Chapter 914 Consumer Products Department

The trip to New York, the movie is just a trifle.

Entering the fashion industry is the real big deal.

Tang En didn't have much time, and he had to go to Asia to promote "The Departed Walker". As soon as he returned to Los Angeles, he had to finalize this matter quickly.

The acquisition of Prada marks the new global group's efforts in the consumer goods market.

This will inevitably lead to the reorganization of departments within the New Global Group to achieve better business division of labor and brand collaboration.

At least the "Travel Vacation and Consumer Goods" department must be split!

Split into two large-scale operation departments: tourism and vacation department and consumer goods department.

In the past two years, New Universal has invested a lot in tourism and vacation business. It has expanded Universal Studios in Osaka, Universal Islands of Adventure in Orlando, and built a new Harry Potter theme park in Liverpool. Negotiating a mega project.

Two in the United States, one in Japan, one in the UK, plus the future Chinese... Universal Studios will have 5 Universal Studios resorts and tourism centers around the world.

This is not over yet. Recently, the Singapore government is actively contacting New Universal, hoping to introduce a Universal Studios to Singapore. The location is in the top tourist attraction, Resorts World Sentosa.

In order to stimulate Singapore's tourism market in an all-round way.

The difference is that Singapore is a "state-owned" country. All core assets are owned by the state. Not to mention foreigners, locals cannot hold shares.

A project as big as Universal Studios must be a project directly under the Singapore government.

What they mean is that the Singapore government is solely responsible for the investment and construction of Universal Studios Singapore, and all shares are owned by the Singapore government.

New Universal will receive a fixed copyright fee of US$50 million per year and 10% of the theme park's annual profit dividend.

It's also a huge project!

People all over the world understand Singapore's ambition to build a tourism industry. They spent a full US$4 billion to build Resorts World Sentosa. And want to build another world-renowned Universal Studios here... The investment will not be less than 4 billion US dollars!

For such a huge super project, only US$50 million in "copyright fees" and "naming fees" are given to New Universal every year?

Too little!

As for the 10% profit dividend, it's just nonsense.

The US$4 billion cultural tourism real estate project is still in the corner of Southeast Asia. Without 20 years of operation, there is no way to get back the cost.

Where does the dividend come from?

In particular, the purpose of government-led tourism projects is not to make profits, but to better stimulate the rise of surrounding industries.

Isn't this taking the New Global Group as a fool?

Regarding this matter, Tang En has issued the highest instruction. In the short term, the most important task of the tourism and vacation department is to complete the "Harry Potter Theme Park" in Orlando, "Harry Potter Theme Park" in Liverpool, Apart from the construction of the "Spider-Man Adventure Park" in Osaka, the focus of everything is the big project of China Magic City!

Singapore?

Let's take a rest first!

...

The person most excited about the new strategy is Andrew Mooney, chief executive of the travel and consumer products division.

Although under the new strategy, the tourism and consumer goods department will be split into two parts, no surprise, he will only be in charge of the consumer goods department in the future.

However, the scale is completely different!

In the past, New Global's consumer goods business was really weak. In 2003, its revenue was only US$1.27 billion, and its net profit was only US$290 million.

Not as much as a hit movie!

Such a scale of performance is really heartbreaking.

It is almost impossible for Andrew Mooney to be further promoted to become the chief operating officer, or even the president or CEO, to be in charge of such a business unit.

Now is your chance.

Tang En wants to buy Prada!

This is too shocking!

Even if Prada is facing a certain crisis now, it is after all a super brand in the fashion circle and a national representative of Italy! Even if the performance is poor, the annual revenue can easily exceed 5 billion US dollars.

This is an opportunity for promotion.

Besides, having the opportunity to be in charge of an aristocratic brand like Prada...

Just thinking about it is exciting!

The only worry is that his resume is not rich enough. Whether he is qualified to manage a big international brand like Prada depends on the boss's intentions.

Tang En knew his reason for coming, and said with a smile: "Andrew, you came at a good time! You have to pay attention to the Prada case, this is your own business, and you must assist Bob and Brandy to complete the acquisition."

Andrew Mooney's worries are superfluous. He is a powerful general that Tang En dug from Disney. How can he not entrust him with important tasks?

Previously, he served as the vice president of Nike and the CEO of Disney's consumer products department, and his resume...does not seem to be rich enough.

However, the achievement is outstanding!

Especially from Tang En's foresight perspective, it is amazing!

When he was at Nike, he promoted the endorsement plan of sports superstars, which made Nike's brand value grow rapidly.

His achievements in Disney are even greater. He integrated all the Disney cartoons "Princess" in the past, created the "Disney Princess" brand, and made efforts in the derivative consumer goods market.

The "Disney Princess" toy once had a huge impact on Barbie dolls and became the number one IP in Hollywood!

