Top 10 Keywords in China's Fertilizer Industry in 2015
This year, the situation was somewhat complicated.
Which way is the industry's wind blowing? How long will this wind blow?
An unpredictable market pulse, an unclear stock trend, preferential policies that cannot be retained, a low-profit era that cannot be driven away, a capital market that defies explanation, new business forms that cannot be defined... Feelings of confusion and hardship steamed up throughout this year.
This year, yet again, was very simple.
The future cannot be predicted; just do your best to be the best version of yourself.
Opening up e-commerce models, the relentless pace of ground promotion, adjusting product structure, frequent cooperation between enterprises, from cross-industry to boundaryless, stepping into the entire industry chain, opening up an international perspective... The vitality of persistence and transformation sublimated this year.
A strong wind can blow away a sheet of white paper, but it cannot blow away a butterfly, because the power of life lies in not submitting. The progress of the agricultural materials industry is also due to not submitting to the market's business forms.
In 2015, the keywords we present are: e-commerce (Internet+), capital, zero growth, cancellation of preferential policies, co-opetition, international perspective, supporting facilities, entire industry chain, structural adjustment, scan and go.
The market changes of 2015 are all condensed in these keywords.
TOP1: E-commerce
Focus: Internet+, agricultural materials e-commerce, Double 11
No other year has had such a distinct banner. This year's biggest hot topic is none other than e-commerce. Not only was there ground promotion across the entire country, but even the nationwide e-commerce storm of Double "11" included agricultural materials products.
So, please forgive me for putting "e-commerce" as the first keyword.
Actually, in January, e-commerce was still just being discussed with eager anticipation. After May, from manufacturers to merchants, everyone was vigorously plotting great endeavors, carrying out a mighty "recruit merchants" movement and "declare positions" campaign.
Various models shine like stars in the galaxy of agricultural materials e-commerce: some enterprises built their own platforms (Nongshang No. 1, Haha Farm, Tiantianquan, Nongyi Wang, etc.), some joined mature e-commerce platforms (Taobao, JD.com) (Xinyangfeng, Xinlianxin, Hongsifang, Liuguo, etc.), some are information service types (Nongyisheng, Nongguanjia, Fengshoubang, etc.), some are big data types (Shenzhen Batian), some are two-way circulation types (Nonghui Wang), some are crowdfunding types (Zhipinhui)... The list goes on. There is no good or bad model, only whether you act or not.
If you have confidence in your existing network and market influence, choose to build your own; if you want professional people to do professional things, choose to join. Whether building your own or joining, neither can do without intensive ground promotion. The early stage of market cultivation may not be achieved overnight.
Nongshang No. 1's Double 11 transaction volume broke ten million.
According to Caixin Media reports, Xinlianxin Fertilizer announced that Xinlianxin set a single-day transaction record of 4.43 million yuan during the 2015 Taobao Double 11 event, with total sales volume of 2,973 tons.
... ...
The data is quite good, but what I see is the hardship of early ground promotion.
Nongshang No. 1 staff said, "Everyone can only see the booming online sales, but actually the offline ground promotion work is our magic weapon for winning."
In order to make things more convenient and save money for farmers, and cut out the profits of middlemen, enterprises have opened up e-commerce models. Package deals, group buying, and purchasing on behalf are the methods many enterprises use to operate e-commerce. Although ground promotion is hard, although farmer acceptance is still not high, although the road ahead is arduous, they resolutely march forward.
Even if some people are pessimistic, so what? Even if there is no suitable model and path right now, so what? A life without dancing is a betrayal of time. And this year, most enterprises did not betray it.
However, in November, a piece of news from Australia also sounded a warning bell: Australia's last agrochemical e-commerce company AGSURE announced it would merge its business back into EDLERS' traditional sales system, and all brands and operations under the former e-commerce model were fully suspended. At this point, Australian agrochemical e-commerce was completely wiped out.
Finding the right model, continuously improving it, and carrying on - that is what matters.
TOP2: Capital
Focus: Capital, finance, stocks
Capital is always a keyword at any time, but this year it seems especially important. With the flourishing of the agricultural materials industry and its surrounding ecological industry chain, the nerves of the capital market have been stirred time and again.
