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www.midea.com Midea Advances Newsletter, April, 2013

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VOL 3, #3, April 2013, No. 27

It’s Baaaack!

The Canton Fair returns for its first show of 2013


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Midea

Advances Newsletter

Contents

NEWSLINE

CAC’s 4th MDV ELITE Camp PAGE 5

FEATURE

2013 Dealers’ Conference in

Bandung PAGE 3

CAC Product Training

Conference in Chile PAGE 4

Midea Advances Newsletter is published monthly

by the International Strategy Department of

Midea Group. We welcome all comments,

suggestions and contribution of articles, as well as

requests for subscription to our newsletter. You

can reach us by email at: [email protected]

Address:

ADVANCES, International Strategy Department

Midea HQ

No. 6 Midea Road

Beijiao, Shunde, Foshan, Guangdong

P.R.C. 528311

Tel: +86-757-2360 4714

Web: www.midea.com

Managing Editors:

Matthew Smith

Mandy Wang

Regular Correspondents:

Himani Joshi

Amber Liu

Crystal Lun

Blinda Li

Tony Miao

Peck Zhao

Sandra Sun

James Yu

Daniel Zhang

Sue Ou

Cover photo credit:

Yang “Sunrise” Rixi

PEOPLE GMCC Ships 4 Million Units,

No.1 in World PAGE 4

Special Bonuses Awarded to

Shunde RAC Manufacturing

Teams PAGE 6

CAC at the 2013 China Re-

frigeration Expo PAGE 8

Midea CAC at the 113th

Canton Fair PAGE 7

Midea Laundry Division at

the International Housewares

Show in Chicago PAGE 12

The Life of a Salesman PAGE 16-17

MIDEA SNAPSHOT

PAGE 21

RAC Smart Control AC

Makes Debut at Canton Fair PAGE 6

CAC Launches Full Falling

Film Chiller PAGE 7

Midea “Free Match” Inverter

at Canton Fair PAGE 9

WORLD SHOWCASE

Laundry Division Shows Off

Spectacular New Exhibit at

Canton Fair PAGE 10

CAC at the 2013 Climate

World HVAC&R Exhibition in

Moscow PAGE 11

Midea the Gold Sponsor for

the 1st Annual Middle East

VAR Fair in Abu Dhabi PAGE 13-14

Miraco Opens Booth at the

2013 Cairo International Fair PAGE 15

Meeting Indonesia’s Shop-

ping Guides PAGE 18-19

MIDEA IN THE COMMUNITY

Midea Ranks 39th in China

Fortune’s Top 50 for Social

Responsibility PAGE 20


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2013 Dealers’ Conference in Bandung

By Sandra Sun

NEWSLINE

E arlier this past March, Midea’s Indonesia JV held its

first annual Dealers’ Conference in the Trans Hotel in Bandung,

Indonesia. Approximately 200 people were in attendance at the

conference, including Midea Group Vice President Dr. Andy

Gu, Midea International Division GM Coobie Zhang, Deputy

GM Liu Hao, Operations Department Manager Rainer Kern, JV

GM Jino Sugianto, JV Deputy GM Sean Zhou, in addition to

many local dealers.

The conference reviewed business development and the

state of the market in Indonesia, and concluded with an expla-

nation of the achievements the Indonesia JV had made with the

efforts from all of its dealers. This was followed immediately by

the presentation of awards to a select number of dealers in at-

tendance, for “Best Sales, 2012”.

After the introduction and awards ceremony, the JV

opened a prepared showroom at the hotel to show its Midea-

branded product portfolio of white goods and small domestic

appliances. Many dealers indicated their eagerness about these

new products after the product selling points were explained to

them, such that orders worth approximately $1 million USD

were made on that night alone.

Recipients of the Best Sales award.


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CAC Product Training Conference in

Chile By Tony Miao

NEWSLINE

F or the current year, Midea Carrier Chile has made it a

priority to strengthen the relationships it has with its network of

installers and other clients, and to inform them about the recent

and upcoming launches of Midea air conditioning products. To

facilitate this,

Midea Carrier

Chile and Midea

Commercial Air

Conditioning

(CAC) organized

a product training

conference to

bring everyone

together in Santi-

ago.

Within this

conference,

which ran from

April 1st to 4th,

two training

workshops were

held at the Pro-

fessional & Tech-

nical Institute of Chile, with the purpose of enhancing every-

one’s technical understanding of CAC’s products, showcasing

the latest designs from CAC, and reaffirming the firm relation-

ship between Midea and Carrier.

Throughout the product exhibitions, there were several

presentations for the new VRF series and modular chillers, the

ATW (air-to-water) water heating systems (which have seen

great success in Europe and the US), and a presentation for the

new, 4th generation of IMM (Intelligent Manager of Midea) In-

ternet control software, which handles Midea VRF products.

