 Erroll Hannes, dear guests, my name is Nils Lohne, I am Chief Editor at the Danish Business Daily Börsen and I am honoured to be here today. I will be your moderator for the first session with Peter Tupor from Anna Foods and I am here for the second time and I am really impressed by this event, fantastic event organised by the students. I will introduce Peter. Peter Tupor is CEO at Anna Foods. He is also a chairman now at Pandora and Peter had a master in business administration from Odense University. He took the position as CEO of Anna Foods in 2005 and during his time as CEO Anna Foods has shown an impressive growth. How did he do it? How does Peter Tupor work as a CEO and what is the new strategy of Anna Foods towards 2017? We are very happy Peter that you are here today. Please give Peter a warm welcome. Thank you very much. Does this work? It works. Great. I will take it back again, okay? So that I have my notes here. I always have a few notes. It's great to be with you. It's an honour. I have to say, butterflies in my stomach because I would like to persuade you, the brightest of you, to come and work for Anna Foods. Later when you are finished here, only the brightest. And I have great hopes actually. I understand we have 700 people in here today. 1500 apply. Sorry for the 800. So I know that you are bright, maybe. But one thing I do know is, as I understand that you are very quick on your fingers because all the tickets were sold in 90 seconds. And that is a starter, I can tell you that. It is probably connected with a bit of brightness. I am going to talk to you about not just Ale Foods in general, but I have been asked to talk about branding and strategic branding. And that is interesting actually at the moment in Ale Foods. Because we are completely changing the view on how we would like to brand our products, the company going forward into the future. A complete change of our brand strategic thinking is a big risk. We don't know whether we will succeed. We don't know whether we will fail. But we are taking a big risk as we are changing everything we do in terms of branding. That will impact the way we think innovation. It will impact our supply chain, our production set up, the technologies we will need in the future. And it will impact also the people that we will need, the talent that we need to get our hands around in the future. Of course it will. Because the brands drive a lot of thinking in Ale Foods and is actually more than 50% of our entire business. And has a big impact on everything else we do. So that is what I am going to talk to you about. But before I do that I need to have just a small glimpse at Ale Foods, give you a small understanding of where we come from. And how we in a more broadly sense discuss and work with strategy in Ale Foods. That might be interesting for you. And it is also necessary for you to understand that in order to understand why we are changing our brand strategy going forward. All of that is of course affected by a change in our view in our industry, in the dairy industry, but also in other foods. A change in our belief in how we think the world is going to develop going forward. And we are letting that belief heavily impacting a major change process within other foods these years. It started just two years ago and we are in the middle of it as I said. So it is pretty interesting. Please do question, please do challenge because we are still learning about our strategy going forward. So a little bit about Ale Foods. One, we are owned by farmers. We are not on the stock exchange. Would have been nice occasionally because then we can get some money a little faster. But we are owned by 13,500 farmers. And they are placed in seven different countries. In Denmark, in UK, in Benelux, in Germany. And then we buy milk on a normal contract basis all over the world. But basically our farmers that is the core of the business and they are our owners. So they are not only supplying the valuable raw milk, they are also owning the milk. And in paragraph one in my contract it says that I have to up the biggest cost we have in Ale Foods the value of raw milk. No other CEO in Denmark has that in his paragraph one. I can tell you that. Up the costs. But that's what it is because the farmers want a nice payment for their milk. And then we have to figure out how to do that. And that is when Ale becomes a company just like any other company. Doing our strategies, working with people, working in markets, working with customers. Here, Ale doesn't differ from any other company that I know. But it really starts with us being a cooperative owned by farmers. And that's pretty unique. And as you see, we are actually capable of serving quite a few people in this world. This is our milk pool. 13 billion liters of milk. That's much more than we consume in Denmark. That's a little less than one billion liters of milk in total. So it's a lot of milk that's coming from our farmers here in Northern Europe. And we are capable of serving everybody. And we could do that easily by making milk powder and then just selling bulk products, not caring really about packaging and design and advertising and innovation. And then we would not be serving our farmers very well because without innovation, we can't add value. And then I cannot live up to my paragraph one really to give them a high milk price. So we need to figure out what to do with all that milk that comes in. And it comes in every day, 365 days a week because cows, they just keep on producing milk. So there's also a heavy pulse in other foods. We can't miss a month here or say let's pause a little bit and rethink this. The milk is just coming in all the time. And we need to process this every day and put it into something that's valuable. And that's where our branding strategy comes in, as you will see in a second. This milk pool has also pushed other foods. Now we have had a strategy which you've said has been pretty aggressive over the last years. That has in itself increased the milk pool. But the farmers themselves are also wanting to produce