Author | Liu BaodanEditor | Zhou ZhiyuAfter the &#34;Xiao Zuowen&#34; controversy six months ago, the development prospects of EAST BUY were once again shrouded in shadow.On June 9th, Dong Yuhui expressed his strong resistance to selling things in an official self-produced interview program on Douyin called &#34;I Love Myself, I'm Great&#34;. He mentioned that he has never enjoyed this job and although what he is doing now has some significance, it does not bring much joy.As a super anchor, Dong Yuhui is a key figure in EAST BUY's rise in the live e-commerce track. His remarks undoubtedly shook the external expectations for his career development as an anchor, triggering concerns in the capital market.On the first day after the holiday, EAST BUY closed at HKD 13.900, with a 9.27% decrease in stock price.Combined with recent negative comments from Yu Minhong about EAST BUY, the company is now facing a new crisis. Since May 31st, EAST BUY's stock price has been continuously declining, with a seven-day drop of up to 28%, leading to a market capitalization evaporation of HKD 4.6 billion.To a large extent, as key figures in EAST BUY, the remarks of Yu Minhong and Dong Yuhui have revealed the true state of the company's development and shaken investors' confidence in the company's future development.In the program, Dong Yuhui explained why he rarely introduces a product. &#34;I rarely use noisy music, more exciting voices. In such an anxious environment, people are more likely to make decisions to buy or not. I am particularly afraid that one day I will become someone I don't like.&#34;Since the &#34;Xiao Zuowen&#34; incident at the end of last year, EAST BUY has started the process of removing top anchors. Currently, it seems that the de-Dong process is not successful, and the importance of walking with Hui has surpassed EAST BUY.According to Feigua data, from January to May this year, the sales of the live broadcast rooms with Hui were 932 million yuan, 411 million yuan, 620 million yuan, 538 million yuan, and 533 million yuan respectively, all higher than EAST BUY. Currently, the number of fans of walking with Hui on Douyin is 19.58 million, while EAST BUY has 30.26 million fans, with a cumulative loss of over a million fans in the past six months.In other words, Dong Yuhui's influence on the company is becoming more and more important, and his stay or departure will undoubtedly become one of the most core factors affecting the development of EAST BUY.Yu Minhong's remarks have also brought to the surface long-standing issues within EAST BUY.On May 31st, Yu Minhong stated in Zhang Wenzhong's Douyin live broadcast room, &#34;EAST BUY is now in a mess.&#34; In response to this, EAST BUY's &#34;Beautiful Life&#34; live broadcast room has recently been questioned for its &#34;selling-style live broadcast&#34;, with consumers believing that EAST BUY has changed its knowledge-sharing live broadcast style to cater to the market.Yu Minhong also mentioned that in the past year, the number of insults, accusations, and insults he has received online is more than in a hundred lifetimes combined. He plans to stay away from the business scene in the future, spend more time enjoying nature, and avoid fighting for his life or getting involved in disputes.Perhaps Yu Minhong was just confiding in an old friend, but as the Chairman and CEO of EAST BUY, his thoughts have formed a pessimistic expectation for the company's future developmentInvestors are confused about the operation of EAST BUY, with some expressing concerns that sellers don't want to sell, managers don't want to manage, and what exactly is happening with the company. Investors buying company stocks is a sign of trust in the company, and the company needs to be accountable to its investors.Management issues are something EAST BUY has to face. Even though Yu Minhong stated in an apology letter, &#34;My biggest wish in life is to transcend disputes and travel the world leisurely. I said these words 20 years ago, but that doesn't mean I am no longer responsible for the operations of New Oriental and EAST BUY.&#34;However, Yu Minhong, who is over 60 years old, is currently in a semi-retired state. He revealed in his live broadcast in Tibet that he plans to travel all over China and the world's mountains and waters before he turns 80, and share his experiences through live broadcasts. It is evident that this state makes it difficult for him to be on the frontlines of live e-commerce.Behind a series of difficulties, the live e-commerce industry is facing increasing competitive pressure, which is the underlying cause of Dong Yuhui's insomnia and anxiety, and the driving force behind EAST BUY's adoption of the &#34;hawking-style&#34; live broadcasts that Yu Minhong despises.According to retail e-commerce industry expert and founder of Bailian Consulting, Zhuang Shuai, the novelty factor combined with Dong Yuhui's IP effect quickly made EAST BUY popular. However, knowledge-based live broadcasts may lead to a certain degree of viewer fatigue, and the efficiency of sales conversion is not high.EAST BUY needs to take measures quickly to boost investor confidence. Zhuang Shuai believes that EAST BUY needs to solidify and improve its supply chain in the fiercely competitive e-commerce industry, enhance product strength and pricing power, while also focusing on shelf e-commerce business and team development.EAST BUY had to transition due to double reductions, but fortunately, the company seized the opportunity in live e-commerce. After the transition, the company did not pay enough attention to super anchor Dong Yuhui, leading to the &#34;short essay&#34; incident, which was eventually resolved with the personal intervention of Yu Minhong.The live e-commerce track aligns with social development trends, and EAST BUY has successfully completed its transformation. Whether launching an independent APP, developing a membership system, or live streaming on the Taobao platform, EAST BUY is trying to explore multiple growth possibilities.This has shown investors the new potential of the company in the live e-commerce track. In January this year, EAST BUY's stock price reached a high of HKD 75.5, setting a new record since the company went public.However, unlike the education industry, the live e-commerce track is closer to the market and users, with higher demands on the company. Just half a year later, EAST BUY faced another crisis, exposing many weaknesses in the company.This is an important reminder that Yu Minhong needs to think clearly about how EAST BUY should proceed on the live e-commerce track

EAST BUY lost 4.6 billion in 7 days