Corresponding Emails with PBM/Perrigo Nutritionals (from bottom to top)


Subject:  Data Comparison - 4th Qtr. 2017
Date:  01/06/2018 04:20
From:  S.O.
To:  Recipients

Greetings-

Following is data comparison (modified English excerpt) ending 12/31/17. The full Chinese version is on our website and online store.

Group ①: Imported over 10 times during 4th quarter ‖ Subtotal: 458 times ▪ 18 brands
 ▪  Aptamil(CN+EN) 75 times (Toal since 6/25/13: 592)
 ▪  Biostime 49 times (Toal since 6/25/13: 443)
 ▪  Similac(CN+EN) 47 times (Toal since 6/25/13: 741)
 ▪  Nutrilon/Nutricia(CN+EN) 37 times (Toal since 6/25/13: 496)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 1--10 times during 4th quarter ‖ Subtotal: 297 times ▪ 91 brands
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * Bright Beginnings 2 times (Total: 18)  * Baby‘s Only 1 time (Total: 13)
 * Earth's Best 1 time  (Total: 11)    
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0 time during 4th quarter of 2017 ‖ Subtotal: 201 brands
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * McJayden(CN+EN) 0 time (Total: 11)  * Melzel 0 time (Total: 8)
 * AAA Formula 0 time (Total: 8)  * DMB Formula 0 time (Total: 7)
 * Prime-Gift 0 time (Total: 5)  * CA Lucky Cow 0 time (Total: 2)
 * Milkspot 0 time (Total: 2)  * Rebornne 0 time (Total: 1)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Points:
① Perrigo Nutritionals keeps lagging far behind other competitors with 4 exports to China (marked with * above) during past 3 months.
② Google search with key words 婴儿奶粉 (Chinese phrase of Infant Formula) indicates the popularity of our website among Chinese readers.

Fact: Your inaction precisely demonstrate why the U.S. is growing much slower than China. As said in While we obsess over Trump, China is making history, the shift… is not so much about the rise of China but rather the decline of the United States.

Thank you.
S.O. (full name & info)


Subject:  Blessing
Date:  12/22/2017 00:22
From:  S.O.
To:  Recipients

Merry Christmas!
&
Happy New Year!

Ladies and Gentlemen

May God bless us all.

Sincerely,
S.O. (full name & info)

Subject:  Data Comparison - 3rd Qtr. 2017
Date:  10/06/2017 00:55
From:  S.O.
To:  Recipients

Greetings-

Following is data comparison (modified English excerpt) ending 09/30/17. The full Chinese version is on our website and online store.

Group ①: Imported over 10 times during 3rd quarter ║ Subtotal: 538 times ▪ 20 brands
 ▪  Aptamil(CN+EN) 84 times (Toal since 6/25/13: 517)
 ▪  Similac(CN+EN) 73 times (Toal since 6/25/13: 694)
 ▪  Nutrilon/Nutricia(CN+EN) 52 times (Toal since 6/25/13: 459)
 ▪  Biostime 43 times (Toal since 6/25/13: 394)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 1--10 times during 3rd quarter ║ Subtotal: 318 times ▪ 100 brands
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * Bright Beginnings 3 times (Total: 16)  * Earth's Best 3 time (Total: 10)
 * Baby‘s Only 2 times (Total: 12)  * Melzel 2 time (Total: 8)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0 time during 3rd quarter of 2017 ║ Subtotal: 190 brands
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * McJayden(CN+EN) 0 time (Total: 11)  * AAA Formula 0 time (Total: 8)
 * DMB Formula 0 time (Total: 7)  * Prime-Gift 0 time (Total: 5)
 * CA Lucky Cow 0 time (Total: 2)  * Milkspot 0 time (Total: 2)
 * Rebornne 0 time (Total: 1)    
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Points:
① Perrigo Nutritionals keeps lagging far behind other competitors with 10 exports to China (marked with * above) during past 3 months.
② Google search with key words 婴儿奶粉 (Chinese phrase of Infant Formula) indicates the popularity of our website among Chinese readers.

Fact: Your inaction precisely demonstrate why the U.S. is growing much slower than China. You may read "While the West Fiddles, China Races to Define the Future" if you care about your country.

Thank you.
S.O. (full name & info)


Subject:  It's really a shame.
Date:  08/07/2017 23:55
From:  S.O.
To:  R.H., S.J.

Greetings-

There are many articles discussing why China grew faster than the U.S., while only a few articles talk about why the U.S. grew slower than China (e.g. Why Economic Growth Is So Lackluster). In fact, the latter is more helpful because it let us focus on the U.S. side.

Apart from other factors, one reason is Chinese business managers, on the whole, are more enterprising than American counterpart. Business managers, who control certain business resources, are supposed to have entrepreneur spirit: able to identify opportunity, dare to assume risk, act open-minded.

That also explains Why major American corporations have struggled in China, where American business managers cannot win over their rivals. The market competition in China is far more intense than in the United States.

I ever worked as a government employee (tax auditor) in Los Angeles, California. Big companies like Perrigo and Walmart share some common characters with government agency: low efficiency, internal fight, lack of responsibility.

Mediocre people can get promotion in China (government and business entity) through bribery and flattery. I'm not sure how it happened in this country (Trump was by election). Why not act open-minded to strive for growth?

Sincerely,
S.O. (full name & info)


Subject:  Data Comparison - 2nd Qtr. 2017
Date:  07/06/2017 00:24
From:  S.O.
To:  Recipients

Greetings-

Following is data comparison (modified English excerpt) ending 06/30/17. The full Chinese version is on our website and online store.

Group ①: Imported over 10 times during 2nd quarter ║ Subtotal: 465 times ▪ 14 brands
 ▪  Aptamil(CN+EN) 86 times (Toal since 6/25/13: 433)
 ▪  Similac(CN+EN) 83 times (Toal since 6/25/13: 621)
 ▪  Biostime 55 times (Toal since 6/25/13: 351)
 ▪  Nutrilon/Nutricia(CN+EN) 50 times (Toal since 6/25/13: 407)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 1--10 times during 2nd quarter ║ Subtotal: 363 times ▪ 110 brands
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * Bright Beginnings 2 times (Total: 13)  * Baby‘s Only 1 time (Total: 10)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0 time during 2nd quarter of 2017 ║ Subtotal: 185 brands
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * McJayden(CN+EN) 0 time (Total: 11)  * Earth's Best 0 time (Total: 7)
 * AAA Formula 0 time (Total: 8)  * DMB Formula 0 time (Total: 7)
 * Melzel 0 time (Total: 6)  * Prime-Gift 0 time (Total: 5)
 * Milkspot 0 time (Total: 2)  * CA Lucky Cow 0 time (Total: 2)
 * Rebornne 0 time (Total: 1)    
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Notes:
① There are 3 imports of Perrigo's formula (with *) during past 3 months.
② Perrigo Nutritionals keeps lagging far behind other competitors.

If you input 婴儿奶粉 (Chinese phrase of Infant Formula) into Google, you'll see our website is shown on 1st page of the search engine. That means quite a few people are clicking our website for infant formula information. The reason is, as I told you before, our website is informative and trustable.

Thank you.
S.O. (full name & info)


Subject:  It's a shame.
Date:  05/09/2017 01:50
From:  S.O.
To:  R.H.
Cc:  S.J., M.S., D.O., S.E., C.H., E.P., J.H., R.W., S.A., T.F., R.J., T.K., S.K., J.M., J.N., G.Q., P.W., J.W., B.J., L.W., S.R., W.M., A.M., D.P., R.M., J.C., J.O., R.C., T.S., C.H.

Greetings-

Your sales in China are so poor. You may want to spend some time reading Why big American businesses fail in China and Why major American corporations have struggled in China.

While China is rapidly moving forward, your unreasonable action (see Corresponding Emails with PBM/Perrigo Nutritionals; along with other people's) contribute to keep this country stagnant, and let American people hopelessly witness China to surpass the U.S..

It's beyond doubt that I, as a first-generation Chinese American with education (two Master degrees, one from China and one from the U.S.) and work experience from both China and the United States, know much better about China market than you do.

Your response of ignoring the growth opportunity betrays your (and some other Americans') outdated, self-conceited, and arrogant mindset. As narrow-minded as such, how can you make America great again?

God bless you.

Sincerely,
S.O. (full name & info)


Subject:  Data Comparison - 1st Qtr. 2017
Date:  04/06/2017 01:05
From:  S.O.
To:  Recipients

Greetings-

Following is data comparison (modified English excerpt) ending 03/31/17. The full Chinese version is on our website and online store.

Group ①: Imported over 10 times during 1st quarter ║ Subtotal: 353 times ▪ 13 brands
 ▪  Aptamil(CN+EN) 72 times (Toal since 6/25/13: 347)
 ▪  Similac(CN+EN) 52 times (Toal since 6/25/13: 538)
 ▪  Nutrilon/Nutricia(CN+EN) 43 times (Toal since 6/25/13: 357)
 ▪  Biostime   42 times (Toal since 6/25/13: 296)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 1--10 times during 1st quarter ║ Subtotal: 324 times ▪ 101 brands
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * Bright Beginnings 2 time (Total: 11)  * McJayden(CN+EN) 2 time (Total: 11)
 * Baby‘s Only 1 time (Total: 9)  * Earth's Best 1 time (Total: 7)
 * Melzel 1 time (Total: 6)    
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0 time during 1st quarter of 2017 ║ Subtotal: 188 brands
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * AAA Formula 0 time (Total: 8)  * DMB Formula 0 time (Total: 7)
 * Prime-Gift 0 time (Total: 5)  * CA Lucky Cow 0 time (Total: 2)
 * Milkspot 0 time (Total: 2)  * Rebornne 0 time (Total: 1)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Notes:
① There are 7 imports of Perrigo's formula (with *) during past 3 months.
② Perrigo Nutritionals keeps lagging far behind other competitors.

If you input 婴儿奶粉 (Chinese phrase of Infant Formula) into Google, you'll see our website is shown on 1st page of the search engine. That means quite a few people are clicking our website for infant formula information. The reason is, as I told you before, our website is informative and trustable.

Thank you.
S.O. (full name & info)


Subject:  Data Comparison - 4th Qtr. 2016
Date:  01/06/2017 01:25
From:  S.O.
To:  Recipients

Greetings-

Following is data comparison (modified English excerpt) ending 12/31/16. The full Chinese version is on our website and online store.

Group ①: Imported over 10 times during 4th quarter ║ Subtotal: 299 times ▪ 11 brands
 ▪  Aptamil(CN+EN) 61 times (Toal since 6/25/13: 275)
 ▪  Similac(CN+EN) 49 times (Toal since 6/25/13: 486)
 ▪  Wyeth(CN+EN)   38 times (Toal since 6/25/13: 448)
 ▪  Nutrilon/Nutricia(CN+EN) 38 times (Toal since 6/25/13: 314)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 1--10 times during 4th quarter ║ Subtotal: 386 times ▪ 123 brands
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * DMB Formula 2 times (Total: 7)  * Bright Beginnings 1 time (Total: 9)
 * Earth's Best 1 time (Total: 6)  * McJayden(CN+EN) 1 time (Total: 9)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0 time during 4th quarter of 2016 ║ Subtotal: 168 brands
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * Baby‘s Only 0 time (Total: 8)  * Melzel 0 time (Total: 5)
 * AAA Formula 0 time (Total: 8)  * Prime-Gift 0 time (Total: 5)
 * CA Lucky Cow 0 time (Total: 2)  * Milkspot 0 time (Total: 2)
 * Rebornne 0 time (Total: 1)  
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Notes:
① There are 5 imports of Perrigo's formula (with *) during past 3 months.
② Perrigo Nutritionals keeps lagging far behind other competitors.

If you input 婴儿奶粉 (Chinese phrase of Infant Formula) into Google, you'll see our website is shown on 1st page of the search engine. That means quite a few people are clicking our website for infant formula information. The reason is, as I told you before, our website is informative and trustable.

Thank you.
S.O. (full name & info)


Subject:  Blessing
Date:  12/22/2016 01:32
From:  S.O.
To:  Recipients

Merry Christmas!
&
Happy New Year!

Ladies and Gentlemen

May God bless us all.

Sincerely,
S.O. (full name & info)

Subject:  Data Comparison - 3rd Qtr. 2016
Date:  10/06/2016 18:50
From:  S.O.
To:  R.H., S.J., M.S., C.B., S.C., D.O., J.S., S.W., G.S., R.L., R.M., M.B., M.S., S.E., C.H., E.P.
Cc:  J.H., J.B., T.F., T.K., S.K., J.N., D.B., L.W., A.S., B.J., W.M., A.M., D.P., R.M., J.C., J.O., R.C., T.S., C.H.