more. And you'll see more of that later in my presentation. That pushes other foods to become in the beginning international. We're selling in 100 countries. We have subsidiaries, sales offices, production even in 35 countries around the world. So it has pushed also this enormous milk pool, other foods to become international. And now we're entering into what we think are more global other foods going forward. We're not quite there yet, but that's the aspiration we have in the current strategy. But it's all about adding values to all that milk. It's really quite a bit of milk here, I can tell you that. Aala has grown over the last six years, as you said. In 2008, that was in the middle of the financial crisis where in the world stopped, we actually produced and laid forward a very aggressive strategy. Pretty stupid. We called it 2015. So there was a lot of years to work with this. And what actually happened was that we started at this growth journey and we've succeeded with it. We even succeeded with it two years before planned. The strategy was called 2015. No sexy strategy phrasing here. We are talking about farmers. They want to know where we are in the strategy and when it is finished and when it is time to discuss a new strategy. So we had a strategy 2015 formulated in eight. And in 13, we actually succeeded. We finished the strategy. We reached our target 80 billion this year. 75 almost last year. That was actually our targets. And what did we actually do during this period? We worked and why did we want all that growth? One, we have a clear belief that we must always be able to follow our retail customers. And in 2008, even before, but definitely now, our retail customers are growing. They're growing across borders. Look at NetoDance Supermarket is growing in many countries. We need to follow them. Look at Tesco. Look at Walmart. Look at Aldi. Look at Little and I could mention them all. They're all growing their businesses and they're growing them across borders. We as a major dairy supplier need to be able to follow them across borders in a meaningful way. That meant we needed more milk. That meant we needed more dairies. It meant that we needed more people and marketing efforts to actually follow the customers. Mainly in Europe because this picture is a European picture. We've always been on the markets outside of Europe. But this is actually mainly other foods growing inside Europe. As you see it, that's the bulk of that turnover through mergers and acquisitions as you see here. So that's one of the reasons why we thought in 2008 we needed to grow. But also because we know it becomes more and more difficult and more and more expensive to get your hands around and invest in the right technology. It's pretty advanced technology that we have in the dairy industry or in the food industry, I would say, as such. Let me give you an example. In the year 2000 the dairy in Denmark insulated servicing Copenhagen, 250 million liters a year, the dairy facility. Actually one of the big dairies in Europe. Great. Last year we opened a dairy outside London. More than one billion liters of milk, carbon neutral, completely different technology. Cost us two billion Danish kroner. Just it requires some size in order to be able to be efficient, carbon neutral, having an offering to the customers and the consumers that they want and that keeps on changing. So size matters. We needed also the financial strength to follow this development. And that has created a very strong European platform for all of us now. But now things are changing. And that's why I will tell you a little bit about how we are looking forward. And let me do so by, sorry again, looking backward. In 2013 we finished and completed our 2015 plan. And how did we work with that? I had personally 25 Muslimin battles to do this in this market, to do this with this product area, category, etc. And that was drilled down as I guess many companies do into hundreds if not thousands of different projects that all supported my 25 or the executive management 25 Muslimin battles. Things we had to do in order to succeed. Size but size in a meaningful way. Something that produced value. Market positions, customer positions, etc. Finished in 2013. And now we are with yet another strategy with a non-sexy word as I said embarking on the 2017 strategy still some years to run on this and we are on track I guess. I hope. And that is much more of a global a la food approach. What we need to do is to produce some thinking. And we are already quite a bit of down that line. Of how to get more of the milk that our farmers produce in northern Europe, the 13 billion liters of milk. To get more of that out to emerging markets, the growing markets who actually are capable more than anybody should think of paying a better price than what you shame on you pay when you go into netto and furtakes and superboats in Denmark. They are actually paying more for the milk and the cheese and the butter in the emerging markets when we sell it as branded products. And that's of course a big driver for us to understand how can we how can our strategy be developed so honor food truly becomes a global dairy. I guess we are if we measure ourselves up against competitors of the same sort but but we our definition of globalization stretches further and there is some journey here ahead of us probably beyond 2017. This is our strategy the way we work as I said 25 Muslim battles and this is much more this time about creating innovation and value on our market positions in Europe which previously was much more an aggressive strategy and now we put our focus our growth focus I would almost say the entire growth focus outside of Europe on the emerging markets and that exciting world that should deliver the growth for us going forward. It's not going to be 12 billion liters of milk that we will put out there but we have to put a lot of milk out there and we don't have all the answers today as to how to do that but we know that we need to find these answers we know that we need to develop new products and new market positions