New Hecheng Co., Ltd: from school run factory to listed company

Introduction: in June this year, Zhejiang XinHeCheng Co., Ltd was listed It is the first enterprise to be listed on the SME Board of Shenzhen Stock Exchange, attracting the attention of the public for a while The company, which is engaged in the production and sales of organic chemical products and feed additives, has developed into a national key high-tech company with total assets of 1 billion yuan and annual sales of more than 1 billion yuan in a short period of more than ten years since its establishment The development of new Hecheng shows the charm of the rapid development of small and medium-sized enterprises in China In 1988, teachers from two middle schools in Chengguan town and dashiju Town, Xinchang County, Zhejiang Province, started a school run factory with 100000 yuan They discussed to set up their own school run enterprises to improve the Living welfare of teachers and workers We all like Hu Baifan, who works steadily Hu Baifan is a chemistry teacher in dashiju agricultural middle school The school has no money The start-up fund of 100000 yuan for school run factories is borrowed from teachers, staff and relatives They purify alcohol from waste alcohol, which is the waste of pharmaceutical factories The cost of raw materials is very low, and the process is simple, mainly the separation technology In this way, Hu Baifan and several young teachers and students set up a synthetic chemical plant in the rented simple shed It was a hard start Hu Baifan from the factory director, salesperson to stevedore However, they seized the business opportunity and made 100000 yuan in the first year In order to collect the waste alcohol, they ran all over the pharmaceutical factories in Shanghai One ton of one's own product costs several thousand yuan, while another's pharmaceutical factory's product costs several thousand yuan, or even tens of thousands of yuan He was overwhelmed by the contrast He realized that only high value-added products can get high profit returns Hu Baifan decided to launch a new product to develop and produce ethoxymethylene, the intermediate of norfloxacin, a diarrhea drug At that time, the market of this kind of product was monopolized by German Hearst company, and the price of one ton of domestic import reached 140000 yuan It's not easy to develop new products However, this kind of product mainly depends on imports in China, with a promising market prospect and a large profit margin From a technical point of view, this product only needs two steps to respond, with his professional background, so that he can confidently master the technology In 1990, the development and production of ethoxymethyl fork was successful This product fills the gap in the country Hu Baifan's small factory has also since entered the pharmaceutical raw material medicine production industry, which has ushered in a new era of antibiotic production in China Relying on quality to open the market door, new products come out, which is exciting, but sales can make products finally enter the market Hu Bofan first knocked on the door of pharmaceutical factories in the surrounding areas, and then went to Shanghai, Beijing and other places to sell In a pharmaceutical factory in Shanghai, he met several times and was not discouraged The director in charge of technology agreed to see him for five minutes As the factory director, he explained his products professionally and credibly The director finally agreed to go to Hu's factory At this point, they became good friends in business Once the door of the pharmaceutical factory was opened, the territory of German products in the Chinese market was quickly replaced by the products of Hu Baifan In that year, the sales volume is close to 30 tons, and the current annual production capacity is 4000 tons It is the world's largest forklift manufacturer, occupying most of the global market share It is the export that really brings new and new into the new world At a pharmaceutical trade fair, Hangzhou foreign trade company made the first overseas order The orderer is a Hong Kong businessman who will personally inspect the goods In the simple shed of XinHeCheng, after strict inspection, the first container was sent overseas The order will be increased every two months Since then, the output of XinHeCheng has continued to expand, breaking through 200 tons in that year, with a profit of more than 1 million yuan In 1992, the sales of XinHeCheng exceeded 10 million yuan Only by continuous development can we have a strong development in just a few years School run factories have not only met the school's original intention of seeking welfare for teachers and workers, but also accumulated considerable wealth However, Hu Baifan was not intoxicated He saw new market opportunities It's still that way of thinking Hu Baifan saw that the two main intermediates (Trimethylhydroquinone) and isophytol for domestic production of ve also depended on imports In the international market, Roche of Switzerland, BASF of Germany, Weicai of Japan and Ronald Planck of France and other major companies of a few countries monopolized most of the market share, with the price as high as 300000 yuan per ton Hu Baifan wants to attack the R & D of the main ring The relevant departments of this project have been working on it, but it took two to five years without any final results In Hu Baifan's enterprises, scientific research followed by production is so simple The technicians did not fail to live up to the expectations They conquered the main ring technology in two years Hu Baifan sold his products to many pharmaceutical factories in China Because the quality of his products is better than that of similar products in foreign countries and the price is much lower than that in foreign countries, he soon opened up the market in China By 1995, XinHeCheng had achieved an annual sales of 50 million yuan by virtue of its main ring and ethoxymethyl fork Continuous technological progress and new technology, new products make the development of enterprises unlimited By last year, the sales of XinHeCheng had reached 1 billion yuan This enterprise with only 15 years of development history has established its foothold in the market by relying on new mechanism and continuous research and development Their goal is to achieve an annual sales of 10 billion yuan by 2010.