under the truly modern enterprise system. " Wang Zihua thought very clearly.