Hainer Rivers - Wuhan's strategy for opening up (Figure)

A corner of Wuhan Jianghan District

In early November, Wal-Mart and Warner landed shoulder to shoulder in Wuhan. The two companies, one is the world's top 500, one is the global cinema line overlord. Perhaps it was an opportunity, perhaps a coincidence, and the two giants invariably met in Wuhan, seemingly intending to show the new price of the city.

With the rising of the “rise of central China”, Wuhan’s strategic position is even more prominent on the territory of the Republic.

The open Wuhan has opened wider minds. "Dragon" landing: open up the history of the automotive industry, is a favorite of many cities. The history of automobile manufacturing in Wuhan can be traced back to the 1960s. From the birth of the first "Zhongnan" brand 25-ton truck in 1965 to more than 20 years in 1988, the product has been up and down, and the companies have been divided and merged. The automotive industry in Wuhan has always been at a low level. However, the Wuhan love car industry has not changed its heart. The opportunity has come. The introduction of the French Citroën production line as one of the largest joint venture projects during the national "Eighth Five-Year Plan" period has given Wuhan people great temptation. The investment of 4.6 billion yuan and 300,000 cars will add more than 30 billion yuan of output value each year to the statistics. A thousand cars and parts of a car can bring back a large number of downturned companies.

Wuhan's policy makers are striving for this project. After many hardships and good things, Wuhan won the competition in 114 cities across the country.

In October of 1988, Dongfeng Motor Company and French Citroen Company announced that: Shenlong Automobile Co., Ltd., a joint venture between the two companies, will establish an assembly base of 300,000 cars per year in Wuhan.

In order to speed up the construction of the car base, the municipal government has opened a car parts processing zone in Zhuankou, providing a series of preferential policies from land acquisition, taxation and other aspects, and encouraging the development of car matching industries. The city’s functional departments provide a full range of quality services for the car development zone and create a good investment environment.

The wild mountains and past hills have become fiery construction land. "Shenzhen Speed" is here to interpret human miracles. The "SAR model" here shows the great strength of the new mechanism.

In 1992, the five major workshops for welding, painting, stamping, mechanics, and assembly of the Shenlong project were successively grounded in Zhuankou.

The great attraction and cohesiveness of the project have emerged. For a time, auto parts companies at home and abroad actively followed up. Vantone Automotive, Dongfeng Tire, Yaohua Glass and other projects have come one after another.

In April 1993, the state officially approved the construction of Wuhan Economic and Technological Development Zone in Zhuankou.

The rising automobile city rewritten the urban pattern of Wuhan and rewritten the economic map of Wuhan.

"Dancing with Wolves": Great Promotion in Business and Trade

Wuhan has always been a must for business. For a long time, there was a saying that "the goods arrived in Hankou."

Since 1984, when Wuhan made the decision to take off the two links (traffic and circulation), commercial development was particularly rapid. In 1991, among the 100 largest retail shopping malls in the country, Wuhan was the only one of its kind, ranking first in the country.

This year, the listing of China’s first commercial “Ewu Merchant” attracted many surprises. In just a few years, Wuhan has stepped out of five commercial stocks such as China Merchants and Zhongbai.

The huge potential of the Wuhan market has attracted Beijing's Wangfujing, Shanghai Hualian and other domestic business giants to come to the beach.

Despite the strength of Wuhan's business community, Wuhan has not shut down the giants of foreign business even though domestic famous shops gather in Jiangcheng.

Openness is an irreversible historical trend. Wang Aiqun, chairman of Wuhan Zhongbai Group, stated that it is only a matter of time before foreign-funded businesses enter Wuhan, and it is not as good as quoting wolves into the room and dancing with wolves.

In December 1998, Hankang Group took the initiative to establish a large-scale supermarket with the world's second largest retail giant, French National Carrefour. Soon, Metro, the world's third-largest retail giant, debuted in Jiangcheng.

In 2000, Carrefour had annual sales of 610 million yuan in Han, ranking among the top five retailers in the province.

Last year, Poolsmart entered Wuchang. Carrefour and Metro have expanded and have already owned 3 supermarkets and 2 supermarkets in Wuhan.

This year, Wal-Mart, which ranks first in the world's retail industry, opened its first branch in Zhongshan Avenue in Hankou. In this way, the top three retailers in the world are all in line.

