The Birth of Shanghai's First Conglomerate

Tengyou Media is experiencing a major upheaval.

Financial media outlets, including countless journalists, immediately camped out at Tencent Media's headquarters, eager to learn more about the sudden departure of the two senior vice presidents.

The stock price also began to change dramatically, falling by more than 8% in just three days, which translates to a market value of more than 80 billion.

For the first time in ten years, Tencent Media's stock price has fallen below one trillion yuan.

Many people want to ask, what exactly happened?
Clearly, the drop in stock prices indicates panic in the market.

This led to a large number of people selling off their Tengyou shares.

Reporters tried to investigate internally, but the managers there were also unaware of what had happened. It seemed that suddenly, a large number of loyal former senior executives who had followed Zhang Wanyi were either replaced or laid off.

Such a major personnel change within a group often signifies internal factional struggles at the top.

But who else at Tencent Media can rival Zhang Wanyi?

No one knew about it, and no enemy information emerged. The news came suddenly, making it even more unexpected.

Mulan Qing, from the small short drama company, was well aware that all of this was because after that dinner, Zhang Wanyi, the media queen, had clearly been warned and had begun to voluntarily relinquish power.

Tengyou Media is, after all, a super-large group with up to a million employees, and its internal staff discuss these rumors every day.

For an average employee, working in such a large corporation might mean never seeing a senior executive even once in a lifetime.

Their news seemed to be about their own family, yet also about someone else's.

There's so much commotion that even the employees inside the company haven't figured it out, let alone outside reporters.

What everyone can see is that the top management issued a notice, and there has been a major reshuffle of internal personnel.

The Human Resources Department is located on the 12th floor of the Tengyou Headquarters Building.

Four employees were gathered in a coffee shop discussing something, and one of them said, "What's going on with our company? Why did Boss Lu and the others suddenly resign?"

"Who could know? Chairman Zhang must have personally ordered them to leave, right?"

"Stop guessing, just check your internal emails."

"What's wrong with the email?" a girl wearing glasses asked curiously.

"Just click on it and you'll see; there's a letter from the former chairman inside."

The former chairman sent a message to the internal email address, which was received by all employees in the group. This is a typical message to employees.

These people were right; the email subject was indeed "A Letter to Employees".

This letter was written by Chen Pingsheng himself.

"After 28 years of entrepreneurship, we have weathered many storms together and transformed the group from a startup into an industry giant."

"However... giants often do not die from external competition, but rather begin to decay and fall apart from within."

"Any manager who has been in a position for more than five or ten years should look at their department to see if there are any new people who are more suitable for the position than they are."

"If you think there is no such thing, then you are not a good manager. If you know there is such a thing, but you suppress newcomers who are more capable than you for your own selfish desires, then you are not a good manager.

"That proves you are no longer suitable to stay in the group. Selfish desires are the fastest way to destroy a group and the root cause of the decline of a giant enterprise."

"Don't let us ruin everything we've worked so hard to create, and don't let us forget the path we've walked. Think back to when you were a newcomer, and then look at how you're acting like an old person now."

"Don't let selfish desires ruin everything we've created, and don't let the millions of employees in the group down. We have a responsibility and an obligation to always create a fair and just stage for them."

"Chen Pingsheng, stay!"

That day, at least ten million people received this internal employee letter. This was also the first public letter issued in 13 years since the former chairman retired.

The letter directly addresses the biggest personnel issue facing the entire group.

Since Chen Pingsheng left the group, although the group has maintained stability and development, hidden dangers have been sown.

The biggest hidden danger is undoubtedly that many senior executives in the group have been in their positions for too long and no longer want to leave.

Even knowing there are more suitable options available, or that their own abilities are no longer sufficient, they still refuse to move on, which has led to the group's stagnation for the past five years.

Development belongs to everyone, but destruction can happen in just a few years.

At this crucial stage, Chen Pingsheng once again reminded all senior executives that they must conduct self-examination and self-reflection.

That same evening, the Economic Research Institute, including its advisory board and seven chief economists, jointly proposed that the entire group enter a month-long period of self-reflection and self-examination.

The target is management personnel who have been in the same position for more than five years.

If a CEO has held a position for more than eight years, they must either be transferred or dismissed.

There was no other choice; once the letter was sent, anyone with a modicum of common sense could make the connection.

The events that happened to Tengyou Media before were just the groundwork laid. The founder of Tengying Group must have personally communicated with his former secretary, now the global media queen, Zhang Wanyi.

Otherwise, why would she be so foolish as to cut off her own arm and fire the two group vice presidents who had been with her for twenty years?

You must understand that no matter where you are, position is only one aspect. If you want others to listen to you, the most important thing is to have your own people.

Otherwise, it would be impossible to have a one-man show or for the group's power to be too concentrated.

Since Zhang Wanyi has taken the lead, other companies, including the group, will inevitably follow suit.

Many veterans may be laid off during this turmoil, but the group has also given them the best possible arrangements and preferential treatment.

Their contributions will not be forgotten, but the group's progress requires more new talent to achieve it.

History rolls on. Thirteen years after Chen Pingsheng completed his first retirement and handover, the entire Tencent Film Group is about to begin its second historic reform and handover.

A new generation replaces the old.

None of them can avoid it; that's how running a business is—you need to constantly seek change and innovation, and you must never be complacent or stuck in the past.

Chen Pingsheng also wanted to personally keep an eye on these senior members of the group, ensuring that they could all retire smoothly.

Having developed to this stage, it is now very difficult for external competition to defeat Tengying, including Tengye Group.

Only internal power struggles within the group can lead to its rapid demise.

The transfer of power within the group is the most impactful aspect.

Within just one month, Tengyou Media replaced eleven senior executives at the president level.

In addition, I don't know how many senior managers, including ministers, have been replaced.

Other companies also faced significant personnel changes after the internal memos were first issued.

Mu Lanqing reads the news every day, but she never expected that the news that has attracted the attention of the entire domestic business and financial circles would originate from a small dinner party between the three of them.

Even someone as high and mighty as Zhang Wanyi has her day of receiving a warning.

(End of this chapter)