The unusual coincidence of two pals majoring in Common Arithmetic
Few individuals know that Mr. Nguyen Trung Dung, founder and normal director of DH Meals Joint Inventory Firm, and billionaire Nguyen Dang Quang, Chairman of Masan Group are classmates on the math class at Trung Vuong junior highschool (Hanoi). and highschool of Common College (Hanoi). The story was shared by Nam Nguyen, a classmate of each.
There are numerous issues in frequent between these two pals: learning very nicely, going to high school collectively in Jap Europe, beginning a noodle enterprise, and returning to Vietnam to determine a profession within the meals trade.
Billionaire Quang began his enterprise in Russia within the 1990s by promoting instantaneous noodles to Vietnamese residing right here. The favorable enterprise helped him construct a manufacturing unit with a capability of 30 million packages of noodles per 30 days, then expanded his funding into chili sauce. In 2002, Mr. Quang returned to Vietnam to start out a enterprise with Chinsu soy sauce, in 2003 added Chinsu fish sauce and in 2007 launched Omachi noodles. Practically 20 years of beginning a enterprise in Vietnam, to date, in keeping with a report by Kantar Worldpanel, practically 98% of Vietnamese households have no less than one Masan product, and Mr. Nguyen Dang Quang has change into certainly one of 5 billionaires USD of Vietnam, whereas Masan’s market capitalization reached greater than 6 billion USD.
If billionaire Nguyen Dang Quang succeeds very quickly when buying and selling noodles to Russia, and is taken into account “who taught the Russians to eat instantaneous noodles and chili sauce” Mr. Nguyen Trung Dung has been very profitable in promoting instantaneous noodles in Poland.
Masan President Nguyen Dang Quang: “the one who taught the Russians to eat instantaneous noodles and chili sauce”
Dung began importing Vietnamese instantaneous noodles to Poland within the 1990s, initially as Vifon in a startup with pals. In 1992, Mr. Dung separated to make and distribute Thien Huong noodles. In 1994, throughout a enterprise journey to Vietnam to discover a new accomplice within the instantaneous noodle trade, Mr. Dung was persuaded by the moment noodle producer in Lengthy Xuyen.
At the moment, An Thai noodle firm had virtually no identify available in the market, whereas at the moment, large names like Vifon, Miliket, Thien Huong had been well-liked. Mr. Dung determined to signal a contract to distribute Fortunate Noodles of An Thai within the Polish market with the amount of 5 million packs/yr and the following yr it reached 5 million packs/month. Due to the event of the Polish market, An Thai firm made a revenue, promoting noodles via Czechoslovakia, via Russia … and in Cambodia, it turned the No. 1 market. Nonetheless, after that, the chairman of An Thai firm proposed to purchase 70% of Mr. Dung’s firm and wished to distribute one other kind of noodles made in China, however Mr. Dung refused.
Because of the failure to achieve an settlement, An Thai compelled Mr. Dung to pay money when shopping for items whereas beforehand giving 30 days of debt with a most restrict of half one million USD. Because of anger, Mr. Dung refused to distribute Fortunate in Poland, switching to distributing solely Thien Huong noodles with half the output of Fortunate within the decrease phase.
Nonetheless, as a result of there is no such thing as a model to switch Fortunate instantly, Mr. Dung’s firm has progressively misplaced its market share within the mid-high phase to opponents.
As for An Thai, shedding orders of 5-6 million packages/month overseas is a really heavy loss, An Thai wished to distribute itself in Poland and Russia however failed, resulting in chapter.
Lastly, following the decision of affection, Mr. Dung determined to return to Vietnam to arrange a profession when he was in his fifties.
Beginning a enterprise on the age of 50
Founding father of DH Meals Nguyen Trung
Whereas fellow billionaire Nguyen Dang Quang has dominated virtually the whole Vietnamese kitchen, Mr. Dung has discovered a distinct segment to start out a meals enterprise in Vietnam: spices.
