Zhang resigned from a SOE (state-owned company) in 1992 and set up Nanchen Aluminum Ltd in 1995. After a series of acquisitions, Zhang successfully established Beijing Weihao Aluminum Group, which in 2002 had assets of 400 million yuan. Rapid growth has presented many challenges. One of the challenges is that most employees had been employed by SOEs before joining the Weihao Group, and as a result they did not have the entrepreneurial attitude that is required for the company to succeed. This case was designed to illustrate the management challenges of fast growth and diversification, especially in a Chinese private enterprise context.
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