The expansion of 20,000 yuan to billions of dollars Youngor 66-year-old boss Li Rucheng has to gamble?

"I have the confidence to recreate a Youngor 600177 in five years, and to vaccinate the stock ." This is a slogan that has gradually faded out of the company's clothing industry, Li Rucheng, chairman of Youngor Group, and once again appeared in front of the stage.

Mentioned Li Rucheng and Youngor, both are called a legend in the industry. More than 30 years ago, Li Rucheng started to build Youngor with a 20,000 yuan intellectual youth placement fee. In the basement, a handicraft workshop that was put together by several rulers, scissors and small benches gradually became a listing of shirts and suit production bases. the company.

Li Rucheng has turned Youngor into the first brand of Chinese clothing, and at the same time has frequently embarked on the road of capital operation, which is why it is called the “most unscrupulous” entrepreneur.

Now, how does Li Rucheng intend to recreate a Youngor? Along the way, how much is he “not doing business”? Behind is how to make Youngor a big business from underground workshops?

From the farmer to the factory manager

In 1958, due to the father of Li Rucheng, the whole family was transferred from the prosperous Shanghai to Duantang Town in the southern suburbs of Ningbo. For the sake of life, Li Rucheng, who was just 7 years old, and the village friends woven straw hats together, earning only a few cents. Not only that, he has also been a cowboy who earns only two cents a day. At the age of 10, Li Rucheng’s parents died, and he and his two brothers and sisters lived together. When he was 15 years old, he had not graduated from junior high school. Li Rucheng took the initiative to sign up to the lighthouse team Yadu Village to “cut the queue” to farm, and stayed for 15 years.

At the end of 1980, tens of millions of educated youth began to return to the city one after another. Li Rucheng, who was nearing the age of his own, came to the “Youth Garment Factory” of the town.

It is nominally a factory, but in fact it is just a small workshop that is barely built with a resettlement fee of 20,000 yuan. The workshop is located in the basement of the village side stage. The tools such as sewing machines are all moved from home. The main business is to process some low-end products such as shorts and short-sleeved shirts for other factories. Although the conditions are simple and arduous, Li Rucheng cherishes this rare job opportunity. With diligent efforts, he was appointed as the cutting team leader soon after entering the factory.

However, not long after, the factory was hit by the market tide, business was cut off, and more than 100 educated youths were facing unemployment. At this time, Li Rucheng accidentally heard that there is a manufacturer in the northeast that needs to find a partner, and then he will take the initiative to contact him. After many twists and turns, I finally got the list of the company's life, 12 tons of fabrics, which inspired Li Rucheng's potential management skills. He was both a designer and a dispatcher, and arranged all the links properly. Post.

From the point of view of the current year's settlement, the factory profits soared from the initial tens of thousands to 200,000 yuan, and the monthly wage of workers rose from 20 yuan to 70 yuan. Li Rucheng also got the trust and support of everyone. Under the unanimous proposal of the staff, Li Rucheng became the director of the youth garment factory.

At that time, horizontal joint ventures were an effective channel for the survival and development of township enterprises. Soon after Li Rucheng took office, he captured such a message: the 100-year-old factory in Shanghai opened the shirt factory is looking for joint processing points. He immediately rushed to Shanghai, and the two sides jointly launched a hit. In just two or three years, Li Rucheng earned millions of dollars in profits and excavated a valuable first pot of gold.

The origin of the name of Youngor

Through the horizontal joint venture, Li Rucheng learned advanced management experience, cultivated a team, and completed the accumulation of some capital and technology, and had a certain business channel.

However, because the horizontal joint venture is subject to people and the development space is narrow, enterprises need to create their own independent brands. As far as the market is concerned, at that time, under the background of a shortage of economy, the good product was "the emperor's daughter did not marry." In 1986, Li Rucheng just brought his first brand, Beilun Port Shirt, to the market, and was sought after by local merchants. Mountain City Chongqing sent an emergency telegram, "Mountain City people look forward to Beilun Port, fast delivery." In the second year, Beilun Port was rated as a national best-selling product by the Ministry of Commerce.

