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Why did Xibei Avena Village shut down 400 outlets and lose more than $800 million in January?

Taiyuan's Wanxiang City has been open for quite a long time, and people come and go every day. So I was going to go and have a look too. We went to the time is seven o'clock in the evening has not eaten dinner, turned around, selected the Xibei oat village. I heard that his family is the main coarse grain brand, look at the restaurant environment is not bad. We ate quite pleasant, serving speed is quite fast, is the portion is a little too small, checkout, stupid! Just ordered three dishes, spent more than 2 hundred.

In so many restaurants, why is the sole West Bay oat village so dazzling? Back in 2017, Xibei Oat Village began to flourish. In the past two and a half years, Xibei Oat Village changed its name twice and changed its signage three times. After spending more than 60 million yuan, Jia Guolong, the founder of Xibei Oat Village, had to announce that he would abandon his intention to open 100,000 stores. The original Xibei Oat Village was very ambitious and worked to become the first in the industry. By the end of 2017, it had opened more than 200 stores. Annual revenue was expected to reach 4 billion yuan, but it was ambitious, which is not a good thing after all.

Xibei Oat Village specializes in not only roughage, but also dishes such as barbecue, game and stews. In China's food market, very few brands of coarse grains are made, and the ones that do well are even fewer. Unexpectedly, Xibei Oat Village made its own signature, a hit in the country. Soon opened more than 300 chain stores in the country, just with a bowl of noodles can realize an annual income of 3.5 billion yuan. Founder Jia Guolong saw such a great performance and strengthened his ambition. Even with such good results he is still not satisfied, and even more bold words to make the country's streets and alleys are full of Xibei Avena Village, and open 100,000 stores across the country, is his ultimate dream.

Xibei oat village vigorously develop fast food at the same time, takeaway is also quietly developing, the two functions are almost identical, and takeaway service even changed the mode of China's catering industry, is in the wind mouth period. Therefore, in the explosive development of takeaway, Xibei oat village can not withstand the pressure, shrinking again. It is said that the success of a thing is about the timing of the right place and the right people, against the trend, in the end, or not.

October 17, Jia Guolong clearly saw this phenomenon, recognized the situation, decided decisively decided to terminate the fast food project that has been carried out for 800 days, to attack the takeaway industry. The results proved that his decision was correct, and the once-in-a-lifetime opportunity once again saved Xibei Oat Village Noodle Village. But the great challenge came again.

In the early 2020s, an unexpected epidemic spread violently, and all the major companies had a hard time. The most serious is the large fast-food companies, Xibei oat village in this epidemic more than 400 outlets closed, the rest of the outlets even escaped the closure of stores but business is very poor. Employees' salaries must be paid as usual in accordance with state regulations, and Xibei is about to collapse!

Faced with the great crisis of the overall collapse of the enterprise, Xibei Avenues Village started to operate when the epidemic was not too serious. Surprisingly, prices at Xibei Oat Village are quietly rising. The decision may have been a corporate rescue measure. However, it was a significant expense and loss for guests, so netizens took to the Internet to denounce Xibei Oat Village, and soon founder Jia Guolong apologized for the price hike. All stores across the country whether dine-in or take-out are back to the original price, but the mistake has been made, in people's minds has caused a bad impact, guests feel that in this time when everyone is difficult to raise prices, this practice is too much, inexcusable, even if the price is reduced will not be patronized again.

In fact, this epidemic came too suddenly, we are not prepared, all industries are very difficult, Xibei oat village so suddenly price increases, the practice is indeed inappropriate, so that many people are difficult to accept.