Haier

Zhang is a Chinese Legend The French newspaper La Tribune published an article recently, entitled "Zhang Ruimin, an Industrial Personage" "Zhang Ruimin is a legend in the Chinese household appliance industry," the article said. When he took over a refrigerator factory in 1984, he made a surprising decision in an effort to reestablish the factory's rules and regulations: under the new director's orders, 76 newly-produced subquality refrigerators were destroyed with hammers. For the purpose of turning Haier into a well-recognized brand name, Zhang borrowed Japanese managerial experience. In the early 1990s, Haier entered the second development phase, with emphasis placed on revitalizing state-owned enterprises and diversifying the range of products. Since 1999, Haier has entered the international market, fulfilling the task for the final of a three-phase expansion strategy. "In my mind, we had have entered WTO for many years. Compared with other Chinese enterprises, we were much earlier to expose ourselves to international competition and we have stood its tests. Now we have nothing to fear or worry about", said Zhang. The article summarized Haier's secret of success as "valuing business culture and making prompt response to market demand". "Haier has been the most successful experience in China's industrial transition," the article commented.