The training programs included speeches by Tony Miao,

Marketing Manager in Midea’s CAC division, and Benjamin

Peña Isla, Business and Marketing Manager in Midea Carrier

Chile, who emphasized

the importance of these

activities to promote

Midea-brand products

in the air conditioning

market:

“These sessions allow

us to update and sup-

port our channel part-

ners for them to give

better service to the end

clients. We are very

happy with the interest

and participation that

we’re seeing here. Con-

sidering that the Chilean

market is relatively small

in comparison with

other countries, such as

Brazil and Argentina, we are very surprised with the high num-

ber of participants— almost 200 people. This indicates growth

in our market and interest in Midea products,” said Peña Isla.

The Midea commercial product training programs will

continue during the year in order to keep installers and other

clients up to date on the various offerings from Midea Carrier

Chile.

GMCC Ships 4 Million Units, No.1 in World

world to reach such a target, making it the top manufacturer in

the world in this industry. This represents a year-on-year growth

of 26%.

F rom a review of March sales, GMCC has reached 4

million sets of compressors shipped, which is a new record,

and also makes it the only AC compressor manufacturer in the

By Crystal Lun

Benjamin Peña Isla Tony Miao


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CAC’s 4th MDV ELITE Camp

By Peck Zhao

NEWSLINE

T he 4th session of the MDV ELITE Camp was held

in late March. As many already know, the Camp is Midea CAC’s

platform for sales engineers and managers from Midea distribu-

tors to share their experienc-

es and discuss marketing

strategy together. 32 distrib-

utors and consultants from

six countries gathered at the

Midea headquarters for

three enlightening days, and

as a special bonus, some of

our ABC JV company staff

were present to participate

in this event as well. Since

CAC started the MDV

ELITE Camp in March of

last year, over 80 partici-

pants have visited Midea

headquarters to participate

in the program.

Sales Director, Ken Liang,

started the event with a welcome speech, sharing stories from

his 12 years of experience in the air conditioning global market,

and discussed marketing trends from Split to VRF categories,

finishing with an explanation about the background and purpose

of the ELITE Camp.

Marketing Executive Peck Zhao further explained CAC’s

marketing strategy and support policies. This was followed by a

presentation about the VRF market, including the global market

volume and share by

products, and main fac-

tors which affect the air

conditioner market. The

most important issue was

the rise of VRF in the

past 20 years, and the last

6 years in particular.

Afterwards, Leticia

Chow gave a short

presentation about the

Midea Group and the

CAC division, followed

by a lecture by Ms. Au

about the full range of

CAC’s product lineup,

including DC inverters

and digital scroll VRFs,

air-cooled scrolls and

screws, water-cooled

screw chillers, centrifugal

chillers, air side terminals,

rooftop package units,

split commercial air conditioners, ATW heat pump water heat-

ers, and precision air conditioners.

Zhao then

returned to

the stage to

talk about

the latest DC

inverter V4+

VRF prod-

uct, which

provides a

perfectly

optimized

cooling and

heating system with its innovative technology, bringing greater

benefits for users, designers, installers and service persons.

ELITE Camp members gathered at the front of Midea headquarters.


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RAC Smart Control AC Makes Debut at

Canton Fair By Crystal Lun

M idea RAC is always making great strides in devel-

oping efficient and user

friendly products for its cus-

tomers. Now it has taken

another big leap forward by

presenting a control solution

that employs cloud services

to enable customers to man-

age their climate control sys-

tems from anywhere in the

world.

At the Canton Fair this

April, RAC presented its new

smart control technology

with a new split-style unit

named Fairwind, and an iPad with a special control application

installed. The demonstration was eye-catching and stood out

sharply amongst the competing exhibits, as users were able to

experience direct control of the air conditioner using the iPad.

Specifically, the AC controls are operated via iPad, iPhone,

or from any PC with Internet

access using this add-on ser-

vice. All of the same func-

tions are available as they

would be at home: Start/

Stop, Mode Selection, Tem-

perature, Fan Speed, Dry/

Heat/Cool/Fan, etc. making

the experience provided by

RAC the most comfortable

and convenient, all with the

lowest energy consumption

in the industry.

The Smart Control AC will

start mass production this year and will be the lead in what is

estimated to be a popular trend in the air conditioner industry.

NEWSLINE

R AC’s Shunde manufacturing teams have been un-

dergoing seasonal appraisal for basic management in the pur-

suit of being standardized and refined. In recent days, the out-

come of this appraisal has been released, and special incentive

bonuses were given to outstanding manufacturing teams.

The busiest season is always within the first quarter, and

all work at the Shunde factory was still accomplished in top

order. As a reward for their outstanding work, special bonuses

and red flags were given to the manufacturing teams.