External capital closely watches every move in the fertilizer market, waiting for the right moment to place bets; industry giants are seeking new projects one after another, hoping to leverage the capital market; new ecological enterprises are targeting the New Third Board, hoping to shore up their capital shortcomings; distributors talk about playing with capital at every turn, wanting to break through regional limitations and seek development.
Examining the capital flows in the fertilizer market, it seems that the speed, quantity, and quality of capital influx this year are unprecedented. External capital is no longer simply speculative injection or acquisition, but has begun to participate in operations.
In July, China Agricultural Industry Development Fund Co., Ltd., Dongfu Hetong (Tianjin) Equity Investment Fund Partnership (Limited Partnership), Modern Seed Industry Development Fund Co., Ltd., Jiangsu Gufeng Agricultural Investment Fund (Limited Partnership), and Beijing Jingliang Xinniu Runying Equity Investment Fund (Limited Partnership) joined hands with Kingenta to jointly invest 1.2 billion yuan to co-build "Nongshang No. 1" agricultural materials e-commerce.
On October 16, China's first insurance-company-backed P2P platform, Beijing Cailutong Network Technology Co., Ltd. (hereinafter referred to as "Cailutong"), and Legend Holdings' Beijing Tianchen Cloud Farm Co., Ltd. (hereinafter referred to as "Yunnongchang") held a strategic signing ceremony and press conference, announcing a partnership to jointly create a new Internet ecological pattern of "Internet + agriculture."
Although the above capital all points to a 10-trillion-yuan-level agricultural Internet opportunity, and under such great temptation heroes from all sides have joined the battle, currently agricultural materials e-commerce may still lack suitable approaches and methods. Apart from "good projects can raise funds," profitability is still far off, and there is still a long road ahead.
Industry enterprises with ambitions to grow are also striving to seek support from the capital market to make up for funding shortcomings. New fertilizer representative enterprises Diyi Ecology and Beijing Aojia Ecology rang the listing bell at the National Equities Exchange and Quotations hall on July 2 and October 27 respectively.
For listed enterprises, listing can not only amplify product brand effects, promote more standardized management, and expand corporate financing channels, but also win more recognition from peers and local governments. The feast-like entry into the market brings more to the industry and enterprises than what appears on the surface.
TOP3: Zero growth
Focus: Zero growth, precision fertilization, improving utilization rate
Overcapacity, homogenization, disorderly competition, low fertilizer utilization rate, unbalanced soil nutrients, irrational product structure and other problems plague the healthy and sustainable development of the industry. Under such circumstances, the "zero growth" plan introduced is certainly another hot topic this year.
"Zero growth" has set higher requirements for the agricultural materials industry.
In January this year, the action plan for zero growth in chemical fertilizer and pesticide use was introduced. The Ministry of Agriculture emphasized that in terms of chemical fertilizers, it is necessary to vigorously promote soil testing and formula fertilization, mechanized fertilization, organic fertilizer application, etc., and strongly support new-type business entities and develop appropriately scaled operations. In terms of pesticides, it is necessary to gradually phase out highly toxic and highly hazardous pesticides, and vigorously promote unified prevention and control and specialized services. It is necessary to strengthen communication and coordination, and actively seek policies on finance, insurance, and taxation to create conditions for zero growth in chemical fertilizer and pesticide use.
At first hearing "zero growth," it gives one a fright: what to do with all that newly built capacity?! Only after understanding it does one realize that zero growth is certainly not a devastating blow to chemical fertilizers, but rather the brewing of a new opportunity.
Zero growth in fertilizer is no small challenge for the entire chemical fertilizer industry. Future competition will become increasingly fierce. If traditional fertilizers do not carry out reform and innovation in product processes and service models, they may face the possibility of being eliminated. The Ministry of Agriculture proposed zero growth in fertilizer on the premise of effectively guaranteeing grain output and quality, which is a good thing worth advocating for chemical fertilizer enterprises.
