Niu Gensheng began his career at Inner Mongolia Yili Industrial Group Co Ltd (Yili) as a milk bottle washer in 1982. Because of his hard work and intelligence, Niu rapidly ascended to general manager.

But in 1999, Niu resigned because of irreconcilable differences with then boss, Zheng Junhuai. That year, he founded Mengniu Dairy Industry (Group) Co Ltd (Mengniu).

In eight years, the 48-year-old has transformed the company from the 1116th ranked dairy producer in China to number one.

Mengniu has held the milk market crown for four consecutive years, generating sales of 14.26 billion yuan in 2006, up 53.1 percent from the year before.

Up until 2004, the overseas market remained untapped for the dairy giant. Since then, Mengniu has made inroads into Hong Kong and Taiwan and some Southeast Asian nations by joining forces with overseas players like Danone, Arla Foods and Hong Kong Disneyland. 

Still, the overseas market contributes just 10 percent of Mengniu's sales.

Niu recently sat down with China Daily reporter Ding Qingfen to talk about his experiences.

Q: In January 2006, Yang Wenjun succeeded you as Mengniu's president. How has your role changed since then?

A: I am now concerned about macro-level changes, such as brand promotion, culture management and corporate strategy. I also closely watch quality-related details that are easily ignored, yet could harm consumers, tarnishing or even destroying our reputation overnight.

Q: What is the corporate plan for 2007?

A: First of all, Mengniu will add muscle to research and development initiatives, developing more innovative, high-quality and nutritional dairy products to meet more discerning public tastes.

Innovation is the crux of Mengniu's success. We have taken the lead among our peers in having a first-class ranch in Mengniu-Australia International Ranch in China, helping raw milk suppliers to upgrade rearing scales. Additionally, we are currently applying for a new patent every nine days, and inventing a new product every six days.

Secondly, we have set a series of targets for the 2007-2011 period, and the top priority is to enter the International Top 20 Dairy Producer list by 2011. This year, the major task is to expand in both domestic and overseas markets.

Q: What are the biggest hurdles to corporate development?

A: To remain atop the local market, we have to be very cautious.

With a population of 1.3 billion, China is yet a far-from-mature market, and the majority of the public don't yet recognize the importance of milk in daily life. Mengniu has to spend quite a lot educating consumers, tapping the huge potential of the market.

Q: What is your personal dream?

A: The corporate long-term goals represent my own dream. I hope everyone will soon be able to afford to have half a kilogram milk a day. Secondly, I expect Mengniu can grow into an internationally known dairy brand.

Q: What are your views on being a socially responsible entrepreneur?

A: Undoubtedly, a good entrepreneur should grow the business and profits, but more importantly, he should help others. This is what I have been striving for.

Q: In the past eight years, what events have given you lasting impressions?

A: Once on the way to visiting a Mengniu factory in Bameng, Inner Mongolia, I came across a watermelon vendor. He declined to charge us for the watermelon when he figured out who I was, happily telling me how life in Bameng had changed since Mengniu landed. They bred cows, earned money, and had their own apartments built up.

I was surprised at how much the business had impacted a wide range of people, especially those in rural areas.