Special Bonuses Awarded to Shunde RAC

Manufacturing Teams By Crystal Lun


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Midea CAC at the 113th Canton Fair By Leticia Zhou

NEWSLINE

A long with the rest of Midea’s other divisions, CAC

was at Canton Fair, displaying its brand new Full Falling Film

centrifugal chiller and S-series VRF. The new chiller applies aer-

odynamic techniques from aerospace engine design, with opti-

mized compressor, impeller, and volute designs, which improves

efficiency up to 95%. Not to be outdone, the S-series VRF sys-

tem features high efficiency, low noise, and long piping, of

which the maximum length can reach up to 1,000 meters.

The number of attendees at the CAC booth was compara-

ble to last season’s show, however, the proportion of profes-

sionals increased over last time. Over the five days of the Can-

ton Fair, CAC executives became acquainted with new clients,

describing new, upcoming projects to them. At this season’s

Canton Fair, there were $3.45 million in orders placed by new

clients alone, 50% of the new order total. Admission data indi-

cated an increase of attendees from Africa, and CAC clients

from East Africa have grown significantly in recent years. This

would indicate that African market requirements have been

undergoing rapid increases. Agents visiting from other markets

also expressed interest in Midea exclusivity. With this kind of

passion for Midea, CAC sees the need for maintaining its pro-

motional activities, such as inviting new clients to join the MDV

Elite Clubs/Camps and tours of CAC factories, for them to

grasp a better understanding of CAC and their products.

CAC Launches Full Falling Film Chiller By Sue Ou

O n March 21st, Midea CAC held a press conference

in Chongqing, China to announce its new high efficiency dual-

stage “full falling film” centrifugal chiller. Testing organizations

have remarked on the high performance of this product, and

that the outstanding innovation

found within its design was

considered to be advanced by

international standards, which

merited its award of the World

Leading Certification.

Midea CAC has three

production bases, in Shunde,

Chongqing, and Hefei. Chong-

qing’s focus is on R&D, and the

production of water-cooled

screw chillers. This facility was

awarded as the “Chongqing Industrial Technical Center” in

2006, and received the “National High-Tech Enterprise” award

in 2008 and 2011, in addition to the “National Industrial Tech-

nical Center” distinction in 2012.

With the recognition and support of the government, the

industry’s awareness of the importance of energy efficiency and

environmental friendliness is gradually increasing. For the fur-

ther development of its energy-saving offerings, Midea launched

the dual-stage full falling film centrifugal chiller R&D project in

2010. The R&D team consisted of foreign and domestic ex-

perts, and through more than two years of research, this project

overcame many technical challenges to finally reach its goal. The

dual-stage falling film centrifugal chiller employs 20 patents,

including 5 invention patents and 15 utility patents, which in-

clude the advanced full falling

film technology, dual-stage

compression plus vapor injec-

tion technology, pre-whirl

guide vane technology, intelli-

gent control system, to name

just a few.

The impressive patents that

make up this chiller have led to

remarkable performance. Ini-

tially, the coefficient of perfor-

mance (COP) reached 7.06W/

W at AHRI-standard conditions, and the integrated part load

value (IPLV) reached up to 11.6. With the new full falling film

evaporator, the heat exchanging efficiency is significantly im-

proved. Refrigerant charge volume is also minimized—40%

lower compared with the flooded type, which makes this the

“greenest” centrifugal chiller. Moreover, this unit has “free cool-

ing” technology, which consumes zero power during the transi-

tion season, which is most economical and efficient for provid-

ing cooling.


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FEATURE

CAC at the 2013 China Refrigeration Expo

By Amber Liu

T he 24th China Refrigeration Expo (CRH) was held

from April 8th to 10th in the Shanghai New International Expo

Centre. The China Refrigeration Expo provides an ideal plat-

form for launching the latest technology and products, inter-

preting industry trends and policy, as well as the marketplace of

international trade. More than 40,000 professional visitors and

buyers from over different 100 countries attended this expo.

Midea CAC was there as well, showcasing its full range of

new products. Most of these new products are industry firsts,

incorporating dozens of patented technologies, and boasting

ratings on main performance indices (such as EER) that reach

the highest levels in the industry.

Midea CAC is one of the biggest exhibitors in this expo,

with a booth of 500 square meters. Among all of the products

on display at the exhibit, the super high-efficiency water-cooled

centrifugal chiller was, without a doubt, the star.

This chiller is the first centrifugal chiller in the world to

adopt a dual stage compression system and “full falling film

evaporator”. Last

month, it was certified

by a top national experts

committee, which con-

sisted of academic fig-

ures from seven differ-

ent research institutions

from around the coun-

try. The committee

found that the technolo-

gies applied to this

chiller could be consid-

ered to be at an advanced level, relative to international stand-

ards.

CAC has applied twenty different patented technologies in

the design of this chiller. Five of them are invention patents,

which utilize

aircraft engine-

inspired technol-

ogies such as pre

-swirling vanes

and a two-stage

economizer.

