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One man’s struggle to be the best

Newman HuoON the Forbes Global 2001 list of China’s 100
richest business people, the 52-year-old Xia Chaojia, CEO of
Sichuan Hejia Industry Group Co. Ltd., was ranked 17 with
total wealth of US$96 million, based on his personal share of
the group’s estimated net assets in 2000.Now the Hejia group
comprises more than 20 companies, covering industries such as
agriculture, valve production, printing, packaging,
helicopters, real estate, Tibetan medicine and information
technology.Xia’s motto is “always and only strive to be the
first.” This motto witnessed every major change in Xia’s life
and business career.
Xia was born in Chengdu, capital of Sichuan in 1949,
coinciding with the establishment of the People’s Republic of
China.At the age of 14, he had to drop out of school because
of his “birth problem,” in what was known at the time as the
“class struggle.”In 1964, he was sent to work on a
road-building team on the Qingzang Plateau. He spent eight
years building roads on the largely untraversed remote
plateau.In 1972, at the age of 23, he was allowed to return to
his hometown. He remained jobless whenever the “class
struggle” was raised, so books became his best companions and
he read anything he could find.In 1977, he got a stable job in
a small paper-packaging factory and he didn’t need to worry
about where his next meal was coming from.Around this time,
China began making historic changes with economic reform
policies.In 1978, Xia sensed that there would be a huge market
potential for the printing business. He decided to apply for a
bank loan of 110,000 yuan (US$13,200). One rainy day when a
woman section chief from a local bank was invited to visit the
shabby factory, the empty workshop surprised her. Xia
carefully submitted his development plan but she insisted on
seeing something tangible. Just then, a strong wind blew the
woman’s raincoat off into a nearby ditch. The conversation
ended abruptly and the woman left.The next morning, Xia was
waiting at the door of the bank. When he saw the section
chief, he handed her a brand new raincoat. The woman was
somewhat moved but it was another two months before he finally
convinced the woman of a bright future in the printing
business.However, the rest of Xia’s co-workers in the factory
disagreed with his bold plan. The factory assets were
estimated to be 6,000 yuan. Xia had no choice but to borrow
money and distribute it among the workers. Thus the empty
workshop became Xia’s personal property and the loan his
personal debt.
But this was the beginning of an age of miracles.Xia soon
received an order from a Tibetan pharmaceutical factory for
medicine labels, the first deal of his business career.At the
end of 1984, Xia declared at the employees’ conference that
the 300 seniors in the factory who had reached the age of
retirement could enjoy the same benefits as retired State
workers. He won loud applause from the factory workers. After
six years’ struggle, he finally saw his moment of success. The
following year, 1985, with less than 100 workers, the factory
made a total profit of 1 million yuan.In 1987, realizing there
were limits to the printing business, Xia thought his company
should diversify. He began to enter different industries.In
1989, his first fruit and vegetable chip processing project
was promoted throughout the country by the Central Government.
In 1992, his lemon-processing project was listed as one of the
pillar industries in Neijiang, Sichuan.
After five years’ negotiation, in 1993, the Hejia group
put out the first domestically made fruit and vegetable chip
processing line, much cheaper than imported machinery. Orders
came from all over the country.Xia became deeply involved in
long-term investment, which at first may have looked like
adventures but eventually brought huge profits. By this time,
he had completed the transformation from printing to
agribusiness. In 1996, his company linked up with Yuan
Longping, well known as the father of hybrid rice. They began
to cultivate new varieties of high-yield rice.In the same
year, his company became one of the only two listed private
enterprises in the country.In 1997, Xia set up Sichuan Hejia
College to contribute to Chinese higher education.In 1999,
when a large pipe project in the west of China with an
estimated cost of 1,200 billion yuan was announced, the Hejia
group had already merged with the Sichuan Feiqiu Group, the
only enterprise in China that could provide valves for
pipes.By the end of 1998, many sectors in China had been
opened up to private companies on rather a large scale. Always
ready to blaze a trail, Xia learned that the Shanghai Hualong
General Airline Co. was having a difficult time, and was on
the market. Although the airline industry was not in good
shape at the time, Xia believed the industry would soon see a
boom in expansion with the rapid development of China’s
economy.The Hejia group bought the airline which had
registered capital of 80 million yuan.Always on the lookout
for opportunities, Xia was about to enter a new field.In
Shanghai, they used to send ships’ pilots in speedboats to
guide ships into port. But when there were strong winds and
big waves, speedboats couldn’t be used, which meant foreign
ships couldn’t enter the port on time. This often brought a
negative impact on the image of Shanghai as an international
port.Learning about this, Xia contacted Shanghai Pilot Station
and suggested they use Hualong’s helicopters to pilot foreign
ships into port. On Aug. 12, 1999, the first Hualong
helicopter landed on a Dutch ship waiting berth in Shanghai.
As a Chinese citizen who grew up with the New China, Xia
said: “Today, our country is not very rich and there are still
millions of people who don’t have enough money for food and
clothing and who don’t have jobs. “All we can do is to keep
developing, solve the problem of unemployment, and pay the due
taxes. These are the unavoidable social duties of all Chinese
private entrepreneurs.”