Greetings-

Following is data comparison (modified English excerpt with increment during past 3 months) ending 09/30/16. The full Chinese version is on our website and online store.

Group ①: Imported over 50 times from 6/25/13 to 9/30/16 ║ Subtotal: 3,303 times
 ▪  Similac(CN+EN)(437) Times of import during past 3 months: 46
 ▪  Wyeth(CN+EN)(410)   Times of import during past 3 months: 46
 ▪  Nutrilon/Nutricia(CN+EN)(276) Times of import during past 3 months: 57
 ▪  Biostime(229) Times of import during past 3 months: 21
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 11--50 times from 6/25/13 to 9/30/16 ║ Subtotal: 2,347 times
 ▪  Celia(CN+EN) 50 total (Increment: 6)  ▪  Edison 49 total (Increment: 2)
 ▪  Cambriland(CN+EN) 48 total (Increment: 5)  ▪  Mamilac(CN+EN) 47 total (Increment: 7)
 ▪  Dumex(CN+EN) 47 total (Increment: 0)  ▪  Jersey 46 total (Increment: 11)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0--10 times from 6/25/13 to 9/30/16 ║ Subtotal: 702 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * Baby‘s Only 8 total (Increment: 1)  * Bright Beginnings 8 total (Increment: 1)
 * AAA Formula 8 total (Increment: 0)  * McJayden(CN+EN) 8 total (Increment: 0)
 * DMB Formula 5 total (Increment: 2)  * Melzel 5 total (Increment: 1)
 * Earth's Best 5 total (Increment: 1)  * Prime-Gift 5 total (Increment: 0)
 * CA Lucky Cow 2 total (Increment: 0)  * Milkspot 2 total (Increment: 0)
 * Rebornne 1 total (Increment: 0)  
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Notes:
① There are 6 imports of Perrigo's formula (with *) during past 3 months.
② Perrigo Nutritionals keeps lagging far behind other competitors.

Any thoughts? Comments?

Sincerely,
S.O. (full name & info)


Subject:  Fwd: Website Popularity
Date:  09/08/2016 06:50
From:  S.O.
To:  R.H., S.J., M.S., C.B., S.C., D.O., J.S., S.W., G.S., R.L., R.M., M.B., M.S., S.E., C.H., E.P.
Cc:  J.H., J.B., T.F., T.K., S.K., J.N., D.B., L.W., S.R., A.S., B.J., W.M., A.M., D.P., R.M., J.C., J.O., R.C., T.S., C.H.

Greetings-

If you input 婴儿奶粉 (Chinese phrase of Infant Formula) into Google, you'll see our website is shown on 1st page of the search engine (9/8/16).

That means quite a few people are clicking our website for infant formula information. The reason is, as I told you before, our website is informative and trustable.

Given that we have no actual formula available at this point, and there are hundreds of different brands of baby formula in China market, the ranking progress demonstrate the popularity of our website.

Thank you.
S.O. (full name & info)


Subject:  China Market & Perrigo Nutritionals
Date:  08/09/2016 00:16
From:  S.O.
To:  R.H., S.J., M.S., C.B., S.C., D.O., J.S., S.W., G.S., R.L., R.M., M.B., M.S., S.E., C.H., E.P.
Cc:  J.H., J.B., T.F., T.K., S.K., J.N., D.B., L.W., A.S., B.J., W.M., A.M., D.P., R.M., J.C., J.O., R.C., T.S., C.H.

Ladies and Gentlemen:

Following is the first paragraph of the article "Why countries such as China pay price in lives for baby formula dependence" (February 3, 2016)

"China bought 40 per cent of the world’s baby milk formula, a market worth US$17.78 billion, in 2014, according to a new study published in leading medical journal The Lancet. By 2019, Chinese demand will more than double and China will account for more than half of global sales that are projected to reach US$70.6 billion by then, researchers say."

 - - - - - -

And the home page of Perrigo Nutritionals says "Perrigo Nutritionals is the largest supplier of Store Brand Infant Formulas in the world and one of the largest manufacturers of nutrition products for the store brand market in the United States".

Why is Perrigo Nutritionals performing so poor in China market?

Sincerely,
S.O. (full name & info)


Subject:  Data Comparison - 2nd Qtr. 2016
Date:  07/06/2016 01:20
From:  S.O.
To:  R.H., S.J., M.S., C.B., S.C., D.O., J.S., S.W., G.S., R.L., R.M., M.B., M.S., S.E., C.H., E.P.
Cc:  J.H., J.B., T.F., T.K., S.K., J.N., D.B., L.W., S.R., A.S., B.J., W.M., A.M., D.P., R.M., J.C., J.O., R.C., T.S., C.H.

Ladies and Gentlemen:

Following is data comparison (modified English excerpt with increment during past 3 months) ending 06/30/16. The full Chinese version is on our website and online store.

Group ①: Imported over 50 times from 6/25/13 to 6/30/16 ║ Subtotal: 2,674 times
 ▪  Similac(CN+EN)(391) Times of import during past 3 months: 53
 ▪  Wyeth(CN+EN)(364)   Times of import during past 3 months: 42
 ▪  Nutrilon/Nutricia(CN+EN)(219) Times of import during past 3 months: 29
 ▪  Biostime(208) Times of import during past 3 months: 13
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 11--50 times from 6/25/13 to 6/30/16 ║ Subtotal: 2,243 times
 ▪  Goldmax(CN+EN)(50) Increment: 4 times  ▪  Maeil(49) Increment: 4 times
 ▪  Hyproca(49) Increment: 8 times  ▪  Edison(47) Increment: 2 times
 ▪  Dumex(CN+EN)(47) Increment: 0 time  ▪  Beingmate(46) Increment: 18 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0--10 times from 6/25/13 to 6/30/16 ║ Subtotal: 733 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * AAA Formula 8 total (Increment: 0)  * McJayden(CN+EN) 8 total (Increment: 0)
 * Baby‘s Only 7 total (Increment: 0)  * Bright Beginnings 7 total (Increment: 2)
 * Prime-Gift 5 total (Increment: 0)  * Melzel 4 total (Increment: 0)
 * Earth's Best 4 total (Increment: 1)  * DMB Formula 3 total (Increment: 0)
 * CA Lucky Cow 2 total (Increment: 0)  * Milkspot 2 total (Increment: 0)
 * Rebornne 1 total (Increment: 0)  
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Notes:
① There are 3 imports of Perrigo's formula (with *) during past 3 months.
② Perrigo Nutritionals keeps lagging far behind other competitors.

As "you may know by a handful the whole sack", you can see from this case that the U.S. is steadily declining. Something is wrong with the Company (and the country's) system.

Sincerely,
S.O. (full name & info)


Subject:  Don't blame China for trade deficit (and America's decline).
Date:  06/08/2016 07:10
From:  S.O.
To:  R.H., S.J., M.S., C.B., S.C., D.O., J.S., S.W., G.S., R.L., R.M., M.B., M.S., S.E., C.H., E.P.
Cc:  J.H., J.B., T.F., T.K., S.K., J.N., D.B., L.W., S.R., A.S., B.J., W.M., A.M., D.P., R.M., J.C., J.O., R.C., T.S., C.H.

Ladies and Gentlemen:

As you can see from the internet, $365,694,500,000: U.S. Merchandise Trade Deficit With China Hit Record in 2015
http://cnsnews.com/news/article/terence-p-jeffrey/365694500000-merchandise-trade-deficit-china-hit-record-2015

In addition to articles "Don't blame China for trade deficit", there are also articles "Don't blame China for America's decline".

Narrow-minded or even close-minded thinking style of some Americans is the root reason. They still live in old memory that the U.S. was strong enough to be surpassed. Companies like PBM/Perrigo Nutritionals, especially business managers like Mr. H. (last name), failed to do their parts even they have the opportunity. Open your mind, guys.

Sincerely,
S.O. (full name & info)


Subject:  Stupid American, Declining America
Date:  05/09/2016 07:20
From:  S.O.
To:  R.H., S.J., M.S., C.B., S.C., D.O., J.S., S.W., G.S., R.L., R.M., M.B., M.S., S.E., C.H., E.P.
Cc:  J.P., J.B., M.C., T.F., J.H., T.K., S.K., J.N., D.B., L.W., S.R., A.S., B.J., W.M., A.M., D.P., R.M., J.C., J.O., R.C.

Some people who read our Corresponding Emails with PBM/Perrigo Nutritionals label Mr. H. (cited email name) as a typical example of stupid American.

It's not uncommon to see stupid people in both China and the United States, but it's not common for an incompetent person to stay as business manager of publicly-traded company in the U.S..

A person with self-consciousness would feel guilty under such circumstance. And something is wrong with the system.

Sincerely,
S.O. (full name & info)


Subject:  Data Comparison - 1st Qtr. 2016
Date:  04/06/2016 01:40
From:  S.O.
To:  R.H., S.J., M.S., C.B., S.C., D.O., J.S., S.W., G.S., R.L., R.M., M.B., M.S., S.E., C.H., E.P.
Cc:  J.P., J.B., M.C., T.F., J.H., T.K., S.K., J.N., D.B., L.W., A.S., B.J., W.M., A.M., D.P., R.M., J.C.

Mr. H. (last name):

Following is data comparison (modified English excerpt with increment during past 3 months) ending 03/31/16. The full Chinese version is on our website and online store.

Group ①: Imported over 50 times from 6/25/13 to 3/31/16 ║ Subtotal: 2,266 times
 ▪  Similac(CN+EN)(338) Times of import during past 3 months: 42
 ▪  Wyeth(CN+EN)(322)   Times of import during past 3 months: 37
 ▪  Biostime(195) Times of import during past 3 months: 12
 ▪  Nutrilon/Nutricia(CN+EN)(190) Times of import during past 3 months: 29
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 11--50 times from 6/25/13 to 3/31/16 ║ Subtotal: 1,997 times
 ▪  Nestle(CN+EN)(48) Increment: 5 times  ▪  Karihome(47) Increment: 7 times
 ▪  Dumex(CN+EN)(47) Increment: 0 times  ▪  GoldMax(46) Increment: 6 times
 ▪  Maeil(45) Increment: 3 times  ▪  Edison(45) Increment: 1 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0--10 times from 6/25/13 to 3/31/16 ║ Subtotal: 385 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * AAA Formula 8 total (Increment: 0)  * McJayden(CN+EN) 8 total (Increment: 1)
 * Baby‘s Only 7 total (Increment: 1)  * Bright Beginnings 5 total (Increment: 0)
 * Prime-Gift 5 total (Increment: 0)  * Melzel 4 total (Increment: 1)
 * Earth's Best 3 total (Increment: 0)  * CA Lucky Cow 2 total (Increment: 0)
 * Milkspot 2 total (Increment: 0)  * Rebornne 1 total (Increment: 0)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Notes:
① There are 3 imports of Perrigo's formula (with *) during past 3 months.
② Perrigo Nutritionals keeps lagging far behind other competitors.

My perseverance and sincerity are important reason why people love our website and trust our planned formula.

Thank you.
S.O. (full name & info)


Subject:  Quality and Affordable
Date:  03/15/2016 00:55
From:  S.O.
To:  R.H., S.J., M.S., C.B., S.C., D.O., J.S., S.W., G.S., R.L., R.M., M.B., M.S., S.E., C.H., E.P.
Cc:  J.P., J.B., M.C., T.F., J.H., T.K., S.K., J.N., D.B., L.W., A.S., B.J., W.M., A.M., D.P., R.M., J.C.

Mr. H. (last name):

The success of PBM/Perrigo Nutritionals is based on the principle of "quality affordable". More important, the "quality affordable" advantage and benefit must be felt by consumers, through your clients' private brands.

By adhering to "quality affordable" principle with their private brands "Parent's Choice" and "Kirkland Signature", Walmart (your largest client) and Costco build their success, along with PBM/Perrigo Nutritionals success.

None of your clients in China is willing to and able to enforce "quality affordable" strategy. Consequently, they cannot survive increasingly intensive competition, and PBM/Perrigo Nutritionals keeps lagging far behind other competitors.

Always make the most of your strong point, they say.

Thank you.
S.O. (full name & info)


Subject:  Help yourself by helping others.
Date:  02/18/2016 20:18
From:  S.O.
To:  R.H., S.J., M.S., C.B., S.C., D.O., J.S., S.W., G.S., R.L., R.M., M.B., M.S., S.E., C.H., E.P.
Cc:  J.P., J.B., M.C., T.F., J.H., T.K., S.K., J.N., D.B., L.W., A.S., B.J., W.M., A.M., D.P., R.M., J.C.

Mr. H. (last name):

Following are recent corresponding emails with one of your client "NutraJoy". You may find a translator to explain the story. These emails help explain why your sales in China are so poor.