Every year, the toy sales of "Disney Princess" alone are worth 500 million US dollars!

It is precisely because of this omnipotent commercial behavior that Andrew Mooney annoyed the artist-minded Roy Disney.

Each Disney princess is a treasure of Disney, sacred, noble, elegant and brilliant.

But he sold it as a toy, which is simply blasphemy! Blasphemy!

Back then, Roy Disney launched the "Save Disney" campaign. The first reason was to oppose Michael Eisner's acquisition of the ABC television network. The second reason was to oppose the appointment of a bastard who blasphemed art like Andrew Mooney.

It was precisely because of this reason that Tang En was able to easily recruit him back then.

Blasphemy art?

This is so funny.

The management of an enterprise requires the thinking of a businessman like Andrew Mooney, allowing artists to manage the company... The dilapidation of Disney back then and the plight of Prada now are the best proofs!

The current Prada has a management concept of artist thinking, which is ridiculous.

After the merger and acquisition is completed, Tang En will not hesitate to let Prada accept the leadership of Andrew Mooney, and let Prada accept the baptism of commercial atmosphere and market thinking.

"Universal Pictures is going to make a movie called "The Devil Wears Prada", which provides an opportunity for us to acquire Prada. In addition, the acquisition of Prada is just the beginning. Since we have chosen to enter the fashion consumer goods industry, we must expand Be stronger and do your best!"

Tang En's words shocked Andrew Mooney again. He looked at the young boss in disbelief and surprise, "Besides Prada, do we want to acquire other fashion brands?"

"no doubt!"

Tang En answered firmly.

"What is it?"

"Victoria's Secret."

"Well……"

Andrew Mooney took a deep look at him.

There is a lot of side news.

Twain and Victoria's Secret... have always been very close. Is this going to be a complete family?

Tang En said: "This year, we will strive to complete the signing of the draft acquisition of Prada. Next year, we will reorganize the tourism and consumer goods department, and then enter the women's underwear market."

Andrew Mooney asked: "What will the restructured Consumer Products Division ... be like? Is it a holding company model, or is it a vertical integration of all brands?"

It is very easy to set up a holding company. Basically, if you get a 30% stake in a company, you can gain control, and then incorporate the entire company into your own consumer product system.

The disadvantages are also obvious. Absolute control cannot be achieved... Even if absolute control is achieved, because of the interference of the board of directors and the differences of other shareholders, it will seriously affect the implementation of decision-making, and then affect efficiency.

The efficiency of vertical integration is much higher. All subsidiaries are 100% owned by the upper-level company, and decisions made from top to bottom can be carried out unconditionally at the first time.

Such a company, once a super CEO appears, will undergo qualitative changes in a very short period of time.

Like apples.

Today's giant companies in the world are mainly of these two types.

Traditional companies mostly adopt the holding model, with huge industries and complex assets; emerging companies are all vertically integrated, with higher efficiency and higher price-earnings ratios.

"Efficient vertical integration is a must!" Tang En blurted out without even thinking about it. "Those old European family companies are the most troublesome. Murdoch has already suffered enough from them. The design of products, the concept of art, They can continue to be responsible. However, in terms of business and management, they cannot be given a chance, they have no say!"

Andrew Mooney nodded, and suddenly thought of something, "By the way, you said... the acquisition of Prada is to use the movie "The Devil Wears Prada" as an opportunity?"

"That's right, what's wrong?"

"I heard...the live-action movie series of "Transformers" is also intentionally released?"

"Um?"

Tang En raised his eyebrows, a little funny.

This Andrew Mooney really has a lot of ambitions!

The consumer goods business department is about to launch an acquisition of Prada, and next year, it will also acquire "Victoria's Secret". In the future, there will be greater mergers and acquisitions of fashion assets.

He is not satisfied with such a large industrial scale?

Thinking about entering the toy industry?

Is this for Hasbro?

Andrew Mooney said awkwardly: "Boss, I heard...you have a good relationship with Hasbro? Are you a shareholder of Hasbro?"

Tang En waved his hands and said firmly: "Toys are different from fashion. Compared with the toy industry, our business philosophy can only be cooperation. Hasbro is different from Prada, and Hasbro can't buy it."

This is only part of the reason.

New Universal, Hasbro, and Lego are all partners. The former will make movies such as "Transformers" and "Special Forces", and the latter has jointly established a Lego animation studio.

Meanwhile, Hasbro and Lego are competitors.

As a third-party platform, New Global can cooperate well with the two at the same time without affecting each other's interests.

If New Universal acquires Hasbro, it will inevitably affect the cooperation with Lego.

In the future toy market, Hasbro and Mattel together cannot compare to Lego.

You can't lose the big because of small things.