outside of Europe outside of US where we are also strong in order to be part of this very exciting future and that will as I said change our brand strategy it is changing our brand strategy it will change and is changing our innovation strategy and it will also change the technology that we will buy and acquire going forward. There are two reasons why we are so obsessed with growth and growth outside of Europe one is that our farmers due to legislation in Europe are set free they are allowed to produce whatever milk they have been quota sized so far they will next year April first of April be allowed to produce whatever they want if they can worry they are coming I can tell you they're already preparing now we're seeing five six growth in our milk pool now we'll see that next year and that's going to continue for at least for the next five six years and that's based on 13 billion liters of milk so when we meet hopefully three four years from now they would have grown their milk pool our milk pool with 20 percent what to do with 33 billion liters of milk that's three times the times the Danish market we have to find three Danish markets somewhere in this world now they're not right there available so we need to break it up into markets and categories and what do I know that's our challenge so we will still be growing but we'll be growing predominantly outside of Europe and we need to find the right brand positions in order to create and market positions in order to create value on all of that milk coming in so that's an inside out force that drives our thinking and some of you would say wrong listen you have to listen to the market it must be the market that drives you I'm sorry we are cooperative that's how it is our owners want to produce more milk so there's an inside out driver in olive woods and there has always been there and then we need to translate that into how this becomes a market driven issue and luckily enough there is plenty of reasons why to grow outside of Europe and that is our market driven logic this as you can see I guess some of you have studied that already this is share of world GDP emerging markets up against the advanced economies or or developed countries they're bigger than us already there's a lot of people so they are probably on an individual level poorer than us but there is a fast changing and it's happening now change of this world just on a on a very high level financial as a high level financial analysis and I'll now break that into what that impacts and can we see an impact on the dairy market and there is there is now in many many decades or several decades actually a 100% correlation between the consumption of dairy fruits of dairy products and other food stuff as well but dairy and the growth in GDP in any given market we so we know there there's no there's no big issue around China you know they're growing their GDP and guess what they are at the same slope growing seven eight percent the dairy consumption and they've been doing that for many years that's why of course we are very interested to keep up the momentum and hope that China will keep up the momentum because that alone will produce a heavy demand of dairy products but this will shape and is shaping the way we think going forward there will be over the next couple of decades this world will need to feed not six billion but nine billion inhabitants the middle income will grow from 2.5 to five billion and that middle income are prime targets or consumers of dairy products as I just mentioned to you so we know there's a lot of demand out there the horrible or not the horrible but the challenging thing is actually that this world doesn't know how to feed nine billion people today I'm sure that we will as the world develops and as we as a company develop and the dairy sector develops we will find ways in order to make you know to feed the world somehow but if you ask people today how can we feed in a meaningful way in a sustainable way also nine billion inhabitants of this world nobody has the answer that is challenging but it's also a great opportunity to a company like us to participate in how can we help feed the world and at the same time create value to our farmer owners on raw milk and that's why this is a really a core of our strategy going forward how to be far part of feeding the world knowing that we don't have the answers now we don't even have enough cows in this world combined not only in other foods to feed that dairy consumption going forward how do you do that well you breed some more cows yes but if you do it at the pace that the cow today normally would like it to be you will not hit the target they'll you will not have enough milk out there so how do we do this that requires a lot of thinking and doing look at this one urbanization driving wealth I'm in China four five times a year and I'm amazed every time how you know Beijing I just came back last Monday you know when you fly over Beijing there's a pops up oh this was not there last time and it just keeps on developing this urbanization process but it also drives wealth and in terms of dairy you know suddenly you the whole logistical situation around dairy refrigerators in people's home becomes something that is possible and this will this picture will change fundamentally I think and I hope for you that you have understood the way we think markets and consumers and customers going forward because it's a completely different world everybody at the moment in the dairy industry not only other foods are deploying resources into China into Southeast Asia into Middle East we've been there for many years even into Africa now you can't travel through Nigeria airport without saying hello to at least one or two competitors from the dairy industry so we are all deploying a lot of thinking and a lot of resources manpower into this exciting very new world we just opened with the help of the royal family six months ago an innovation center in Beijing and we are opening next year a center a sales and commercial center in Kuala Lumpur so we are constantly deploying more