Group 1 - The core viewpoint is that top shopping centers exhibit strong stability, contrary to the market perception that they are vulnerable to economic downturns and online consumption impacts [2][6] - Despite a projected decline in retail sales growth in major cities like Beijing and Shanghai, top shopping centers have managed to achieve retail sales growth, with specific centers reporting increases of 30%, 6%, and 26% year-on-year [2][3] - The success of top shopping centers is attributed to their ability to attract consumer traffic and popular brands, creating a positive cycle of customer flow and brand presence, which helps maintain rental income stability [2][4] Group 2 - High-end shopping centers are facing challenges due to economic fluctuations, but those in stable competitive environments can still achieve retail growth by attracting fast-growing brands and upgrading their offerings [3][6] - The competitive advantage of shopping centers is not solely based on location or operational capabilities, but rather on their ability to provide an engaging shopping experience, known as "walkability" [4][5] - A robust management system is crucial for commercial real estate companies, as it differentiates them in a market where operational know-how is not scarce [5][7] Group 3 - Top shopping centers and commercial real estate companies are considered valuable assets, maintaining stability even during economic downturns by leveraging their scale advantages and effective marketing strategies [6][7] - Companies that excel in commercial real estate should possess strong management capabilities, stable existing shopping centers, and the ability to successfully launch new projects [7]

Investment Rating - The report maintains a "Buy" rating for the shopping center sector [2] Core Insights - The stability of rental income in top shopping centers is attributed to their ability to attract consumer foot traffic and maintain a strong brand presence, even during economic downturns [11][12][20] - The report emphasizes the importance of a comprehensive management system for commercial real estate companies, which is crucial for long-term operational success and scalability [42][44] - The head shopping centers exhibit a "Matthew Effect," where successful brands prefer to establish themselves in these locations, creating a positive feedback loop of customer traffic and brand presence [13][19] Summary by Sections 1. Why Can Top Shopping Centers Maintain Stable Rental Growth? - Shopping centers primarily serve as platforms for offline consumer experiences, which are less impacted by online shopping trends [11] - The ability to adapt and attract foot traffic through effective brand management and marketing strategies is key to maintaining sales stability [12][20] 2. How Do Luxury Shopping Centers Maintain Stability or Growth? - Luxury shopping centers in stable competitive environments can still achieve growth by attracting high-demand brands and enhancing customer experiences [26][27] - The report highlights specific examples of luxury centers that have successfully adapted to market changes and consumer preferences [30] 3. Which is More Important for Individual Shopping Centers: Location or Operational Ability? - A successful shopping center must balance location, operational efficiency, and customer experience to ensure long-term viability [33][35] - The report argues that while location is critical, operational capabilities and adaptability are equally important for sustained success [34] 4. Why is a Comprehensive Management System the Core Competitiveness of Commercial Real Estate Companies? - A robust management system enables companies to effectively manage multiple shopping centers across different regions, ensuring consistent performance [42][44] - The report outlines that successful companies invest in talent development and maintain a balance between centralized control and regional flexibility [45][46] 5. Investment Recommendations - The report recommends focusing on companies that demonstrate strong management capabilities and stability in their existing shopping centers, such as Swire Properties, New World Development, and China Resources Vanguard [8][47]