Core Viewpoint - The traditional restaurant industry is experiencing a wave of closures, particularly among long-established establishments, indicating a significant shift in consumer preferences and operational challenges faced by these businesses [1][2][5]. Group 1: Closure Trends - Numerous traditional restaurants in cities like Guangzhou, Shenzhen, and Tianjin have closed, with some establishments operating for over 30 years shutting down [1][5]. - Specific closures include notable restaurants such as Zhuqi Lihuhua Restaurant and Hongxing Yidu Seafood Restaurant, which have been part of the local dining scene for decades [4][5]. - The trend of closures is accelerating, with several restaurants announcing their shutdowns in early 2023, including high-end venues and those with long histories [4][5]. Group 2: Contributing Factors - Rising operational costs, particularly high rent, are a primary concern for traditional restaurants, with some establishments facing debts exceeding millions due to unpaid rent [10][11]. - A significant decline in customer demand for traditional banquet services, such as weddings and business dinners, has led to reduced revenues for these restaurants [11][13]. - Changing consumer preferences, with younger generations opting for smaller, themed, or outdoor events instead of traditional banquets, have further impacted the business model of these restaurants [11][13]. Group 3: Industry Adaptation - In response to the challenges, many traditional restaurants are exploring innovative strategies, such as integrating cultural experiences and themed dining to attract customers [17][18]. - Some establishments are diversifying their offerings by venturing into food products and targeting specific demographics, such as seniors, with tailored dining experiences [20][21]. - The industry is witnessing a shift towards modernization and adaptation, with restaurants aiming to find new market opportunities and enhance customer engagement [21].