标签归档 武汉红灯一条街

China Broadcasting Network Beijing February 26 news (reporter Cao Qian, intern Gao Jiashuang)At noon on February 25, Hangzhou Wahaha Group Co., Ltd. (hereinafter referred to as "Wahaha") issued an obituary, claiming the death of Zong Qinghou, the founder and chairperson of Wahaha Group.

While mourning a generation of "Zong" teachers, all walks of life naturally turn their attention to Wahaha, which Zong Qinghou "brought up". In the 37 years since its establishment, Wahaha has gone through one industry cycle after another, growing from a school-run enterprise distribution department to a leading brand in China’s beverage industry, which can be called an "evergreen tree" among Chinese private enterprises. In 2023, the last full fiscal year before Zong Qinghou’s death, Wahaha’s main business revenue and profit still achieved double growth.

Unlike other big consumer beverage giants that actively embrace capital markets, Wahaha has not been listed under the "four nos" strategy that Zong Qinghou insists on. Nongfu Spring, which compares with Wahaha, has achieved a jump in market value of 700 billion Hong Kong dollars in its second year of listing.

The sudden death of Zong Qinghou has added uncertainty to Wahaha’s future. The three major challenges lie ahead: the new performance increase point is not clear, the head has not really handed over, and the family transformation has not been completed. In this context, as the successor of overseas study, how will Zong Fuli write the "post-Zong Qinghou era"? Will it be re-examined and considered for listing?

Many experts pointed out to CGR Capital that it depends on the attitude of the new leader towards the capital markets. After listing, it is indeed a positive bonus for the company’s development, but it is not a "necessary option" for Wahaha.

Experts believe that listing can bring development funds to enterprises, a standardized corporate governance structure, and provide convenient channels for wealth appreciation and realization of relevant personnel such as actual controllers and executives, which can better attract high-end talents to join. But it does not mean that Wahaha will definitely achieve better performance and development after going public.

Where should the successor go?

Due to the death of Zong Qinghou, Wahaha, which was founded in 1987, has triggered many new conjectures. How will Zong Fuli, who has been officially in the forefront for more than two years, write a new era without Zong Qinghou?

For the 37-year-old Wahaha, the highlight of its "life" appeared in 2013. According to public information, Wahaha’s annual revenue reached 78.30 billion yuan in this year, which is the most brilliant year since its establishment. Zong Qinghou also won the title of the richest man in Forbes Chinese mainland three times in a row (2010, 2012, 2013).

But since 2014, Wahaha’s performance has continued to enter a downward channel. Public information shows that from 2014 to 2017, Wahaha’s revenue was 72.80 billion yuan, 67.70 billion yuan, 52.90 billion yuan and 45.60 billion yuan respectively.

In this regard, Zhu Danpeng, a Chinese food industry analyst, said in an interview with the media that the aging of Wahaha’s brand and products is a fatal injury to the beverage market. For many years, Wahaha’s product line has been mainly imitated and followed, with insufficient innovation, and there have been not many explosions to speak of.

Although Zong Qinghou’s daughter Zong Fuli became the vice chairman and general manager of the group in 2021, Zong Qinghou is still the chairman of the group. But Wahaha seems to have never really come out of the "Zong Qinghou era".

The industry has summarized the three major challenges that have plagued Wahaha, including the lack of clarity on new performance growth points, the fact that the handover between the old and new leaders has not yet been completed, and the transformation of the family business is still in progress.

After Zong Qinghou took a back seat, the scene of the baton handover did not really come. There are rumors that Zong Qinghou is "hands-on" in the company, and Zong Fuli, who returned from overseas study, has a big disagreement with her father on this point.

Now that Zong Qinghou has withdrawn from the historical stage of Wahaha, how should these three challenges be broken?

A number of experts pointed out to Central Broadcasting Capital that to solve the fundamental problem, first, we need to start from the internal management and strategic level, and second, we need to create new products in new categories according to the current market changes, so as to find a second growth curve for Wahaha.

"The most important thing is to get the support of the company’s core management. In the eyes of these veteran core management, Zong Qinghou is the soul of Wahaha. How to win the support and recognition of the core management in the fastest time is Zong Fuli’s current more difficult challenge." Zhan Junhao, a well-known strategic positioning expert and founder of Fujian Huace Brand Positioning Consulting, believes that at the internal management level, Zong Fuli should reach a consensus with the company’s senior management as soon as possible and complete the relay.