Fortunately, Wuhan's commercial enterprises "dance with wolves" and have not been eaten by "wolf." On the contrary, through the study of competition and competition in learning, the business philosophy and management level of Wuhan Business have greatly increased. Wuhan Zhongbai's supermarkets were opened to all three towns and opened to Xiaogan and Jingzhou to interpret the new "supermarket myth." "Smile service", "every day cheap", "logistics distribution", "centralized procurement" ... ... a new concept, to bring new vitality to the Wuhan business community, but also to bring new enjoyment of River City people.

Brand graft: opening up a new world

Speaking of the "Israel Controversy" at the end of 1995, people in Wuhan still remember.

The Greek Island was once the pride of Wuhan people. Its “Lanbo·Hedao” air conditioner was the first of its kind in the energy-efficient air-conditioner, and it was very popular in the domestic market. However, due to various reasons, Hey Island lost ground in the cruel market competition and suffered many injuries.

In order to repay the bonds that are due to expire and seek further development of the company, Wuhan State-owned Assets Company and the Greek Island Company have sought cooperation partners and finally selected the Haier Group, which is known for its unique management and strong capabilities.

Now it seems that a common case of asset reorganization has caused a great psychological and conceptual conflict. Some people say that this is "declination."

Under tremendous pressure, Wuhan's policy makers are determined to “hand in hand” with Haier.

At the end of the year, the Haier Group moved southwards to merge with Wuhan Xidao Co., Ltd. in a controlled manner. After Haier's operation and management, in 2001, Wuhan Haier realized an output value of 1.5 billion yuan, an increase of 100% over the previous year. The growth rate ranked first among Haier Group's nearly 30 subsidiaries, doubling the air-conditioning sales revenue and profits.

With this good foundation for cooperation, in the following year, Haier invested heavily in the Hanjian Haier Industrial Park, producing 2.5 million air conditioners per year.

Wuhan Lotus Electric Company also had the same fate. In the 1980s, this company was one of the top ten washing machine manufacturers in the country, and “Lotus” is also a nationally renowned brand. But soon afterwards, production and sales have entered a low point. In 1993, the company cooperated with Wuxi Little Swan Group to set up Wuhan Little Swan Washing Machine Co., Ltd. to produce “Little Swan” washing machines. The grafting of the brand makes this company a dead tree.

Use stock assets, graft well-known brands, and introduce well-known companies, so that one after another decline in the old company to a new life.

Some people feel sorry for the loss of the "Island of Greece" and the loss of the "Lotus". However, more Wuhan people are delighted to get "Haier" and get the "Little Swan".

Headquarters economy: show open atmosphere

On September 28 last year, Dongfeng Group, one of the largest domestic automobile manufacturers, laid the foundation for its new headquarters in the Dunkou Development Zone.

Before and after this, a group of large enterprises and large groups in the province moved their headquarters to Wuhan. Some well-known international companies also expressed that they would like to set up headquarters or regional headquarters in Wuhan.

According to news from the Wuhan Economic and Trade Commission, 65 of the large enterprises with more than 10 million yuan in the establishment of corporate headquarters, regional headquarters, and offices in the country last year alone. Up to now, there are more than 2,600 offices in the country. There are more than 110 international consortiums and financial institutions that have built branches or offices here. Of the world’s top 500 companies, 50 have already landed in Wuhan.

Miao Wei, general manager of Dongfeng, said that Dongfeng headquarters had been relocated to Wuhan. Since then, many large projects will be considered first in Wuhan. Some projects are joint ventures between Dongfeng and people, and some may be introduced to automobile support enterprises in Hubei and Wuhan.

This statement is true. With the relocation of Dongfeng Headquarters, Dongfeng Honda, Dongfeng Peugeot and Zhongyu Automobile have settled in the Wuhan Development Zone. Many auto parts companies, such as tires and seats, are being followed up at home and abroad to accelerate the extension of the automobile industry chain. At the same time, Dongfeng and Renault's cooperation projects are also expected to be placed in Wuhan. In this way, Wuhan Development Zone will become an auto base with 600,000 production capacities and a large industrial chain.

A more ambitious plan is brewing. Wuchang District plans to build “Top 500 Headquarters Area” in an area of ​​21 square kilometers west of Linjiang Avenue, east to Donghu Road, south to Wuyi Road and north to Xudong Street. This "Top 500 Headquarters Area" includes the world's top 500, the top 500, the private economy 500, the headquarters of the top 500 companies (companies), regional headquarters, research and development centers, sales and service centers, and logistics and distribution centers.

In the wave of openness, Wuhan people showed the wisdom of the sea.

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