As I said in my 06/09/2015 email, your not understanding Chinese is definitely your fatal disadvantage, because we are talking about sales to China, sales to customers who can only read Chinese.

Right because you cannot understand Chinese, you are not able to tell who is potentially good client and who is not. Unsustainability of your clients has brought about your poor export to China.

Thank you.
S.O. (full name & info)


Subject:  Move Forward
Date:  01/26/2016 00:02
From:  S.O.
To:  R.H., S.J.
Cc:  J.P., J.B., M.C., T.F., J.H., T.K., S.K., J.N., D.B., L.W., A.S., B.J., W.M., A.M., D.P., R.M.

Gentlemen:

All people (including all of us) are striving for win-win result, but somehow we slid into lose-lose situation. Perrigo Nutritionals failed in China market completely. I failed to bring quality affordable formula to China moms.

As following emails point out, Perrigo Nutritionals has quality affordable advantage over competitors, I am the only person who is willing to and able to enforce quality affordable strategy in China.

How can we compromise and move forward?

Thank you.
S.O. (full name & info)


Subject:  Data Comparison - 4th Qtr. 2015
Date:  01/06/2016 01:59
From:  S.O.
To:  R.H., M.S., C.B., S.C., D.O., J.S., S.W., G.S., R.L., R.M., M.B., M.S.
Cc:  J.P., J.B., S.J., T.K., M.S., L.W., A.S., B.J., W.M., D.P., A.M.

Mr. H. (last name):

Following is data comparison (modified English excerpt with increment during past 3 months) ending 12/31/15. The full Chinese version is on our website and online store.

Group ①: Imported over 50 times from 6/25/13 to 12/31/15 ║ Subtotal: 1,919 times
 ▪  Similac(CN+EN)(296) Times of import during past 3 months: 39
 ▪  Wyeth(CN+EN)(285)   Times of import during past 3 months: 29
 ▪  Biostime(183) Times of import during past 3 months: 16
 ▪  Nutrilon/Nutricia(CN+EN)(161) Times of import during past 3 months: 14
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 11--50 times from 6/25/13 to 12/31/15 ║ Subtotal: 1,817 times
 ▪  Holle(CN+EN)(48) Increment: 3 times  ▪  Dumex(CN+EN)(47) Increment: 1 times
 ▪  Edison (44) Increment: 7 times  ▪  Nestle(CN+EN)(43) Increment: 3 times
 ▪  Anmum(CN+EN)(42) Increment: 5 times  ▪  Maeil (42) Increment: 5 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0--10 times from 6/25/13 to 12/31/15 ║ Subtotal: 723 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * AAA Formula 8 total (Increment: 0)  * McJayden(CN+EN) 7 total (Increment: 0)
 * Baby‘s Only 6 total (Increment: 0)  * Bright Beginnings 5 total (Increment: 0)
 * Prime-Gift 5 total (Increment: 0)  * Earth's Best 3 total (Increment: 0)
 * Melzel 3 total (Increment: 1)  * CA Lucky Cow 2 total (Increment: 0)
 * Milkspot 2 total (Increment: 0)  * Rebornne 1 total (Increment: 0)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Notes:
① There is only 1 import of Perrigo's formula (with *) during past 3 months.
② Baby's Only & Earth's Best are enrolled on China government approval list recently.

All previous emails are listed sequentially on our webpage.

Thank you.
S.O. (full name & info)


Subject:  Blessing
Date:  12/21/2015 06:16
From:  S.O.
To:  R.H., D.O., S.E., C.H., E.P., T.Z.
Cc:  J.P., S.J., J.B., T.K., M.S., A.S., B.J., W.M., A.M., D.P., R.M., S.R., L.W.

Although your unreasonable and ridiculous action is annoying, still I bear in mind what the Bible says:
"Be angry, and do not sin; let not the sun set upon your wrath."

Merry Christmas!
&
Happy New Year!

Ladies and Gentlemen

May God bless us all.

Sincerely,
S.O. (full name & info)

Subject:  Shame & Incompetency
Date:  12/01/2015 02:20
From:  S.O.
To:  R.H., S.J.
Cc:  J.P., J.B., T.K., M.S., L.W., A.S., B.J., W.M., A.M., D.P., R.M.

Mr. H. (last name):

As China Chamber website shows, there is 1 import of Perrigo's formula during past November. (20 imports of Similac, 10 imports of Wyeth, etc.)

Perrigo Nutritionals keeps lagging far behind other competitors. You bring shame on yourself and Perrigo Nutritionals.

All previous emails are listed sequentially on our webpage.

Sincerely,
S.O. (full name & info)


Subject:  Open Your Mind
Date:  11/10/2015 00:19
From:  S.O.
To:  R.H., S.J.
Cc:  J.P., J.B., T.K., M.S., L.W., A.S., B.J., W.M., A.M., D.P., R.M.

Gentlemen:

Your unreasonable and ridiculous action bring an article on Los Angeles Times back to my memory. The article said: Americans are increasingly close-minded and unwilling to listen to opposing views.

That's one reason why the U.S. is declining, and could be superseded by China in the near future. I can better feel this point because I'm a Chinese American with work experience in both China and the U.S., although the puzzle why autocracy won over democracy remains in my mind.

As the saying goes: Not all changes lead to progress, but progress is impossible without change.

Sincerely,
S.O. (full name & info)


Subject:  Change Leads to Progress
Date:  10/22/2015 03:32
From:  S.O.
To:  R.H., S.J.
Cc:  J.P., J.B., T.K., M.S., L.W., A.S., B.J., W.M., A.M., D.P., R.M.

Gentlemen:
Your ignoring this benefit-all-parties project make no sense at all (i.e. completely ridiculous), especially considering Perrigo Nutritionals has lagged far behind other competitors for a long time.

Mr. H. (last name):
How did you become international sales vice president? I come up with this question because there are many irresponsible and incapable officials in China who got promotion by flattery.

Mr. J. (last name):
It appears strange to keep incompetent person on business manager position. If it were in China, people would suspect there exist undiscovered bribery underneath.

All previous emails are listed sequentially on our webpage.

Sincerely,
S.O. (full name & info)


Subject:  Data Comparison - 3rd Qtr. 2015
Date:  10/06/2015 02:30
From:  S.O.
To:  R.H., M.S., C.B., S.C., D.O., J.S., S.W., G.S., R.L., R.M., M.B., M.S.
Cc:  J.P., J.B., S.J., T.K., M.S., L.W., A.S., B.J., W.M., D.P., A.M.

Mr. H. (last name):

Following is data comparison (modified English excerpt with increment during past 3 months) ending 09/30/15. The full Chinese version is on our website and online store.

Group ①: Imported over 50 times from 6/25/13 to 9/30/15 ║ Subtotal: 1,481 times
 ▪  Similac(CN+EN)(257) Times of import during past 3 months: 42
 ▪  Wyeth(CN+EN)(256)   Times of import during past 3 months: 37
 ▪  Biostime(167) Times of import during past 3 months: 19
 ▪  Nutrilon/Nutricia(CN+EN)(147) Times of import during past 3 months: 19
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 11--50 times from 6/25/13 to 9/30/15 ║ Subtotal: 1,623 times
 ▪  Primavita (49) Increment: 11 times  ▪  Cowala(46) Increment: 19 times
 ▪  Allnutria (46) Increment: 11 times  ▪  Dumex(CN+EN)(46) Increment: 2 times
 ▪  Holle(CN+EN)(45) Increment: 3 times  ▪  kabrita (44) Increment: 10 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0--10 times from 6/25/13 to 9/30/15 ║ Subtotal: 748 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * AAA Formula 8 total (Increment: 0)  * McJayden(CN+EN) 7 total (Increment: 1)
 * Prime-Gift 5 total (Increment: 0)  * Bright Beginnings 5 total (Increment: 1)
 * CA Lucky Cow 2 total (Increment: 0)  * Melzel 2 total (Increment: 0)
 * Milkspot 2 total (Increment: 1)  * Rebornne 1 total (Increment: 0)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Notes:
① There are 3 imports of Perrigo's formula (with *) during past 3 months.
② Perrigo Nutritionals keeps lagging far behind other competitors.

Guilty Or Not: Business managers in publicly traded companies are supposed to act in the best interest of shareholders, not acting on your own will. Perrigo Nutritionals has lagged far behind other competitors for a long time. Why and how can you face such prolonged poor performance without feeling guilty?

Thank you.
S.O. (full name & info)


Subject:  Website Popularity
Date:  09/22/2015 01:56
From:  S.O.
To:  R.H.;, M.S., D.O., E.P., T.Z.
Cc:  J.P., J.B., S.J., T.K., M.S., L.W.;, A.S., B.J., R.M.

Mr. H. (last name):

If you input 婴儿奶粉 (Chinese phrase of Infant Formula) or 美国婴儿奶粉 (Chinese phrase of American Infant Formula) or 美国生产婴儿奶粉 (Chinese phrase of Made-in-America Infant Formula) into Google, you'll see our website always appear before all your clients' websites.

As shown on attached print screen, with key words 婴儿奶粉 (Chinese phrase of Infant Formula), our website is shown on 3rd page of Google search engine (9/15/15). All your clients' websites are not shown on first 10 pages.

That means more people are clicking our website for infant formula information, although there is no formula available at this point. The reason is, as I told you before, our website is informative and trustable.

You need to be open-minded to listen to people like me regarding sales to China.

Thank you.
S.O. (full name & info)


Subject:  Competitive Advantage
Date:  09/11/2015 02:50
From:  S.O.
To:  R.H., S.J.

Mr. H. (last name):

Please realize that Perrigo Nutritionals has competitive advantages in China market over Abbott Laboratories, Mead Johnson Nutrition, and Wyeth Nutrition, because

① Private brand formula has price advantage over brand-name formula, and the price difference is enlarged in China by currency exchange rate. At the same time, China customers are sensitive to price since it's still a developing country;

② Formula from Perrigo Nutritionals are genuinely made in USA, while most of above three brand-name formula are made in China or other countries. At the same time, China customers prefer made-in-USA formula.

However, your closed mind prevented you from exerting the advantages. That's why Perrigo Nutritionals has lagged far behind other competitors for a long time.

Thank you.
S.O. (full name & info)


Subject:  Unaccountability
Date:  09/01/2015 01:46
From:  S.O.
To:  R.H., M.S., C.B., S.C., D.O., J.S., S.W., G.S., M.G., R.L., D.M.
Cc:  J.P., J.B., S.J., T.K., M.S., L.W., A.S., B.J., L.B., G.C., J.F., E.H., R.M.

Mr. H. (last name):

In my 11/04/2014 & 07/15/2015 emails, I mentioned my confusion about why China grew much faster than the United States (i.e. autocracy won over democracy).

In addition to reasons on China side, reasons on the U.S. side include the low efficiency of companies like Perrigo Nutritionals and irresponsibility of business managers like you.

It's not appropriate for you to stay in the position since other people suffered and are suffering from your unaccountable action.

Sincerely,
S.O. (full name & info)


Subject:  Change Leads to Progress
Date:  08/18/2015 01:22
From:  S.O.
To:  R.H., S.J.
Cc:  J.P.

Mr. H. (last name):

Things happened as I said in 10/07/2014 01:56 email, "Some brands disappeared and some are disappearing. Most brands are short lived because they involve little effort and simply want to try their luck. Definitely Perrigo prefers to deal with diligent people with far sight."

Business managers in publicly traded companies are supposed to act in the best interest of shareholders, not acting on your own will. Perrigo Nutritionals has lagged far behind other competitors for a long time. Why and how can you face such prolonged poor performance without feeling guilty?

Thank you.
S.O. (full name & info)


Subject:  Shame & Incompetency
Date:  08/04/2015 00:35
From:  S.O.
To:  R.H., M.S., C.B., S.C., D.O.
Cc:  J.P., J.B., S.J., T.K., M.S., L.W.

Mr. H. (last name):

As China Chamber website shows, there is only one customs declaration of Perrigo's formula during past July (McJayden on 07/17/15. Nutrajoy is repeated declaration since it's not on China government approval list).

It's a shame that Perrigo Nutritionals keeps lagging behind other competitors. Because of your incompetency, shareholders and other people suffered potential loss. Since you are incapable of improving your poor performance, you ought to be open-minded to take advice from other people. Fairly speaking, incompetent person should be removed from business leader position.

Thank you.
S.O. (full name & info)


Subject:  Website Quality
Date:  07/23/2015 19:30
From:  S.O.
To:  R.H., S.J.

Mr. H. (last name):

There is an article on Forbes talking about the importance of a company's website: You Can Judge A Company By Its Bad Website

That type of articles will help you better understand what I said: Customers perceive formula quality based on website quality, especially when it comes to emerging brands in China. (Please see my 06/09/2015 01:30 email Market Analysis.)