At the external strategic level, Qu Fang, an investment consultant at Wanlian Securities, believes that the future development direction of Wahaha is still to improve channels and promote new products.

"Wahaha’s advantage in the distributor channel is second to none among domestic beverage companies, but its TOC performance has been just passable." Qu Fang pointed out that at a time when emerging drinks continue to be launched and consumers gradually shift from traditional leading companies to personalized emerging brands, Wahaha needs to strengthen the launch of its new products that are more suitable for market demand.

Cao Zhe, chief investment officer of Aiwen Zhilue, also pointed out that Wahaha has accumulated a number of knock-out products that are deeply rooted in the hearts of the people, but consumers have a new mentality in beverages. Therefore, Wahaha should launch new products in a timely manner, meet new changes, and keep up with the trend of the times while adhering to its basic market.

"Wahaha has strong strength. As long as we adjust our business thinking and introduce the right talents, there are still many opportunities to achieve better results. Just like a sleeping lion, as long as it wakes up, it will surprise the market."

"Not listed" wins or loses?

Looking at the entire consumption track, Wahaha is one of the few unlisted beverage giants in China. Unlike many listed and financed beverage companies, Wahaha has not chosen to enter the capital markets for many years. The "four nos" strategy was Zong Qinghou’s consistent insistence in the early days, that is, no debt, no bonds, no loans and no listing.

In China’s capital markets, there are many listed companies in the beverage industry, including Nongfu Spring, Master Kong, Dongpeng Beverage, Yangyuan Beverage and other giants. And many new brands and innovative categories are also actively embracing capital markets. New tea brands Nayuki and HEYTEA will be listed on the Hong Kong Stock Exchange around 2021. Now, Mixue Bingcheng, Tea Baidao, Shanghai Auntie and many other companies are also queuing up to apply for listing.

Among the above brands, Nongfu Spring has always been regarded by the industry as the most representative benchmarking enterprise of Wahaha.

The founder of Nongfu Spring, Zhong Shanyuan, and Zong Qinghou are both from Zhejiang. The "contest" between the two Zhejiang businesspeople gradually diverged with the landing of Nongfu Spring on the Hong Kong Stock Exchange and the blessing of capital markets.

Over the years, Zong Qinghou has publicly stated many times: "Wahaha is not short of money, and there is no need to go public. Going public requires responsibility to shareholders. If the stock finally falls, causing ordinary people to lose a lot of money, I don’t think it is appropriate."

On the same track, Nongfu Spring took a diametrically opposite path and became a newcomer to the industry with the help of capital markets.

Since the listing of Nongfu Spring on the Hong Kong Stock Exchange in 2020, the market value of Nongfu Spring has reached 700 billion Hong Kong dollars on January 5, 2021. The founder Zhong Liangxuan’s net worth has thus charged 93 billion US dollars, not only squeezing out Ma Yun and Pony Ma to sit on the throne of the newly richest man in Asia, but also surpassing Warren Buffett to become the sixth richest man in the world. Since then, with the fluctuations of capital markets, Zhong Liangxuan has been the richest man in China several times and has also become the focus of capital markets.

"Zhong Xuanyuan, who started a business in the same city as Zong Qinghou, founded Nongfu Spring after Wahaha whether it started or became famous. But at present, Nongfu Spring is far above Wahaha in terms of scale and profit," Cao Zhe told CCTV Capital Eye.

Public data show that the total profit of Wahaha in 2021 is 6.219 billion yuan, and the after-tax profit of Nongfu Spring in the same year is 7.162 billion yuan.

In recent years, although Zong Qinghou is still on the rich list, he has fallen far short of Zhong Shansui.

In November 2022, Zong Qinghou ranked 45th on the 2022 Forbes Chinese mainland rich list with a wealth of 6.95 billion US dollars. On the Hurun Rich List in 2023, Zong Qinghou ranked 31st with a wealth of 95 billion yuan. During the same period, Zhong Yinyi became the richest man in China for the third time with a wealth of 450 billion yuan.

But did Wahaha really "lose" to Nongfu Spring? There seems to be no absolute conclusion.

