Core Viewpoint - The article discusses the transformation of Nanchengxiang, a fast-food chain in Beijing, which shifted from a non-cooking model to embracing stir-frying to adapt to market competition and consumer preferences, resulting in a significant profit increase despite a reduction in workforce [8][41][51]. Group 1: Company Background - Nanchengxiang initially gained popularity with its high-cost performance breakfast and lunch offerings, achieving a peak daily revenue of 50,000 to 60,000 yuan, with an annual revenue exceeding 1 billion yuan by the end of 2023 [7][23]. - The company faced increasing competition from rivals like Chao Yixing and Xiangcunji, leading to a 14% decline in single-store revenue and a 35% drop in net profit in 2024 [7][32]. Group 2: Strategic Shift - In 2025, Nanchengxiang's founder, Wang Guoyu, decided to incorporate stir-frying into their menu, which was previously avoided due to operational challenges and a focus on community attributes [10][15]. - The company implemented a new model (3.0) focusing on stir-fried dishes, self-service weighing, and competitive pricing to attract customers [41][42]. Group 3: Operational Changes - The transition to a stir-frying model involved significant organizational restructuring, with a 30% turnover rate in headquarters staff and an 80% turnover rate in the operations team [48][49]. - The company managed to reduce its workforce by 950 employees, enhancing operational efficiency and contributing to a 101% increase in net profit despite a slight decline in actual sales [56][51].