The Gonggong Financial and Economic Bureau has changed its leadership twice in three years, and Mead Johnson China can hardly withstand the cold winter of the dairy industry
Under the cold winter of the dairy industry, many milk powder companies have undergone personnel changes this year. First, Wyeth announced the change of coach in August, and then in September, Ausnutria Dairy also announced a major change in the veteran team, and in the last month of 2023, the baton of the change of coach was handed over to Mead Johnson China. Recently, Mead Johnson China's board of directors appointed Xiao Jingjing, managing director of Primavera Capital, as CEO, and former CEO Zhu Dingping will resign as president due to personal reasons, but will still serve as the company's senior advisor. In addition to the senior management changes, Mead Johnson China also announced the establishment of the "Mead Johnson China Executive Committee" to enhance the "forward-looking and efficient" strategy and major decision-making. It is reported that the committee members are all Mead Johnson China executives, including Chairman Christian Nothhaft, CEO Xiao Jingjing, Mead Johnson Chinese Mainland Omni-channel Sales General Manager Zhou Tao, Chief Officer Harold Diender, etc.
Although Zhu Dingping has resigned as CEO, the information from the enterprise check shows that Mead Johnson China has not yet completed the industrial and commercial change, and the legal representative is still Zhu Dingping.
It is worth noting that before joining Mead Johnson, Zhu Dingping worked for 14 years at H&H Group, namely Biostime, as the CEO of Infant Nutrition and Care Products Business in China. The difference is that Biostime was once suspected of being a fake foreign brand, while Mead Johnson was a fake real foreign brand that was acquired by Chinese capital. After joining Mead Johnson, the dairy veteran has implemented a series of reform measures and set a "five-year plan", that is, to create a 10-billion-level ultra-high-end product;Lay out new tracks and achieve double-digit compound growth. But before the five-year plan was halfway through, Zhu Dingping left Mead Johnson in a hurry. There is widespread speculation in the industry that this is related to the unsatisfactory transcript of his tenure.
In this regard, Mead Johnson China denied it, but Mead Johnson also admitted that the current industry is generally under pressure, due to the implementation of the new national standard, the large inventory and the continuous decline in the birth rate of newborns, the overall market capacity of the infant formula milk powder industry is low, and the slowdown in industry growth is a common phenomenon this year.
As for Mead Johnson China's new CEO, Xiao Jingjing, she is the Managing Director and Co-Head of the Consumer Industry Group of Primavera Capital, and has investment experience in both the healthcare and consumer industries. She also led the acquisition of Mead Johnson China by Primavera Capital in September 2021, and has been responsible for Mead Johnson China's follow-up post-investment services for more than two years after the completion of the investment. However, an insider close to Mead Johnson told China Net Finance that Xiao Jingjing, a senior executive of Primavera Capital, is more of a transition as the CEO of Mead Johnson China, and Mead Johnson China is more likely to choose a person who understands the market in the industry as the "helmsman" in the later stage.
Regardless of whether Xiao Jingjing is a transition for Mead Johnson or a long-term leader, Mead Johnson China's performance is difficult to rely on individual executives to achieve soaring, and it depends more on the improvement of the external environment and the enhancement of its own competitiveness. Dongxing** research report pointed out that the number of newborns in China has declined continuously in the past five years, and some experts estimate that the number of births in 2023 is expected to be about 7 million 8 million, which is the low point of newborns in the past five years. However, the overall scale of the milk powder market is still growing, and the main driving force is the obvious trend of consumption upgrading and the improvement of product quality. In 22 years, the consumption upgrading trend of the milk powder industry has not changed, but the domestic milk powder market has declined (down 3 year-on-year).5%), judging that the main reason was due to the decline in the number of newborns (down 9.0 compared to the same period last year.).98%), resulting in a decline in the size of the milk powder market. As the Year of the Dragon approaches, the market's expectation of the number of newborn births in 2024 has gradually increased, and there is a view that the number of births in 24 years or **, if the number of newborns in 24 years, it is expected that the market demand for milk powder in 24 years will also recover. The new national standard superimposed on the registration of secondary formulas will further raise the threshold of the industry, and the market share of high-quality big brands will be further increased while small and medium-sized enterprises accelerate their clearance.
url: *: Business Huaguan].
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