Actually, fertilizer has never been the culprit of soil problems; unscientific fertilization methods and approaches are. Focusing on soil health, focusing on fertilization methods, focusing on crop nutrition - this has become an industry consensus. Many enterprises say that only by taking the path of quality replacing quantity can the goal of reducing fertilizer usage be truly achieved and the quality of soil and arable land be guaranteed.
Many experts have also provided the path to achieving the zero growth plan: precision, adjustment, improvement, substitution. Promote precision fertilization; adjust the chemical fertilizer use structure, optimize the nitrogen-phosphorus-potassium ratio, promote the combination of major elements with medium and trace elements, adapt to the needs of modern agricultural development, guide the optimization and upgrading of fertilizer products, and vigorously promote efficient new-type fertilizers; improve fertilization methods; replace chemical fertilizers with organic fertilizers.
A series of reforms brought about by "zero growth" are ready to be launched. What enterprises need to do is how to adjust their structure and follow the trend. Actually, many enterprises I know have always been working hard for soil health and the future of efficient new-type fertilizers. For these enterprises, "zero growth" may well have given them the hope of seeing tomorrow's rainbow.
TOP4: Cancellation of preferential policies
Focus: Freight rate increase, grain price decrease, value-added tax increase, natural gas price unification, cost reduction
This year's series of preferential policy cancellations was like the first snow of this winter - the sudden cold not only froze farmers' enthusiasm for planting but also froze manufacturers' original pace.
On January 29, the National Development and Reform Commission issued the "Notice on Adjusting Railway Freight Prices and Further Improving the Price Formation Mechanism," deciding to appropriately adjust railway freight prices and establish a floating mechanism.
Starting April 1, China's natural gas prices were officially unified.
Starting September 1, a unified 13% VAT rate was levied on chemical fertilizers sold and imported by taxpayers, and the original VAT exemption and refund-after-collection policies were correspondingly discontinued.
At the end of September, the temporary state reserve purchase price for corn was confirmed to be lowered.
A series of adjustments are meant to transition the market from a "policy market" to a "market market," pushing enterprises to carry out industrial upgrading and adjust industrial structure.
Actually, everyone had expectations for the cancellation of preferential policies: if railway freight rates are high, I can adopt a localization strategy, use road transport and water transport, and increase product added value; natural gas price unification - adjustment is the general trend, but gas-based enterprises won't necessarily lose their advantages; VAT has a greater impact on potassium fertilizer enterprises, while for compound fertilizer enterprises, it means further accelerating transformation and upgrading. Increase scientific and technological research and development, improve industrialization technology levels and production efficiency, and reduce production costs; increase the development of new-type fertilizer products, improve fertilizer utilization efficiency, and reduce farmers' usage costs.
But grain prices are slightly different. Enterprises can influence their own product structure, enterprise layout, and prices, but they cannot adjust the grain purchase price.
Famous marketing expert Feng Weidong believes that the impact of lower grain prices on agricultural materials will be reflected in: adjustment of planting structure; increased purchase batches and delayed timing of agricultural materials products; more white-hot competition, earlier sales, promotional battles; accelerated decline in farming enthusiasm, which helps large-scale farmers form quickly and reduces costs.
Many industry insiders point out that low agricultural product prices may become a new normal, and chemical fertilizer enterprises must actively face this new change.
Jiang Wenzhu, General Manager of Qingshang Chemical (Foshan) Co., Ltd., believes, "Lower grain purchase prices will affect farmers' enthusiasm for using fertilizer, thereby reducing input, and these will quickly be reflected on the enterprise side."
Xie Yongjun, Chairman of Shikefeng Chemical Co., Ltd., pointed out that what enterprises need to do now is reduce fertilizer costs and adapt to the market. Lower agricultural product prices and the cancellation of fertilizer preferential policies are both general trends. Relying solely on national policy guarantees cannot last. Why can American and European farmers survive? First, large-scale planting; second, guiding farmers to fertilize scientifically and reduce farming costs.
TOP5: Co-opetition
Focus: Strong-strong alliances, cross-industry, resource integration
From competition to co-opetition among industry enterprises, from cross-industry to boundaryless between industries, the transformation seems to happen in an instant.