Other break-

throughs include

an industry-

highest efficiency rating of 7.06 AHRI, which sets a COP rec-

ord, and a first-ever “full falling film evaporator”, which signifi-

cantly boosts the heat-exchanging efficiency and reduces 40% of

the refrigerant charge. And with “Free Cooling” technology

during the transition time of the season, the chiller can operate

in cooling mode without ruining the compressor.

Since the establishment of Midea’s CAC division, VRF has

always been one of its most important directions for research.

Now, after 14 years of VRF research and development, CAC

was showing its new and exciting X-series. An all-DC inverter

VRF, this product boasts a top-rated IPLV 6.55, maximum

88HP combination capacity, and an external design reminiscent

of a diamond, attracting looks from all around.

Besides its new chiller and X-series VRF, CAC also re-

vealed its CO2 air source heat pump water heater, a close con-

trol air conditioner, and a BLDC (brushless DC inverter) fan

coil unit (FCU).


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FEATURE

Midea “Free Match” Inverter at Canton Fair

By Crystal Lun

I n typical Midea fashion, the company was demonstrat-

ing its excellence in product design to the Canton Fair at-

tendees, and light commercial products were no exception at

this season’s show. Midea’s new “Free Match” inverter is for

customers who cannot be suitably served by a one indoor unit

to one outdoor unit configuration at home. Having multiple

indoor units monitored by only one outdoor unit is much more

flexible, and the technology used in this solution enables cus-

tomers to control the home or small office environment more

economically.

Space-Saving Installation

Up to five indoor units can be connected to a single out-

door unit. This reduces the cost and unsightliness of having

multiple outdoor units. All indoor units can be individually

controlled and do not even need to be installed all at once.

Flexible Installation

With its long piping design, a maximum piping length of

75m and height difference of 15m can be supported, allowing a

wide flexibility for installation locations.

Wide Choice

The Free Match outdoor unit is powerful, yet efficient and

silent. It’s available in 7 power capacities, and able to combine

up to 5 indoor units.

Wide range of Indoor Units

Five different types of indoor units are available for use

with the Free Match system: Wall, Console, Duct, Compact

Cassette, Ceiling-&-Floor, and in 4 different power capacities

that can meet the needs of most residential and small office en-

vironments perfectly.

Energy-Saving

Cutting-edge DC inverters employ sine wave control and

active PFC technology to provide quieter and more economical

operation.


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FEATURE

Laundry Division Shows Off Spectacular

New Exhibit at Canton Fair By Blinda Li

T he China Import and Export Fair, better known as

the Canton Fair, opened again this April, where tens of thou-

sands of global import and export trade exhibitors gathered as

expected. At each show, Midea always attracts a lot of attention,

and the Laun-

dry division

was deter-

mined to be-

come an even

stronger com-

ponent in

Midea’s overall

exhibit this

year.

By ruling

out traditional

exhibition styl-

ing (single-

white color

use, tiled sil-

very products,

and quantity-based displays), the Booth Design Group (BDG)

firstly adopted the “Built-in Color Model” display style, so as to

clearly display the actual appearance of the colors used in the

company’s products.

BDG also made tactful use of the wallboard to present

product selling points, and thus the entire booth design high-

lights the

cutting-edge

product tech-

nology every-

where, leav-

ing a lasting

impression

on all visitors.

The BDG

focused on

three major selling points for the Laundry exhibit (One Touch,

iAdd, and Water Magic Cube), which made the entire booth

quite bright and eye-catching.

The One Touch technology in Midea’s newest washers

uses advanced algorithms so that, with just one touch of a but-

ton, the washer will handle the entire process automatically:

water level, wash type, rinse, and spin functions are all calculated

and chosen independently, saving the owner time and energy.

The concept of the Water Magic Cube centers on the

washer’s pulsator. A Water Magic Cube pulsator, as opposed to

using a central agitator, creates a more three-dimensional move-

ment of the clothing, with less twisting of the fabric as experi-

enced with conventional agitators. The new generation Water

Magic Cube uses sensors to set the water level according to the

weight of the laundry, thereby reducing water usage. What’s

more, a wash with less water also requires less detergent.

The iAdd Automatic Dispensing Technology has integrat-

ed cutting-edge technology, able to automatically dispense the

exact amount of detergent and softener needed, according to

the cycle type, the amount of clothing, and level of water being

used. The iAdd system is actually composed of many elements:

Its Gravity Sensing System uses a frequency conversion motor

with a Holzer sensor, so that the washing machine can collect

feedback to return to the iAdd system, by which clothing weight

can be determined. The Three-Dimensional Variable Intelligent

Program uses clothing weight, washing mode, and environment

temperature to decide the amount of detergent to use, boasting

a total of up to 208 washing solutions. iAdd washers use an Ul-

tra-Precise Dispensing Device, which employs an electromag-

netic pump to

strictly control

the amount of

detergent in-

troduced to

the wash load,

guaranteeing

accuracy and

eliminating all

detergent resi-

due. Finally, the Cleanliness Sensory Perceptual System offers

real-time monitoring, accurately judging whether the clothing

has been washed clean, intelligently controlling the washing

frequency, and fully preventing detergent residue.

