In Depth: How Wahaha Founder’s Daughter Took Control Amid a Family Squabble

Zong Fuli, the only officially recognized daughter of the late Wahaha founder Zong Qinghou, has recently been at the center of public attention following a family legal drama in a Hong Kong court. The dispute is over $1.8 billion of her father’s fortune and involves her three half-siblings, children of Du Jianying, who was also a former key figure at Wahaha. The situation became highly public after the court case, which highlighted the complexities surrounding Zong Qinghou’s personal life and legacy [para. 1].

After Zong Qinghou’s death in February 2024, Zong Fuli took over as the head of Hangzhou Wahaha Group Co. Ltd., a leading Chinese beverage producer. She launched a series of significant reforms, notably cutting ties with distributors whose annual sales fell below 3 million yuan (~$418,000) and reclaiming control of the company’s Tmall store from Du Jianying. Since September 2024, Wahaha stopped working with many smaller distributors monthly, and under the new management, distributors now face being axed if their sales drop for two consecutive months or if operational targets are not met [para. 2][para. 3].

Zong Fuli’s leadership and reforms initially seemed to boost Wahaha’s fortunes. After her father’s death, the company’s sales soared, notably in bottled water. Data from Beijing WinWin Network Technology Ltd. recorded over 250% year-on-year bottled water sales growth from March 2024 to early 2025. However, after the family dispute surfaced publicly, sales growth slowed sharply, with bottled water growth reducing to 21.2% by July, and dairy sales declining since February [para. 4][para. 5].

Born in Hangzhou in 1982, Zong Fuli graduated from Pepperdine University and joined Wahaha in 2004. She worked her way through several senior roles and also oversaw Hongsheng Beverage Group Co. Ltd., a contract manufacturer for Wahaha producing about a third of its beverages. As her father’s health declined from 2017, he began involving her more in the company, and she rose to vice president of sales and later general manager by the end of 2021 [para. 6][para. 7][para. 8]. Du Jianying gradually stepped back from Wahaha as Zong Fuli became more prominent, eventually resigning all positions by 2019 [para. 9].

Upon her father’s passing, Zong Fuli moved swiftly to establish control, having mourning materials removed from Wahaha, applying for inheritance notarization, and consolidating staff transfers to Hongsheng—moves that met some internal resistance. In August 2024, she was registered as Wahaha’s legal representative after inheriting a 29.4% stake and soon became chairwoman. Core company functions, including headquarters, were shifted to Hongsheng’s management [para. 10-20].

Zong Fuli’s approach, however, has attracted criticism. Some employees find her a difficult leader, with complaints about reversals of previously approved plans and the abolishment of a dividend-sharing system, leading to decreased earnings for staff [para. 21][para. 22].

The family dispute erupted when her sudden resignation was leaked in July 2024, prompted by concerns from government-linked shareholders about state assets. Public and regulatory reaction brought her back to her duties, and soon after, her half-siblings initiated a lawsuit in Hong Kong, seeking to freeze the $1.8 billion they claim was promised to them by Zong Qinghou [para. 29-32]. The Hong Kong High Court sided with the siblings, confirming their relationship with Zong Qinghou and freezing the account while ordering transparency from Zong Fuli [para. 33][para. 34].

The revelations of Zong Qinghou’s other children have shocked the public, given his previous image and the extramarital nature of these relationships. Sympathy has largely been directed towards Zong Fuli, seen as a betrayed daughter caught in company succession and personal scandal [para. 35][para. 36].

[para. 1]