Newman HuoON the Forbes Global 2001 list of China’s 100
richest business people, the 52-year-old Xia Chaojia, CEO of
Sichuan Hejia Industry Group Co. Ltd., was ranked 17 with
total wealth of US$96 million, based on his personal share of
the group’s estimated net assets in 2000.Now the Hejia group
comprises more than 20 companies, covering industries such as
agriculture, valve production, printing, packaging,
helicopters, real estate, Tibetan medicine and information
technology.Xia’s motto is “always and only strive to be the
first.” This motto witnessed every major change in Xia’s life
and business career.
Xia was born in Chengdu, capital of Sichuan in 1949,
coinciding with the establishment of the People’s Republic of
China.At the age of 14, he had to drop out of school because
of his “birth problem,” in what was known at the time as the
“class struggle.”In 1964, he was sent to work on a
road-building team on the Qingzang Plateau. He spent eight
years building roads on the largely untraversed remote
plateau.In 1972, at the age of 23, he was allowed to return to
his hometown. He remained jobless whenever the “class
struggle” was raised, so books became his best companions and
he read anything he could find.In 1977, he got a stable job in
a small paper-packaging factory and he didn’t need to worry
about where his next meal was coming from.Around this time,
China began making historic changes with economic reform
policies.In 1978, Xia sensed that there would be a huge market
potential for the printing business. He decided to apply for a
bank loan of 110,000 yuan (US$13,200). One rainy day when a
woman section chief from a local bank was invited to visit the
shabby factory, the empty workshop surprised her. Xia
carefully submitted his development plan but she insisted on
seeing something tangible. Just then, a strong wind blew the
woman’s raincoat off into a nearby ditch. The conversation
ended abruptly and the woman left.The next morning, Xia was
waiting at the door of the bank. When he saw the section
chief, he handed her a brand new raincoat. The woman was
somewhat moved but it was another two months before he finally
convinced the woman of a bright future in the printing
business.However, the rest of Xia’s co-workers in the factory
disagreed with his bold plan. The factory assets were
estimated to be 6,000 yuan. Xia had no choice but to borrow
money and distribute it among the workers. Thus the empty
workshop became Xia’s personal property and the loan his
personal debt.
But this was the beginning of an age of miracles.Xia soon
received an order from a Tibetan pharmaceutical factory for
medicine labels, the first deal of his business career.At the
end of 1984, Xia declared at the employees’ conference that
the 300 seniors in the factory who had reached the age of
retirement could enjoy the same benefits as retired State
workers. He won loud applause from the factory workers. After
six years’ struggle, he finally saw his moment of success. The
following year, 1985, with less than 100 workers, the factory
made a total profit of 1 million yuan.In 1987, realizing there
were limits to the printing business, Xia thought his company
should diversify. He began to enter different industries.In
1989, his first fruit and vegetable chip processing project
was promoted throughout the country by the Central Government.
In 1992, his lemon-processing project was listed as one of the
pillar industries in Neijiang, Sichuan.
After five years’ negotiation, in 1993, the Hejia group
put out the first domestically made fruit and vegetable chip
processing line, much cheaper than imported machinery. Orders
came from all over the country.Xia became deeply involved in
long-term investment, which at first may have looked like
adventures but eventually brought huge profits. By this time,
he had completed the transformation from printing to
agribusiness. In 1996, his company linked up with Yuan
Longping, well known as the father of hybrid rice. They began
to cultivate new varieties of high-yield rice.In the same
year, his company became one of the only two listed private
enterprises in the country.In 1997, Xia set up Sichuan Hejia
College to contribute to Chinese higher education.In 1999,
when a large pipe project in the west of China with an
estimated cost of 1,200 billion yuan was announced, the Hejia
group had already merged with the Sichuan Feiqiu Group, the
only enterprise in China that could provide valves for
pipes.By the end of 1998, many sectors in China had been
opened up to private companies on rather a large scale. Always
ready to blaze a trail, Xia learned that the Shanghai Hualong
General Airline Co. was having a difficult time, and was on
the market. Although the airline industry was not in good
shape at the time, Xia believed the industry would soon see a
boom in expansion with the rapid development of China’s
economy.The Hejia group bought the airline which had
registered capital of 80 million yuan.Always on the lookout
for opportunities, Xia was about to enter a new field.In
Shanghai, they used to send ships’ pilots in speedboats to
guide ships into port. But when there were strong winds and
big waves, speedboats couldn’t be used, which meant foreign
ships couldn’t enter the port on time. This often brought a
negative impact on the image of Shanghai as an international
port.Learning about this, Xia contacted Shanghai Pilot Station
and suggested they use Hualong’s helicopters to pilot foreign
ships into port. On Aug. 12, 1999, the first Hualong
helicopter landed on a Dutch ship waiting berth in Shanghai.
As a Chinese citizen who grew up with the New China, Xia
said: “Today, our country is not very rich and there are still
millions of people who don’t have enough money for food and
clothing and who don’t have jobs. “All we can do is to keep
developing, solve the problem of unemployment, and pay the due
taxes. These are the unavoidable social duties of all Chinese
private entrepreneurs.”
