Core Insights - The price of 53-degree Feitian Moutai has dropped below 1800 yuan during the 2025 618 shopping festival, marking a 40% decline from its 2021 peak and reaching a new low since 2017, indicating a significant shift in consumer behavior and market dynamics [2] - This decline is interpreted as a result of consumption downgrade, inventory crisis, or e-commerce impact, but it also reflects a deeper transformation in Chinese commercial culture from "drinking culture" to "contract culture" [2][4] Group 1: Changes in Commercial Relationships - The reliance on alcohol for business relationships is diminishing, with contracts becoming more reliable than personal connections, leading to a systemic re-evaluation of Moutai's financial attributes and brand premium [3] - Moutai's rise over the past two decades is closely tied to China's unique business culture, where drinking was seen as a shortcut to establish trust in an information-asymmetric market [3] - The traditional business practices, where drinking rituals reinforced hierarchical recognition, are being challenged by new regulations and cultural shifts [3][4] Group 2: Factors Driving Change - The re-emphasis on regulations, such as the 2025 Central Government's reiteration of the "Eight Regulations" and the upgrade of alcohol bans, has drastically reduced the proportion of government consumption from 30% to less than 1%, removing Moutai's largest buyer market [3] - The emergence of Generation Z managers, who prefer data-driven persuasion over alcohol, is reshaping business interactions [3] - The acceleration of Chinese companies going global is introducing Western contractual principles, promoting a culture of "everything according to the rules" as a fundamental business ethic [3][4] Group 3: Implications for Moutai and the Market - The transformation signifies Moutai's return to its essence as a consumer product rather than a social currency, as trust in business no longer requires alcohol as a backing [4] - The decline in Moutai's price reflects a broader evolution in Chinese commercial civilization, where legal contracts are becoming more reliable than verbal commitments made over drinks [4] - The shift from personal networks to innovation and professional capabilities as core competitive advantages indicates a significant change in the entrepreneurial landscape [4][5]