While everyone is still immersed in the joy of the "Beilungang" flag, Li Rucheng is aware of the limitations of the Beilun Port brand: the brand's regional color is too strong, the cultural content is not enough, and there is no room for improvement.

In 1990, under the careful operation of Li Rucheng, a new Sino-foreign joint venture, Youngor Garment Co., was established. YOUNGOR is the English name of the word "youth". Li Rucheng believes that "Youngor" not only has the historical continuation of the "Youth" factory, but also entrusts its expectation for the future. In August of that year, Youngor and Macao Nanguang formed a joint venture, and a new Sino-foreign joint venture was established.

In the decades that followed, in the face of the huge profits of the real estate industry and the financial industry, Li Rucheng began the era of his own "troika". Youngor began to engage in real estate development in 1992. The company has successively developed various properties such as houses, villas and commercial buildings in Ningbo and Suzhou. With the explosive growth of China's real estate, real estate investment has also made Youngor earn a lot of money.

Li Rucheng made a good start in business. In 1998, Youngor successfully listed and started to enter the capital market.

The "God operator" being taken care of

Li Rucheng once said: "The equity investment Youngor is unintentional, and now I am going outside. People are evaluating me. 'You are Buffett of China. Every project is very successful.' This sentence is wrong, many investments The original intention of the project is not to make much money, it is the care given by the government."

The word “care” is used appropriately. When Youngor grows stronger, local governments need Youngor to “take care of” some businesses. Li Ru’s cost is unwilling to accept, but he can’t push it. For example, Yike Technology is the government that Youngor must hardly come in before the listing. "Youngor has no way to go public," but in desperation, he became a major shareholder.

In April 1997, the Ningbo Commercial Bank was formed. The city leaders hope to find a few powerful shareholders for the bank and let Youngor participate. Although worried that the bank is not easy to do, Li Rucheng is not good to refuse.

Investment 600030 CITIC Securities, attending stocks is a little cock factors listed Youngor 1998're looking for new projects in the industry. Li Rucheng is very interested in the securities industry. In his eyes, CITIC Securities is a relatively standardized state-owned enterprise, and its shareholder background is also good. It is a state-owned large and medium-sized enterprise. “It just complements us.” The listing of CITIC Securities, and The brokerage association became the strongest offensive in the bull market, and he was unexpected.

It is also because of these several half-pushing investments that they have achieved positive results in 10 years, and the profits have been quite frightening. In January 2007, 002,103 shares extensive, landing Shenzhen SME board diagnostic share, the closing price of January 25, 2008 to 15.22 yuan, while the cost of holding the Younger was 1.52 yuan. Yike Technology was listed in 2004. In April 2007, Youngor increased its holding of Yike Technology to 29.84% and became its controlling shareholder. On January 25, 2008, Yike Technology's closing price was 17.25 yuan, and Youngor's first investment of 16.23 million yuan has been enlarged by about 9.5 times.

July 19, 2007, Bank of Ningbo 002142, clinics listed shares, becoming the first domestic commercial bank market, less than 10, the stock rose more than 200%. On January 25, 2008, the stock price was 18.15 yuan, and Youngor’s investment cost was only 1.01 yuan per share.

What made Youngor’s wallet expand rapidly was the battle of CITIC Securities. Youngor’s shareholding cost is 1.7 yuan, and the total investment cost is only 320 million yuan. In February 2007, Youngor reduced its holdings by 30.12 million shares and cashed in 750 million yuan. After the reduction, it is still the fourth largest shareholder of CITIC. On January 25, 2008, the closing price of CITIC Securities was 76.02 yuan, and Youngor's book income was enlarged 44 times.

At the beginning of 2007, a person in charge of a financial consulting institution saw Li Rucheng in Ningbo. At that time, the effect of investing in CITIC had already appeared. What surprised him was that the steady Li Rucheng would also like to be happy. "I have been doing clothing for more than 30 years, and the profits are accumulated little by little." Li Rucheng told him, "But the investment is different, you can earn it all at once." 30 years of manufacturing money!"