The uncertain market and complex, ever-changing business environment make it difficult for a single enterprise to cope with fierce competition relying only on its own strength. The mindset of going it alone and life-or-death struggle is increasingly unable to adapt to the needs of modern competition. More and more enterprises are beginning to establish a new concept of both competing and cooperating. Through capital, technology, or channel marriages between enterprises, the grafting and extension of industrial territory is achieved. The pulse of resource integration is also becoming increasingly clear.
Since last year, cooperation and mergers and acquisitions have been sprouting between enterprises, and cross-industry has become the norm. With intensifying competition, technology and marketing methods constantly upgrading, should enterprises focus on their own industry or look across industries?
In martial arts novels, there are no permanent friends, nor permanent enemies. The same is true in the agricultural materials world - there isn't much deep hatred or resentment between enterprises. So, at the flowing banquets of industry events, as long as it benefits development, enterprises tend toward cooperation. With the opening of the Nongshang No. 1 platform, many champion brands at home and abroad - Sinochem, China Seed, Jincheng Anthracite Mining Group, Wengfu, Luxi, Guanfeng Seed, and Israel's Rivulis, US Borax, and other well-known domestic and international agricultural materials enterprises have joined.
Xinlianxin and world chemical giant BASF have joined hands, attempting to cooperate on a product (LIMUS). Currently there are issues in product process production and field trials, contract formulation, brand positioning, and deeper cooperation in the later stage.
If the cooperation between fertilizers and pesticides - which are basically similar products - promotes channel optimization and product optimization, and solves the problem of optimized product combinations, then the cooperation between Kingenta and drip irrigation equipment enterprises, as well as Shenzhen Batian and drone enterprises, has opened up alliances at the level of agrochemical services.
If the cooperation between Anhui Liuguo and Dunhuang Seed is still limited to fertilizer enterprises actively cooperating with the seed industry, then the establishment of China's first large-scale rice planting cooperative association is a great integration of the entire industry.
Besides cooperation between domestic enterprises and between foreign and domestic enterprises, the international scene is also quite restless, with multinational corporations strengthening cooperation among themselves. According to The Wall Street Journal citing people familiar with the matter, multinational seed giant Syngenta is in discussions with DuPont about merging DuPont's agriculture division. There are also reports that DuPont and Dow's agriculture divisions will also merge.
In the new marketing environment, is it really true that only by crossing boundaries can one be boundaryless? We can no longer distinguish industry boundaries. The chasm between agricultural machinery, fertilizers, pesticides, and seeds has disappeared, long since crossed into smooth ground.
TOP6: Structural adjustment
Focus: New products, new marketing
This year the industry has been quite restless. Besides the zero growth requirement, there are also restrictions such as falling grain prices, added VAT, and cancellation of preferential policies. Given the overall environment, structural adjustment is imperative for enterprises.
So the term "structural adjustment" can rank among the top ten keywords.
Xiu Xuefeng, Executive Vice Chairman of the China Phosphate and Compound Fertilizer Industry Association, hopes there can be corresponding solutions in the industry. She also pointed out the path forward for the industry: shifting from quantity to quality, i.e., "slimming down." Improve fertilizer utilization rate, shift toward diversification and multi-directional development.
Structural adjustment is divided into two aspects: products and marketing.
Let's talk about products first. When it comes to product structure, everyone will say that currently advanced and backward capacity coexist, low-end industries are massively duplicated, there are gaps in mid-to-high-end industries, structural overcapacity problems exist, etc. So here I won't talk about what the world is like, but only about how enterprises are transforming this world.
This year many enterprises are adjusting their structure. A large number of chemical fertilizer production enterprises are stepping up development of new-type fertilizer products, achieving reduced application and increased efficiency of chemical fertilizers through technological materialization means. Looking around the special exhibition area of the Phosphate and Compound Fertilizer Exhibition, almost no enterprise did not launch new products: water-soluble fertilizers and humic acid became this year's highlights.
