Core Viewpoint - The recent price controversy surrounding Baiguoyuan has drawn significant attention, particularly due to founder Yu Huiyong's comments about "educating consumers" [1][17]. Pricing and Competition - Baiguoyuan's prices for fruits, such as the ordinary kirin watermelon, are significantly higher than those at nearby supermarkets, with member prices at 3.98 yuan per jin and retail prices at 4.98 yuan per jin, compared to 2.4 yuan per jin at local fruit stores and 2.48 yuan per jin at supermarkets, making Baiguoyuan's prices approximately double that of supermarkets [3]. - In another Baiguoyuan store, customer traffic was notably low, with only 2-3 customers present during peak hours, while a nearby budget fruit store had 8-10 customers shopping simultaneously [6]. Product Quality and Classification - Approximately 80% of the fruit in Baiguoyuan stores is labeled as "A-level," which is priced higher. Staff indicated that A-level fruits are sweeter and crisper, but there was no ordinary kirin watermelon available for direct comparison [8]. - Baiguoyuan employs a unique classification system for fruits based on "sugar acidity, freshness, crispness, tenderness, aroma, and safety," categorizing them into three grades: signature, A-level, and B-level [8]. Financial Performance - Baiguoyuan reported a revenue of 10.273 billion yuan in 2024, a year-on-year decline of 9.81%. The company also recorded a net loss of 386 million yuan, marking a significant drop from a profit of 362 million yuan in the previous year, representing the first loss in five years [17].