To build an outstanding and convincing website requires great enthusiasm, assiduous work, lengthy effort, and tedious research. That's the basis in return for readers' praising our website is the best among all those selling infant formula in China, much better than all other competitors, both format and content.

Thank you.
S.O. (full name & info)


Subject:  Re: Move Forward
Date:  07/15/2015 01:22
From:  S.O.
To:  R.H., S.J.

Mr. H. (last name):

Please take my proposal and let me take the lead of exporting to China. Since China market is huge (over 1.3 billion people and bigger than U.S. market), a division of China sales could be established within your current international sales department.

Perrigo Nutritionals will benefit from large volume sales to China. You will get credit as international sales manager. China moms will get quality affordable baby formula. I would humbly glorify God by doing something for others. That's why this is a benefit-all-parties project.

In addition, considering the potential sizable sales, this project will help contribute to our macro economy and create new jobs in the U.S.. I'm still fascinated by the discussion why China grew much faster than the U.S. (autocracy won over democracy).

Thank you.
S.O. (full name & info)


Subject:  Data Comparison - 2nd Qtr. 2015
Date:  07/06/2015 06:30
From:  S.O.
To:  R.H., M.S., C.B., J.S., S.C., G.H., M.S., S.E., D.O., C.H., E.P.
Cc:  J.P., J.B., T.F., J.H., S.J., T.K., S.K., J.N., J.S., M.S., L.Y., D.B., L.W.

Mr. H. (last name):

Following is data comparison (modified English excerpt with increment during past 3 months) ending 06/30/15. The full Chinese version is on our website and online store.

Group ①: Imported over 50 times from 6/25/13 to 6/30/15 ║ Subtotal: 1,190 times
 ▪  Wyeth(CN+EN)(219) Times of import during past 3 months: 21
 ▪  Similac(CN+EN)(215)   Times of import during past 3 months: 26
 ▪  Biostime(148) Times of import during past 3 months: 11
 ▪  Nutrilon/Nutricia(CN+EN)(128) Times of import during past 3 months: 19
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 11--50 times from 6/25/13 to 6/30/15 ║ Subtotal: 1,306 times
 ▪  Dumex(CN+EN)(44) Increment: 6 times  ▪  Nactalia(43) Increment: 3 times
 ▪  Holle(CN+EN)(42) Increment: 6 times  ▪  Primavita (38) Increment: 5 times
 ▪  Allnutria (35) Increment: 7 times  ▪  Karihome (34) Increment: 7 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0--10 times from 6/25/13 to 6/30/15 ║ Subtotal: 732 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * AAA Formula 8 total (Increment: 0)  * McJayden(CN+EN) 6 total (Increment: 1)
 * Prime-Gift 5 total (Increment: 0)  * Bright Beginnings 4 total (Increment: 0)
 * CA Lucky Cow 2 total (Increment: 0)  * Melzel 2 total (Increment: 0)
 * Rebornne 1 total (Increment: 0)  * Milkspot 1 total (Increment: 0)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Notes:
① There is only 1 import of Perrigo's above formula (with *) during past 3 months (McJayden on 06/29/15).
② 4 of above 8 brands have no import for over 1 year (AAA Formula, Prime-Gift, Rebornne, Milkspot).
NutraJoy and DMB Formula Perrigo shipped out months ago are not on China government approval list.

Inefficiency: Because of tardy reaction, Perrigo Nutritionals continues to lag behind. Being mired in stagnancy, you need to be open-minded to embrace change. Keep in mind that business environment, customer preference, and commercial rules in China are very different from those in the United States.

Thank you.
S.O. (full name & info)


Subject:  RE: Something Wrong
Date:  06/24/2015 06:18
From:  R.H.
To:  S.O., S.J.
Cc:  M.S.

Dear Mr. O. (last name),

On May 8 Mr. S.J. (full name) wrote you the following:

“In my prior communication with you I have asked for information regarding your Company, your business plan for the China market and your current distribution capabilities.
I also offered to speak with you, but requested this information in advance so that our discussion could be more productive. We have asked for this information on several occasions.
You have not responded on any of these specific topics. As a result, we do not see a path forward with you.”

On the same day Mr. M.S. (full name) sent you a cease and desist letter. Your company website posts (and still does) misleading and untrue information about our company.

Mr. O. (last name), while we appreciate when someone shows interest in Perrigo we ask that you kindly refrain from sending us anymore unsolicited email.

Sincerely,
B.H. (full name)


Subject:  Something Wrong
Date:  06/24/2015 01:20
From:  S.O.
To:  R.H., S.J.
Cc:  J.P.

Gentlemen:

Since I initially contacted Perrigo Nutritionals in March last year, you have wasted more than 1 year, and is still wasting time. Do you really care about your poor performance? As business manager, you are supposed to meet all challenges (including challenge of changing your own attitude) to move forward.

Perrigo Nutritionals has lagged far behind other competitors for a long time. You are still not aware of the fact that business environment, customer preference, and commercial rules in China are very different from those in the United States.

Since you are incapable of improving export to China, you ought to take advice from other people. It's impossible for you to know China market as well as I do. Why stubborn instead of being open-minded?

Thank you.
S.O. (full name & info)


Subject:  Ingredient Change
Date:  06/16/2015 01:52
From:  S.O.
To:  R.H., S.J.

Gentlemen:

Upon noticing some customer comments on other baby formulas, I compared nutrition facts of your formula with other brands. Based on baby formula nutritional document, China government standard, and competitors products, following are ingredient changes suggested:

Conventional infant formula (refer to Angel-Xing [Stage 1] Premium Infant Formula with Iron)
① For stage 1 only, change the ratio of Whey:Casein from current 60:40 to 65:35.

Organic infant formula (which I plan to introduce to China after conventional infant formula)
① A portion of whey protein need to be alpha-whey protein (α-whey).
② Add OPO (1,3-dioleoyl 2-palmitoyl triglyceride) lipid.

Thank you.
S.O. (full name & info)


Subject:  Market Analysis
Date:  06/09/2015 01:30
From:  S.O.
To:  R.H., S.J.

Gentlemen:

China is a huge market with intense competition. Most formula brands are struggling, including brands owned by giant companies. One of your client, the company holding "Prime-Gift", is a publicly traded company in China. Some brand owners are conglomerates bigger than "Prime-Gift" (also bigger than Perrigo Nutritionals), but most of them are experiencing poor sales.

They failed for the same reason: unable to gain customers trust. In other words, China moms don't trust a brand simply because it's owned by a big company. Customers are extremely cautious when buying baby formula.

Another client of yours, the company holding "Milkspot", has been selling consumer products for over 20 years. Some competitors are also in consumer products industry for decades already, but most of them are sighing about their formula sales.

They failed for the same reason: unable to gain customers trust. In other words, China moms don't trust a brand simply because it's owned by an experienced company.

I went to some big supermarkets and asked sales personnel about baby formula sales. They said except a few brands (e.g. Abbott, Wyeth), most formula brands are just sleeping on shelves.

Those formula brands failed for the same reason: unable to gain customers trust. In other words, China moms don't trust a brand simply because it's on big supermarket shelves. That also explains why there is no store brand baby formula in China (like Parent's Choice in the U.S.).

Then why came out so many brands of baby formula in China, more than the total from around the world?
① The market is huge with more than 1.3 billion people.
② Unlike in other countries, no single or a few brands can dominate the market in China.

Why there is no dominant brands in China as in other countries?
① Those trustable brands (e.g. Abbott, Mead Johnson, Wyeth) are too expensive.
② Those trustable brands are not trustable enough. They have the same brand produced both in China and western countries, and that eroded their own credit.

Right because there is no trustworthy and affordable baby formula, so many new brands emerged on today's market. A couple of your clients, the companies selling "Bright Beginnings" and "Rebornne", ever enjoyed not so bad sales years ago, when market competition was not intense. Things changed very fast in China. Shortly thereafter, hundreds of foreign formula swamped the country. It's really hard to stand out and gain customers trust in China, much harder than in the United States.

 
Customer oriented, everybody heard that. How do potential customers make their decisions when buying baby formula? People may get to know a new formula brand from advertisement, by word of mouth, or seeing it in supermarket or baby store. However, even with a formula can virtually in hand, nobody can tell the quality of the powder inside. The milk powder, by themselves, are pretty much the same.

Unlike toy or clothes, customers cannot physically feel the quality of baby formula. That's why there is a terminology called "perceptual quality", as opposed to "objective quality". It is the perceptual quality that motivate purchase. You see the difference: Manufactures are supposed to produce quality & affordable baby formula; Distributors are supposed to sell trustable & affordable baby formula.

People used to develop their perception towards certain baby formula from ads and word of mouth, when internet was not so pervasive. Nowadays ads and word of mouth are not enough any more, especially for baby formula. Cautious moms need more information to assure themselves. Since website carries the most information, new moms will carefully check the formula website, and compare with other websites. Just as readers can feel the virtue of an author based on his/her articles, customers perceive formula quality based on website quality.

I told you many times that people praise our website is the best among all those selling infant formula in China, much better than all other competitors, both format and content. I also explained to you the reason in my 04/15/2015 email. Unfortunately, you cannot feel this point because you cannot understand Chinese. That is definitely your fatal disadvantage, because we are talking about sales to China, sales to customers who can only read Chinese.

Simply from my previous emails, you can feel that
① I know very well about China infant formula market, because I spent a lot of time and effort to do research;
② I'm detail oriented, which is important to build an outstanding website to convince potential customers;
③ I'm full of passion. Knowledge and passion are necessary factors to win a game in the long run.
By the way, since English is not my native language, if some words in my previous emails offended you, I apologize.

 
Things changed really fast in China. E-commerce in China quickly outgrew its counterpart in the U.S.. I explained that in my 03/05/2015 email. As you can see in the recent article "Overseas grocers wrestle in fast-moving China retail market", "OC&C (Strategy Consultants) says on-line gross sales rose almost 50 per cent in 2014, yr on yr, in contrast with a paltry 6.7 per cent for hypermarkets and grocery store gross sales (in China)."

Nevertheless, supermarket and baby store are still very important. Although our website is trustworthy and convincing, we still face the challenge of how to let more people know the website. Supermarket and baby store are distribution channels for brands gained customers trust, and function like advertising for new brands. After seeing a new formula brand (especially a brand made in USA with affordable price) in store, customers will then spend time collecting more information about the brand, especially from the formula website.

After our Angel-Xing baby formula come to the world, I will talk to Walmart China to have our formula sold in Walmart stores. Now Walmart China and some other distributors are willing to sell quality affordable products, and are easier to negotiate than before, because of industry competition and pressure from e-commerce. Walmart China may exempt entrance fee (slotting fee) under 1-year exclusive sales condition for selected products. Most other hypermarkets still charge slotting fee and miscellaneous fees, which is a heavy burden to suppliers, and is one reason that pushed up store price. Perrigo Nutritionals may help bridge my connection with Walmart China via Walmart U.S. headquarter at that future time.

China's infant formula market is tempting, lucrative, and full of challenges. Our outstanding website beat competitors in gaining customers trust. Still we need to let more potential customers know our website, by ads, word of mouth, store shelf display, and other possible ways.

Last but not the least, to bring quality affordable formula to China moms is not only a business, but also a kind deed. God bless you.

Thank you.
S.O. (full name & info)


Subject:  Move Forward
Date:  06/02/2015 01:20
From:  S.O.
To:  R.H., S.J.

Gentlemen:

I come up with a bold and compromised idea. Perrigo Nutritionals may hire me as an employee or independent contractor, then I will lead export to China, as a member of your international team.

In order for us to know better of each other, I can spare time coming to your Charlottesville office, and stay in Charlottesville, VA for a couple of weeks, if Perrigo Nutritionals pay the cost. (kind of interview)

China is a huge market with intense competition. Everybody has his/her own advantage and disadvantage. Only with our joint efforts can we win over other competitors. Let's move forward.

Thank you.
S.O. (full name & info)


Subject:  Lackluster Performance
Date:  05/22/2015 02:10
From:  S.O.
To:  R.H., S.J.
Cc:  J.P.

Gentlemen:

Did you read the article on internet? It said on 5/6/2015 – Perrigo Company PLC was downgraded by analysts at Zacks from a “hold” rating to a “sell” rating. Zacks’ analyst wrote, “Continued lackluster performance of Perrigo’s Nutritionals and API segments is concerning.  ...”

Remember, infant formula market in the U.S. is matured and decreasing while the market in China is on the rise, but your export to China is not just "continued lackluster", but miserable, lagging far behind other competitors.