According to the financial report, from 2021 to the first half of 2023, the total revenue of Nongfu Spring was 29.696 billion yuan, 33.239 billion yuan and 20.462 billion yuan respectively, far less than Wahaha’s 50 billion "record". According to the data of the All-China Federation of Industry and Commerce and Wahaha Group’s 2023 annual summary and commendation conference, Wahaha has maintained a total revenue of more than 50 billion yuan for three consecutive years.

In the "Top 500 Chinese Private Enterprises in 2023" list released by the All-China Federation of Industry and Commerce, Wahaha and Nongfu Spring, which entered the list in the beverage industry, ranked 227th and 374 respectively, Wahaha is 147 places ahead of Nongfu Spring.

This inevitably raises the question, if Wahaha is willing to enter the capital markets, will it develop better than it does now?

Looking at the future listing is still not a "mandatory option"

In fact, on the issue of listing, Zong Qinghou, who has adhered to the "four nos" strategy for many years, has not been "shaken".

According to public reports, in 2017, at the 30th anniversary celebration of Wahaha’s founding, Zong Qinghou changed his tone about the listing. He said: "After the listing, it can speed up the development of the enterprise, and it will be considered at an appropriate time."

Since then, Wahaha has repeatedly expressed its position to the outside world that it may consider going public in the future.

In March 2018, Zong Qinghou publicly expressed his desire to develop another enterprise, and he may also achieve greater development by listing proceeds raised in the future.

In February 2019, after Zong Fuli became the head of the brand public relations department of Wahaha Group, she also responded to the media for Wahaha’s IPO time table, saying that Wahaha’s listing is a very normal move, because the entire enterprise can achieve upstream and downstream integration through listing.

Along with the change of tone, Wahaha also has many suspected listing signals. The first news that Wahaha is going public is related to an announcement.

In April 2017, Hong Kong-listed China Candy announced that major shareholders such as Jiaqing entered into a letter of intent with potential buyers, who intended to make a possible voluntary offer to acquire at least 50% of the company’s voting rights. The ultimate actual owner of the potential buyer was Zong Fuli, the daughter of Zong Qing Hou.

For a time, speculation about Wahaha’s backdoor listing was everywhere.

On April 12 of that year, the relevant person in charge of Wahaha Group denied the speculation and said that the acquisition was Zong Fuli’s personal behavior and had nothing to do with the company. On the evening of July 13 of the same year, China Candy announced that the offer had not been made. Zong Fuli also released a statement on her personal Weibo saying that the company will continue to uphold its own development strategy in the future and continue to explore related fields in a positive and healthy commercial value orientation.

In April 2018, Wahaha’s repurchase of employee shares once again triggered rumors of a listing.

According to media reports at that time, some Wahaha old employees revealed that the company launched employee equity repurchase after the Spring Festival that year, but a new equity allocation plan has not yet been formed. On April 14 of the same year, Wahaha responded that the repurchase of employee shares was not for listing, but to "allocate shares more scientifically". Since then, Wahaha has no substantive listing action.

So in the future, is Wahaha still necessary to sprint to the capital markets?

Many experts pointed out to CGR Capital that it depends on the attitude of the new leader towards the capital markets. After listing, it is indeed a positive bonus for the company’s development, but it is not a "necessary option" for Wahaha.

Cao Zhe believes that listing can bring development funds to enterprises, standardize the corporate governance structure, and provide convenient channels for the wealth appreciation and monetization of relevant personnel such as actual controllers and executives, which can better attract high-end talents to join. The disadvantage is that the operation and management of enterprises after listing are subject to public supervision and to a certain extent are restricted by other aspects, and the behavior of actual controllers is subject to many restrictions.

Zhan Junhao also said that listing can provide more funds and resources for the company. For example, Nongfu Spring and Coca-Cola are representatives of expanding business, improving branding impression and increasing market share through listing financing. But there is no guarantee that Wahaha will achieve better performance and development after listing.

"Wahaha’s current main dilemma is the aging of the brand. Among the new consumer groups, Wahaha is the drink of the older generation. If this cognitive dilemma cannot be broken through, even if it is successfully listed, it will not bring substantive development to the company." Zhan Junhao said that for Wahaha, going public is not the only way to develop. The key is to find a differentiated brand positioning, formulate and implement the right strategy, and keep pace with the times to adapt to today’s changes in consumer demand.

In fact, the current shareholding structure of Wahaha does not comply with the listing regulations.

