While socio-economic development is getting faster and faster, and the wealth in society is increasing, there is also a problem of increasing concentration. Every year there is a statistic about the richest man in the world, from the richest man in the world, to the richest man in a country, and someone has done the richest man in a region.
These people who have been named the richest people represent not only the ability of individuals, but also the rise of an industry. Just look at the rich list in recent years, you can roughly see the trend of social and economic development. In the early years of economic development, the characteristics of the industry were not so clear. Recently, some people on the Internet discussed that Lifan Automobile, which has a debt of 15.7 billion, how will Li Shufu develop after taking over? Insiders speak out about the status quo.
In the past two years of rapid development, many initial industries or traditional industries have quickly shown their incompatibility with the development of the times. Just like Lifan Automobile, which was developed in previous years, as long as it is a motorcycle, it will face the possibility of elimination when cars are becoming more and more popular in society.
He started his business at the age of 54, but he created a miracle in the industry
In Chongqing, I am afraid that no one does not know Lifan Automobile, which is an enterprise that has created miracles. Its founder, Yin Mingshan, is the creator of miracles. Yin Mingshan was rehabilitated at the age of 41, and after the end of the labor reform, he worked as a teacher and editor of the publishing house. At the age of 54, despite the persuasion of relatives and friends, he resigned and went to the sea to start his own business.
After Yin Mingshan went to sea, he founded the "Hongda Vehicle Parts Research Institute", which is the predecessor of Lifan Automobile. This institute has real ability, it has created a number of first breakthroughs in the motorcycle industry in mainland China, namely motorcycle EFI technology, multi-valve technology and water cooling technology.
At that time, because of the first domestic breakthrough in these items, it achieved a certain position in the industry. Later, under the leadership of Yin Mingshan, the Hongda Vehicle Parts Research Institute increased its research on motorcycles. The first 100ml four-stroke engine has been developed, creating a domestic lead.
Only this technology, in the cooperation with Qianjiang Motorcycle, has allowed the institute to have a profit of 16 million, such a good result gave Yin Mingshan great confidence. In the motorcycle era, most of the domestic vehicle industry is in a backward situation, Lifan has technical support, laying the foundation for future development.
Other motorcycle companies are in a time when they can't find a breakthrough, and Lifan Motors has expanded its market to foreign countries. In 2000, Lifan Automobile became a major exporter in the industry, completed the export of 117 million US dollars, and in the following years were far ahead, which was the leader in the industry at that time.
Those years can be described as the brilliant moment of Lifan, constantly expanding its branches while also expanding into other fields.
There are also rumors that Lifan may be eyeing B2C retail e-commerce such as Chaoduoduo app. Under the impact of the Internet tide and the epidemic, the concept of low-cost good things has long been deeply rooted in the hearts of the people, the original price of thousands of luxury goods, tide brands can no longer attract emerging users, and the main base price retail tide duoduo and other platforms began to receive more people's attention, many 200 or so Adi, Chanel attracted millions of young people into the tide of more crazy robbery, perhaps this is the social embodiment of rational consumption upgrade.
After 10 years of listing, Lifan has become an insolvent company
In 1992, Lifan Motors was a leader in the motorcycle industry, and when the time came to 2002, Yin Mingshan made the decision to enter the automotive industry. At this time, the domestic automotive industry has become a new outlet, in those years, the country has founded Geely Automobile, Jianghuai Automobile and now popular BYD Automobile and many other automobile companies.
Lifan, who thought this was another take-off moment, ushered in a reshuffle in the industry. When Lifan Automobile is committed to the development of automobiles, it has also made some achievements. In the first year, 156,000 cars were sold, including 65,000 cars. Just when people thought it would work wonders once again.
People were surprised to find that Yin Mingshan's son Yin Xidi's garage did not have a Lifan car, and the garage was parked with luxury cars. Subsequently, Lifan Automobile suffered a reshuffle in the automotive industry, and also suffered the worst blow since its inception, and has since gone downhill.
In the first half of 2020, the total sales volume of Lifan Automobile was only 337 vehicles, and the company was facing serious insolvency, and the luxury cars in Yin Xidi's garage had no choice but to pay off debts, and there was still no bankruptcy of Lifan Automobile.
Li Shufu of Geely intervened to help him save it smoothly
As a listed company, Lifan, after the performance is exposed, it is facing the preparation for bankruptcy. At this time, Lifan Motors urgently needed a savior to help it get out of the situation.
In June, the market reported that Geely was going to buy Lifan, but Geely unilaterally denied the matter. Later, it was Geely's subsidiary company that successfully invested in Lifan, which is also Li Shufu's urgent need to solve Lifan's need to avoid becoming a bankruptcy liquidation enterprise.
epilogue
With the financial support of Li Shufu, Lifan Automobile has been saved. Lifan's future development direction is still based on motorcycles, which is also the old line of Lifan. From the first half of Lifan's financial report in 2021, it can be seen that Lifan's operating profit has begun to increase slightly, compared with the loss in the same period last year, it has improved a lot. Relying on the big tree of Jili, I don't know if Lifan can still create its previous glory.