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Christine Holgate led Blackmores into China and found a growing middle class hungry for the company's vitamins
When Blackmores boss Christine Holgate unveiled a deal to develop infant formula especially for China - a market that already had a strong taste for the company's vitamins and health supplements - investors applauded a brilliant strategic move. And it was.
But for the UK-born chief executive it was also much more meaningful. "My older sister was one of the reasons I wanted to do infant formula," she says. "Elizabeth had cancer and wasn't able to breastfeed. You can have views about formula - whether it's right or wrong but the fact is that she was someone who desperately wanted to breastfeed, yet couldn't."
The joint-venture with Australian dairy company Bega will see Blackmores launch its branded infant formula early next year, putting it well on the path to achieving Holgate's ultimate goal: creating a $1 billionplus turnover company.
Blackmores' performance in the seven years since it lured Holgate from Telstra, where she headed business sales and channels, has been nothing short of spectacular. At the time, the global financial crisis was in full swing and the company, despite its status as a leading vitamin brand, was facing an uncertain outlook. Sales growth was weak as consumers reined in their spending, while costs were rising. International sales, accounting for 13 per cent of revenue, were stagnant and the division was barely profitable.
Holgate came with a reputation for getting things done. Having quickly developed a strong rapport with the company's chairman, Marcus Blackmore, the newly appointed chief executive managed to...