In a surprise move that has sent ripples through China’s business world, Kelly Zong Fuli (宗馥莉) has resigned as chairwoman and CEO of the Hangzhou Wahaha Group. The announcement marks a dramatic twist for one of China’s most storied family empires — and a defining moment for its heiress.
Zong’s resignation took effect in September and was confirmed publicly by Wahaha around mid-October. The company said the decision followed the proper board and shareholder procedures but offered no further explanation. The silence only deepened speculation around what pushed the 43-year-old executive to walk away a year after inheriting her father’s life work.
Legacy, Burden and Ambition
Her father, Zong Qinghou (宗庆后), founded Wahaha in 1987 and built it into a national powerhouse known for its bottled water and children’s drinks. He was long celebrated as one of China’s richest and most influential entrepreneurs. Many regarded him as a symbol of the country’s private-sector rise. When he died in February 2024, Zong Fuli, his only known daughter, appeared ready to carry on his legacy. She had already spent years at the company, leading key subsidiaries and championing modernization.
Credit: China Entrepreneur
But her leadership quickly drew friction. Some shareholders questioned her aggressive efforts to reinvent the brand for younger consumers. Others raised concerns about her side ventures under Hongsheng Group, including a trendy beverage label called Wa Xiao Zong. The overlap between her personal projects and Wahaha’s trademarks sparked internal tension and legal scrutiny. Reports suggested that disputes over intellectual property and even inheritance were escalating behind the scenes.
Adding to the turmoil were inheritance lawsuits filed by individuals claiming to be her half-siblings. The suits sought control of assets worth an estimated US$2 billion. Meanwhile, Wahaha’s state-linked shareholder, Hangzhou Shangcheng Investment Holding, began asserting greater influence, reshaping the group’s power balance.
What this means for Wahaha and Zong Fuli
Against that backdrop, Zong’s resignation feels less like a quiet exit and more like the climax of a brewing corporate drama. Her departure leaves a leadership vacuum at Wahaha, a company that has thrived for decades under strong personal stewardship. Without her or her father at the helm, the future of the beverage giant may now rest on committee governance and consensus. This is a sharp contrast to the founder’s autocratic style.
For Zong herself, stepping down could be a strategic retreat rather than surrender. She remains Wahaha’s largest individual shareholder, holding the 29.4% she inherited from her father. Hangzhou Shangchen Investment Holding Group Co Ltd holds 46%, while the employee union owns the remaining 24.6%.
That position still gives her influence over its direction, even from the sidelines. Freed from the constraints of corporate politics, she may now focus on expanding her own beverage ventures and building a new business identity outside her father’s shadow.
A New Beginning?
Source: nbd.com
Her story embodies the pressures facing second-generation heirs in China’s private sector — torn between loyalty to legacy and the urge to innovate. The fall of a chairwoman from one of China’s most recognizable family brands isn’t just a boardroom headline; it’s a reflection of a generational shift sweeping across Chinese enterprise.
Kelly Zong Fuli’s next move remains uncertain. But one thing is clear: her exit from Wahaha marks the end of an era — and the beginning of another chapter in the ongoing saga of ambition, inheritance, and reinvention that defines modern Chinese business.
Sources: Forbes, China Daily.