and more resources into this area look at this one because everybody up talking China but China and India and United States and Europe can be inside the geography of Africa and Africa will write about the time when your careers peak I guess be have a population which is bigger and there will be quite a few middle or many middle income people at that time so when your career peaks Africa will be bigger than China and Asia and and China and India are you studying that somehow now we are I'll tell you a little bit about that and preparing ourselves for this future I think that 10 years from now we will talk about Africa with the same respect and it will be talking town like like China has become today in Alephuz we are right now working on this although it's a bit premature and the market is not that big it's growing rapidly I can tell you that we are setting up a new dairy facility as we speak it has to open next next spring in Nigeria of all places we just found a CEO and a sales director and we need a marketing director so it's open for it's difficult at the moment in that part of Africa I can tell you that we opened last year in Ivory Coast a small dairy facility that's also pretty difficult we are bidding now for a company to buy a company in Egypt together with all our competitors so it's going to be a nice price I can tell you that and we are planning at the end of 2000 and open to open of all places in the world a small dairy facility in Djibouti here we need some very young and adventurous people but that is us setting some platform going forward why because the emerging markets will account for 90 of all growth opportunities in this world that is why we are working with Asia Southeast Asia Middle East Africa etc South America as well because that's where the growth comes from and isn't that nice but the real scary thing is that this rapid growth is happening so fast at the moment in our industry that in during the next five years I know that yet again within our industry will be created winners and losers and we refuse to be losers but we don't know it can happen because this is you know unknown territory to the dairy industry which basically is a US New Zealand European good old 100 year old way of thinking products and yogurts and things like that try and sell ribo hues in China with the chopsticks it doesn't work I've tried it so it's new products that are needed will we find these products we don't know but we have to give it a serious try and it's going to be difficult because all of these emerging markets they have different habits now in Africa they this and they they know cheese by the way because of the old colony France and European colony colony time they know how to eat cheese in China they don't know cheese they really don't know cheese but there will be cheese in China it's just a matter about who finds out who finds out what kind of cheese and not only different product and and consumption habits but the values behind that the way they view products is driven by different values as a consumer you have to find out what are these values and how do you approach them from a branding point of view which leaves me to this issue that you have asked me to talk about and this is going to be as long as what you've just heard but not longer we are at the moment changing a lot of things as I said in ala foods we are coming from maybe a hundred different brands and sub brands when we have a quiet company you inherit a lot of brands nice brand brands in that company in that country or in that region but has nothing to do with the neighboring country that we are also doing business in and that has become quite an expensive maneuver actually to run all of these brands we spend more than two billion danish kroner a year in marketing just advertising throughout the world and we need to leverage and get some scale around our marketing and our product portfolio carefully of course because not every as I just showed you not everybody wants the same products but we have taken a decision that we will and we are in that process work with three brands going forward lure pack fantastic product hundred countries castello fantastic product 80 countries ala 30 billion franchise we have a turnover 30 billion in the ala brand all over the world I would guess but with the ala brand as a mother brand the real brand with a lot of value actually advertising and marketing ala as a brand and some of you say can you do that with it's the company yes we can that's the ambition but it's also the risky part of our journey and where do we start our thinking well the thinking started two years ago and we spend a year developing our thinking and now we're rolling it out throughout 2014 and probably the next three four five years it starts with our mission and vision it starts with the thinking that we are owned by farmers we are there for the farmers that's our mission and we want to be part of that part of the dairy industry that also creates the future market-wise and consumption-wise but we are actually using very much our cooperative heritage and fuel our brands with a cooperative heritage and some would say oh that must be dull listening ala it's by ala because it's owned by farmers it's more sophisticated than that I can tell you and in Denmark it doesn't work it works fantastic in China they get belief and trust Danish company owned by farmers they master the value chain from cow to consumer all security aspects throughout that value value chain we trust that brand fantastic tick Middle East exactly the same Africa exactly the same it's only here in Denmark we are a bit odd against ala foods but we're working on that as you know it even works in the UK where we started this campaign a few weeks ago what we are doing in ala foods at the moment is that we are combining a unique history a culture which is unique being a cooperative the ability we are not so many are actually capable of controlling the full value chain of the raw milk to the consumer from cow to consumer that's unique even in our industry and that's our value proposition