li & fung - history, evolution, present and the future
DESCRIPTION
A comprehensive background of Li & Fung containing its History and Origins, Early Evolution, Modern Business, Global Expansion, Company Structure, Recent Efforts and Company DNA. As one of the chapters of the book FMCG: The Power of Fast-Moving Consumer Goods by authors Greg Thain and John Bradley. For more details on their success story and that of other leading FMCG companies, check www.fmcgbook.com or Amazon http://amzn.to/1jRyd20.TRANSCRIPT
History & Origin . . . . . . . . . . . . . . . . . . . 3
Early Evolution . . . . . . . . . . . . . . . . . . . . 4
Global Expansion . . . . . . . . . . . . . . . . . 5
Modern Business . . . . . . . . . . . . . . . . . . 6
Company Structure . . . . . . . . . . . . . . . 7
Recent Efforts . . . . . . . . . . . . . . . . . . . . 8
Summary . . . . . . . . . . . . . . . . . . . . . . . . 9
Social Media Accounts . . . . . . . . . . . 10
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A Hong Kong company which started early 1900s
It was one of the first Chinese owned export companies
Exported porcelain, silk products, jade, bamboo, rattan furniture,
fireworks and handicrafts during its early years
It was forced to stop its operation during World War II
In 1949, the communist takeover of China caused the company to
source from Hong Kong
Li & Fung became Hong Kong’s largest exporter of new products
like toys, plastic flowers, garments and electronics
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In 1970, the company changed from being an exporter into a
supply chain expert and started acting as a regional sourcing
specialist
The Fung brothers, William and Victor decided to restructure it and
considered other value chain processes
In 1990, it cemented its position as the leading consumer goods
trading company
By 2008, its sales grew sevenfold, reaching $14.3B
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In 1995, it achieved true global scale by acquiring Inchape Buying
Services, giving it substantial networks in India, Pakistan,
Bangladesh and Sri Lanka
It had the ability to source essentially anything from whichever
low-cost country most suited to the needs of its clients
It manufactured in China, but managed quality control in Hong
Kong
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A member of the Fung Group of Companies, which includes
businesses in Asia such as Toys R Us and Circle K franchises
From 13 countries in 1994, Li & Fung now sources from 45
countries, with plans of developing supply arrangements in new
markets such as Sub-Saharan Africa
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Li & Fung is divided into three segments namely Trading, Logistics,
and Distribution
Under the Trading segment, the company is the world’s leading
consumer goods sourcing company across a wide range
Logistics segment offers warehousing, transport, repacking,
customs brokerage, freight forwarding, hubbing and consolidation
Distribution segment is divided into three categories namely
Private Labels, Proprietary Brands, and Brand Licensing
Fung Business Intelligence Centre, on the other hand, collects and
analyses market data on China and Asian countries’ economy
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2009
Li & Fung acquired a British footwear company, a manufacturer of
technical equipment for Nike
Also acquired a major handbag maker, Royal Velvet, Cannon, and
the company which makes Vera Wang’s clothes
2011
It had a turnover of $20 billion, and employed about 28,000 people
worldwide
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Though Li & Fung has not yet become a major brand-owning
company, it has all the capabilities to be a successful brand owner
The company has top-notch knowledge of market trends, product
design, sourcing, logistics, retailer relationships and distribution
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Website: www.lifung.com/eng/global/home.php
LinkedIn: www.linkedin.com/company/li-&-fung-limited
Facebook: www.facebook.com/pages/Li-Fung/106122659419824?
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