Twenty years of cold chain

The situation is escalating every day, and what permeates businesses and markets is not panic, but fear.

On the way to Tongxing, Jiang Zhipeng's face was like a waxy yellow wooden board with a layer of oily sheen. The passing tree trunks and lights outside the window could not arouse the slightest change in his gaze. He was completely lost in thought.

Hu Shutong sat alone in his office, the ticking of the clock making the place feel quieter than ever before, and the anxiety in his heart more intense than ever before. He had had similar experiences before, but this time he dared not think about it too deeply.

The focus is on a leading domestic infant formula company, which has been the top seller for 15 consecutive years, holding a 20% market share. This dairy giant originated from a production cooperative in 1956. It pioneered the "dairy cows to the countryside, milk to the city" model, leading a glorious era for the dairy industry. The phrase "1100 tests and inspections" still resonates in our ears.

When Hu Shutong saw Jiang Zhipeng, he calmed down. In just over twenty days since the incident, Jiang Zhipeng had changed. He looked like he had contracted a strange disease that caused him to sweat constantly, and his eye sockets had become sunken.

If you imagined Jiang Zhipeng now back in college, he would probably still be that pampered young master, gradually taking over family affairs under his father's protection, able to throw tantrums when annoyed, and enjoying a life of luxury with fancy cars and beautiful women. But then a tragedy struck: Jiang's father became a vegetable, and Jiang Zhipeng, fresh out of university, was left to shoulder the heavy burden. His ability to cope was nowhere near that of seasoned veterans who had weathered years of trials and tribulations.

In addition, Qingyuan has been relatively stable over the years, so the moment she met Hu Shutong, the vulnerability hidden deep in her heart could no longer be concealed.

"Old Hu, we're finished. This time we're completely finished."

"What news now?"

"Hush money, the right to delete posts—this was kept secret for half a year, a full half year! Who can imagine how many batches of tainted milk powder have already been sold? Their latest batch from last month still has over 700 tons on the market. Old Hu, there have already been deaths. This industry has changed drastically!"

More than a dozen suspects have been detained, ranging from those selling additives to dairy farmers and milk collection operators. Meanwhile, an accountability storm is brewing. In this new round of investigations, numerous dairy companies have been found to have varying levels of melamine. Qingyuan hastily opened a hotline and initiated a rapid recall. The entire domestic milk powder market is in a state of gloom and disarray.

Punishing illegal dairy companies is a just punishment for their crimes, but this incident has caused the trust in domestic milk powder to plummet. European and Australian milk powders will undoubtedly seize the domestic market rapidly, and the foundation built over fifty years has been destroyed in an instant!

The crackdown on the infant formula industry will inevitably reach an unprecedented level in the future, but who knows how many years it will take to heal this wound?

The reason this industry is like this is precisely because of the "anxiety of being overtaken," as Jiang Zhipeng once said. Money must be spent wisely: expanding the market, squeezing out competitors, competing fiercely, and engaging in price wars—they've mastered effective marketing tactics. On the product side, even with increased investment in R&D, competitors copy their products within months.

Even if products that have entered the market have problems, they cannot be exposed. Instead, money is given to the media and victims, and confidentiality agreements are signed to cover it up. The concern is not about the amount of compensation, but rather that once the issue is exposed, other companies will quickly seize market share. The company will not allow any individual to cause profit loss or reputational damage, becoming a stumbling block to its grand strategy.

This chaos isn't limited to the infant formula industry; it's evident in other food industries as well. It's as if everyone is on shallow waters, everyone wants to seize the beachhead, and everyone is resorting to any means necessary to plant their flag at the nearby castle.

In this massive upheaval, companies like Qingyuan are undoubtedly the most unfortunate. Their overall strength is insufficient to compete with large national enterprises, so they concentrate their efforts on capturing the most profitable milk powder market, hoping to establish a foothold there before strengthening their niche products.

"Old Hu, my mistake was betting everything on milk powder. Now all our production lines are focused on it, but it has no future, and so does Qingyuan. I came to you hoping you could help me; I know you won't stand idly by!"

Jiang Zhipeng stared intently at Hu Shutong, his deep, piercing gaze seeming to shoot out thorns, leaving no room for doubt or dissent.

Hu Shutong knew Tongxing's capabilities and how could he possibly help in such a situation? "Old Jiang, how can I help?"

"As long as you put in the effort, I can go back to the past, just like the ice cream and milk candy from back then, do you still remember them? We'll go back to the earliest agreement with Tongxing. You help me store the goods and help me ship them. In less than a year, Qingyuan will be back to what it was before, because Tongxing is different now! Lao Hu, you're the one who can help me the most!"

Hu Shutong stared blankly at Jiang Zhipeng. All of this was too hasty. Qingyuan had not yet emerged from this chaos, and had no idea what would happen next. The various internal affairs of the company could not be simply copied back to the past based on a retrospective analysis. It was far too simplistic to think that.

"Old Jiang, are we going back? What are you trying to do? Can Qingyuan transfer here now?"

"Old Hu, Qingyuan can be used as collateral for a loan. As long as the funding keeps up, I can restart as soon as possible!"

Upon hearing this, Hu Shutong felt that Jiang Zhipeng had gone mad. Why would he go to the bank for a loan at this time?

You should know that in September 2008, the hardest thing in the world was getting a loan from a bank!

The subprime crisis spread globally, leading to widespread tightening of lending practices by banks.

If Jiang Zhipeng insists on taking this path, it will truly be a dead end!

……

I've loved cold chain logistics for twenty years.