Kingenta's water-soluble fertilizer, Luxi's and Jinkai's liquid fertilizers, Shikefeng's liquid blending fertilizer machine, etc. are all eye-catching presences; Stanley's Fourth Element, Guizhou Kailin's and Shuangying's ecological fertilizers, and Wengfu even launched four major series and nine new-type fertilizer products; humic acid products represented by Beijing Aojia Ecology, Quanlin Jiayou, and other enterprises occupied half the exhibition.
Liu Yucai, General Manager of Luxi Group's Chemical Fertilizer Industry Group, introduced that this year liquid fertilizer was given a separate special exhibition to make liquid fertilizer bigger. Developing liquid fertilizer happens to align with national policy. Within 300 kilometers around Liaocheng, with Liaocheng as the center, they plan to reach 1,000 fertilizer blending stations next year.
In the view of Xie Yongjun, Chairman of Shikefeng Chemical Co., Ltd., structural adjustment brings everyone greater returns. New-type fertilizers align with national standards, and enterprises all benefit. Shikefeng's new technology-type products launched this year - microbial fertilizers, liquid fertilizers, stabilized fertilizers - all reduce costs and increase efficiency.
Even Qingshang Chemical, a Taiwan-funded enterprise that has always focused on traditional potassium sulfate, has started a new product journey. Jiang Wenzhu, General Manager of Qingshang Chemical (Foshan) Co., Ltd., stated that they made some adjustments to their product structure this year. Given that the southern market places more emphasis on fertilizer water solubility, Qingshang Chemical (Kaifeng) added fully water-soluble potassium sulfate and also launched a new plant polysaccharide potassium sulfate.
Apart from product adjustments such as water-touch film controlled-release urea, Xinlianxin also adjusted its marketing system. Jia Xinchao, General Manager of the Marketing Center of Henan Xinlianxin Fertilizer Co., Ltd., told reporters that in August, Xinlianxin's two marketing systems - urea and compound fertilizer marketing systems - were integrated into one marketing system, concentrating excellent and limited resources to promote efficient urea and compound fertilizer.
TOP7: Supporting facilities
Focus: Agricultural machinery, water-fertilizer integration, drones, socialized services
Supporting facilities certainly deserve to be one of the keywords, because the vitality it radiated this year was unstoppable.
Whether it's water-fertilizer integration, drones, or other socialized services, all were hot topics this year. Selling products just for the sake of selling products seems to have become less easy, especially when launching new products - without supporting services, it's harder than reaching the sky.
In promoting water-soluble fertilizers, Kingenta chose the path of "joint development, building a water-fertilizer integration ecological chain." Kingenta successively signed contracts with Israel's Rivulis, China's Xinjiang Tianye, Inner Mongolia Muhe, Shanghai Huawei, and other drip irrigation companies, aiming to leverage comprehensive resources, technology, and services from all parties to jointly promote advanced drip irrigation equipment and water-fertilizer integration technology.
The heat of water-fertilizer integration - just look at the Phosphate and Compound Fertilizer Exhibition and you'll know. At this year's exhibition booth, a new face appeared - Netafim. Even though Netafim is the inventor of drip irrigation technology and the world's largest modern agricultural systems company, facing China's water-soluble fertilizer and liquid fertilizer boom, it couldn't help but be tempted. Xiao Yongfei, Netafim's Shaanxi regional manager, stated that the company developed relatively fast in China this year for two reasons: increased promotion and greater emphasis on the Chinese market; and capturing China's policy dividends.
Besides supporting equipment such as drip irrigation equipment and seed-fertilizer simultaneous seeding machines and other agricultural machinery, drones are also a hot topic.
"Aerial plant protection" is also a constantly heating hot term in the current plant protection industry. Facing a hundred-billion plant protection market, as the main force of the drone industry, DJI, Wuxi Hanhe Aviation, Anyang Quanfeng Aviation Plant Protection, XAG, Tiantu, etc. have all begun their own operations. Even distributors have started to have their own aerial plant protection teams.
