From a Label Workshop to a 'Packaging Supermarket': Deshengyuan's Family-Powered One-Stop Packaging Materials Model

Tucked inside Deshengyuan Industrial Park on Zhengxiang Road, Honghu Village, Guangming Street, Guangming New District, Shenzhen Deshengyuan Packaging Products Co., Ltd. is an easy company to pick out: it was founded by a family pulling together as a group, and it competes on one-stop supply of a wide range of packaging materials. The company also plans to open branch factories in Nanjing, Zhuzhou and other cities, pushing from the Pearl River Delta into the Yangtze River Delta and expanding point by point.

Deshengyuan began in Buji with label making. After four years there, it moved on to Xili and Pinghu, taking over other operators' old factories to scale up. Shenzhen Deshengyuan Packaging Products Co., Ltd. was established in ______ and focuses on manufacturing and selling a broad range of packaging materials, with registered capital of ______ and total investment exceeding ______. The company later relocated to Guangming, where it built Deshengyuan Industrial Park, covering a total area of ______.

Inside the park, each floor houses a separate production workshop for a different product line: the corrugated carton division, the EPE pearl cotton division, the label die-cutting division, the paper edge protector and paper pallet division, the blister packaging division and the plastic bag division — six packaging materials divisions running side by side.

Deshengyuan aims at the high end — listed companies and those preparing to list — with clients including ZTE, ______, Dafu Technology, Yude Communications, Tairisheng, Moso Electronics, Jiansheng Technology, Feimaotui Electronics, Junda Optoelectronics, Shabigao Instruments and Mingmei Communications. Long-term, stable ties with major accounts underpin the company's growth, and winning that business comes down to service and price: quality service paired with sharper pricing is what keeps a factory alive.

Hao Yiping, the head of Deshengyuan, describes the operation as a genuine 'packaging supermarket': cartons, blister packaging, EPE pearl cotton, labels, bubble bags, paper edge protectors and paperboard are all available under one roof. The company builds its capability around customers' multi-material requirements, strengthening coordinated production across material types and centralizing delivery so that buyers' procurement costs come down — which in turn makes its own products and services more competitive. To land an order, Hao notes, it is acceptable to supply even one or two of the roughly ______ categories a customer asks for at a loss.

The company has also set up a food-grade workshop certified to ______ standards, capable of producing food packaging bags and boxes, and can supply ______ paper trays and other specialty packaging materials as part of a bundled offer to meet customer needs. Asked about the original motive, Hao smiles: the first goal was simply to keep the family employed and fed. Today the plant hosts forty or fifty family members, and relatives have brought in even more people from their hometown. He hopes to create more jobs for those hometown workers and lift them toward shared prosperity.

The expansion route is clear: Deshengyuan intends to open branch factories in Nanjing, Zhuzhou and other cities, stretching from the Pearl River Delta into the Yangtze River Delta, developing point by point with a designated family member in charge of each site and the family advancing as one group. The business revolves around three core steps — finding orders, finding money, then finding orders and finding money again. Wherever a large order appears, a dedicated plant may be invested in once volumes justify it. Each year the company sets aside funds for dividends and bonuses to spur entrepreneurial drive. Annual tax payments have already passed ten million yuan, and the company hopes to earn more and pay more in tax, giving back to the country and to urban development. Mr. Lu says Deshengyuan holds to the philosophy that 'a harmonious family prospers in all things' and that 'great virtue carries all things'; any branch factory it opens will likewise be named with the character '德' (virtue) at the front.

——This article is reprinted from China Packaging Network (pack.cn). Original link: http://news.pack.cn/show-352406.html