Wishful abacus

After Li Rucheng, who made a lot of money in the investment, he began to take the land without cost, and became the "high-priced manufacturing machine" at that time.

In 2004, Youngor began to take the home of Ningbo, and made several high-priced land in the Yangtze River Delta, which also laid the foundation for the future contraction of real estate business. In the same year, at the auction of state-owned land use rights in Suzhou Industrial Park, Youngor won three plots of Hudong for 1.4 billion yuan, with a total area of ​​more than 250,000 square meters, which was considered "high price" at that time.

In 2007, Youngor won the bid of 415 million yuan at the north block of Qimen North Street and Yangchenghu West Road, Xiangcheng District, Suzhou City. The floor price was 4416 yuan/square meter, which became the crown of the price of Xiangcheng District in the same year; Youngor won the Hangzhou Business School in Hangzhou and sensationalized the Hangzhou real estate industry.

For Youngor, the most outstanding thing is that in 2010, Youngor won the No. 53 plot and No. 56 plot of Shenhua District in Hangzhou for 2.421 billion yuan. The transaction price reached 1.165 billion yuan and 1.256 billion yuan, totaling 2.421 billion yuan. The unit price record of local land sales has been refreshed.

Real estate has become the absolute main business of Youngor. In 2009, for example, Youngor’s real estate business achieved a revenue of 5.196 billion yuan, with a net profit of 1.191 billion yuan, while the net profit of the apparel sector was only 445 million yuan.

The prosperity and decline, after the housing market twists and the stock market's sluggishness, Li Rucheng's wishful thinking was defeated. Since 2011, real estate regulation and control has gradually been implemented, and the power has emerged. Cities such as Hangzhou, Shanghai, Ningbo, etc., which have heavy military expenses, have introduced a purchase restriction policy, and the property market has begun to cool down.

In the year when regulation began, Youngor’s performance was hit hard. In 2011, Youngor's operating income decreased by 20.49% year-on-year to 11.54 billion yuan; net profit decreased by 34% year-on-year to 1.76 billion yuan.

Without real estate as a strong source of profit, in 2012, Youngor had to announce that he would return to the main business of clothing, adjust the scale of investment, and concentrate resources on brand clothing. In 2013, in the third year of winning the Hangzhou plot, Youngor, who was under control, paid only half of the land price. Youngor, who was trapped in business, had to “smash his wrist” and lost a contract payment of 484 million yuan. The Hangzhou Shenhua plot was taken.

Another tens of billions of new gambling

Today, Li Rucheng, the 66-year-old chairman of Youngor Group, has become one of the billionaires in the world. He decided to gamble again. In recent years, the clothing industry, which has gradually faded out of the company’s operations, has once again stood at the end of last year and announced a super plan – “Recreating a Youngor in five years”.

New materials, new fabrics, new processes, new brands and new services - Li Rucheng announced that he will invest 10 billion yuan in three years to launch a technology and innovation strategy, "to create the acceleration of the development of the apparel industry, become Chinese clothing Fashion coordinates of the industry, and even the entire service industry."

To this end, Li Rucheng has been in the forefront. In 2015, he dug up the designer of George Armani and Taiwanese Gong Naijie as the company's design director. The newly renovated Youngor House, the top designer, Philip Handford, used to design store space for luxury brands such as Burberry.

To this end, Li Rucheng took a dozen-hour flight and flew to Europe to visit the top fabric suppliers. These suppliers, which have a history of hundreds of years, used to supply traditional luxury brands such as LV. He firmly believes that the fashion transmission mechanism of the Chinese market will replicate the traditional development path of the European and American markets. The public will follow the every move of idol-level figures in various fields, thus setting off a major change in fashion.

Although there are many uncertainties and controversies, this road is still uncertain, but the undecided clothing is determined to be determined, and those consumers who have traditionally consumed international brands will be won one by one. Come.

This time, will he bet on winning? â–