Batian's cooperation with drones aims at implementing the "brand planting service platform" strategy. Shenzhen Batian announced on the evening of May 12 that it had partnered with Shenzhen DJI Innovation Technology Co., Ltd. (abbreviated as DJI) to expand drone applications. According to the agreement, based on ecological agriculture and smart agriculture, both parties will explore establishing an "agricultural drone application service system," whose applications include but are not limited to: spraying operations for basic agricultural materials (pesticides, fertilizers, nutrient solutions, seed sources, etc.); collection and monitoring of agricultural information such as meteorology, soil, disasters, pests and diseases, and agricultural product traceability, as well as planting management systems such as field management; supporting training systems for drone agricultural operation management and drone financial leasing services.
Regardless of the form, the ultimate direction of enterprises is socialized services. As long as services are done well, strategic layout and promotion can be achieved. So, as the vanguard of socialized services - supporting facilities - after a year of market tempering, it fully deserves the qualification to be a keyword.
TOP8: Entire industry chain
Focus: Crop solutions, entire industry chain
The traditional agricultural materials ecosystem has been replaced, traditional marketing has become ineffective. Mobile Internet, large-scale farmers, and traditional agricultural materials combined to create a new ecology in a new field - the entire industry chain.
Technology changes agriculture; we make change happen!
In 2015, our publication launched a series of "Full-Process Crop Solution Summit Forums." From summer corn in the Central Plains to apples in Shaanxi, from potatoes in Inner Mongolia to rice in Hubei and Hunan, and then to citrus in Guangxi. Under our promotion, full-process crop solutions targeting specific crops have already sparked a prairie fire across the country.
During this period, Stanley participated in almost all of these conferences - for no other reason than its corporate positioning.
On the evening of February 2, Stanley Fertilizer Co., Ltd. issued an announcement proposing to invest 500 million yuan to establish a wholly-owned subsidiary, Stanley Agricultural Services Co., Ltd., to provide comprehensive agricultural solutions including seeds, fertilizers, pesticides, agricultural technology and services, agricultural machinery, etc. for large-scale growers, agricultural cooperatives, family farms, etc. through external investment, joint ventures and cooperation, while also engaging in grain procurement and storage, grain processing and sales, and other businesses.
This is not an isolated case. The Jinfeng Commune formed by Kingenta Group with Juye Xiangrui Biology and Chaoyang Agricultural Machinery Professional Cooperative, and China's first large-scale rice planting cooperative association initiated by 18 leading enterprises including Zhongnong in fertilizers, pesticides, seeds, agricultural machinery, and rice processing, etc. - all have taken steps toward the entire industry chain. Actually, Shuangying Group also does agricultural products, but currently the companies under the group are more subdivided, with fertilizers and agricultural products divided into two independent segments.
What enterprises have done are magnificent big moves, but what is more down-to-earth and easier to do is probably the regional titans - large distributors. Quite a few distributors have tested the waters of the entire industry chain, and most of them focus on just one product. Well-known examples include: He Jinbiao of Jinbiao Agricultural Materials doing rice in the Northeast, Fujian Kunsheng Agricultural Development Co., Ltd. doing tea, Tao Weikang of Taizhou Agricultural Materials focusing on watermelons, Zhao Kun, head of Shaanxi Fukjia Agricultural Materials doing "Buer Fruit"...
When reporters asked why they wanted to do the entire industry chain, Yang Chunhua, General Manager of Langfang Lvyuan, who does the entire wheat industry chain, said that competition in agricultural materials is currently very fierce, and she feels that doing the entire industry chain gives her dignity and value.
Yang Chunhua creatively used agricultural materials marketing 4.0 to describe agricultural materials marketing, which I think is very apt: in the 1.0 era of agricultural materials marketing, the focus was mainly on products - having what others don't; in the 2.0 era, the focus was on channels and distributors - being better where others are good; in the 3.0 era, the focus was on large-scale grower planting - being cheaper where others are good; in the 4.0 era, it's about discovering the value of the industry chain.
TOP9: International perspective
Focus: Internationalization, entering international markets
It's not that I don't understand, but that this world changes too fast. While many enterprises are still laying out domestically and occupying positions, some enterprises have already begun their international journey. International perspective is definitely a bright spot this year.