Public information shows that Wahaha since the implementation of the employee stock ownership plan in 1999, the number of shareholders has exceeded 15,000. According to the relevant provisions of the IPO, when the company to be listed applies for listing, the employee stock ownership plan needs to be penetrated by shareholders, and the final number of shareholders after penetration shall not exceed 200.

Professional analysis, the number of 15,000 shareholders optimized to less than 200 people, the difficulty can be imagined.

Qu Fang believes that even if Wahaha has not been listed, it is reasonable.

"Wahaha is not going public because it has abundant cash flow and does not want to dilute its equity through listing. Judging from its current operating conditions and IPO policy, it is neither necessary for listing nor in line with existing listing policies."

Qu Fang explained that, on the one hand, Wahaha has sufficient cash flow and limited listing promotion effect; on the other hand, the beverage industry belongs to the class A share IPO red line, even if the listing is also likely to choose Hong Kong stocks, but the current valuation of Hong Kong stocks is low, the market will not give a higher valuation.(Central Guangzhou Capital Eye)

As soon as they go to work in the early morning, the sound of "ding ding ding bang" can be heard in the factory of Yiqing Food Group in Daxing District, Beijing. Workers are unloading baskets of empty glass bottles from trucks and moving them into the warehouse. Each glass bottle has a white polar bear printed on it, with three Chinese characters at the bear’s feet: Arctic Ocean.　　

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Arctic Ocean is a time-honored brand of Beijing’s native orange soda.For Beijingers, Arctic soda is like White Rabbit toffee for Shanghainese and Wufangzhai zongzi for Jiaxing people. It is a brand that can evoke deep nostalgia.It was born in 1950 and flourished in the Beijing beverage market for a while, but it disappeared after the 1990s.　

　

Like many old brands, Arctic Ocean has experienced a long period of loneliness under the wave of China’s economic transformation and state-owned enterprise reform. During this time, the market is surging with Coca-Cola, Pepsi, Sprite, Mirinda… In 2011, when the Arctic Ocean, which had disappeared for 15 years, reappeared, some people said that "all Beijingers should celebrate this."

As soon as the Arctic Ocean soda went on sale, it was welcomed by consumers in Beijing.

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Synonym for soda

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Every older Beijinger has a story about the Arctic Ocean. Back then, in the summer, there was a large block of ice in front of the common corner grocery store, and the Arctic Ocean soda was lying on the ice. The boss sat on the side, turning the glass bottle from time to time to make the soda chill more evenly.　

　

A few children who had been playing wildly outside for half a night ran over and bought a few bottles of soda. They raised their necks and drank it "Gudong Gudong", while not forgetting to stroke the soda one by one from left to right with their oblique eyes. After a row of soda was turned over, the bottle in their hands just finished drinking, the children deliberately burped and laughed at each other. After returning the empty bottle to the store, they continued to sprinkle girls outside.　　

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A dime – in his fifties, Li Qi still remembers the price of the Arctic Ocean in his youth.Today, he is the general manager of Beijing Yiqing Food Group, in charge of two brands of Arctic Ocean soda and Yili bread. Li Qi is a native of Beijing, with a burly figure and a loud voice. When he goes to work, he always likes to walk around the workshop, see the empty glass bottles shipped back one by one, cleaned and disinfected, refilled with soda, and shipped to various places "Ding Ding Bang".　　

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What a friendly voice, it once rang in the large and small hutongs of Beijing, causing countless children to lose their homework and make a lot of effort. In the 1970s, in the most glorious years of the Arctic Ocean, it became almost synonymous with soda.Wang Xuliang, an electrician who has worked in the Arctic Ocean for nearly 40 years, said that at that time, the people who picked up the goods were waiting in the workshop, and the tricycles carrying soda were lined up from the factory to the street.　

　

Li Qi was less than 20 years old at the time, and had just been assigned to another time-honored food factory in Beijing, Yili Bread. Yili was founded in Yuyuan Road, Shanghai in 1906, and moved to Beijing in response to the call of the "prosperous capital" in the early days of the founding of New China. Like Arctic soda, Yili Bread also enjoyed the glory of giving up one’s name in the Beijing market at the time.

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Vanishing Brand

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But times have changed. The Third Plenary Session of the Eleventh Central Committee in 1978 put forward the strategic decision of "reform at home and opening up to the outside world." Deng Xiaoping said: "The current world is an open world."　　