we're combining that with our brand portfolio that we are cleaning up now and we will gradually over the next two years see that we are that we are using it into our advertising campaigns in a different way of course because we are not mindlessly global we are what you would call global so so we are blending this global approach with a very local execution of how we do it but the inner DNA is our good growth identity we call it I could speak for two hours on that and I don't have that time but that drives this little flower in the beginning in the middle drives our advertising our brand portfolio it drives what we call clear operational evidence so throughout the value chain are we we're working with quality programs that are unique to what farmers if you want to be a member in ala foods no matter what country then you have to live up to certain standards it could be ethical standard animal welfare standards quality standards that are unique to ala foods and that uniqueness is then put into our brands and the way we communicate going forward without having farmers all over the place as you will see in a second we call this good growth it's our identity and not speaking two hours about this just saying to you high level we're combining the company entity identity together with the brand identity so we're commercializing actually the value chain of ala foods and bring it to life in front of the consumers and it seems to work at the moment just as one example this natural growth behind that is a stand that we took some years ago where we said we don't want any artificials in our dairy products you can make fantastic yogurts with artificials you know get your mouth feel and it tastes like wine you know anything you would like so it also limits us but we have no artificials we have a very strict gmo policy etc because we're driven and obsessed by making sure that our products are as natural as possible and i could continue around that that flower or not i'll not do that it of course creates limitations in our brand portfolio but it also sharpens our brand portfolio and our customers know about this so where are we now in 2014 we invited 450 marketeers in ala foods to a three-day session in Copenhagen from all over the world Russia China Denmark wherever we have marketeers 400 to 450 all together real-life market marketeers work with them with the purpose that they should understand our identity understand the new strategy and not only that but also become believers that took more than three days actually but most of them are believers today and those who have the one year are not believers will not have a chance of a long strong career in ala foods because we mean this really strongly they're not caked out but they're left a little bit alone and then we worked with them to understand the need of collaboration because we've come from a situation where 450 marketeers in different markets had their own brands their own agenda and a very very local approach we need to collaborate some more and we are in that process that's actually the big change part of our of our strategy and it looks promising at the moment and then on the final day they started to create some ideas and that was great fun so where are we now let's have a click and i'll show you two minutes of video at ala we've now started on a new journey a journey to bring us closer to our consumers for them to make room for us not only in their homes but also in their hearts in order to maintain sustainable growth and strengthen our position in all our markets we must ensure a special place in the minds of the consumers natural goodness is our promise to consumers and our new communication concept has been developed to build and tighten our relationship with our consumers and to increase loyalty for our ala brand to do so we're removing the complexity of all our brands towards a more simplified brand structure with core products concepts and endorsed brands at ala we deliver healthy great tasting dairy products that are based on natural goodness products that are simple natural wholesome and nutritious and we believe that goodness matters that it satisfies something deeper feeding our body and soul that it is a vital thread running through our everyday life let in the goodness is our new and powerful payoff it's there to encourage consumers to enjoy more goodness every single day it signals enjoyment health and naturalness and on the emotional level it positions ala as genuine and caring in our journey we are now establishing let in the goodness in all our markets to link ala to good healthy natural products that nourishes body and soul products that are a natural part of the small good moments in everyday life we have created a brand new visual identity for our products and a master brand communication platform which will be rolled out across all our markets where local execution will be adapted to the needs and cultural differences of each and every individual market that is a powerful statement behind all this i don't know if you feel that but but let me let me explore that with you it guides our innovation programs completely and if we can make it work in a second you'll see how that will happen are you coming up there yes there it is these are our growth platforms so when our skype innovation center opens next year all of the people working there will work with these four programs no matter where they produce or develop products our chinese innovation center will work with these innovation platforms it's what we call knee stage which is you know describing needs that are actually generic and we have investigated that through thousands and thousands of interviews with consumers from china to to to Copenhagen and there are clear commonalities but the products that they want and enjoy are different but the need that they are that they want fulfills are the same so that will guide our innovation and as you saw we have relaunched the ala brand 30 billion danish krona turnover and not only in danmark we're not quite finished there but it will be but all over the world