BYD founder Yang Longzhong may resign

Yang Longzhong is a college classmate of Wang Chuanfu, president of BYD, one of the three founders of the company and a leader in company marketing. He participated in and promoted the development of BYD's own brand cars, turned BYD into a first-class EMS manufacturer in the IT industry, and carved 1/3 lithium battery for mobile phones around the world? Made in China? . At present, he is the senior vice president and general manager of BYD's marketing department, mainly managing IT business, and is an entrepreneurial veteran in the company.

According to the data disclosed by Shenzhen Stock Exchange, in August this year, Yang Longzhong cashed in 8.43 million shares through the block trading platform, and the cash amount exceeded 1 100 million yuan. BYD became the biggest selling order in July with a market value of 54.3534 million shares and nearly 870 million yuan. This is also regarded by the outside world as the performance of Yang Longzhong's resignation.

The founder of BYD resigned or cashed in hundreds of millions.

Recently, insiders of BYD Co., Ltd. revealed through Weibo that Yang Longzhong, the current senior vice president and one of the founders of BYD Company, will leave his post.

Just in August this year, the data disclosed by Shenzhen Stock Exchange showed that Yang Longzhong, vice president of BYD, cashed in 8.43 million shares through the block trading platform, and the cash amount exceeded 1 100 million yuan. BYD became the biggest selling order in July with a market value of 54.3534 million shares and nearly 870 million yuan. In addition to worrying about performance, internal executives will leave, which may also be a reason.

Yang Longzhong is a classmate of Wang Chuanfu. As one of the three founders of the company, he participated in and promoted the development of BYD's own brand cars, turned BYD into a first-class EMS manufacturer in the IT industry, and carved 1/3 lithium battery for mobile phones around the world? Made in China? .

Wang Chuanfu, chairman of BYD, admitted for the first time that there was a mistake in strategy.

What car does Wang Chuanfu, the former richest man in China, take?

One day in March, 20 12, the general manager of BYD's automobile quality department, who had not seen his boss for many days, found that the boss Wang's car was replaced by a BYD Speedmaster. This model, which debuted in the world on August 2 1, is a turnaround work within BYD, and its first owner is actually the boss himself.

Anything can happen. The most profitable private entrepreneurs in China should not only direct a game on the field, but also personally play the role of cheerleader to cheer for their new products.

In the past three years, the company he led has suffered a fierce impact, and its profits have shrunk by more than 90%. The traditional automobile business that once pushed BYD to the altar was sluggish, and the IT OEM sector also declined due to the rapid adjustment of the global industrial structure. Tens of billions of yuan of investment has been widely distributed to industrial parks all over the country, and there is almost no hope of recovering the cost.

In 20 12 years, BYD's automobile sales maintained the growth momentum of 100% for five consecutive years, which came to an abrupt end. On August 3 this year, Wang Chuanfu lowered the company's car sales target for that year by 25%, from 800,000 to 600,000. Even so, BYD still failed to achieve its sales target, with a year-on-year growth rate of only 65,438+05.5%, less than half of the industry average growth rate. In 20 12, BYD's net profit decreased by 33.48% year-on-year, among which the profit of automobile business also decreased from 3.5 billion yuan in 20 12 to 174 billion yuan in 20 12, with a decrease rate of nearly 50%. Recently, BYD released the financial report for the first half of 20 12, showing that the net profit decreased by 94.09% year-on-year.

With the endless losses, the belief of BYD's senior management team began to waver. 20 1 1 On August 6th, 2008, Xia Zhibing, the vice president who made great contributions to BYD Auto, resigned from all his posts and thanked Wang Chuanfu. Not long ago, in July, BYD executives and shareholders sold shares five times in a row within ten days, cashing in 422 million yuan.

All this is rare in BYD's history. In an exclusive interview with the reporter of China Economy and Informatization, Wang Chuanfu admitted his mistake for the first time, saying that BYD was undergoing a major operation.

The defeated army collapsed like a landslide.

In 20 12, Wang invited Buffett to visit the production base again and attend the new car launch conference, but this was interpreted by the outside world as? Show? . He earned enough popularity, but at this time BYD's invisible disease has gradually appeared and started to break out.

The sales growth rate of 20 12 BYD Auto 15.5% gave Wang Chuanfu a blow. More seriously, BYD has lost control of the dealer network. In 20 12 years, BYD dealers faced problems such as heavy warehouse pressure, poor capital turnover, low profits and even losses. As many as 308 BYD dealers announced their withdrawal from the network, and the overall proportion of dealers withdrawing from the network was as high as 22.63%.