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At that time, Li Qi, who had just entered the factory, was completely unaware of the changes in the outside world. Like his co-workers, he was proud to be an employee of a state-run factory. In the bakery in Yili at more than 40 degrees Celsius, he used his hands wearing two layers of heat-insulating gloves to remove the bread molds from the oven, and then knocked the baked bread one by one from the mold upside down. After finishing this string of work, the heat-insulating gloves were hot, and his hands trembled lightly. He adjusted the gloves back and forth, and continued to remove a batch of bread from the oven. When the day’s work was over, a bottle of Arctic soda was the best comfort.　

　

Coca-Cola entered China in the same year that Mr. Li entered Yili. At first, the Chinese didn’t seem to like the taste of traditional Chinese medicine. But soon, everyone began to see the tricks of foreign soda. Every weekend, in major shopping malls in Beijing, Coca-Cola employees hold colorful balloons marked with the Coca-Cola logo and sell to customers, buying a bottle of Coke for 50 cents and giving away a balloon or a pair of packaged chopsticks.

　　

The promotion caused a lot of shock. Some newspapers immediately issued articles criticizing the practice, saying that the practice "invades China and introduces the capitalist way of doing business."Soon, the order came from above: Coca-Cola can only be sold to foreigners in China, and "one bottle is not allowed to be sold to Chinese people."　　

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Li Qi, who was still a bakery worker at the Yili Bakery at the time, realized that change was really coming, and the ban was probably unbearable. Sure enough, within a year, the ban was lifted and Coca-Cola was allowed to resume domestic sales. Two years after Coca-Cola entered China, Pepsi followed. In the following years, foreign companies flocked in. In the Beijing market, the dominance of the Arctic Ocean is in jeopardy.　　

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In 1994, Chinese companies set off a wave of joint ventures. The government brokered a joint venture between Arctic Ocean and Pepsi Cola. Across the country, there are six other famous beverage factories: Shenyang Bawangsi, Tianjin Shanhaiguan, Qingdao Laoshan, Wuhan Bridge, Chongqing Tianfu Cola, and Guangzhou Asia Soda. They wanted to expand their operations with foreign capital, but they gradually drowned in the wave of foreign soda and gave up the Chinese soda market.The industry later called it the "flooded seven armies" incident.　

　

Soon after the partnership between Arctic Ocean and Pepsi, the brand was "frozen". After more than a decade, it was difficult to find Arctic Ocean soda in the market. Six other domestic beverage brands were also abandoned by Coca-Cola and Pepsi one after another. Only years later did the domestic business community understand that this was a strategy for international companies to eliminate local competitors.

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Return of righteousness

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The Yili Bakery, where Li Qi was working at the time, encountered a similar dilemma: First, it established a joint venture with the international giant Nabisco to establish "Yili-Nabisco". After a few years, the word "Yili" in the company’s name disappeared, and a few years later, Yili Bread also stopped production. In 1992, The Beijing Evening News published a letter from a reader with the headline "Where Did Yili Bread Go?"After reading Li Qi mixed happiness, sadness is the national brands disappear one by one, happy is that people still miss them.　　

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There was also a piece of news at that time, which in a way that made people laugh and cry, pinned the thoughts of Beijingers for time-honored brands. In 1995, the industrial and commercial bureaus of Chaoyang, Haidian, Fengtai, Chongwen and other districts in Beijing received reports one after another, saying that the Arctic Ocean soda sold in the market was mixed with fish and eyeballs. After searching for thousands of bottles of counterfeit Arctic Ocean, the industrial and commercial law enforcement officers followed the lead and found a regular beverage factory located on the outskirts of Beijing, and found a large number of Arctic Ocean soda and empty bottles in the workshop and warehouse. In the ingredients room, the law enforcement officers saw two bottles of soda with color labels and the words "Pepsi-Arctic Beverage Co., Ltd." on the lid. One was real and one was fake. The law enforcement officers asked the beverage factory manager, what happened? The factory manager mumbled out a few words: This bottle of real Arctic Ocean is a counterfeit specimen. He admitted that the fake Arctic Ocean was customized according to the requirements of the wholesaler.Despite the start of spring and the cooler weather, the beverage factory sells hundreds of cases of counterfeit Arctic Ocean every day.　　