In accordance with his good friend Nam Nguyen, Mr. Dung confided: “I got here residence final, everybody, my funds aren’t a lot, however I see that my nation’s market has a variety of open issues! As a result of the opposite aspect additionally has many years of enterprise associated to meals and drinks, that have must be there. It is my capital, I feel I ought to make spices, sir. Our nation has a really wealthy delicacies, recent meals, individuals like to eat and drink, nothing is equal! In comparison with different ethnic teams, simply take a look at the spice counters in supermarkets in Vietnam in comparison with abroad, it is nonetheless very one-sided! (Perhaps it is as a result of life is tough, so I’ve to type that behavior?). My persons are excellent at mixing and decreasing, so I nonetheless get scrumptious dips and spices, but when I wish to be scrumptious, the enter can be good. should be OK, and typically not everybody has the time, the flexibility to arrange…so it’s totally essential to have accessible spices, pour it out and use it. I!”.
DH Meals’ manufacturing unit
Whereas good friend Nguyen Dang Quang spent 7 years with a lab that prices how a lot cash to provide Chinsu merchandise, Mr. Dung shared that his merchandise are drawn from the culinary quintessence of the Vietnamese individuals, all people items. Wild: shrimp salt, Tay Ninh chili salt, Nha Trang mustard chili salt, Muong Khuong chili sauce, Quang Nam fried chili sauce, floor black pepper, floor crimson pepper… Even Sriracha chili sauce…
Mr. Dung’s coverage, what might be rented is to rent all, outsourcing the entire thing. “I solely have an especially streamlined administration division, tremendous trendy IT gear, then a couple of consultants in meals chemistry which can be within the “high” class of Vietnam, after which two dozen of them monitor, examine, and comply with up. do proper on the factories the place I order processing. The order isn’t massive, however OTK should be strict, if it’s not the right type, it should be canceled and redone! I additionally rent a design, the packaging can be ordered, however all are “real” in Vietnamese situations!, Mr. Dung shared along with his good friend.
With the ambition to vary the way in which Vietnamese individuals use spices, to cut back the behavior of consuming fish sauce, Mr. Dung established DH Meals with spice merchandise distributed by most supermarkets, massive and small in Vietnam. Vietnam, and on the identical time exported to 10 international locations corresponding to Japan, Korea, Taiwan, UK, Germany, Netherlands, USA…with gross sales in 2020 reaching greater than 100 billion dong and persevering with to keep up the expansion momentum of 50% /yr even through the pandemic.
The identify DH Meals is a mixture of the names of Mr. Dung and Mrs. Hoa, a classmate from highschool and now his spouse, the impetus for him to go away every little thing from Poland to Vietnam to start out a enterprise.
Mr. Nguyen Trung Dung and his spouse
Leap from Shark Tank
The story of the founding father of DH Meals was impressed when Mr. Dung went to Shark Tank to lift capital. On the age of fifties, Mr. Dung turned one of many oldest founders to lift capital for Shark Tank season 4, and was stunned when he refused a proposal of VND 12 billion for 15% of all 5 Sharks.
Nonetheless, proper after the present, Dh Meals was “exterior the tank” traders who closed a deal of 12 billion for five% shares, proper after the printed evening. The method of DD (due diligence) and disbursement additionally passed off rapidly via the session of the legislation workplace Ezlaw – the crew that supported the profitable deal simply 1 month after the printed. Dh Meals is the primary startup in season Four to obtain funding cash the quickest, solely after 9 days from the date of signing the funding contract.
Mr. Dung shared: “Due to the unfold of the Shark Tank Vietnam program and because of the fast influx of capital from traders, Dh Meals was blown by the “East wind”, so it has discovered its “lengthy circuit”, in a position to obtain the ultimate development fee. greater than 50% yr as 6 consecutive years earlier than the pandemic. And in addition within the interval of social distancing, Dh Meals constantly has excellent news from clients from Taiwan, Korea, USA, Poland, Canada… and receiving samples and reviewing insurance policies. In addition to, the containers are nonetheless repeatedly exported to Japan each month.”
Speaking to the author, Mr. Dung mentioned that this outcome was achieved due to the epidemic, individuals stayed at residence, so the demand for cooking elevated. At the moment, spices for beef noodle soup, rooster noodle soup, Hue beef noodle soup or all types of pepper, chili, five-spice spices, curry… are rising the quickest.
At the moment, the productiveness at two manufacturing crops of Dh Meals can solely meet about 50% of orders. The present manufacturing unit applies 3-in-place manufacturing, regardless of its personal difficulties, however Dh Meals remains to be attempting day by day to ship items to companions in time, avoiding the present steady out-of-stock.
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