you'll see that in china in a second that we have changed the face to the consumer as well and then you will see and that's very new you will see that we below and it doesn't work in here gentlemen in there you will see that the global concepts that that we will develop below the ala brand it could be as an example a good to go as you see it in danmark today it could be a breakfast position good start as you see here these are swedish by swedish proposition the products will be different and of course if you have a good start or a sub brand or or good to go positioning under the ala brand in china the products running in that concept will be different but we are unifying what we want to do with consumers because we think that there are some commonalities and let me give you an example of why it is important not to become mindlessly global just look at look at the value of health it's a world trend everybody talks about health but if you're actually dig into the various regions the interpretation of health is very very different in the european markets it's about less sugar less fat more protein less salt in africa it's about affordability and getting actually more fat more sugar more calories and in china it's about do i trust the product do i die from the product and we need to interpret that take that health platform that we're working with in in different ways and then i'll end up by just saying this is those of you in the back can't see it and you would probably say could that be in dan super market in vertex a setup there that he's showing yes it could be but it's actually in china Beijing last week and if you get closer into it you can see that we are talking about hands christian Anderson and fairy tales that we are talking about trust that we're talking about about long danish history that we're talking about danish farmers completely different message but basically the same concept that we are driving and we're rolling that out over the next next couple of years all over the world two billion marketing program every year bloody risky extremely exciting and the brightest of you are welcome to participate thank you i will try to moderate the discussion and to all of you i will encourage you to ask questions to the pigeonhole and vote for them and i will try to pick up the questions with the most votes peter the most the question which got most votes i will ask you how do you act on challenges from example scientific reports that questions the health benefits of your raw main raw material milk there's only one way of doing that that's approaching these scientific reports and they do occur with science otherwise we can't speak together luckily enough the science community has changed its view on dairy and then the fat the dairy producers so you will actually see that the bulk of the understanding of of dairy is getting into a much more positive momentum if you go back 10 years ago it was very negative but that is changing on a world scale and then two weeks ago came a funny completely misunderstood swedish report that said that you could die or you you you risked dying with the risk of death were increased 15 percent per glass milk only i think extra bread thought that was to meant be taking serious and it died in one day that report is long gone but you said in your presentation that a la is an inside out company yes because of your owners i guess that means that basically you only have one raw material the milk does that make you a vulnerable you only have one raw material and if you have got problems you are out of business if if that raw material was doomed to be a raw material that this world doesn't want then we would be in trouble but we all start right after the first breath that we take by drinking milk from our mummies i'm not scared so you're not feeling no vulnerable okay um how has the crisis in ukraine and russia's relationship to europe affected a la uh very brutal uh our business grew seven between 35 and 70 the last three years in russia we had bought a company over there uh that when we are in all the cities with a la is known it's everybody knows a la foods the mts are shelf are the shelves are empty at the moment we sell nothing so uh we have uh come from 1.1 billion in turnover to russia to zero in one day that's where we are now and then we'll take it from there on we've bought a local company producing cheese in russia uh to maintain the brand profile we don't make a lot of money out of it but just to keep our brand which is valuable alive in the russian market and that's what we're working with now and as i understand it put in said that this would take 12 months and he normally does what he says so we are ready to open up 12 months from now uh because we're not only the ones only the only ones hurt it's more than three billion liters of milk 300 000 tons of there's a lot of cheese that's seven eight times the the amount of cheese consumed in danmark that has been blocked from the russian markets and if you look into the supermarkets in russia the the the the shelves do look empty it must some it looks as if it won't last forever but i understand it last 12 months that's what putin said it costs a lot of money but that's how it is how do you keep your brand alive while you are out of the russian market well as i said we have a local company producing some volumes and we are trying to up that volume finding milk we've had a success with that the entire south american hemisphere has not been for many reasons closed by by putin and we have partners and dairy one dairy in in in south america in brasil and we are using that they're already delighted by that the people there to actually start to export back into russia that was not the reason why we bought that franchise and had that jb from the beginning but it comes handy in now so i think that we are selling at the moment 30 percent of what we sold and that's pretty good actually so we're keeping the brand alive if you violate the embargo you can go to prison if we are not violating it we are very careful and talk to the to the to the do you