Core Viewpoint - Yonghui Supermarket is undergoing significant organizational changes, including the appointment of a new Chief Procurement Officer, She Xianping, to enhance its supply chain management and adapt to the competitive retail landscape in 2025 [4][5][6]. Group 1: Leadership Changes - Yonghui appointed She Xianping, who has extensive experience in major retail chains like Sam's Club, Hema, and RT-Mart, as its first Chief Procurement Officer [5][6][8]. - She Xianping's background includes over a decade at Sam's Club, where he served as the National Fresh Procurement Director, and he has also contributed to building supply chain systems at Hema and RT-Mart [12][13][14]. Group 2: Organizational Restructuring - The establishment of the Chief Procurement Officer role signifies a shift from the previous decentralized procurement model to a centralized management approach, aiming to unify supply chain resources and standards [14][18][19]. - The restructuring involves relocating the standard product procurement headquarters and reducing redundant regional procurement departments to streamline operations [18][19]. Group 3: Supply Chain Strategy - Yonghui plans to implement a "naked price strategy + direct procurement model," eliminating middlemen to reduce costs and improve product quality [24][25]. - The company aims to increase its private label product share to 40% over the next 3-5 years, emulating the successful model of Sam's Club [26][29]. - Yonghui is also focusing on building long-term cooperative relationships with 200 core suppliers to enhance product competitiveness and align with national policies [31][42]. Group 4: Market Performance and Challenges - Financial data indicates a significant decline in revenue and net profit for Q1 2025, with revenue down 19.32% and net profit down 79.96%, highlighting the costs associated with the ongoing reforms [47][48]. - The company is attempting to balance supply chain efficiency with localized operations, drawing from the strengths of both Sam's Club and local competitors [48][49]. Group 5: Industry Trends - Yonghui's reforms align with broader retail trends, emphasizing the need for supply chains to generate profit and foster long-term supplier relationships [40][41][42]. - The company is shifting its focus from merely selling products to providing lifestyle services, adapting to changing consumer expectations for a more integrated shopping experience [44][45].