Thank you.
S.O. (full name & info)


Subject:  RE: United We Stand
Date:  05/11/2015 23:06
From:  S.O.
To:  M.S., R.H., S.J.
Cc:  J.P.

Gentlemen:

Let me first address to Mr. M.S. (full name). Please refer to 03/10/2015 04:30 email (see following or link) I sent to Mr. J. (last name).

It occurred to me this is actually another example of cultural difference and misunderstanding arisen from language barrier. There is no any advertising so far. And there is no false or misleading information on our website and online stores.

I have put those formula information on our website for over 1 year (of course with clear statement "still in process"). Everybody in China who read those information think it's normal. I ever sent our website link to tens of people who are selling other brands of infant formula. Nobody felt confused at all. All readers clearly understand that I plan to cooperate with Perrigo Nutritionals but have no current business or connection at this time.

OK. Let's come back to business. All in all, we share the same goal: Expand business in China by introducing quality affordable formula to that country. I have replied to Mr. J. (last name)'s questions in my previous emails (please refresh) several times already. Anyway, let me address them one more time.

① Company information (in 02/19/2015 01:19 & 03/09/2015 01:25 emails): We didn't sell consumer products before. Angel Internationals is a small company of my own. From the very beginning, I plan to cooperate with Perrigo Nutritionals to work out this benefit-all-parties project by bringing quality affordable formula to China moms. Of course I will also cooperate with local companies in China to achieve the goal.

② Business plan (in 08/20/2014 & 02/19/2015 & 04/08/2015 emails): Please be aware, since the market situation is changing constantly, we must adjust and refine marketing plan accordingly, on and on. In fact, a low price baby formula (called Akarola) from New Zealand just came to China last month. I'm watching for their further marketing activities and customers' response (see link).

③ Distribution capabilities (in 02/19/2015 & 03/09/2015 emails): Because of unique characters of infant formula and China market, distribution capability is not that important. Will you be surprised if I tell you that most formula brands (including your clients) have no or little distribution capability? Many formula brands simply sleep on store shelves because customers don't trust them. But after customers trust a brand (ultimately based on website), distributors will come to the brand automatically.

Again, let's unite to compete with formula manufacturers from Europe and Australia, as united we stand. I'm confident to win over other competitors because no other industry participant invested as much time and effort as I did to gain customers trust.

Thank you.
S.O. (full name & info)


Subject:  Cease & Desist
Date:  05/08/2015 06:58
From:  M.S.
To:  S.O.
Cc:  S.J., R.H.

Dear Mr. O. (last name):

Please find the attached cease and desist correspondence and note the timeline identified therein.

Regards,
M.S. (full name)


Subject:  RE: United We Stand
Date:  05/08/2015 06:11
From:  S.J.
To:  S.O., R.H.
Cc:  J.P., M.S.

Dear Mr. O. (last name)

In my prior communication with you I have asked for information regarding your Company, your business plan for the China market and your current distribution capabilities.
I also offered to speak with you, but requested this information in advance so that our discussion could be more productive. We have asked for this information on several occasions.

You have not responded on any of these specific topics. As a result, we do not see a path forward with you.

Thank you
S.J. (full name & info)


Subject:  United We Stand
Date:  05/08/2015 02:02
From:  S.O.
To:  R.H., S.J.
Cc:  J.P., M.S.

Gentlemen:

Your poor sales to China indicates that nobody in Perrigo Nutritionals is competent to lead export to that country. Again, please realize that the only viable way for Perrigo Nutritionals to succeed in China market is to cooperate with me, because I am the only person who is willing to and able to enforce quality affordable strategy (willing to make small profit and able to gain customers trust) in China.

As I proposed before, Perrigo Nutritionals may choose to create a joint venture with us, or acquire Angel International as a subsidiary. Then I will take the lead to explore China market. It's beyond doubt that I know much better about China market than you do. Let's unite to compete with formula manufacturers from Europe and Australia. (I'm a U.S. citizen.)

Thank you.
S.O. (full name & info)


Subject:  Repeating mistake & Wasting time
Date:  05/01/2015 04:47
From:  S.O.
To:  R.H., S.J.

Gentlemen:

As China Chamber website shows, Perrigo Nutritionals manufactured two new brands: NutraJoy and DMB Formula.

Same as your other clients' websites, these new brands' websites are unable to gain customers trust, so it can be said that you are making the same mistake over and over again. That's the reason why Perrigo Nutritionals has lagged far behind other competitors.

Following are all your clients' websites (including brands on China government approval list, not on approval list, and extinguished):

Formula Brand Status Website
Bright Beginnings On approval list     http://www.brightbeginnings.com.cn:89    
Rebornne On approval list http://www.rebornne.com
McJayden (Organic) On approval list http://www.sh-gourmet.com
Melzel On approval list http://www.melzel.com
CA Lucky Cow On approval list http://www.caluckycow.com.cn
AAA Formula On approval list http://www.aaababyformula.com.cn
Prime-Gift On approval list http://www.prime-gift.com
Milkspot On approval list http://www.milkspot.com.cn
Moomoo Buckaroo     Not on approval list     http://www.moomoobb.com
Baby Luck Not on approval list http://www.babyluck.com.cn
Prodigy Not on approval list http://www.prodigy-usa.com
NutraJoy Not on approval list http://www.nutrajoy.com
  DMB Formula (OPO)   Not on approval list http://www.dmbmilk.com.cn
Bright Baby Star Extinguished http://www.peibiyou.com
Ultru Baby Extinguished http://www.auspi.cn
Nature's Baby Extinguished   http://www.naturesbabyformula.com.hk  
Ameribella Extinguished http://www.ameribella.com.hk

Notes:
① AAA Formula and DMB Formula (OPO formula) are run by the same company.
② The link www.brightbeginnings.com.cn on your website www.brightbeginnings.com is currently closed.

As I told you before, the most important and most difficult point is to gain customers trust. You made wrong decisions over a dozen times already. Why are you repeating the same mistake and wasting time instead of changing your attitude?

Thank you.
S.O. (full name & info)


Subject:  Increase efficiency please.
Date:  04/23/2015 22:55
From:  S.O.
To:  R.H., S.J.

Gentlemen:

I hesitate to talk about Perrigo Nutritionals' low efficiency, but efficient operation is an important factor to succeed.

I hesitate to say, although I experienced government low efficiency (I ever worked in City of Los Angeles, California as a tax auditor for a few years), Perrigo Nutritionals low efficiency still surprised me, because Perrigo Nutritionals is a for-profit company that is essentially different from government agency.

Kindly suggest taking measures to improve, and strive to start our cooperation efficiently, which is the only viable way for Perrigo Nutritionals to succeed in China market. The sooner you realize this point, the better for both of us.

Thank you.
S.O. (full name & info)


Subject:  Quality and Affordable
Date:  04/15/2015 01:28
From:  S.O.
To:  R.H., S.J.

Gentlemen:

Please realize that the only viable way for Perrigo Nutritionals to succeed in China market is to cooperate with me. Why do I dare to say that (as a modest and humble Christian)?

I am the only person who is willing to and able to enforce quality affordable strategy in China. What happened with your past and current clients demonstrated that nobody else is willing to make small profit and able to gain customers trust. If you can read Chinese, you will better understand this point through our outstanding website.

When selecting clients, Perrigo Nutritionals repeatedly made mistakes (constantly deviated from your own quality affordable principle), and thus lost your advantage, and till today has lagged far behind other competitors. It's not acceptable that Perrigo Nutritionals fell behind many formula manufacturers from Europe and Australia.

Because of past life experience and established thinking style, it's hard for you to understand the difference between China and the United States. Regarding infant formula, there is no safety concern in the U.S., but safety concern is the first and foremost issue in China. All other things (experience, channel, etc.) are secondary.

When it comes to emerging brands, customers perceive formula quality based on website quality. I built the website (both format and content) by myself. Other websites are built by contractors (a few by employee). The difference is like a child is being cared by his/her own parent (dedicated) or a paid caregiver (half-hearted). Readers praise this is the best website among all those selling infant formula in China because they can feel my sincerity and effort.

Perrigo Nutritionals' export to China is miserable. All that you did has been proved to be wrong. People tend to find excuse and assume others will fail because they didn't succeed. You need to be open-minded to embrace change. Many people (board of directors, shareholders, colleagues, etc.) are expecting you to make wise decision.

Thank you.
S.O. (full name & info)


Subject:  RE: Data Comparison - 1st Qtr. 2015
Date:  04/08/2015 04:14
From:  R.H.
To:  S.O., S.J.
Cc:  J.P., M.S.

Dear Mr. O. (last name),

Thank you for your reply.

We will review the information you provided and get back in touch with you should we have any questions.

Kind regards,
B. (nick name)


Subject:  RE: Data Comparison - 1st Qtr. 2015
Date:  04/08/2015 02:32
From:  S.O.
To:  R.H., S.J.
Cc:  J.P.

Mr. H. (last name):

I replied to Mr. J. (last name) already. Probably he was too busy to tell you.

I put "Specific steps to explore China infant formula market" into a Word document and it's a separate attachment this time.
Also I organized Corresponding Emails with PBM/Perrigo Nutritionals so that we can have a better view.

I would like to make clear two points:
① I'm not resentful to you or Perrigo Nutritionals or anybody else. I always remind myself that a Christian should be thankful all the time.
② I'm still enthusiastic about cooperating with Perrigo Nutritionals. As I said many times, our joint effort will benefit Perrigo company, our company, and a great number of China moms.

Thank you.
S.O. (full name & info)


Subject:  RE: Data Comparison - 1st Qtr. 2015
Date:  04/06/2015 11:08
From:  R.H.
To:  S.O., S.J., S.E., D.O., C.H., E.P., T.Z.
Cc:  J.P., S.R., L.W., Q.Q., M.S.

Dear Mr. O. (last name),

I am writing on behalf of our Mr. J. (last name) who is out of the office on holiday.

In February and again in March,  Mr. J. (last name) wrote to you suggesting a telephone conference call.  In advance of the call Mr. J. (last name) requested receiving your business plan, marketing plan and additional information on your company.  Would you please send these to me at your earliest convenience.  Rather than having this information incorporated in e-mail text would you please send as separate attachments.  Thank you.

Also in March, Mr. J. (last name) wrote to you regarding your company website which appears to represent that you are currently doing business with Perrigo.  We were surprised to see this since we do not have a commercial relationship.  Mr. J. (last name) requested an explanation which we would very much like to receive.

Mr. O. (last name), your follow up to the above is greatly appreciated.

Kind regards,
B. (nick name)


Subject:  Data Comparison - 1st Qtr. 2015
Date:  04/06/2015 05:39
From:  S.O.
To:  S.J., R.H., S.E., D.O., C.H., E.P., T.Z.
Cc:  J.P., S.R., L.W., Q.Q.

Ladies and Gentlemen:

Following is data comparison (modified English excerpt with increment during past 3 months) ending 03/31/15. The full Chinese version is on our website and online store.

Group ①: Imported over 50 times from 6/25/13 to 3/31/15 ║ Subtotal: 951 times
 ▪  Wyeth(CN+EN)(198) Times of import during past 3 months: 41
 ▪  Similac(CN+EN)(189)   Times of import during past 3 months: 22
 ▪  Biostime(137) Times of import during past 3 months: 14
 ▪  Nutrilon/Nutricia(CN+EN)(109) Times of import during past 3 months: 14
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ②: Imported 11--50 times from 6/25/13 to 3/31/15 ║ Subtotal: 1,110 times
 ▪  Karicare(CN+EN)(50) Increment: 6 times  ▪  Babikins(45) Increment: 8 times
 ▪  Nactalia(40) Increment: 2 times  ▪  Dumex(CN+EN)(38) Increment: 4 times
 ▪  Holle(CN+EN)(36) Increment: 5 times  ▪  Primavita(33) Increment: 0 time
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0--10 times from 6/25/13 to 3/31/15 ║ Subtotal: 698 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * AAA Formula 8 total (Increment: 0)  * Prime-Gift 5 total (Increment: 0)
 * McJayden(CN+EN) 5 total (Increment: 0)  * Bright Beginnings 4 total (Increment: 0)
 * CA Lucky Cow 2 total (Increment: 0)  * Melzel 2 total (Increment: 1)
 * Rebornne 1 total (Increment: 0)  * Milkspot 1 total (Increment: 0)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Notes:
① There is only 1 import of Perrigo's formula (with *) during past 3 months (Melzel on 01/20/15).
② Like it or not, it's almost certain that majority of Perrigo Nutritionals current clients will be driven out of market in the near future, and remaining minority can painfully maintain their poor sales for some time.

