Core Viewpoint - The transformation of Yonghui Supermarket, referred to as "胖改" (Fat Reform), aims to emulate the successful model of Pang Donglai, focusing on quality products and customer service, but faces significant challenges in execution and adaptation to local market preferences [3][12][13]. Group 1: Consumer Perception and Experience - Consumers associate Pang Donglai with high-quality products and exceptional service, which sets a high standard for Yonghui to meet [1][3]. - The initial consumer response to the "胖改" Yonghui was positive, with increased foot traffic, but the reliance on Pang Donglai's products indicates a lack of unique offerings [3][4]. - The experience at "胖改" Yonghui is compared unfavorably to Pang Donglai, suggesting that it has a long way to go to achieve the same level of customer satisfaction [3][4]. Group 2: Financial Performance and Market Response - Yonghui Supermarket reported a net profit of 1.817 billion yuan in 2017, but has since faced declining profits, with a cumulative loss of 9.742 billion yuan over five years [4][6]. - Following the announcement of the "胖改" initiative, Yonghui's stock price saw significant fluctuations, peaking at 7.87 yuan, but later declined to 6.34 yuan, reflecting market volatility and investor sentiment [5][6]. Group 3: Operational Challenges and Supply Chain Issues - Yonghui's attempt to replicate Pang Donglai's product structure has led to a mismatch with local consumer preferences, resulting in low repurchase rates [7][8]. - The supply chain model of Pang Donglai, which emphasizes self-operated logistics and fresh product delivery, contrasts with Yonghui's reliance on third-party suppliers, leading to quality and freshness issues [8][10]. Group 4: Employee Engagement and Service Quality - Pang Donglai's success is attributed to its employee-centric culture, which fosters loyalty and high service standards, while Yonghui struggles with employee retention and service consistency [10][12]. - Despite implementing some customer service enhancements, Yonghui's service quality has declined due to employee disengagement, impacting customer experience [10][12]. Group 5: Strategic Direction and Future Outlook - Yonghui's "胖改" initiative is seen as a response to the pressures of e-commerce and changing consumer behavior, but it has not yet fully realized the core values of Pang Donglai [13][14]. - The company is encouraged to focus on understanding customer needs and improving operational efficiency rather than merely copying successful models [14].