L A O G A N M A C H I L I C R I S P S A U C E

P R E S E N T E D B YT I A N Y U E Z H A N G

THE HISTORY OF LAO GAN MA

• Lao Gan Ma ---- the story of Tao Bihua

• The begun of the business

• The development

PRODUCT

CHALLENGE• Fake “Lao Gan Ma”

• Price war

• Single raw material/ strong supplier power

BUSINESS MODEL• Debt-Free

• Not going public

• Consumer Psychology

• Family-based management

• Enterprise---base---farming

• Human resource managementLao gan ma: The hottest woman in China

FINANCIAL INFO

• 750 factory and about 5000 employees

• Sell more than 2 million bottles/day

• $655 million in revenue in 2016, earn $0.15/bottle

• Pay Tax: $0.3 billion value of $1.14 billion in 3 years (2014)

COMPETITONLao Gan Ma Lee Kum Kee Douban

Sales/year 730 million bottles 600,000 tons 50,000 tons

Revenue/year $655 million $250 million $40 million

Brand reputation 1 3 2

THE SECRETE SAUCE• The secrete sauce!

• The secrete person!

• Quality focus

• Brand-built

PREDICTION

• Will success in many years as long as the secret sauce is the same.

• Not likely to become much larger

• Will try to sell products at different countries.

Q&A