Caution: Because of wrong criteria to select client, Perrigo Nutritionals has lagged far behind other competitors, and is at the brink of losing China market. I talked to a few of your current clients. Some of them are very frustrated with Perrigo Nutritionals low efficiency. (A couple of them clearly told me that they decided not to deal with Perrigo Nutritionals any more.)

Thank you.
S.O. (full name & info)


Subject:  Infant Formula E-commerce in China
Date:  03/30/2015 23:25
From:  S.O.
To:  S.J.

Mr. J. (last name),

Following is one of many articles talking about infant formula e-commerce in China.

Digesting digital: E-commerce becomes battleground for infant formula brands in China / March 16, 2015
http://www.just-food.com/analysis/e-commerce-becomes-battleground-for-infant-formula-brands-in-china_id129492.aspx

Another source:
On page 10 of Nielsen Global E-commerce Report - August 2014, it says "Diapers and infant formula make up the largest portion of online sales compared to online and offline sales: In China (29% diapers / 23% infant formula)".

Please take quick action to keep up with the trend.

Thank you.
S.O. (full name & info)


Subject:  Kind Reminder
Date:  03/23/2015 21:45
From:  S.O.
To:  S.J.
Cc:  R.H., C.H.

Mr. J. (last name),

In your 03/05/2015 email and Ms. C.H. (full name) 07/16/2014 email, you both mentioned Perrigo Nutritionals received many inquiries about exporting infant formula to China, and you both appeared a little complacent.

Watch out. Don't be fooled by those superficial inquiries. You may simply let them read "Foreign formula in China -12/31/14" article (full Chinese version of data comparison update, see 01/06/2015 email I sent to all of you) on our website (http://angelcorp.net/blog/?p=3715), and then see their response.

I sent above link to tens of infant formula distributors in China. Many of them, for their first time, saw the whole picture of current market condition: over 200 brands from around the world and most of them are struggling. The intense competition discouraged many distributors.

Even industry participants are blind to overall market condition, let alone those inquirers who invested little effort. How will they respond after they realize the competition is so intense?

The article is a kind reminder to all parties, including you, me, your clients, those inquirers.

Thank you.
S.O. (full name & info)


Subject:  RE: Change Leads to Progress
Date:  03/10/2015 04:30
From:  S.O.
To:  S.J.

Very good. You start to understand my website and online stores with the help of translator. I'm not sure whether or not the translator told you that on both stores, I clearly put the text "still in process, do not accept order at this time". I have never and will never deceive customers. You will find out that I'm a person of integrity.

I believe you know Tesla electric car. Years before the car was really on production line, photos and instructions of the car were on internet and brochures. In fact, many products have their information released before they are available, and hence, let customers expect.

Readers are pleasantly surprised to see my website. Some praise this is the best website among all those selling infant formula in China, both format and content. They can feel my sincerity and public interest element (possibly the lowest price of imported formula) embedded in the website.

I firmly believe in King's words: “Life’s most persistent and urgent question is, ‘What are you doing for others?’”  That's why I pray to God let Perrigo Nutritionals and Angel International Co. fully cooperate to bring quality affordable formula to China moms.

Thank you.
S.O. (full name & info)


Subject:  RE: Change Leads to Progress
Date:  03/09/2015 05:47
From:  S.J.
To:  S.O.

Dear Mr. O. (last name)

Your website information appears to represent that you are already doing business with PBM/Perrigo.

I am surprised to see this since we have no commercial relationship at this time.

Please explain.

Thank you
S.J. (full name & info)


Subject:  RE: Change Leads to Progress
Date:  03/09/2015 01:25
From:  S.O.
To:  S.J.

Mr. J. (last name),

I forwarded to you my marketing plan in 02/19/2015 email. The specific steps are in 08/20/2014 emails with highlighted subject "Joint Effort".

We didn't sell consumer products before. The online stores (www.angelcorp.cn & shop107822599.taobao.com) are specifically built for infant formula project. I also reminded you in 02/19/2015 email not to count on history/experience, since situation evolved and Perrigo already made many mistakes when evaluating potential clients.

I can understand you received many inquiries regarding formula export to China. I'm pretty sure that most if not all of those people/companies invested (or will invest) little effort and simply want to try their luck, as I pointed out in 10/07/2014 email. As market competition is growing much more intense than before, destinies of their planned formula are doomed to be the same as most other brands: short lived.

It's hard for you to understand business in China because you are Caucasian. I can realize your clients' weak points because I know very well of both China and the United States. I drafted my resume (attached) for your reference.

Thank you.
S.O. (full name & info)


Subject:  RE: Change Leads to Progress
Date:  03/05/2015 07:43
From:  S.J.
To:  S.O.

Dear Mr. O. (last name)

I would appreciate it if you would send me the information I requested in my initial email in advance of a call.

As you can imagine we receive hundreds of calls from people that wish to sell infant formula in China.  We really need to see information on your company, your current business, how you sell products in the market, etc..   The government in China looks to us as the manufacturer of the product and we are selective about our customers as a result of the China government requirements.

We are reviewing your website now.

Thank you
S.J. (full name & info)


Subject:  RE: Change Leads to Progress
Date:  03/05/2015 02:03
From:  S.O.
To:  S.J.

Mr. J. (last name),

Probably I should clarify a different point between China and the United States.

In China, e-commerce and store sales are kind of two separate markets. Because store sales involve distributor(s), store prices are usually much more expensive than online sales. That's why some identical products have two different brands, one for online sales with lower price, another for store sales with higher price.

Parent's Choice in the United States are sold at the same price both online and in store, because it is Walmart's private brand and involves no distributor.

That also explains why e-commerce in China is growing even faster than in the U.S..  I believe you heard of Alibaba, China's (and the world’s) biggest online commerce company with astonishing IPO.

Thank you.
S.O. (full name & info)


Subject:  RE: Change Leads to Progress
Date:  02/19/2015 01:19
From:  S.O.
To:  S.J.

Mr. J. (last name),

Good to receive your reply.

Currently I stay in China (Shanghai) most of the time. You can call my cell phone at (0086) someday during your early morning business hour (preferably before 9:00am EST). I described my business plan in my previous emails to Ms. C.H. (full name) and Mr. B.H. (full name) (see following), when I didn't figure out your email address.

It can be felt from your short email that traditional marketing method (through distributors) rooted in many people's brain. It's normal. In fact, it took me time and efforts (analyzing other people's failure and success) to change from traditional thinking style to e-commerce marketing: starting from online sales and spreading into offline outlets later.

What happened with your past and current clients (most if not all of them have consumer products experience and distribution channel) are negative examples. It's right because of their experience (old thinking style) and channel (old marketing method) that prevented them from embracing e-commerce with heart and soul.

So far online sales account for nearly 1/4 of China $12 billion infant formula market, and is still rising. Matured brands cannot cut their prices to compete with us, because they are hijacked by existing distributors. This late-development advantage requires a remarkable website (in order to gain customers trust) like ours to take effect.

I registered my own infant formula brand with Chinese government agency in November last year. The Chinese brand is 安奇兴 (Angel-Xing in English, meaning safe, miraculous, and thriving) and is on our own newly-built online store (www.angelcorp.cn). All search engines (Baidu, Haosou, Sogou, Bing, Google, Vosteran, etc.) have indexed it.

A couple of investors (individual and investing company) ever approached me, expressing interest on this project. Unfortunately, Perrigo Nutritionals low efficiency (I initially submitted new business inquiry in March last year) scared them away. (Many Chinese people think American companies are operating very efficiently.)

I'm glad you responded to me. Maybe God hints now is the right time to start this benefit-all-parties project.

Thank you.
S.O. (full name & info)


Subject:  RE: Change Leads to Progress
Date:  02/17/2015 09:21
From:  S.J.
To:  S.O.

Dear Mr. O. (last name):

I wanted to set up a telephone conference to discuss this further.

I am not certain if you are in China or the US, so I would ask that you propose a few options on when we could speak by phone

We are very aware of the China market and the opportunities, so I do not think we need to focus our discussions on this point.

It would be very helpful if you could introduce yourself  and address your business plan for entry into the China market, including initial regions and channels of distribution and
any current distribution you have now in other consumer products in China.  We would also like to understand if you have a brand for the products (or if you want to distribute our brand)
and what your marketing plan would be.  If you have a presentation or other written materials, it would be helpful to send these in advance of our discussion.

We should also discuss any other information that you feel is important for us to consider.

I look forward to hearing from you.

Thank you
S.J. (full name & info)


Subject:  Change Leads to Progress
Date:  02/16/2015 22:55
From:  S.O.
To:  R.H.
Cc:  J.P., S.J., S.E., D.O., C.H., S.R.

Mr. H. (last name):

It's hard to understand why you are so stubborn (not to take my reasonable advice to make change) despite the fact that Perrigo Nutritionals export to China is poorly performed.

Your stubborn personality prevented and will continue to prevent you from making wise decision. Whatever strategy need to be adjusted according to evolving situation.

Anyway, please kindly adjust your strategy to start this benefit-all-parties project now. Our joint efforts will bring quality affordable formula to China moms, will create new jobs domestically, and will generate revenue for Perrigo Company.

Martin Luther King, Jr. ever said: “Life’s most persistent and urgent question is, ‘What are you doing for others?’”  We are all getting old. I'm 45 this year.

Thank you.
S.O. (full name & info)


Subject:  Re: Industry Excerpt
Date:  02/02/2015 22:26
From:  S.O.
To:  R.H.
Cc:  S.J., S.E., D.O., C.H.

Mr. H. (last name):

I did some analysis on Perrigo Company's annual report (Form 10-K) which is available on SEC website and Perrigo website.

Page 63 of the report shows net sales of Nutritionals division for the fiscal year ended June 28, 2014 is $551.7 million. Page 13 says Walmart accounted for 19% of net sales for fiscal year 2014, which equals $551.7×19%=$104.82 million.

Abbott Laboratories 2013 sales from China was $1,083 million. Mead Johnson Nutrition 2013 sales from Asia was $2,179.3 million (sales from China not shown). Asia sales accounted for more than 50% of MJN's net sales while North America/Europe sales are decreasing.

As I said before, our annual sales will amount to $100 million in 3 years or so, and reach $1 billion a few years later (through our joint efforts, including conventional infant formula, organic infant formula, pediatric nutritional drink).

Food product consumption is directly related to population size. China has more than quadruple population of the United States (1,367,980,000 vs. 320,314,000 on 2/2/2015). We have lower price (affordable) and better website (better quality in customers' eyes) than other competitors.

Thank you.
S.O. (full name & info)


Subject:  Industry Excerpt
Date:  01/20/2015 05:18
From:  S.O.
To:  R.H.
Cc:  S.J., S.E., D.O., C.H.

Mr. H. (last name):

Followings are some industry excerpts from internet:

-------- Mead Johnson Nutrition --------

Following is the chart on page 28 of Mead Johnson Nutrition's annual report showing the breakdown of its $4,200.7 million total sales.

   
Years Ended December 31,
   
(Dollars in millions)  
2013
 
2012
 
% Change
Asia   $ 2,179.3     $ 1,967.0     11  %
Latin America   861.4     752.5     14  %
North America/Europe  
        
        1,160.0
 
       
         1,181.8
 
       
           (2
)%
Net Sales   $ 4,200.7     $ 3,901.3     8  %

Notes below the chart says:
"Asia sales increased 11% compared to the prior year and accounted for more than 50% of MJN's net sales. The growth was largely driven by volume attributable to market share gains, including the recovery of market share in China and category growth."
"North America/Europe sales decreased 2% compared to the prior year."

-------- Abbott Laboratories --------

Following is the chart excerpt on page 30 of Abbott Laboratories annual report

  2013  % Change  2012  % Change  
Nutritionals   (dollars in millions) 
International Pediatric Nutritionals       $    2,257        9%          $    2,075        8%  
U.S. Pediatric Nutritionals   $ 1,508     --%   $ 1,505     14%  

Notes below the chart says:
"International Pediatric Nutritional sales increased in 2013 and 2012 due primarily to volume growth in developing countries."

-------- Los Angeles Times --------

Los Angeles Times reported last year that a new dairy plant was built in Fallon, Nevada exclusively for China market. Perrigo Nutritionals may consider cooperating with them or even acquire the factory to increase manufacturing capacity.

-------- USDA Report --------

USDA Report begins with "China’s baby formula market is huge and growing, with total sales growing by 25% in 2012 to reach RMB 77 billion ($12.55 billion USD)." Just 8% of the market share is more than $1 billion US dollar.

-------- Our Advantage --------

Our unique competitive advantage is the combination of affordable price and outstanding website. The outstanding website will convince customers of our formula quality, and affordable price will then motivate purchase.

Thank you.
S.O. (full name & info)


Subject:  Sincere Advice
Date:  01/12/2015 20:55
From:  S.O.
To:  R.H.
Cc:  S.J., L.Y.

