Core Insights - The core point of the article is that Li Auto has made a significant decision to simplify the product lineup of the newly launched i8 model by consolidating it into a single version after receiving negative feedback from consumers and market reactions [2][5][9]. Group 1: Product Strategy Changes - Li Auto launched the i8 with three versions priced at 321,800 CNY for the Pro version, 349,800 CNY for the Max version, and 369,800 CNY for the Ultra version [2]. - Just one week after the launch, the CEO announced that the i8 would only be available in one version priced at 339,800 CNY, effectively eliminating the other two versions [2][3]. - The decision to simplify the SKU was influenced by customer feedback indicating dissatisfaction with the features of the Pro and Max versions compared to the more affordable L6 model [5][7]. Group 2: Market Reaction and Sales Data - Following the announcement of the SKU change, Li Auto's stock price increased by 1.28%, reaching 102.5 HKD, with a total market capitalization of 219.44 billion HKD [3]. - Over 98% of customers opted for the Max and Ultra versions, with approximately 6,000 pre-orders for the i8, of which 70% were for the Ultra version and 20% for the Max version [5][8]. - The Pro version, intended to be the entry-level model, received minimal interest from consumers, indicating a clear preference for fully equipped models [5][8]. Group 3: Operational Challenges - The rapid decision to consolidate the i8's versions poses significant operational challenges, including potential excess inventory of parts that were procured for the now-canceled Pro and Max versions [8]. - This sudden shift in strategy may lead to financial losses for Li Auto, as they will need to manage the implications of canceled orders and adjustments in production plans with suppliers [8]. Group 4: Strategic Insights - The article highlights that while tactical adjustments can be made quickly, they may not fully compensate for strategic missteps, as seen in the case of other automotive brands like XPeng [9][11]. - Li Auto's CEO acknowledged the previous mistake of overcomplicating the product lineup, emphasizing the importance of being open to feedback and correcting errors promptly [9][11].