see politicians about this in this situation do you see your competitors take advantage of the situation no no because russia has very little ability to service itself in dairy and in many other food areas so so everybody are blocked and it hurts everybody okay we have one question now now please stand up and present yourself my name is christopher and i have a question for tubo about the standard of products you talk a lot about emerging markets and different standards how do you ensure that you keep your promise of an scandinavian a la quality product in emerging markets as china so they do not only survive eating your products but also have the pleasure of Scandinavian quality now we call it northern european to be honest well it starts where we actually have the cows it starts where we have the production and it puts a limit actually at the moment because we could actually produce products to china out of our us facility for example in wisconsin we could do that but that would be compromising the brand value that we have put into the chinese franchise so we are not doing that so we are our brand marketeers are very careful to live up to that position that we have created it gives limitations but it also sharpens the profile and and and i'm believer in a very sharp profile i hope that was an answer given that most people outside northern europe are lactose intolerant how will you target for example the emerging markets yes and isn't that a wonderful thing i also thought that chinese were lactose intolerant but that's something somebody got that wrong many years ago in the danish science society or whoever it was they are not end of story super we are busy here not more than the rest of us by the peter you have many nordic leaders in your organization how do you build a global mindset in your organization that's a very tricky tricky thing actually the only thing that really works is to move people around to make sure that people from our nordic markets from our danish market where we have most of our quite a bit of our employees get the chance to get out there i've been myself in south arabia and middle east for many years in germany so more and more of those or those who want to make to be honest a career in other foods and to want want to be leaders in this process need to understand that they have to go out there and blend with different nationalities and work live with their families for some years otherwise you just won't make it leadership wise or leader wise but we have the great opportunity to have many chinese sitting here in in in china who also have an aspiration so we speak all kinds of languages now that we didn't do some years ago because we believe that the only way of actually answering your question is to make sure that we in real life get some diversity into any organization or that we have here or in the various different markets you said in your presentation we are there for the farmers are you really helping the locals in africa or just milking them i think that it's necessary we haven't cracked that not completely but but in order we must earn the right to be in an area like africa and which means that we have to involve ourselves in things that are not just purely business driven and we are in the process of figuring it out in some of these markets whether we should enter into school programs but you don't really sell products but we're actually helping education of children or should we actually go into what we are best at helping local farmers to become more efficient because they are not is that because you as an international company you need to have accept from the community we need to have accept exactly from communities not only the local communities but also the communities of europe in danmark we are scrutinized of course by all kinds from from all all angles and we have to have so much transparency and have the guts to to have some transparency that we that we show to the world what we are doing and i can tell you that's probably one of the real difficult things about these emerging markets that you have to do things that are not necessarily here and now delivering to your a profit and loss and and helping your balance is too much it but it's delivering it's giving you the right actually to be in that market to make money in that market and that's something that is new to us and and to the rest of the world actually you need a license to operate again a license to operate a license to operate you can say that okay we are running out of time peter and i would like to ask the last question i'm sure that many people here would like to hear your answer on that if you are a student who wants to have a career like yourself what is the key advice you would give big secret is that a lot of my career has been made it's been made by coincidence everybody says that so be prepared for coincidence because you can't if you are obsessed by planning your career you will definitely fail especially in my place when i meet people who are obsessed by that i just you know i don't like that feeling so but stick to make make sure that you're good at what you do and that you enjoy it sounds funny but i actually really mean it that you enjoy what you're doing that you're happy along the way and make results today and don't spend too much time about thinking about where do i want to be 10 years from now but you have to think of course about in the broader sense where do i want to be good and that was what i was trying to tell you maybe it's not the smartest thing to become a marketing expert in how people in or who's want to consume products maybe you should have an approach which is more targeted to some of these emerging markets which will the day that you will apply to hopefully to become the CEO of other foods if we exist at that time 20 years from now then you better be knowledgeable in asia you better have been out there and you better be knowledgeable somehow in africa and if you're really good then you've also been there then you have a chance thank you peter the time is running out thank you very much