Following the acquisition of by Chunhua Capital Group for the infant formula and children's nutrition business of Reckitz on September 9, 2021, Mead Johnson China announced on the 10th that it officially Become a local-owned, localized management, local service, and independent operation business group, and at the same time announced the appointment of Zhu Dingping as the president of Mead Johnson China Business Group, leading Mead Johnson China Business Group to serve Chinese consumers with global resources integrating production and research. Realize the localization of business operations and the entire value chain. This is the first time in the global infant nutrition industry that a Chinese investment institution has completed the acquisition of a century-old international brand.
How can internationally renowned brands maintain their advantages in brand value and technological innovation, but also get closer to the needs of the local market, local channels, and local consumers? From the perspective of the industry, Mead Johnson China has provided a new path and sample for international brands to better realize the localized development in the Chinese market.
path upgrade: international brand technology + Chinese holdings + new localized operation model
According to the transaction agreement, Chunhua Capital acquired 92% of the Mead Johnson Greater China business from Reckless. To achieve complete control, Mead Johnson China Business Group will continue to closely contact and cooperate with Mead Johnson Global in technology research and development, product innovation, etc., and mobilize global R&D resources to serve the Chinese market.
"A century-old shop" Mead Johnson's identity change in China has brought a new starting point and a major opportunity for Mead Johnson China Business Group to "base on China and serve China". The path of fully localized operation of international brands and international resources undoubtedly broke the embarrassing situation of international brands in the Chinese market in the past that they were "non-domestic" and "unacceptable", enabling Mead Johnson China Business Group to truly break through regional and cultural differences and shorten " Chinese consumer demand-Mead Johnson China Decision" reaction chain,Respond to the ever-changing Chinese market with sensitive and efficient decision-making, serve Chinese mothers and babies, and empower Chinese families to fully release their development potential.
Concept upgrade: the value chain, digital chain, and decision-making chain are comprehensively upgraded
The industry believes that "Mead Johnson China's strategy has opened a new chapter in the development of international infant nutrition products in China."
The transformation of Mead Johnson China business group can be seen in the "management change". Mead Johnson China announced the appointment of the new group president, Zhu Dingping, who has many years of experience in the field of infant nutrition. Before joining Mead Johnson China Business Group, Zhu Dingping served in a number of senior management positions in a domestic nutrition company including the CEO of China. He was responsible for the company's sales, development strategy and overall management for 14 years, leading the Chinese team to create a ten-year compound With an impressive record of 40% growth, it has extensive experience in strategic layout, corporate strategic transformation, and business transformation and upgrading.
This local president with deep local operating experience attaches great importance to channel, customer service and value ecological construction. He often claims to be "the largest customer service staff in the company and also the most efficient customer service staff". He is pragmatic and efficient. The Qi style undoubtedly has distinct localization characteristics.
As soon as he arrived, Zhu Dingping proposed to pay close attention to the "three chains": one is to strengthen the "value chain" and make the value ecology more active; the other is to improve the "digital chain" through the use of digital technology Strengthen consumer services; the third is to shorten the "decision chain", so that the team will continue to improve the ability of efficient decision-making, and make agile responses to market changes.
Zhu Dingping revealed that he will continue to use global scientific research and supply chain resources, and at the same time, he will be more deeply rooted in China, adhering to the innovative concept of relying on century-old scientific research strength, guided by clinical evidence, and centered on consumers.To better meet the nutritional needs of thousands of Chinese families, "committed to becoming the preferred international brand of infant formula milk powder for Chinese consumers." As for the strategic goal, Mead Johnson China Business Group will carry out a strategic upgrade. In the future, it will focus on three major strategies-optimizing product portfolio based on local demand, upgrading the digital platform centered on Chinese consumers, and strengthening the value chain ecology.
In terms of product research and development, Mead Johnson China Business Group will maintain its centuries-old scientific research heritage and the consistent advantages of its global research and development network after the transaction is completed. Since entering China, Mead Johnson has established a complete scientific research institution and R&D team in China, and conducted nutrition research on Chinese babies. At the same time, Mead Johnson China Business Group has two world-class production bases in Guangzhou and the Netherlands, and will continue to leverage the advantages of global supply chain resources, adhering to a globally consistent strict quality control system, integrating production and research, and fully serving the Chinese market.
On the construction of a digital platform, Mead Johnson China Business Group will deeply tap the value of big data to empower product innovation and interactive experience services, and meet the diverse consumption habits and psychological needs of Chinese consumers.
In terms of strengthening the value chain ecology, Mead Johnson China Business Group will focus on customer orientation and market efficiency, optimize the market channel structure, focus on channel resources and strategic layout, and actively expand sales channels to serve a wider and more popular Chinese consumers and Chinese families.
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