Core Viewpoint - The collapse of the home decoration company "Liang Jia Ju" is a significant event reflecting the ongoing crisis in the home decoration industry, exacerbated by the real estate sector's downturn and mismanagement within the company [3][10][50]. Group 1: Company Collapse - On July 21, Liang Jia Ju announced its closure via WeChat, urging creditors to register their claims [4][19]. - The company's sudden shutdown was unexpected for many employees and consumers, with live streaming sales occurring just hours before the announcement [6][16]. - The founder, Zeng Yuzhou, reportedly died shortly before the closure, which some believe triggered the decision to cease operations [9][28]. Group 2: Financial Issues - Liang Jia Ju is estimated to have left behind a debt of several hundred million, with its asset value being low [10][43]. - Consumers reported having paid significant amounts for renovation services that were never delivered, with some paying up to 170,000 for unfinished projects [11][48]. - The company's financial troubles had been apparent for some time, with suppliers noting extended payment cycles and outstanding debts [20][22]. Group 3: Industry Context - The home decoration industry is facing severe challenges, with many companies collapsing due to blind expansion and low-quality services [50][51]. - The average daily closure rate of home decoration companies is projected to reach one in 2024, indicating a broader industry crisis [51]. - Despite the downturn, the market size remains substantial, suggesting that both existing and new entrants will continue to operate within the sector [51].