Mr. H. (last name):

You haven't responded to me for some time. Frankly speaking, the data comparison in my emails (01/06/15 & 10/06/14) indicate that Perrigo Nutritionals export to China is regretfully a failure, and you are responsible for international sales.

As a Caucasian, you don't understand Chinese and don't know Chinese culture. As a result, you cannot tell who is potentially good client and who is not. That's why Perrigo Nutritionals accepted orders from brands like Milkspot, Melzel, CA Lucky Cow, McJayden, AAA Formula, etc.

Most of current brands are experiencing poor sales (unable to gain customers trust & way too expensive) and thus are short-lived, same as those already extinguished brands (Perrigo Nutritionals' past clients) like Bright Baby Star, Ultru Baby, KidLuck, etc.

I sincerely urge you to listen to people like me regarding sales to China. I lived in China for over 30 years and lived in the U.S. for over 10 years, and received MBA degree from China and MS-Accountancy from California State University, Los Angeles.

I'm not here to offend you. Please be open-minded with my frankness.

Thank you.
S.O. (full name & info)


Subject:  Data Comparison Update
Date:  01/06/2015 01:20
From:  S.O.
To:  R.H.
Cc:  S.J., S.E., D.O., C.H., E.P., T.Z., S.R., L.W.

Mr. H. (last name):

So far 8 formula brands (Bright Beginnings, Rebornne, McJayden, Melzel, Milkspot, Prime-Gift, CA Lucky Cow, AAA Formula) manufactured by Perrigo Nutritionals are on China government approval list (over 200 brands from around the world) for importation.

Following is data comparison update (modified English excerpt with increment during past 3 months) ending 12/31/14. The full Chinese version is on my website. That's one reason people love the website. They find this website informative and trustable.

Group ①: Imported over 50 times from 6/25/13 to 12/31/14 ║ Subtotal: 686 times
 ▪  Similac(CN+EN)(167)   Times of import during past 3 months: 19
 ▪  Wyeth(CN+EN)(157) Times of import during past 3 months: 31
 ▪  Biostime(123) Times of import during past 3 months: 10
 ▪  Nutrilon/Nutricia(CN+EN)(95) Times of import during past 3 months: 27
 ▪  Friso(86) Times of import during past 3 months: 7
 ▪  Murray Goulburn (CN+EN)(58) Times of import during past 3 months: 2
Group ②: Imported 11--50 times from 6/25/13 to 12/31/14 ║ Subtotal: 942 times
 ▪  Adimil(49) Increase: 7 times ▪  Hipp(CN+EN)(45) Increase: 7 times
 ▪  Karicare(CN+EN)(44) Increase: 8 times ▪  Nactalia(38) Increase: 6 times
 ▪  Babikins(37) Increase: 6 times ▪  Dumex(CN+EN)(34) Increase: 10 times
 ▪  Primavita (33) Increase: 2 times ▪  Holle(CN+EN)(31) Increase: 8 times
 ▪  Heinz(27) Increase: 2 times ▪  Nouriz(26) Increase: 5 times
 ▪  Celia(25) Increase: 4 times ▪  Allnutria(24) Increase: 4 times
 ▪  Karihome(23) Increase: 6 times ▪  Kabrita (23) Increase: 3 times
 ▪  Abid(22) Increase: 3 times ▪  Mamilac(CN+EN)(22)
Increase: 1 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0--10 times from 6/25/13 to 12/31/14 ║ Subtotal: 615 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 * AAA Formula 8 times (Increase: 0) * Prime-Gift 5 times (Increase: 0)
 * McJayden(CN+EN) 5 times (Increase: 1) * Bright Beginnings 4 times (Increase: 1)
 * CA Lucky Cow 2 times (Increase: 0) * Rebornne 1 time (Increase: 0)
 * Milkspot 1 time (Increase: 0) * Melzel 1 time (Increase: 0)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Notes:
① There are only 2 imports of Perrigo's formula (with *) during past 3 months (McJayden on 12/16/14, Bright Beginnings on 10/29/14).
② Nutrilon/Nutricia (in Group 1) is a rising star with 27 imports during past 3 months, second only to famous brand Wyeth (31 imports).

Formula Brand Sales Price Reference
    Similac (Made-in-USA)         ¥199/658g = ¥151.22/500g     Similac China Online Store
Bright Beginnings ¥298/900g = ¥165.56/500g     Bright Beginnings Online Store    
Rebornne ¥297/900g = ¥165.00/500g Rebornne Online Store
McJayden (Organic) ¥498/900g = ¥276.67/500g McJayden Online Store
Melzel ¥298/730g = ¥204.11/500g Melzel Online Store
CA Lucky Cow ¥298/900g = ¥165.56/500g ChuangYi Online Shop
AAA Formula ¥260/900g = ¥144.44/500g     YaoJi Online Shop  
Prime-Gift ¥398/900g = ¥221.11/500g     Prime-Gift Online Store    
Milkspot ¥299/900g = ¥166.11/500g     Milkspot Online Store    
Angel-Xing
¥190/900g = ¥105.62/500g Angel-Xing Online Store
Nutrilon/Nutricia ¥220/900g = ¥122.22/500g Nutrilon/Nutricia Online Store

Notes:
① Nutrilon/Nutricia (Holland) won over competitors because of its relatively cheap price (on top of customers trust).
② Online stores of CA Lucky Cow & AAA Formula mentioned last time (screen capture attached) disappeared.

Prospect: I'm learning from Nutrilon/Nutricia in some ways. They started from online sales less than 3 years ago, and now is the top online seller (spread into offline outlets a few months ago) with annual sales close to $100 million U.S. dollar. We will surpass them because we have lower price and better website, and customers perceive formula quality based on website quality.

Thank you.
S.O. (full name & info)


Subject:  Blessing
Date:  12/22/2014 01:31
From:  S.O.
To:  R.H., S.E., D.O., C.H., E.P., T.Z., S.R., L.W.

Merry Christmas!
&
Happy New Year!

Ladies and Gentlemen

May God bless us all.

Sincerely,
S.O. (full name & info)

Subject:  Frustrated but Persevere
Date:  12/01/2014 17:16
From:  S.O.
To:  R.H.

Mr. H. (last name):

It could be a good idea for Perrigo Nutritionals to acquire Angel International as a subsidiary and enroll me as an employee. In that way, we will be completely in the same boat.

Perrigo's formula export to China is unsuccessful (no customs declaration of Perrigo's formula during past November). In the meantime, more and more people are checking my online store. Market demand is here. Let's work together to meet the demand.

Please kindly consider that numerous China moms are anxiously looking for quality affordable infant formula.

Thank you.
S.O. (full name & info)


Subject:  RE: Data Comparison
Date:  11/04/2014 03:59
From:  R.H.
To:  S.O.
Cc:  S.E., C.H., S.R.

Dear S. (first name),

As I have written previously we do not see a strategic fit between our organizations.

Should the situation change we will be in contact with you.

Thank you for thinking of Perrigo.

Kind regards,
B. (nick name)


Subject:  Re: Data Comparison
Date:  11/04/2014 00:28
From:  S.O.
To:  R.H.
Cc:  S.E., C.H., S.R.

Dear B. (nick name),

I'm very confused that Perrigo Nutritionals is seeking to expand while disallow new order at the same time.
Quite a few articles are discussing why China grew much faster than the United States. I'm also confused about that phenomenon (autocracy won over democracy) for a long time.
Why not do our parts to contribute to macro economy now that we are able to. (I'm a U.S. citizen.)

By the way, you can see from China Chamber of Commerce of Foodstuffs and Native Produce website that there is only one customs declaration of Perrigo's formula during past October (Bright Beginnings on 10/29/14).

Thank you.
S.O. (full name & info)


Subject:  Re: Data Comparison
Date:  10/23/2014 04:48
From:  S.O.
To:  R.H.

B. (nick name),

Could you kindly tell me the reason or your concern? Any problem can be addressed with open and sincere communication. I'm a sincere and down-to-earth person (also a humble Christian). There might be some unclear or inaccurate expression because English is not my native language.

Thank you.
S.O. (full name & info)


Subject:  Re: Data Comparison
Date:  10/23/2014 02:43
From:  R.H.
To:  S.O.

Dear S. (first name),

At this time we do not see a strategic fit between our organizations. We thank you for thinking of us however. Best of luck to you in the future.

Kind regards,
B. (nick name)


Subject:  Re: Data Comparison
Date:  10/23/2014 00:24
From:  S.O.
To:  R.H.

Hi B. (nick name),

I haven't received your reply so far. I'm eager to start the program now.

The first product category I'll introduce to China market is conventional infant formula. The second product category is organic infant formula. The third product category is pediatric nutritional drink.

It's possible that Angel International will grow into the second largest client of Perrigo Nutritionals, only after Walmart, considering the population size of China, and the fact that quality affordable products are welcomed everywhere, including China and the United States.

Thank you.
S.O. (full name & info)


Subject:  Re: Data Comparison
Date:  10/07/2014 06:23
From:  R.H.
To:  S.O.
Cc:  C.H., S.E., D.O., T.Z., S.R., L.W.

Dear S. (first name).

I am presently out of the country on business.

Upon my return I will evaluate the opportunity you present to determine if it is a strategic fit for our organization.

We appreciate your interest in Perrigo.

Kindly direct your communiques to me and not to Mrs. Hopwood.

Thank you.
B. (nick name)


Subject:  Fwd: Cooperation Enthusiasm
Date:  10/07/2014 01:56
From:  S.O.
To:  R.H.
Cc:  C.H., S.E., S.R.

Mr. H. (last name):

Following are corresponding emails with C. (first name) and S. (first name) for your reference. Attached are those emails in sequential order. I described specific steps to explore China infant formula market. My planned sales price in China is in close proportion to that of Parent's Choice to Similac in the U.S.

  Formula Brand     Sales Price     Reference  
    Similac (Made-in-USA)         ¥199/658g = ¥151.22/500g       Similac China Online Store  
Bright Beginnings     ¥298/900g = ¥165.56/500g         Bright Beginnings Online Store    
Rebornne ¥297/900g = ¥165.00/500g Rebornne Online Store
McJayden (Organic) ¥498/900g = ¥276.67/500g McJayden Online Store
Melzel ¥298/730g = ¥204.11/500g Double Love Baby Shop
CA Lucky Cow ¥328/900g = ¥182.22/500g CA Lucky Cow Online Store
AAA Formula ¥230/900g = ¥127.78/500g AAA Formula Online Store
Angel-Baby ¥190/900g = ¥105.62/500g Angel-Baby Online Store

The proportion cannot be the same because some charges (shipping, customs warehouse, etc.) are not proportional.

 USA   Similac $24.98/658g      Parent's Choice $14.24/658g        Proportion $24.98/$14.24=1.75   
    China         Similac ¥151.22/500g     Angel-Baby105.62/500g     Proportion ¥151.22/¥105.62=1.43    

Probably you wonder why all your current China clients and many other companies are pricing their formulas so expensive, even more expensive than Similac. Reasons include but are not limited to following:
① Fundamentally, China is a "Rising power, anxious state". Many Chinese people are anxious to make bunch of money within a moment.
② Ideologically, they are dreaming customers will associate their high price with high quality, as that was true years ago when much fewer brands were on market.
③ Practically, it takes efforts to save cost, to maintain low price, to convince customers of formula quality (e.g. building a trustworthy website like mine).

Some brands disappeared and some are disappearing. Most brands are short lived because they involve little effort and simply want to try their luck. Definitely Perrigo prefers to deal with diligent people with far sight.

Thank you.
S.O. (full name & info)


Subject:  Data Comparison
Date:  10/06/2014 23:03
From:  S.O.
To:  R.H.
Cc:  C.H., S.E., D.O., T.Z., S.R., L.W.

Mr. H. (last name):

I would like to show you data comparison about Perrigo's formula export to China.

So far 6 formula brands (Bright Beginnings, Rebornne, McJayden, Melzel, Milkspot, Prime-Gift) manufactured by Perrigo Nutritionals are allowed by China government for importation. The approval list can be found on government website: General Administration of Quality Supervision, Inspection and Quarantine of the People's Republic of China

Customs declaration date of all foreign infant formula arrived China can be found on chamber website: China Chamber of Commerce of Foodstuffs and Native Produce

I organized those data and put Chinese version on my website. Attached is the chart with partial English translation. Following is an excerpt from the chart.

