Core Insights - The article highlights the chronic issues facing Chinese internet companies, particularly focusing on recruitment practices that reflect strategic shortsightedness, internal conflict culture, and a lack of core competitiveness [2][5][12] Recruitment Practices - The article discusses absurd recruitment practices where companies seek candidates with overly specific labels rather than assessing their underlying skills and experiences [4][11] - There is a significant trend of job role fragmentation in the internet industry, with a 37% increase in job specialization over the past five years, while the proportion of hybrid roles has decreased by 18% [6][10] - Companies often prioritize short-term KPIs in recruitment, leading to inefficiencies and neglect of long-term user value [7][10] Strategic Short-sightedness - The article points out that many internet companies are unable to see the interconnectedness of roles, such as advertising and user growth, which leads to a fragmented understanding of their business [5][9] - The focus on immediate results has caused companies to split roles unnecessarily, resulting in poor collaboration and a lack of strategic vision [8][14] Internal Conflict Culture - Internal power struggles and a lack of effective governance structures contribute to a culture of conflict, which distracts management from making sound strategic decisions [8][12] - The article cites examples of companies like Bitmain and Dangdang, where internal conflicts have led to operational chaos and hindered growth [8][9] Core Competitiveness - The article emphasizes that many internet companies have lost their ability to innovate and rely heavily on "buying traffic" rather than developing core products and technologies [9][10] - Research indicates a U-shaped relationship between R&D investment intensity and company survival, with many companies failing to invest adequately in R&D [9][10] Recommendations for Improvement - Companies are encouraged to shift from a short-term focus to a long-term strategy, integrating roles rather than fragmenting them, and fostering a collaborative culture [14][15] - Successful companies like Google and Microsoft prioritize foundational skills and learning potential over narrow specialization, which helps maintain innovation and adaptability [12][15]

Core Viewpoint - The controversy surrounding Baiguoyuan's chairman's remarks has intensified public scrutiny over the company's declining performance, store closures, and food safety issues, leading to questions about its business model and brand value [1][2]. Financial Performance - In 2024, Baiguoyuan reported a revenue of 10.273 billion yuan, a year-on-year decline of 9.8% [2] - The company experienced a net loss of 386 million yuan, marking a staggering year-on-year drop of 206.7%, representing its first loss since going public [2] - The number of stores decreased from 6,093 in 2023 to 5,127 in 2024, resulting in the closure of 966 stores, averaging 2.64 closures per day [2] - The gross profit margin fell from 11.5% to 7.4%, indicating a significant decline in profitability [2] Strategic Issues - Baiguoyuan's high-end pricing strategy has failed, as evidenced by the need to implement low-price promotions to attract customers, despite the chairman's insistence on not lowering prices [2] - The company's focus on "educating consumers" has alienated its customer base, particularly in lower-tier markets where price sensitivity is high [3] - Rapid expansion has led to a decline in supply chain and quality control capabilities, exacerbating the challenges faced by franchisees and contributing to the wave of store closures [3] Brand and Market Perception - The company's high-end image has been severely damaged by food safety scandals, including the use of rotten fruit in products and lack of proper food handling certifications [2] - Consumer backlash has been significant, with numerous complaints about product quality, leading to a perception of Baiguoyuan as out of touch with market demands [1][2] - Comparisons have been drawn between Baiguoyuan and other failed brands, highlighting the risks of high pricing combined with low quality [1]