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At this time, the genuine Arctic soda factory has been shut down. In the old factory building at Shazikou outside Yongding Gate, the dust is full of machines, and in boredom, there are occasional chats of workers. Wang Xuliang, an electrician, said: "More than 2,000 workers have been laid off, and only a few of us are left. We stay behind to watch the factory building, and by the way, we repair the staff dormitory." In a few years, even the old factory building has been demolished, and the office buildings that have risen on the original site have nothing to do with the Arctic Ocean. The Arctic Ocean has disappeared, leaving only counterfeits to flaunt and newspapers to conjure souls.　　

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After reading the newspaper news, Li Qi made up his mind to get the time-honored brand back. In May 1995, with the start-up capital of 500,000 yuan given by the factory, he started a "third industry" business in an old factory building of 300 square meters outside the South Second Ring Road. Still making bread, more than a dozen people are responsible for their own profits and losses. Li Qi named the product "Righteous King".

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Yili came back from the dead. In 2001, Li Qi’s bakery merged with another factory and was renamed "Yili Bread Factory". In the following decade, Yili’s classic products, fruit bread and vitamin bread, occupied hundreds of shopping malls and supermarkets in Beijing. In 2012, the self-operated chain "Centennial Yili" appeared on the streets of Beijing.　

　

The next comeback is the turn of the Arctic Ocean.

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Looking for "Original"

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In 2011, Coca-Cola’s 15-year license to operate the Arctic Ocean brand expired, which meant that the Arctic Ocean was lifted and could be returned to the market. A few years later, when Chongqing Tianfu Cola, which was destroyed by the "Seventh Army of the Drowned" at the same time, returned, a local newspaper described the scene:"The base color of the spray painting is gray like a Holocaust memorial, with some mottled black on it, and the four red characters of’Tianfu Cola ‘are printed on it. This is a rare comeback ceremony with a strong tragic atmosphere."According to reports, the background music of the event that day was "My Chinese Heart". Domestic beverage brands have been lost for nearly 20 years, and international brand beverages are overwhelming. The comeback of time-honored brands looks tragic and lonely.　　

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Li Qi, who had been making bread for half his life, was ordered to take over the Arctic Ocean under such circumstances.　

　

When the Arctic Ocean returns, the first thing to do is to restore the original taste. The heart of the drink lies in the formula. The most legendary in the industry is Coca-Cola, which has been kept secret for more than 100 years since its inception in Atlanta in 1886. It is said that its handwritten secret recipe is hidden in a bank safe.　　

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In Beijing in 2010, Li Qi dug out the archives kept by the technical department from the warehouse. The recipe for the Arctic Ocean is handwritten on white paper and packed in a blue plastic folder.Notes on the folder: storage period, permanent; classification, secret.　　

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The ingredients are water, carbon dioxide, orange juice concentrate, sugar, additives and orange oil. What makes the Arctic Ocean special is orange oil. It is cold-pressed and separated from the peel of oranges and is a natural flavour and colouring agent. It is the most precious part of oranges. A ton of oranges produces only 6kg of oil. The source of the orange determines the quality of the orange oil, which in turn determines the taste of the soda.　　

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In the past, the Arctic Ocean used to purchase the "Dahongpao" red oranges produced in Wanzhou, Chongqing. More than a decade later, when Li Qi led his technicians to Wanzhou, the original orange production area has changed, and the processing plants they used to cooperate with have long since disappeared. They traveled all the way west, and finally settled in Nanchong, Sichuan. Nanchong is located in the shallow hilly area of the upper Jialing River, with water quality of Class II, and the "Dahongpao" produced is of good quality.　　

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The raw materials were determined, but the research and development did not proceed smoothly.The soda prepared according to the "secret recipe" is not the original taste, and it is even "hard to drink".There are countless factors that affect the taste of food: raw materials, air, water, equipment, workers… After more than ten years, these factors have changed. Naturally, the taste of the debugged soda will also change.　　

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The old formula has failed. In addition, the properties of soda are also difficult. Technicians found that orange oil is insoluble in water. The general method is to use emulsifiers, but small amounts cannot be dissolved. Large amounts affect the taste.

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Rebuilding the Arctic Ocean is far more than just a picture of the gourd.

