Yue-Kong Pao

Deng Xiaoping meets YK Pao, sculpture in Ningbo

Sir Yue-Kong Pao (mostly YK Pao , also Bao Yugang , Chinese  包玉剛  /  包玉刚 , Pinyin Bāo Yùgāng , born November 10, 1918 in Ningbo ; † September 23, 1991 in Hong Kong ) was a Chinese magnate and founder of the Company Worldwide Shipping Group . He was one of the most important entrepreneurs in the Hong Kong Crown Colony .

Pao was born into an influential family and was part of the 29th generation of the descendants of Bao Zheng , a prominent official of the Northern Song Dynasty . He received his education in Hankou , where his father owned a shoe factory. At the age of 20, he married a young woman from his hometown of Ningbo, who also belonged to the upper class. Although it was a marriage arranged by the parents, this marriage lasted until the end of his life. He decided not to work in his father's company.

In 1938, when the Japanese attack on China was in full swing, Pao returned to the east coast of the country. In Shanghai he first found employment with a large trust . He later moved to a bank, where he rose rapidly in the hierarchy. After the end of the war he was tasked with founding a municipal bank, of which he was later deputy general director.

After the proclamation of the People's Republic of China, Pao and his family moved to Hong Kong, taking most of their wealth with them. Due to the political uncertainty in Hong Kong, Pao avoided investing money in fixed assets and founded a small trading company with two partners. Pao's import and export business flourished, not least because of a trade embargo imposed as a result of China's intervention in the Korean War . Pao avoided the embargo with his company called New United Company and expanded into new business areas such as trading in chemicals and metals. He managed to survive the movements against capitalists, bureaucrats and landlords in the young people's republic.

Thanks to his good relationships with bank managers such as John Saunder and Guy Sayer of Hong Kong and Shanghai Bank , Pao had access to capital to fund the continued growth of his businesses. In 1955 Pao decided to invest in the shipping company . Pao, whose company was still considered untrustworthy, had to finance his first ship himself. Further ship purchases were financed by the Hong Kong and Shanghai Bank, so that his company could benefit from the rapidly growing transportation needs of the fast growing Japanese market. In 1980 Pao had the largest fleet of merchant ships and gained international recognition. This was made possible by his philosophy of training his staff extensively, only working with wealthy customers and concluding long-term charter contracts, whereby the customers were responsible for the maintenance and operation of the. Pao was appointed to the executive board of Hong Kong and Shanghai Bank, received an honorary doctorate from Hong Kong University in 1975, and spoke at Harvard Business School . In 1978 he was named a Knight Bachelor . Pao was also one of those entrepreneurs from whom Deng Xiaoping sought advice on questions of promoting entrepreneurship and dealing with the Crown Colony of Hong Kong and its residents.

A consolidation phase in the shipping business began in the 1970s. Pao therefore diversified his ventures. He acquired a 10% stake in Hong Kong and Kowloon Wharf and Godown Co. Ltd , which he later increased to 49%. In 1985 he acquired Wheelock Marden so that he controlled numerous hotel, office and retail properties.

In the late 1980s, Pao retired from the operational activities of his companies and resigned from his numerous board positions. Then he devoted himself to philanthropy .

Individual evidence

1. ↑ ^{a b c d e f} Julian Chambliss: Bao, Yugang . In: Wenxian Zhang and Ilan Alon (Eds.): Biographical Dictionary of New Chinese Entrepreneurs and Business Leaders . Edward Elgar, 2009, ISBN 978-1-84720-636-7 , pp. 1 f .
2. ↑ Ezra F. Vogel: Deng Xiaoping and the Transformation of China . Harvard University Pess, 2011, ISBN 978-0-674-05544-5 , pp. 488 ff .