According to Canton Fair statistics, the number of global

buyers in attendance was greater than 100,000, representing an

increase of 10.5% over the same period last year. Growth was

particularly evident in attendee registration from emerging mar-

kets, with increases of 56.5% from India, and 29.5% from Afri-

ca. Attendance from the United States increased slightly, while

the growth of visitors from Europe was essentially flat.

Booth Design Group’s flashy new style.


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CAC at the 2013 Climate World HVAC&R

Exhibition in Moscow

By Tony Miao

WORLD SHOWCASE

Together with its Russian distributors, Midea and MDV

(Midea’s own VRF brand), brought their portfolio to show off

at the 2013 Climate World HVAC&R exhibition in Moscow,

between the 11th and 14th of March.

Midea’s booth design was very simple and clear to see

from across the show floor. The main products on display in-

cluded the VRF with its DC inverter, and the air-cooled modu-

lar chiller, which provides the best climate solution for cooling

and heating in Russian market.

In MDV’s

separate

booth, the

VRF, Mini-

VRF, and

CCU

(compressor

condensing

unit) prod-

ucts were

being shown

to conference attendees. Just as in the Chinese market, MDV

products have been highly recommended in the commercial

segment for their stable performance and lower installation and

maintenance cost. The MDV brand in the Russian market is

positioning itself more as a profes-

sional brand with a higher price, and

higher technology to match. So far,

MDV brand promotion in Russia has

been really successful through effec-

tive marketing and sales. The MDV

Elite Club and MDV Elite Camp

activities have also contributed to the

cooperation of sales executives and

design engineers.

The Climate World exhibition is the

most anticipated and intriguing event

of the year in the Russian HVAC&R

industry. It is held every year in early

March, and brings together all of the

players in the HVAC&R business.

Despite the development of the In-

ternet and online business, such

events are still important in allowing

the participants to effectively market

and sell products, to study new equipment, to meet with the

partners and competitors, and to collect valuable information

about the market, all of which are useful for adjusting one’s own

marketing strategy. For these reasons, Midea and MDV, along

with their local distributors, are certain to be found at the next

Climate World in 2014, as well.


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Midea Laundry Division at the International

Housewares Show in Chicago

By Blinda Li

WORLD SHOWCASE

T he International Housewares Association (IHA)

hosted its 2013 Annual Show at the Chicago McCormick Place

on March 2nd, with the theme of the show being “Technological

Innovation Derives from Experience”. Household appliance

vendors from all over the world gathered together for this show,

making for an unprecedented attendance, in the midst of which

Midea proudly displayed its wide range of products, including

air conditioning, refrigeration, laundry, to name a few.

To elicit a strong response from visitors to the exhibition,

the Laundry Division elaborately prepared six of its newest ma-

chines, including 2 top-loaders, 2 dryers, 1 front-loader, and 1

combination model.

All of these machines on display were eye-catching, large-

capacity products tailored to the daily lifestyle and washing rou-

tines of those living in North America.

Top-loader and front-loader machines were displayed to-

gether with matching dryers, exhibiting closely-related design

characteristics. Providing a visual match for washer and dryer

sets is important as North American consumers are somewhat

sensitive about the cosmetic aspect of their appliances.

The image of a typical family pictured at the laundry appli-

ances exhibition drew much attention because it perfectly con-

veyed the comfortable and convenient living experience arising

from the use of their modern laundry appliances. The associa-

tion being made is of technological innovation with having a

happy life.

The exhibition stand attracted several foreign customer

enquiries, including frequent business partners and potential

new customers.


13

Midea the Gold Sponsor for the 1st Annual

Middle East VAR Fair in Abu Dhabi

By Peck Zhao

WORLD SHOWCASE

I n late February, the 1st Annual Middle East Variable

Refrigerant Flow Conference (better known as VAR Fair)

opened to attendees from the government, industry, media, and

representatives

from certifying

organizations,

within the

luxurious Radisson

Blu hotel on Yas

Island, in Abu

Dhabi, UAE.

The VAR Fair

was a two-day

conference that

placed a spotlight

on the variable

refrigerant flow

(VRF) industry in

the Middle East.

