Core Insights - The crisis has significantly impacted Xibei, a well-established restaurant brand, leading to a sharp decline in customer traffic and a damaged brand image, but recovery signs have emerged within two months [1][4][17] - The company has implemented a series of strategic changes, including price reductions and a return to on-site cooking, to regain customer trust and stabilize operations [9][10][11] Group 1: Crisis Management - During the peak of the crisis, Xibei experienced a 40% drop in dine-in traffic, prompting immediate action from management [1][4] - The founder, Jia Guolong, adopted a low-profile approach by clearing social media accounts and refraining from public statements, which was a departure from his previous outspoken style [5][7] - Internal measures included a nationwide meeting with 18,000 employees, prohibiting layoffs, and providing financial bonuses to frontline staff to maintain morale [6][7][18] Group 2: Operational Adjustments - Xibei shifted its focus back to on-site cooking, with key dishes being prepared in front of customers to enhance transparency and trust [10][11] - The company launched a promotional campaign offering millions of vouchers and reduced prices on over 30 dishes, achieving an average price drop of about 20% [11][18] - Despite some store closures, the company plans to open new locations, indicating a strategic shift rather than a retreat [14][15][16] Group 3: Industry Context - The restaurant industry is undergoing a significant adjustment, with many brands moving from rapid expansion to a focus on quality and efficiency [15][16] - Xibei's recent challenges reflect broader trends in the industry, where many establishments are closing due to rising costs and changing consumer preferences [15][16] - The crisis has prompted Xibei to reassess its operational strategies, emphasizing the importance of maintaining quality and customer trust in a competitive market [16][18]

Core Insights - The company West B is shifting its focus from speed to quality in response to recent challenges in the prepared food sector, leading to a decline in customer traffic and sales [1][7]. Group 1: Business Operations - West B's restaurant occupancy rate is currently around 30%-40%, with a noticeable reduction in kitchen activity due to average business performance [1]. - The company has eliminated its famous "hourglass" timer that promised all dishes would be served within 25 minutes, indicating a shift in operational strategy [3]. - To regain lost customers, West B is distributing 100 yuan vouchers to diners, valid from October 1 to October 31, 2023 [3]. Group 2: Product Adjustments - A public notice indicates that the shelf life of organic broccoli will be reduced to one month, despite its original two-year shelf life, reflecting a commitment to freshness [5]. - The company has implemented several changes to its menu, including switching to non-GMO soybean oil, using fresh ingredients for certain dishes, and ensuring that items like lamb skewers and pork dishes are prepared on-site rather than pre-cooked [5][6]. - The company has acknowledged that the previous reliance on pre-prepared ingredients did not meet customer expectations, prompting a shift towards more on-site cooking [7]. Group 3: Market Response - Following a public dispute involving a notable figure, West B experienced a significant drop in sales, with reports indicating a 50% decrease in revenue [7]. - The company has issued an apology, recognizing the gap between its production methods and customer expectations, and is adjusting its operations to enhance customer satisfaction [7].