Newman HuoON the Forbes Global 2001 list of China’s 100
richest business people, the 52-year-old Xia Chaojia, CEO of
Sichuan Hejia Industry Group Co. Ltd., was ranked 17 with
total wealth of US$96 million, based on his personal share of
the group’s estimated net assets in 2000.Now the Hejia group
comprises more than 20 companies, covering industries such as
agriculture, valve production, printing, packaging,
helicopters, real estate, Tibetan medicine and information
technology.Xia’s motto is “always and only strive to be the
first.” This motto witnessed every major change in Xia’s life
and business career.
Xia was born in Chengdu, capital of Sichuan in 1949,
coinciding with the establishment of the People’s Republic of
China.At the age of 14, he had to drop out of school because
of his “birth problem,” in what was known at the time as the
“class struggle.”In 1964, he was sent to work on a
road-building team on the Qingzang Plateau. He spent eight
years building roads on the largely untraversed remote
plateau.In 1972, at the age of 23, he was allowed to return to
his hometown. He remained jobless whenever the “class
struggle” was raised, so books became his best companions and
he read anything he could find.In 1977, he got a stable job in
a small paper-packaging factory and he didn’t need to worry
about where his next meal was coming from.Around this time,
China began making historic changes with economic reform
policies.In 1978, Xia sensed that there would be a huge market
potential for the printing business. He decided to apply for a
bank loan of 110,000 yuan (US$13,200). One rainy day when a
woman section chief from a local bank was invited to visit the
shabby factory, the empty workshop surprised her. Xia
carefully submitted his development plan but she insisted on
seeing something tangible. Just then, a strong wind blew the
woman’s raincoat off into a nearby ditch. The conversation
ended abruptly and the woman left.The next morning, Xia was
waiting at the door of the bank. When he saw the section
chief, he handed her a brand new raincoat. The woman was
somewhat moved but it was another two months before he finally
convinced the woman of a bright future in the printing
business.However, the rest of Xia’s co-workers in the factory
disagreed with his bold plan. The factory assets were
estimated to be 6,000 yuan. Xia had no choice but to borrow
money and distribute it among the workers. Thus the empty
workshop became Xia’s personal property and the loan his
personal debt.
But this was the beginning of an age of miracles.Xia soon
received an order from a Tibetan pharmaceutical factory for
medicine labels, the first deal of his business career.At the
end of 1984, Xia declared at the employees’ conference that
the 300 seniors in the factory who had reached the age of
retirement could enjoy the same benefits as retired State
workers. He won loud applause from the factory workers. After
six years’ struggle, he finally saw his moment of success. The
following year, 1985, with less than 100 workers, the factory
made a total profit of 1 million yuan.In 1987, realizing there
were limits to the printing business, Xia thought his company
should diversify. He began to enter different industries.In
1989, his first fruit and vegetable chip processing project
was promoted throughout the country by the Central Government.
In 1992, his lemon-processing project was listed as one of the
pillar industries in Neijiang, Sichuan.
After five years’ negotiation, in 1993, the Hejia group
put out the first domestically made fruit and vegetable chip
processing line, much cheaper than imported machinery. Orders
came from all over the country.Xia became deeply involved in
long-term investment, which at first may have looked like
adventures but eventually brought huge profits. By this time,
he had completed the transformation from printing to
agribusiness. In 1996, his company linked up with Yuan
Longping, well known as the father of hybrid rice. They began
to cultivate new varieties of high-yield rice.In the same
year, his company became one of the only two listed private
enterprises in the country.In 1997, Xia set up Sichuan Hejia
College to contribute to Chinese higher education.In 1999,
when a large pipe project in the west of China with an
estimated cost of 1,200 billion yuan was announced, the Hejia
group had already merged with the Sichuan Feiqiu Group, the
only enterprise in China that could provide valves for
pipes.By the end of 1998, many sectors in China had been
opened up to private companies on rather a large scale. Always
ready to blaze a trail, Xia learned that the Shanghai Hualong
General Airline Co. was having a difficult time, and was on
the market. Although the airline industry was not in good
shape at the time, Xia believed the industry would soon see a
boom in expansion with the rapid development of China’s
economy.The Hejia group bought the airline which had
registered capital of 80 million yuan.Always on the lookout
for opportunities, Xia was about to enter a new field.In
Shanghai, they used to send ships’ pilots in speedboats to
guide ships into port. But when there were strong winds and
big waves, speedboats couldn’t be used, which meant foreign
ships couldn’t enter the port on time. This often brought a
negative impact on the image of Shanghai as an international
port.Learning about this, Xia contacted Shanghai Pilot Station
and suggested they use Hualong’s helicopters to pilot foreign
ships into port. On Aug. 12, 1999, the first Hualong
helicopter landed on a Dutch ship waiting berth in Shanghai.
As a Chinese citizen who grew up with the New China, Xia
said: “Today, our country is not very rich and there are still
millions of people who don’t have enough money for food and
clothing and who don’t have jobs. “All we can do is to keep
developing, solve the problem of unemployment, and pay the due
taxes. These are the unavoidable social duties of all Chinese
private entrepreneurs.”
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