Suning Chairman Zhang Jindong 15 Years of Wealth Legend

Looking back at Zhang Jindong's 15 years of wealth creation, the word "fast" is always indispensable. In 1984, Zhang Jindong left Nanjing Normal University and joined a company in Nanjing's Gulou district.

In the late 1980s and early 1990s, there was a trend of China going overboard. Young Zhang Jindong was also eager to try. After working, Zhang Jindong contracted a few air conditioning installation projects and saved 100 thousand yuan of capital to start his own business. The hottest and most profitable commodities were household appliances, with color televisions, refrigerators, and washing machines in short supply.

But Zhang Jing-dong was not one of them. After a few days of calm reflection, he surprised many around him by choosing to specialize in air-conditioners, which were then a "luxury" product.

In December 1990, zhang, 27, the near east, with "newborn calves are not afraid of the tiger" resigned from the fixed work, far away from downtown Nanjing Qinghai road rented a small area of less than 200 square meters of the facade, founded a small company specializing in air conditioning wholesale --, suning JiaoJiaDian, began a personal and stunning appliance entrepreneurial journey.

No one would have thought that more than ten years later, from this humble "small front", a Chinese household appliance chain "aircraft carrier" -- Suning Appliance, and its helmsman Zhang Jindong became "the man of the hour in China chain".

The forward-looking first step laid the foundation for Zhang Jindong's career. It was the era of huge profits in air-conditioner sales. Zhang Jindong achieved 60 million yuan in the first year, earning 10 million yuan in net income. Zhang Jindong was only 28 years old at the time. In the eyes of the state-owned shopping malls in Nanjing at that time, private enterprises Suning is undoubtedly halfway into the air conditioning industry "Cheng bite gold".

In 1993, the "eight major shopping malls" jointly launched an air conditioning war against Suning, declaring that they would uniformly purchase and lower prices and that if any air conditioning manufacturer supplied Suning, they would completely ban the brand. This was the first "price war" in the seller's market in China's home appliance industry. However, Suning became famous for the first time. With the advantage of price, the sales volume of air conditioners reached 300 million yuan that year, and Suning became the largest air conditioner dealer in China, and finally became the winner of this war.

However, the good times did not last long. After 1995, supply exceeded demand in China's home appliance market, and many manufacturers directly penetrated the retail market. To this end, Zhang Jingdong gradually reduced the wholesale business and began to build its retail terminal, selling home appliances from single air conditioning gradually increased to integrated electrical appliances. In 1996, Suning entered the Yangzhou market, marking its beginning to explore the road of home appliance chain out of Nanjing.

The year 2000 is a turning point for Suning Electric Appliance. This year, Suning stopped opening a single air conditioning store and transformed itself into a large integrated electrical appliance store. The company announced that it would open 1,500 stores nationwide in three years.

Suning Nanjing Xinjiekou store is located in the Suning Appliance Building, which is located in the center of Xinjiekou Business district, the largest business district in Nanjing, and is a "golden building". When the building was completed, Zhang Jindong was advised to rent it out, which would net him at least 30 million yuan a year. However, Zhang said firmly, "Even if the loss is 40 million yuan, Suning will still be a home appliance store." Time proved Zhang Jindong's right choice, Suning's national chain system is also expanding rapidly.

Zhang Jindejingkou store in Nanjing, which he originally planned to open with a loss of 40 million yuan, has now become the country's largest home appliance store, with annual sales reaching 1 billion yuan. "At that time, we were very unfamiliar with chains," says Zhang. "In 2000, we proposed to open 1,500 stores nationwide. I was under a lot of pressure from the industry, and even some of my retail colleagues laughed at me and thought it was impossible. Now, however, not only has Suning realized a national chain but also retail peers across the country are learning from Suning to take the path of chain."