Xiangjian He

Early Life and Background

He Xiangjian was born on August 1, 1942, in Beijiao, Shunde, Guangdong province, China. His early life unfolded against the backdrop of a largely agrarian and economically developing China, a period characterized by significant socio-political shifts and limited opportunities for formal education and entrepreneurship. Born into a modest family, He Xiangjian's formative years instilled in him a strong sense of pragmatism, resilience, and an unwavering work ethic. Unlike many of his contemporaries who might have pursued traditional academic paths, He Xiangjian's path was destined for the entrepreneurial realm, driven by an innate desire to create and build. The economic landscape of Shunde in the 1960s was still largely undeveloped, and the concept of private enterprise was nascent, making his early ventures particularly challenging and pioneering. His experiences during this era profoundly shaped his business philosophy, emphasizing self-reliance, adaptability, and a keen eye for market needs.

Education

He Xiangjian's formal education was limited, a common reality for many individuals growing up in China during his youth. He did not attend university or receive a higher education degree. Instead, his 'education' was primarily practical, learned through hands-on experience, observation, and self-study in the burgeoning industrial environment of China. He is largely considered a self-made man, whose profound understanding of manufacturing, market dynamics, and corporate management was acquired through decades of diligent work, strategic decision-making, and continuous learning from the ground up. This practical, experiential learning approach proved to be a more valuable asset than any formal degree, enabling him to navigate the complexities of building a large-scale enterprise from scratch in a rapidly evolving economic system.

Career

He Xiangjian's illustrious career began in 1968 when, at the age of 26, he mobilized 23 local residents from Beijiao, Shunde, to establish a small workshop. The initial venture focused on producing bottle lids and other small plastic components, a testament to the humble beginnings of what would become a global conglomerate. This workshop, which operated as a collective, laid the foundational bricks for Midea Group. The pivotal shift in the company's trajectory occurred in 1980 when He Xiangjian strategically transitioned the workshop's focus to the production of electric fans, marking Midea's official entry into the home appliance industry. This move was prescient, capitalizing on the rising demand for household goods as China's economy began to open up.

Building on this initial success, Midea ventured into manufacturing air conditioners in 1985. This expansion proved to be a monumental step, as air conditioning became a staple in Chinese households and eventually in global markets. Under He Xiangjian's astute leadership, Midea rapidly diversified its product portfolio throughout the 1990s, expanding into a comprehensive range of home appliances, including refrigerators, washing machines, and microwave ovens. A significant milestone was achieved in 1993 when Midea Group was successfully listed on the Shenzhen Stock Exchange, providing crucial capital for its aggressive growth and expansion strategies.

Throughout the 2000s, Midea embarked on an ambitious internationalization strategy, establishing overseas production bases and expanding its sales networks globally. He Xiangjian was instrumental in fostering a culture of innovation and technological advancement within the company, investing heavily in research and development. In 2012, in a move that was highly unusual for a founder of a major Chinese enterprise, He Xiangjian stepped down as chairman of Midea Group. He handed over the reins to Paul Fang, a long-serving professional manager, demonstrating a pioneering approach to corporate governance and succession planning that prioritized professional management over dynastic control. He Xiangjian continues to serve as the honorary chairman and remains a significant shareholder, maintaining a strategic oversight and influence over the company's direction. In 2016, Midea made headlines with its acquisition of a majority stake in KUKA AG, a leading German robotics company, further diversifying its business into industrial automation and intelligent manufacturing.

Major Achievements

He Xiangjian's primary and most enduring achievement is the transformation of a rudimentary workshop into Midea Group, a Fortune Global 500 company and one of the world's largest and most successful manufacturers of consumer appliances and robotics. His strategic vision enabled Midea to become a dominant force in both domestic and international markets. He is credited with pioneering a modern corporate governance structure in China, particularly his decision to transition from founder-led management to a professional management team, which has often been cited as a model for other Chinese family-owned enterprises. Under his guidance, Midea expanded its product lines from simple fans to advanced smart home solutions, demonstrating remarkable foresight in anticipating consumer needs and technological trends. His leadership created immense wealth, not only for himself but also for thousands of employees and shareholders, significantly contributing to China's economic development and global industrial footprint. His entrepreneurial journey embodies the spirit of China's economic reform and opening-up era.

Personal Life

He Xiangjian is known for his extremely private nature, maintaining a remarkably low profile despite his immense wealth and influence. He is married, and his son, He Jianfeng, is also a prominent businessman, actively involved in investment and private equity, though not directly managing Midea Group's day-to-day operations. He Xiangjian resides in Shunde, the same region where he founded Midea. He has also engaged in significant philanthropic activities through the He Family Charity Foundation, although details are often kept private in line with his personal preference for discretion. In June 2020, his private life briefly entered the public spotlight when he was the victim of a home invasion and kidnapping attempt at his luxurious villa in Shunde, from which he was safely rescued by police, an incident that underscored the challenges faced by even the most secluded public figures. Despite this event, he has largely maintained his preference for privacy.

Legacy

He Xiangjian's legacy is multifaceted and profound. He is widely regarded as one of China's most influential entrepreneurs, a true embodiment of the country's economic transformation from a centrally planned economy to a global industrial powerhouse. His ability to build a world-class manufacturing enterprise from virtually nothing serves as an inspiration for countless aspiring business leaders. His strategic foresight in diversifying Midea's product lines and aggressively pursuing international markets ensured the company's sustained growth and global competitiveness. Perhaps one of his most significant contributions to Chinese corporate culture is his pioneering approach to succession planning, demonstrating that a founder can successfully cede operational control to professional managers while maintaining strategic influence, thereby ensuring the long-term viability and institutionalization of the enterprise. His disciplined, long-term vision and commitment to innovation have left an indelible mark on the global home appliance industry and continue to shape Midea Group's trajectory.