Step 1: What Is RenDanHeYi?

The purpose of this chapter is to illustrate the functioning of this fascinating business model as it has been conceived and implemented at Haier in China. The chapter delves into the fundamental tenets of the business model, which include zero distance with users, trust and development of employees, and the sharing of value among users, employees, and the company. The chapter also explores the evolution of the model and its latest developments. Additionally, it presents two case studies that demonstrate the implementation of the model, showing how two micro-enterprises have evolved into standalone companies of significant importance within the Haier Group: Internet of Food and COSMOplat. By examining these cases, readers will gain a comprehensive understanding of how Haier’s business model promotes innovation, empowers employees, and creates value for all stakeholders.