Zheng Yonggang, the famous Zhejiang businessman and the founder of Shanshan, died of illness. He took Shanshan from the No. 1 clothing company in China to the No. 1 lithium battery material in the world.
Yesterday, Shanshan Holdings Co., Ltd. released the obituary of Mr. Zheng Yonggang, the founder of Shanshan Enterprises and Chairman of the Board of Directors of Shanshan Holdings: “We weep to the public with great sadness. Mr. Zheng Yonggang passed away on February 10, 2023, at the age of 65, due to a sudden heart attack, which was ineffective…”
It is reported that Zheng Yonggang died of a sudden illness during his stay in Japan. The core members of Zheng Yonggang’s team are currently in Japan. After the relevant matters are handled, their ashes will be sent back to China and a mourning ceremony will be held. Regarding this news, the reporter checked with the relevant person of the group, but the person said that it is inconvenient to accept an interview at present.
Zheng Yonggang is quite famous among entrepreneurs in Zhejiang and even the whole country. Under his leadership, Shanshan Co., Ltd. was listed on the Shanghai Stock Exchange four years after its establishment, and Shanshan Co., Ltd. became the “first listed company in the apparel industry” in China. “Shanshan suits, don’t be too chic.” This sentence, the first clothing advertisement in the history of CCTV, can still arouse the resonance of many parents.
At the same time, when the clothing industry was in full swing, Zheng Yonggang began to lay out the new material industry. Up to now, Shanshan Co., Ltd. has become the world‘s largest comprehensive supplier of lithium-ion battery materials. In the “2022 Hurun Global Rich List” released by Hurun in March 2022, Zheng Yonggang ranked 1864th with a net worth of 12.5 billion yuan.
Once borrowed 30,000 yuan to advertise on CCTV
Like Shi Yuzhu of the Giant Group, Zheng Yonggang was also talked about by the industry because of his bold marketing practices.
In May 1989, Zheng Yonggang took over the predecessor of Shanshan – Ningbo Yonggang Garment General Factory. This is a difficult enterprise that is insolvent and has had three factory managers in three years. “In the factory at that time, the male workers were playing poker, and the female workers were knitting sweaters. Everyone had no work to do.”
After investigation and visits, Zheng Yonggang discovered that although the Yonggang Garment General Factory is at the world‘s advanced level in terms of equipment and technology, it has suffered continuous losses because there is no market for its products. “At that time, the directors of garment factories all over the country were busy with production and making fuss about the products. But I didn’t know how to make clothes, so I began to think, what is more valuable than the clothes themselves?”
“On the train from Shenzhen to Guangzhou, I saw young people on the opposite side wearing old imported suits. I was thinking, why don’t these young people buy our new cheap and high-quality suits, but wear old imported suits instead?”
In the end, Zheng Yonggang came to the conclusion that a product without a brand cannot resonate with consumers.
After innovative thinking, Zheng Yonggang decided to work hard on “branding”. Later, he borrowed 30,000 yuan, not to pay wages to workers, nor to buy fabrics, but to go to Beijing to advertise on CCTV.
Thus, the slogan “Shanshan suits, don’t be too chic” was born!
In 1991, under the leadership of Zheng Yonggang, Shanshan began to explore enterprise restructuring, first from a state-owned enterprise to a collective enterprise, and then to a joint-stock enterprise. In 1996, Shanshan was listed on the Shanghai Stock Exchange, becoming the first listed company in China’s apparel industry. By 1998, the sales revenue of Shanshan brand reached 2.35 billion yuan, and it has occupied the first place in China’s clothing market for seven consecutive years, with a comprehensive market share of 37.4%, becoming a well-deserved “China’s No. 1 clothing brand”.
Source: City Express Author: Reporter Cheng Chao Zhuyun Xia Yu Editor: Gao Tingting