Group ①: Imported over 50 times from 6/25/13 to 9/30/14 ║ Subtotal: 590 times
 ▪  Similac(148) USA Ireland, Singapore, Denmark, New Zealand, Spain
 ▪  Wyeth(CN+EN)(126) Ireland, Singapore, Switzerland, New Zealand
 ▪  Biostime(113) France, Denmark
 ▪  Friso(79) Holland
 ▪  Nutrilon/Nutricia(CN+EN)(68) Holland, England, Germany, New Zealand, Argentina
 ▪  Murray Goulburn (CN+EN)(56) Australia
Group ②: Imported 11--50 times from 6/25/13 to 9/30/14 ║ Subtotal: 667 times
 ▪  Adimil(42) France, Denmark ▪  Hipp(CN+EN)(38) Germany
 ▪  Karicare(CN+EN)(36) New Zealand ▪  Nactalia(32) France
 ▪  Primavita (31) Holland ▪  Babikins (31) South Korea
 ▪  Heinz(25) England ▪  Dumex(CN+EN)(24) Ireland, Holland
 ▪  Holle(23) Austria ▪  Nouriz(21) New Zealand
 ▪  Mamilac(CN+EN)(21) Holland ▪  Celia(21) France
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
Group ③: Imported 0--10 times from 6/25/13 to 9/30/14 ║ Subtotal: 607 times
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙
 ▪  Prime-Gift USA (5 times) ▪  McJayden(CN+EN) USA (4 times)
 ▪  Bright Beginnings USA (3 times) ▪  Rebornne USA (1 time)
 ▪  Milkspot USA (1 time) ▪  Melzel USA (1 time)
 ∙ ∙ ∙ ∙ ∙ ∙   ∙ ∙ ∙ ∙ ∙ ∙

Fact & Conclusion: As the chart shows, all 6 brands manufactured by Perrigo Nutritionals are in Group ③ with total 15 times of approved imports.
Given the fact that Perrigo is such a big company, it can be said that sales to China is absolutely unsatisfactory.

Reason: So how come? An important reason is all your current China clients are pricing their formulas too expensive, even more expensive than Similac. (AAA Formula recently changed price from ¥288/900g=¥160/500g because of poor sale.)

Formula Brand Sales Price Reference
    Similac (Made-in-USA)         ¥199/658g = ¥151.22/500g     Similac China Online Store
Bright Beginnings ¥298/900g = ¥165.56/500g     Bright Beginnings Online Store    
Rebornne ¥297/900g = ¥165.00/500g Rebornne Online Store
McJayden (Organic) ¥498/900g = ¥276.67/500g McJayden Online Store
Melzel ¥298/730g = ¥204.11/500g Double Love Baby Shop
CA Lucky Cow ¥328/900g = ¥182.22/500g CA Lucky Cow Online Store
AAA Formula ¥230/900g = ¥127.78/500g AAA Formula Online Store

Notes:
① Prime-Gift and Milkspot are not on market yet after they entered China this year for their first time.
CA Lucky Cow and AAA Formula are not on approval list. Inventories on sale were imported before China government began to tighten infant formula market (around March this year).
③ CA Lucky Cow and other brands formula (Baby Luck, Prodigy, Moomoo Buckaroo) Perrigo shipped out this year are still under customs custody in China because they are not on approval list.

Please remember in the United States, Parent's Choice is relying on much lower price to compete with Similac. Low price is a crucial competitive point applying all over the world. The self-introduction webpage of "About Perrigo Nutritionals" mentions twice Perrigo's advantage of offering savings. Unfortunately, all your current China clients totally discarded that universal principle.

Suggestion: "China’s baby formula market is huge and growing" (USDA Report), and thus deserve intensive attention. As I said before, I'm enthusiastic about cooperating with Perrigo company to jointly explore China market. Again, I sincerely ask you to seriously consider our cooperation and my careful marketing plan. My idea is in line with Perrigo philosophy: Quality and Affordable.

Thank you very much.
S.O. (full name & info)


Subject:  RE: Cooperation Enthusiasm
Date:  08/29/2014 07:51
From:  S.E.
To:  S.O.

Dear S. (first name),

We are not interested in working with Angel International at this time. We do not feel further communication is necessary.

Regards,
S. (first name)


Subject:  Cooperation Enthusiasm
Date:  08/29/2014 06:01
From:  S.O.
To:  S.E.

Dear Ms. S.E. (full name):

My New Business Inquiries submitted in March was not accepted, possibly because I did not state plan details. In later emails sent to C. (first name), I presented specific steps to explore China infant formula market by sticking to "quality affordable" philosophy, but somehow I haven't received reply.

Following are corresponding emails with C. (first name). From these emails and the effort I put into this project, you can feel my enthusiasm about cooperating with Perrigo to jointly explore China market, which will be an all-win operation --- Perrigo Company, our company, and China consumers.


Subject:  Joint Effort - (3)
Date:  08/21/2014 04:47
From:  S.O.
To:  C.H.

Please be aware, although we will have the same gross profit rate as Walmart from retailing formula, the net profit rate will be lower for the first a couple of years, because we have to spend much of our profit on advertisement. Of course, we will get payoff during later years.

Fourthly (continued from previous email), we may expand our warehouse network and/or subway ads to other big cities in China. Or we may start to wholesale formula to retailers after building up reputation. Good reputation can make retailers' job much easier, and thus they may accept the formula with less discount. Also we should introduce organic infant formula to increase market share and total revenue, although the sale of regular formula might be affected to some extent.

The largest expense item would be advertising. Since my motivation is for public interests, I will try to persuade Chinese public media to help promote our quality affordable formula free of charge, or with less charge. At the same time, Perrigo will make every effort to control costs, and keep the price as low as possible.

Although there are hundreds of different brands of infant formula in China, most of them are struggling and cannot survive increasingly intensive competition. If they keep current high price, fewer customers will stay with them; if they cut price, customers will suspect their formula quality; which is a deadlock for most formula brands. That's why my outstanding website is valuable for gaining customers trust and maintaining low price simultaneously.

Considering the size of China infant formula market, I estimate our annual sale will amount to $100 million U.S. dollar in 3 years or so, and exceed $1 billion U.S. dollar a few years later.

Please feel free to ask any question. As I said before, our joint effort will benefit you, me, and a great number of China moms.

Thank you.
S.O. (full name & info)


Subject:  Joint Effort - cont.
Date:  08/20/2014 22:26
From:  S.O.
To:  C.H.

Specific steps to explore China infant formula market:

First, we need to lease a warehouse in Shanghai, China and stock inventories locally. An advertisement need to be put on Taobao.com, with link to our online store. The sincerity, transparency, and informativeness of my website, combined with store brand low price, will start to generate revenue.

Why I emphasize my outstanding website so much is because: Only after customers trust the quality of the infant formula, will low price become an attractive point. In our case, my website will convince potential customers of the formula quality, then low price will bring about plenty of actual purchase.

I should clarify low price a little more. The low price is derived from skipping all distributors. I set retail prices using the gross profit rate of Walmart. That is to say, Perrigo Company will harvest not only more profit from manufacturing formula, but also the same percentage of profit as Walmart from retailing formula in China.

Secondly, we ought to publicize our formula by ads on subway trains. I prepared advertisement draft, stressing two points: genuinely made in the USA (i.e. quality) and low price for public interests (i.e. affordable). Subway ads can perfectly reach out numerous customers and dramatically boost the sale by attracting physical store customers to our online store.

Thirdly, we need to lease warehouses in Beijing, Guangzhou, Chongqing and stock inventories locally. Those cities, plus Shanghai, are populated metropolises in North, South, West, and East of China. Again, we ought to publicize our formula by ads on subway trains in those cities. Subway passengers in those cities include not only local people, but also millions of travelers from all around the country.

To be continued. Let me organize my mind over again.

Thank you.
S.O. (full name & info)


Subject:  Joint Effort
Date:  08/20/2014 17:51
From:  S.O.
To:  C.H.

C. (first name):

It occurred to me that Perrigo Company may acquire Angel International as a subsidiary, and enroll me as an employee.

I have a careful plan to explore China infant formula market. Basically, we must stick to the key success point of store brand: low price. With the leap growth of e-commerce in China, now it's possible to skip all distributors and reach millions of customers through online sales. That will dramatically reduce retail prices, which is an "approach that meet the needs of the poor (majority China customers in this case) in ways that generate profits for business (Perrigo company in this case) and votes for politicians (Chinese government in this case)." (Quoted from Bill Gates speech)

On top of low price, there is a vital point related to China infant formula market: to gain customers trust, in other words, to relieve customers of their safety concern. Well, my website is created to fulfill this hardest task. Featured with rich contents, unique format, open and transparent style, public interest elements, and informative blog articles, this outstanding website already and will continue to appeal to Chinese customers. Actually, this website is so much better than competitors that some people praise this is the best website among all those selling infant formula in China.

Now is the right time to carry out store brand strategy (quality & affordable) in China, and I'm in the right place (I'm in Shanghai, China currently). With our joint effort, we will achieve great success because we meet the demands of most China moms.

Thank you.
S.O. (full name & info)


Subject:  RE: Business Opportunity
Date:  08/18/2014 06:20
From:  S.O.
To:  C.H.

Dear C. (first name):

I apologize if any of my words offended you. I simply want to know how I can improve my situation while I have no idea of your criteria. Trust me, I am a person of moral integrity. (We both are professionals.) I intentionally waited one month to send out this email since time is a medicine.

Actually, an important reason why I want to export infant formula to China is for public interests. A lot of new moms in China are suffering from and complaining about the high price of infant formula. That's why Chinese government is regulating infant formula and clamping down high price.

I embedded many public interest elements into my website. For instance, I translated Bill Gates speech quotation on the webpage: "If we can find approaches that meet the needs of the poor in ways that generate profits for business and votes for politicians, we will have found a sustainable way to reduce inequity in the world."

I also put a link to "Lord's Prayer" at the middle bottom of my homepage: "God bless you." Those public interest elements, in addition to low price, have been appealing to many Chinese readers. Hopefully we can jointly do something to benefit your company, and benefit thousands of China moms as well.

May God bless us all.

Thank you.
S.O. (full name & info)


Subject:  RE: Business Opportunity
Date:  07/16/2014 13:25
From:  C.H.
To:  S.O.

Mr. O. (last name):

It is not fair to assume you are being treated any differently.  We receive many requests for export of infant formula to China.  Each opportunity is different, and any subsequent relationship is structured differently.  We do not feel further communication on this issue is appropriate.

C.H. (full name & info)


Subject:  RE: Business Opportunity
Date:  07/16/2014 08:06
From:  S.O.
To:  C.H.

C. (first name):

Could you please kindly tell me why I cannot be treated same as your other clients? I'll do the same thing your company required other clients to do.

Sincerely,
S.O. (full name & info)


Subject:  RE: Business Opportunity
Date:  07/16/2014 07:40
From:  C.H.
To:  S.O.

No; the Company is not interested in working with Angel International at this time.

C.H. (full name & info)


Subject:  RE: Business Opportunity
Date:  07/16/2014 07:29
From:  S.O.
To:  C.H.

C. (first name):

Thank you for your prompt reply.

Can I just buy containers of private-label infant formula from your company, same as you did with other China clients (i.e. Rebornne, Bright Beginnings, etc.)?

Sincerely,
S.O. (full name & info)


Subject:  RE: Business Opportunity
Date:  07/16/2014 07:07
From:  C.H.
To:  S.O.

Mr. O. (last name):

I have spoken with the International business team regarding your request.  It was confirmed that your request was received and reviewed, but that it was not an opportunity that the Company wished to pursue.  I am sorry I cannot be of more assistance to you.

C.H. (full name & info)


Subject:  Business Opportunity
Date:  07/16/2014 06:20
From:  S.O.
To:  C.H.

Dear C.H. (full name):

I submitted new business inquiry in March but haven't received reply. I would like to ask your company to contract manufacturing infant formula for China market.

I put infant formula information on my website (www.angelcorp.net) for some time already. People who found my website appraise this is the best website among all those selling infant formula in China. If you or your colleagues can read Chinese, you will have the same feeling.

I am a Chinese American. I lived in China for over 30 years and lived in the U.S. for 10 years (BTW, I'm a California CPA). I know very well of both China and the United States. That enables me to build the outstanding website in Chinese language with American style.

All your current China clients, including Rebornne, Bright Beginnings, Bright Baby Star, CA Lucky Cow, Ultru Baby, McJayden and others, are experiencing poor sales. One reason is they didn't stick to the key success point of store brand: low price. I learned from Walmart and set up store brand prices for my future products. That is another reason why people love my website.

I sincerely ask you to give priority to my business process, considering potential benefit to you, to us, to numerous customers. Furthermore, we can create a joint venture to better explore China market (I stay in Shanghai, China currently). I translated USDA report "China’s Baby Formula Market" into Chinese and put on my website. The report emphasized the value of China market, formula e-commerce, and low price.

Look forward to your reply.

Thank you.
S.O. (full name & info)