Core Viewpoint - The resignation letter from a former senior business specialist at Gaode Map has exposed the internal issues of its cultural tourism division, highlighting the blind replication of business models leading to significant merchant losses and project failures [2][4][5]. Group 1: Overview of the Cultural Tourism Division's Downfall - The Gaode cultural tourism division was launched with high ambitions in early 2025, aiming to create a smart tourism infrastructure network by collaborating with various provincial tourism departments and travel agencies [4]. - A successful pilot project in Guizhou showed promising results, with ticket penetration rates reaching 35% and secondary consumption increasing by 120% [4]. - However, the project was abruptly halted just before signing, with management stating "cannot do it," leading to significant risks for the frontline team [4][5]. Group 2: Critique of Business Strategy - The division's strategy of blindly copying Meituan's advertising model ignored the critical element of trust in tourism consumption, resulting in an 82% loss rate for merchants and some travel agencies recording zero transactions over five months [5][7]. - The strategic shift within Alibaba's "big consumption ecosystem" marginalized Gaode's cultural tourism efforts, leading to a significant imbalance in resource allocation [7][8]. - Gaode's decision to sell all effective advertising slots to Ctrip and charge high promotion fees to travel agencies has been criticized for undermining its original mission of facilitating travel [7][8]. Group 3: Dispute Over Employment Status - Gaode Map responded to the allegations by claiming the whistleblower was an outsourced sales personnel with poor performance, contradicting the claim of being a formal employee [8]. - The whistleblower argued that despite being contracted through a third party, their role and compensation were aligned with Gaode's official employees, indicating a lack of clarity in employment status [8]. - The whistleblower's departure was marked by a sudden change in HR's stance, from encouraging retention to enforcing termination regardless of performance [8]. Group 4: User Engagement and Financial Performance - Despite the controversies, Gaode Map maintains a strong user base, with over 800 million monthly active users, ranking fourth among mobile internet applications in China [10][12]. - However, the revenue model heavily relies on advertising, with 2024 revenues exceeding 12 billion yuan, of which 7.8 billion yuan came from online advertising, accounting for 65% of total revenue [12][14]. - The financial struggles are evident, as the local life group, which includes Gaode, reported an adjusted EBITA loss of 596 million yuan for the last quarter of 2024 [12][14]. Group 5: Broader Industry Context - The challenges faced by Gaode Map reflect broader issues in the navigation and local services market, where profitability remains elusive even for major players like Google Maps [13][14]. - The ongoing complaints about Gaode's services, particularly regarding refunds and service quality, highlight operational deficiencies in its local life services [15][16]. - The competitive landscape shows that Gaode is significantly trailing behind Didi in the ride-hailing market, with Didi holding a 75% market share compared to Gaode's 10% [17].