The event created a

platform for

manufacturers and suppliers to listen to regulators, to seek

clarification from them, and to advocate the attributes of VRF

systems to the

diverse audience

there. The event

was also an

opportunity for key

decision makers to

better understand

the operation of

VRF systems in

terms of energy

efficiency,

reliability, ease of

installation, service

and metering

(measuring and billing). Overall, the conference was filled with

much dialogue focusing on sustainability, improvement of well-

being, conservation of resources, protection of the environment

and social and economic development.

Midea CAC (Commercial Air Conditioner), as the Gold

Sponsor for this event, attended with its regional agent, Elapco.

CAC’s Marketing

Manager, Peck

Zhao, representing

Midea at the

conference, gave a

speech about the

global market for

VRF, and the

benefits of Digital

Scroll VRF. He also

delivered a

presentation about

CAC’s D4 Plus

series digital scroll

VRF, which adopts

advanced

technologies, with

reliable, patented

digital scroll compressors, plus simplified electrical control.

“Due to such improvements as user-friendliness, flexible

designs, lower noise

level, easy

transportation, there

has been a

considerable jump

in interest and

confidence in VRF

products among

customers,” said

Zhao. “Digital scroll

VRF is the best

choice for high

ambient

temperature

applications over Gulf Countries and regions.”

Zhao also participated as a panelist at a conference

CAC Marketing Manager Peck Zhao (far right), looking on as his fellow panelist answers a question.


14

Midea the Gold Sponsor for the 1st Annual

Middle East VAR Fair in Abu Dhabi (cont.)

By Peck Zhao

WORLD SHOWCASE

discussion on the second day, providing attendees the

opportunity to share thoughts on fundamental points in the

VRF industry. By

the conclusion,

several key issues

had been

identified: Lack of

standardization in

the VRF

certification

process means

that the efficiency

of this technology

cannot yet be

established with

authority.

Furthermore,

parties with any

stake in VRF technology were urged to work together to better

develop testing and promotion so that government approval

could be hastened. It was also proposed that an open database

be assembled with data concerning all VRF installations, in

order to inspire openness between everyone in the VRF

industry.

The VAR Fair

was a great

experience for

learning first-

hand about

regulations &

environmental

policies from

GCC (Gulf

Cooperation

Council)

governments

and innovative

technologies from other manufacturers. It also presented a

valuable opportunity for Midea’s brand-building effort through

displays and engaging live demonstrations, both of which are

helpful for improving brand recognition.


15

Miraco Opens Booth at the 2013

Cairo International Fair

By Daniel Zhang

WORLD SHOWCASE

T he 46th Cairo International Fair was held this year

from the 19th of March to the 29th, with over 1,300 companies

from 20 different countries present with their new exhibits. The

Fair participants are from sectors such as agricultural, industrial,

and service. The theme for this year’s Fair was “Egypt: the

Gateway for Trade”.

Miraco normally cooperates with a main dealer in attend-

ing the Fair, and this year it was as at a well-decorated booth

near the main entrance. Although the attendance for the Fair is

down significantly due to the recent revolution in the country,

there was still an estimated 2,000,000 visitors.

Miraco has presented multiple brands to the Egyptian mar-

ket, including Carrier, Midea and Toshiba. Each brand has its

own unique positioning in the market to satisfy all segments.

Miraco expects its total market share in Egypt in 2013 to reach

40%

Outside of Miraco’s Fair booth.

Inside the Miraco booth.


16

PEOPLE

The Life of a Salesman

By Makiyo Zhong

N ick Mai is a Sales Director at Midea, currently

in charge of the European market for the Consumer

Electric division, with a history at the company going

back to 2005. ADVANCES guest interviewer Makiyo

Zhong sits down with Nick to learn more about his

intriguing life inside of the sales business at Midea...

Makiyo: How long have you worked in Midea? What

different positions have you held?

Nick: I started working for Midea’s Consumer Electric

division in 2005, as a fresh graduate out of university. Even

though my major was Economics, I really wanted to be in sales.

From the moment I joined Midea,

my dream was to excel as a senior

sales manager! So throughout my

career here, I have always worked for

the overseas sales department.

During the summer of 2005, I

worked as Sales Assistant on the

North American team. In 2006, I

was promoted to a full sales position,

and I could handle business of my

own. At that time, I had a very good

teacher and manager who showed

me how to find the right path.

Because of this, I grew faster than

my other peers in my department.

From 2007, I was placed in charge of

our business in the Middle East

region. There was great pressure to

keep me growing and thinking at that

time. From 2008, I finally became a

Sales Manager for all of Europe.

So between 2005 and 2008, I got promoted almost every

year. I am not an arrogant person, but success can puzzle you

sometimes, especially as a young man. At that time, I felt quite

capable, that I could make success anywhere I tried. So I left the

Consumer Electric division and transferred to the CAC division

as a Sales Manager for Argentina. For a number of reasons, I

left CAC and Midea by the end of 2008.