Actively expanding horizons outward and learning advanced experience from other countries is what many enterprises are doing. Just as the magazine, as a "transmitter of industry value," has always advocated: go out, bring in. Actively lead the industry toward the world, learning refined and efficient agriculture.
Domestic and foreign enterprises cooperate frequently: Xinlianxin and BASF exchange visits frequently, Shenzhen Batian and South Korea's CJ are also cooperating, Kingenta has joined hands with Israel's Levnat, Yuntianhua and Israel Chemicals have joined hands...
High-end and internationalization are labels enterprises want to attach: Kingenta, in order to form an international business division, even recruited employees globally, and blue-eyed handsome men and beautiful women became a scenery of the enterprise; during the National Day period of October 1-2, Stanley compound fertilizer made a brilliant appearance at New York's Times Square, showcasing the power of the Stanley brand to the world.
On the path of pursuing high quality, the pace of these two enterprises is so fast that industry insiders can't help but bow down.
Besides the cooperation level, both Kingenta and Stanley have already expanded outward, extending their corporate territory abroad:
At 10 a.m. local time on October 8 in Los Angeles, USA, Kingenta Group's North American office was officially established.
Stanley directly established a wholly-owned subsidiary in the United States. Stanley Fertilizer Co., Ltd. (hereinafter referred to as "the Company") at the 18th meeting of the Third Board of Directors held on October 29, 2015, reviewed and approved the "Proposal on Establishing a Wholly-Owned Subsidiary in the United States." The Company decided to use its own funds of 100,000 US dollars to establish a wholly-owned subsidiary in the United States as a liaison window between the Company and North America to expand North American market business.
"The steps we take forward will lead the change of world agriculture." Whether it's an office or a subsidiary, both are windows for enterprises abroad, and will play a promoting role in the enterprise's internationalization process. They also provide reference cases for the internationalization of other enterprises in the industry. It is believed that entering international markets in the future will also become a new normal in the industry.
TOP10: Scan and go
Focus: Red envelopes, self-media, QR codes
I believe when I mention "scan and go," no one doesn't know what this is. So, for this keyword I used "scan and go" to look at the industry's changes.
Suddenly, as if a spring breeze came overnight, WeChat accounts opened for thousands upon thousands of households. Public accounts, subscription accounts, service accounts, etc. suddenly flooded everywhere. No enterprise doesn't open a WeChat account; no individual doesn't have a WeChat account.
The new media era requires new communication methods. The old practice of exchanging business cards has "gone die." With the rise of agricultural materials e-commerce and new communication methods, the scope of scanning codes to follow has grown larger and larger.
At exhibitions, there are no longer signs saying "Please present your business card," but instead a big QR code is displayed - scan and go, win prizes. If last year scanning codes was still rare, this year no exhibition is complete without code scanning. Walking around the Phosphate and Compound Fertilizer Exhibition, this reporter newly followed dozens of WeChat accounts.
Long queues formed at booths of Kingenta, Xinyangfeng, Nonghui Wang, etc., with participants all there to scan codes and win prizes. For participants, it's just casual (following one more account they might want to follow), but for enterprises, it brings real traffic (nearly a thousand new followers in a day).
No need to exchange business cards when meeting anymore - just take out your phone and scan to follow. Usually a little interaction, a like, mutual comments, and intimacy soars. Although some say browsing WeChat and giving a like only means "His Majesty has read it," that pleasure of reviewing memorials and commanding the realm is still enjoyed by everyone.
Scanning codes not only wins follows, but also wins red envelopes.
This year's red envelopes started with the Spring Festival. Tap, shake, grab red envelopes - everyone had a great time. Follow a few newly built groups - if you want stickiness, if you want to be forwarded, send a few red envelopes now and then for everyone to grab.
Many things look lively but seem rather crude, yet everyone still rushes to do them. Why? Because being in a great era, it's hard for us to stay out of it. There won't really be a dome like in the American TV series "Under the Dome" descending from the sky, covering overhead, blocking you and me from the outside world; moreover, even if under the dome there were a peach blossom paradise, it couldn't block the inner longing to go outward.