Two weeks later, on August 23rd, 20 1 1, BYD released the interim report of 20 1 1, showing that in the first half of the year, BYD achieved a net profit of 275 million yuan, down 88.63% year-on-year. Among them, in terms of automobile business, BYD achieved vehicle sales of 220,000 vehicles, down 23% year-on-year, and the sales revenue of automobile business reached 654.38+0.028 billion yuan, down 25% year-on-year.

The trouble doesn't stop there. Netizen? Ya ru Cang? According to the news of layoffs in Weibo Middle School, all marketing departments of BYD Auto Sales will be dissolved immediately, and all of them will be limited to fending for themselves before September 30th, and the proportion of layoffs is as high as 60%.

The pressure of public opinion made Wang Chuanfu feel at a loss. From September of 20 1 1, BYD's colleagues in charge of media communication began to complain to the top management frequently, and endless negative reports such as "BYD fiasco" and "BYD's lessons" flooded in. Wang Chuanfu even set up the post of public relations director in the company for the first time.

In the end, in 20 1 1 year, BYD sold 437,000 vehicles, down 13.33% year-on-year, with a gross profit of 2.06% and a net profit of 45. 13%.

This year, the BYD electric car that Wang Chuanfu has always been proud of once again made his already anxious heart worse. At 4 o'clock in the morning on May 27th, Wang Chuanfu received a phone call from Zhao Jianping. He was told that the BYD pure electric car E6, which was put into the taxi market in Shenzhen, was hit and its tail caught fire, causing death.

Although Shenzhen announced the accident investigation results in early August, it said? No sign of battery explosion? But all this has prompted the private car king to reflect on how important quality is to a car company.

In the interview, Wang Chuanfu made no secret of his past mistakes. He said:? It is hard to imagine the growth of 10% in the sixth year and 5% in the seventh year when the growth has doubled for five consecutive years. However, the urgent demand in the domestic market still exists, and we still have room for growth. The domestic market can grow by 20% or even 40%. This was our judgment of the market at that time and overestimated ourselves. Doubling is unlikely, at least it can reach 60%. ?

Wang Chuanfu, who has realized the problem, is doing his best to bring BYD into the right track of development. But what worries him is that he seems unable to curb the decline in BYD's performance growth.

A complete failure of an idea?

BYD has turned from a small workshop into a world factory, crushing many competitors, largely thanks to the vertical integration model advocated by Wang Chuanfu. He firmly believes that the experience and mechanism of vertical integration model can also be successful in the automotive field. He also believes that BYD has the world's leading battery technology, and once the battery is linked with automobile technology, BYD will take the lead.

The ideal is full, but the reality is very skinny. Wang Chuanfu once assured his dealers that the cars produced by BYD would definitely make them make money and sell well. But he lost the first battle.

At the end of 2003, BYD launched its first car, 3 16, but BYD car dealers all walked away after seeing this car. BYD, which has always been invincible, is shrouded in the shadow of failure. Lian Yubo, chief engineer of BYD Auto Industry Group, later recalled that everyone was dumbfounded when they saw this car. The appearance is ugly, the cost is not cheap, the function is not good, and the overall cost performance of the car is not good. Wang Chuanfu decided to cut this project with an investment of 200 million overnight. In his view, if a product has no characteristics or high cost performance, if it does not sell well after entering the market, it will cause greater losses at that time.

Today, nine years later, people only know the glory of BYD F3, but few people know that BYD still suffers from 3 16. After the failure of 3 16, Wang Chuanfu decided to develop his own car. The first car is F3. Later, this car became the best-selling car in China, surpassing well-known brands such as Volkswagen Jetta and Toyota Corolla.

BYD could produce everything by itself except tires and glass, which was almost a true portrayal of BYD at that time. Wang Chuanfu makes cars in his own way. He chose to build his own car and cooperate with second-rate suppliers. In BYD, tens of thousands of engineers and hundreds of thousands of ordinary operators develop, design and manufacture products, molds, equipment and factories day and night. BYD's Shenzhen production base is as big as 260 football fields. In this production base, BYD has more than 50 production workshops for automobiles, of which more than 2,000 sets of equipment are successfully developed by BYD itself. This high independent control rate gives BYD a natural cost advantage and promotes the vertical integration of BYD's automobile industry.

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