I liked Midea very much, because I learned and grew so

much during my time here. Even though I earned much more

money after leaving Midea, I still missed the time that I spent

here, so at the end of 2010, I enthusiastically returned to Midea,

as a Sales Manager again in the Consumer Electric division,

Water Appliances sub-division. By 2011, big changes were

taking place inside Midea. The International Division came into

being, and in this year, I was working as a Product Manager.

As I mentioned before, I working in sales, so from 2012, I

returned to work as a Senior Sales Manager for the Latin

American market. Most recently, I transferred to the Europe

market as a Sales Director.

Makiyo: Over this time, what changes have you seen in

the company?

Nick: Over the past years, I’ve seen

that Midea is a company which deals

concretely with matters relating to

work. If you have made outstanding

achievements, then you will get what

you want, sometimes even beyond

your expectations.

Midea is a company of integrity, so

every manager, every staff member

who works in Midea must have

integrity, too. Do what you say, say

what you can do. Keep your

promises every time, because in this

environment, everybody can work

easier and happier than in other

companies. I think this is one of the

reasons that I like to work for Midea.

Makiyo: As you mentioned, you

were in charge of the Latin American

market in the past, and now you're in charge of the European

market. Why did you accept this new role?

Nick: Pressure will make you feel anxious, and I think

nobody likes anxiety. But to be honest, if I had stayed in the

Latin American market, I wouldn’t have so much pressure as I

do now. But to be a manager in such a company like Midea, you

will never fear new challenges. You can’t fear challenge, you


17

PEOPLE

The Life of a Salesman (cont.)

By Makiyo Zhong

have to face it.

Even I don’t like pressure, but I do like challenges. If my

life had no challenge, I would feel quite bored. In this way, I

think sales is a very suitable type of job for me.

Maikyo: Have the economic troubles in the European

market had much effect on your sales performance?

Nick: It’s true that the Europe market is really not so

good, but I always believe that if God closes a door, then he

will also open a window for you. I think if you are optimistic

enough, and if you are active enough, you can always find the

road to success, no matter the adversity of the situation.

I don’t want to say anything about the difficulty of each of

my markets, but I have to say, even in the most difficult of

periods, there must always be a winner, and so I think if we

think a little bit ahead of our competitors, and do more for our

customers, we can be that winner. So, yes, the economic crisis is

influencing my business in a negative way, but it will never be

my excuse if I suffer poor performance.

Makiyo: The most recent Canton Fair has just ended -

can you tell me what you learned there?

Nick: A smart person can always learn from the Canton

Fair; from his customers and his competitors, alike. I spoke

with my customers, asked about their business, their market,

and their relationship with our competitors. I also spoke with

my competitors, trying to find out how they think, what they’re

doing, what they’re selling. I even talked to our suppliers, trying

to better figure their relationships with our competitors, their

sales performance in this market, and so on. By collecting all of

this information, bit by bit, you can learn a surprising amount.

Armed with this, you can make wise decisions, or at least, wiser

decisions than before.

Makiyo: What is your competition like in Europe? Is

much of it from China?

Nick: Most of the competition comes from China

actually, and some from Korea, too. But really, it doesn’t matter

so much where they come from. The most important thing is

not focusing on your competitors, but rather on your

customers. Focus on their needs, their product line, their

market.

I have confidence in our business, because in many

categories, we are the leader in our market. But even though we

are in a leading position, we cannot just “wait and see” like a big

company. We need to keep working like dogs, thinking like

thinkers, and fighting like soldiers. I am sure that in this way, we

can achieve great success without fear of any kind of

competition.

Makiyo: Thank you for your time, Nick!

Nick: You’re welcome, Makiyo!


18

PEOPLE

Meeting Indonesia’s Shopping Guides

By Sandra Sun

S hopping guides are essential for a company like

Midea that sells home appliance products, since consumers

typically want to interact with products before making a

decision. Even after the channels are constructed, the

relationships with the dealers established, and the promotional

displays prepared, it is the Shopping Guide who is responsible

for persuading the customer to make the decision to buy our

products.

During my recent trip to Indonesia, I had the

opportunity to take part in their Shopping Guide training

seminar, and to talk with many of the Guides directly.

The training took place in the city of Surabaya, the

second largest urban center in Indonesia. Altogether,

there were 45 Shopping Guides being prepared to work

in Surabaya, and 236 across the 8 branch cities in

Indonesia.

When the training began, JV GM Jino Sugianto

gave all Shopping Guides an encouraging pep talk and

then introduced me, and in response came many excited

shouts of “hello!” in English. Angelo then came back,

and started his product training with written tests and

mental challenges for everyone to attempt. My original

purpose was simply to observe the training process to

formulate ways to improve it, but this was also an

excellent opportunity to engage with the Shopping

Guides and gain some insight into the local market: these

people are immersed in the marketplace on a daily basis,

speaking with customers and observing competitor

performance. So then, once the session was complete, I sat

down with the more experienced Shopping Guides to hear what

they had to say.

