China’s Dairies Milk The Local Advantages – Richard McGregor
From The Financial Times:
When Pan Gang, the chief executive of one of China’s largest dairy companies, attended a top-level meeting of the Communist party in Beijing in October, he complained about the growing role of foreigners in the industry. “Many of the foreign firms are only looking for short-term gain when they come here – they just take away the milk,” he says.
Mr Pan’s complaint will come as no surprise to his competitors. While many Chinese companies have formed joint ventures with foreign partners, Yili has stayed proudly aloof, making a virtue out of its independence. “Yili is the only pure Chinese company in the domestic dairy industry,” Mr Pan says. “Yili chose not to co-operate with foreign brands, because we want to contribute more to our shareholders and the whole society.” [Full Text]