Has Kodak used its price advantage to compete with Lucky for market share in China?

Ye Ying was born in Beijing, grew up in Taiwan, and works in the United States. She is a female reporter for the Straits Times Group of Singapore and the American Broadcasting Corporation. She has reported on-the-spot major events such as Deng Xiaoping's visit to the United States. She is a master negotiator in the world. She has been in the diplomatic community for fifteen years and became the first person in the history of the United States to be awarded the title of minister. A Chinese-American female business counselor; she is the global vice president of Eastman Kodak Company. She lives in the colorful world of Kodak, flies between China and the West, and spends US$1.2 billion to buy a market and integrate an industry.

Host: Because everyone knows that the world is now divided into three parts, Kodak, Fuji, and Lucky. Everyone has a description, because everyone thinks of Kodak as yellow, Fuji as green, and Lucky as red. , we have one called the dispute between yellow, green and red. In fact, when Fuji and Kodak compete for the Chinese market, Lucky also plays a very subtle role. Just now you talked about Lucky itself. It has to survive. It has always held high the banner of the nation. We know that it has always been there. We are seeking a certain degree of cooperation with Kodak and Fujifilm, and we have never given up this attempt. Even in early July, there was a lot of talk about the cooperation between Fujifilm and Lucky. It should be said that there are many opinions on the Internet. There are also many related articles. For such a thing, if one day Lucky and Fuji successfully cooperate, will Kodak be in a passive situation?

Ye Ying: If this is Lucai’s choice, then I believe Lucai’s choice must be a wise choice. For Kodak, we welcome any kind of cooperation, which is why in the past five years, we have never stopped talking to Lucky, just like when I talk to you now, we have not stopped either The conversation with Lucai was to explore some areas where we can cooperate in the field of imaging, because after all, we are brothers now, and there is nothing that cannot be said between brothers. Therefore, all our past dialogues and communications with Lucky were conducted on a very candid basis. We are very blessed and admire Lucky's achievements over such a long period of time. I believe you, Rong Ye, have also heard people say that before Kodak entered the Chinese market in 1998, many, many people said that once Kodak entered China, it would eat up Lucky. Have you heard it? I’ve heard of it, but five years later, wouldn’t Lucky be better off, and wouldn’t Lucky be a healthier and more successful company?

Moderator: In fact, why Kodak and Lucky have not cooperated until now? The key lies in one point, which is who can become the winner in the battle for this controlling stake. Lucky has always held high the national flag. You have never given up and are unwilling to give up your controlling interest in the company. Do you think your admission of this is indeed the most critical point in the lack of successful cooperation so far?

Ye Ying: I don’t think so, because Lucky’s requirement for a controlling stake is absolutely necessary, because if Lucky wants to maintain an independent representative national enterprise, it must hold a controlling stake and it must have operating rights. I believe you are well aware of any kind of joint venture. I have seen many such joint ventures in the past. This joint venture is often a channel and means used by Western companies to enter the Chinese market. Once the joint venture comes in, it can By increasing capital and expanding shares, it can use the method of equity transfer to eat up the other party. There are many companies that have changed from joint ventures to sole proprietorships. Of course, there are many challenges in a joint venture. If it is a 50:50 joint venture, who has the final say? If it is a 60:40 joint venture, the 40% minority shareholder has veto power, so the so-called management rights of the major shareholder are actually floating. , is virtual, and 70 30 is the same. This is why when Kodak came in, we required absolute controlling rights and management rights, because since I have brought such a large amount of capital, all my hundreds of years of technology and my century-old brand, I must I have the right to decide how to use this. But with Lucky, you are jointly establishing a joint venture with me on my territory. Of course you have to play my game and of course you have to follow my game rules. In this case, just like when we go to Japan, if you want to go to a Japanese home, you have to take off your shoes. No matter how noble your shoes are, they are brand new and have not even touched the ground. As long as they are You must take off your shoes when entering other people's houses, because this is a rule of thumb.

So at this point, if you want to enter my Lucky's new house, you must listen to my Lucky's voice. I think this is absolutely true. To be honest, we welcome Lucky's like this in the Chinese market. Brother, because if I ever said something like this, although it was a joke, it was a very serious and sincere statement. If there is no Lucky in China, Kodak should invent and make a Lucky, not to mention that Lucky has survived and is doing so well. , why can't we join forces and cooperate with Lucky? Therefore, we have never given up exploring cooperation channels with Lucky. In this regard, Lucky also respects Kodak's commitment to the Chinese market and our leadership position in the imaging industry, and the dialogue with us has never stopped. Of course I know that today he has lunch with me, and tomorrow he may have dinner with another person. This is a matter of course, because aren’t we all pursuing this fair lady? So of course he has a choice, and I hope they can be together in a very short time. Time to find your ideal partner.