The Shopping Guides I spoke with, Rizqie, Naning,

and Thedy, were actually the first group to work for Midea here.

One of the Shopping Guides receives his training in-store.

Rizqie, Naning, and Thedy: the three Shopping Guide interviewees.


19

PEOPLE

Meeting Indonesia’s Shopping Guides (cont.)

By Sandra Sun

With Frangky’s assistance, I had the following conversations:

Sandra: When did you join Midea?

Rizqie: Actually, we all joined in October of 2010, at the

same time.

Sandra:

How do you

think Midea is

performing in the

Indonesia market

so far?

Rizqie: I

think Midea’s

products are really

good quality, and

so Midea’s

business is

growing very fast

here.

Sandra:

What problems

do you think we still have?

Rizqie: We don’t have promotional activities, but our

competitors do such promotions from time to time. I think this

would help to sell our products.

Thedy: Yes, I think this aspect is very important for

introducing our brand to customers. Right now, many people

still haven’t heard of Midea, so they won’t buy our product.

Naning: We need to increase our stock, too, because we

always sell out and then have nothing left to sell.

Sandra: How do you think of our Chinese competitors in

the market here?

Naning: Well, customers typically have said that our

product is of higher quality than the other Chinese brands.

Sandra: What more do you think we need to do?

Rizqie: I hope that we can do more advertising here to let

more people know our brand.

Naning: I hope

that we can have a

greater selection

of products to sell

here. Midea has

many products

that we do not

sell here yet.

Sandra: What do

Indonesian

customers care

about when it

comes to buying

home appliances?

Rizqie &

Naning: First is

the brand;

Indonesians care about brands very much. Second is the price,

and third is feature set; which special functions are offered in

the product, and finally, promotion would be the fourth-most

important aspect to consumers.

Sandra: How do you feel about working for Midea?

Thedy: I feel very confident about Midea. We can all do

well here.

From this interview, the very first-hand feedback, I can

feel that people in Indonesia really have confidence and

enthusiasm of promoting Midea in the local market and on the

other hand, we will have more to do to support their work.

Author Sandra Sun posing with the Shopping Guide training seminar participants.


20

MIDEA IN THE COMMUNITY

Midea Ranks 39th in China Fortune’s Top 50

for Social Responsibility By Blinda Li

F ortuneChina.com released its annual “Top 100

Chinese Enterprises in Social Responsibility” ranking back in

March, and Midea stands alone as the only white goods

manufacturer within the first half of the list, at 39th place. Midea

upholds its

business

philosophy,

“Creating

Value for

Society” by

constantly

pursuing

innovation in

order to

create this

value.

Active

involvement

in public

welfare is

widely

regarded as a

necessary

quality for a

mature and

healthy

business. As a

leading enterprise in the design and manufacturing of household

appliances, Midea is committed to developing its public welfare

contribution, such as donations of money, basic necessities, and

volunteer services to actively fulfill its responsibility to society.

To provide relief to impoverished children in outlying

districts of Guangdong who suffer from sustenance and

education problems, Midea partook in the “Student Aid by

Financial Donation” and “Happy Kitchen” projects which were

sponsored by the South Public Welfare organization, and

contributed household appliances worth more than 1 million

RMB, which greatly improved dining and health conditions at

several schools. In June 2012, the CPC Guangdong Provincial

Committee and Guangdong Municipal Government

announced the “Guangzhou Poverty Relief Day” event, to

which Midea donated 30 million RMB.

Social responsibility isn’t only about giving back to

society in

general; it

also includes

a

responsibility

to its

employees.

Midea has

adopted a

series of

actions like

starting its

Employee

Support

Fund, selling

comfortable

housing to

employees,

and paying

regular visits

to needy

employees.

Over the five

years since the beginning of the Midea Employee Support

Fund, the company has aided a total of 419 needy employees,

with donations totaling 6.426

million RMB.

As recently as 2012,

Midea Group and its

employees have donated

approximately 600 million

RMB to public welfare efforts, with donations covering such

sectors as education, culture & sports, disaster relief, and other

charities.

Midea Group actively partakes in “Happy Kitchen” public welfare project, and donates lots of

household appliances to the project.


21

PEOPLE Midea SNAPSHOT

Unbeknownst to the booth attendees on the floor, Unbeknownst to the booth attendees on the floor, Unbeknownst to the booth attendees on the floor,

the dreaded threethe dreaded threethe dreaded three---eyed predator looms above, eyed predator looms above, eyed predator looms above,

waiting to pounce ...waiting to pounce ...waiting to pounce ...

Photo by Yang “Sunrise” Rixi

it’s baaaack! - img1.midea.comimg1.midea.com/global/about_midea/publications/201403/p... ·...

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