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Rebuilding the Arctic Ocean

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While he was tuning his soda recipe, Mr. Li was looking for soda production equipment. The original Arctic company was gone, the team was gone, and the production line was gone, leaving an old brand empty. At an industry fair at the Beijing International Exhibition Center, Li Qi was struggling to find equipment when an elder next to him said: "I’m from the old Arctic Ocean."　　

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Li Qi looked at the old man in front of him. He was about 60 years old and tall. His name was Ma Qian. He entered the factory in 1972. At that time, the Arctic Ocean was still called the Beijing People’s Food Factory. Once in the factory, he was assigned to the soda workshop to deal with machines. In the 1980s, he went to Iraq to assist in the production of local beverages. He worked for Pepsi Cola there for two years and was exposed to advanced Italian and German machinery.　　

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After returning to China, Ma Qian was promoted to director of the Arctic Ocean workshop. He couldn’t figure out how the joint venture between Arctic Ocean and Pepsi at that time."I’ve been in charge of the equipment in the workshop. At that time, when it was said that you were from Arctic Ocean, no matter where you went, people knew you. Arctic Ocean is very well run, and there is no need to partner with others. I don’t understand the approach after the joint venture. There is no hope for this brand."He quit his job and opened a factory in Tongzhou to produce beverage equipment.　

　

When he met Ma Qian, Li Qi had just taken over the Arctic Ocean, but he had already heard of this old workshop director and skilled technician. "I’ve heard of you, let’s talk." Li Qi said.　　

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Knowing that Li Qi was going to recreate the Arctic Ocean, Ma Qian said: "I learned my skills in the Arctic Ocean now, and all the technical training was sent by the Arctic Ocean. What I know should be given back to the Arctic Ocean for free." This coincidence not only prompted Ma Qian to become a new shareholder in the new Arctic Ocean, but also a senior consultant in solving technical problems of equipment.　

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Mr. Ma’s company supplied Arctic Ocean with pre-equipment such as ingredients and refrigeration. In addition, Arctic Ocean also imported a production line from Nanjing Light Industrial Machinery Group (hereinafter referred to as Nanqing). Nanqing has an unusual connection with Arctic Ocean: it once provided the first production line for the old Arctic Ocean to imitate Japan’s Mitsubishi, and the current chairperson was an apprentice of Arctic Ocean in the 1980s. So, like Ma Qian’s equipment, Nanqing’s production line has the genes of the old Arctic Ocean from the beginning. The equipment solves the problem that has plagued Li Qi before – that orange oil is insoluble in water. The new process uses a high-shear emulsifier to split the orange oil into tiny ions, which are then matched with a suitable amount of emulsifier.　　

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The imitation journey took half a year. Li Qi had forgotten how many formulas he had tried, the only thing he remembered was the strict taste review after each development.Each time a recipe is developed, it is first tasted by three technicians, and then given to a team of dozens of people. This team is made up of people who have drunk the old Arctic Ocean and people who have worked in the old Arctic Ocean.When the last batch of experiments came out, Ma Qian supported his master, the first generation of Arctic employees, to the factory to determine the final taste. Master picked out a bottle and said, "This is it."　　

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Then things went smoothly: Li Qi hired young designers with overseas study experience to redesign the polar bear logo in the Arctic Ocean. The new logo has a traditional shadow but is more flexible.　

　

Sales channels are not difficult to choose, but those mom-and-pop stores that are scattered all over the hutongs.These mom-and-pop shops, often only a few square meters in size, penetrate deep into Beijing’s capillaries but are ignored by big dealers.The Arctic Ocean soda that is deep in everyone’s memory was once displayed on the large ice cubes in front of these small shops.　　

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On a sweltering August morning in Daxing, Li Qi watched as workers moved boxes of empty glass bottles back into the warehouse overnight. "How much did you sell last month?" he asked.　

　

"3.30 million boxes," Hu Zhiyong, the head of storage, replied.　　

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On another 37-degree-Celsius sauna day, Li Qi wiped the sweat from his forehead and nodded at Hu Zhiyong.He forecasts that his goal of selling 800 million yuan this year is promising.　　

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Twenty kilometers away, on the streets of downtown Beijing, thirsty passers-by opened a bottle of Arctic Ocean, "Gudong Gudong" was just a few bites, and a burst of orange fragrance lingered in the throat for a long time. "It’s still the smell!"　

　

Only Li Qi and his friends know that the Arctic Ocean is no longer "original".