From Luxury Ice Cream to Selling Sweet Potatoes: The Rise and Fall of Zhongxuegao
In a surprising turn of events, Lin Sheng, the founder of the once high-flying premium ice cream brand Zhongxuegao, has taken to live-streaming to sell sweet potatoes in an effort to repay debts, marking a stark contrast to the brand's previous luxury image. This development has not only captivated the public's attention but also sparked widespread discussions on the challenges faced by new consumer brands and the complexities of the current economic environment.
16 July 2025
Zhongxuegao's rise to fame was built on high-end, unique marketing strategies that quickly propelled it to the forefront of the new consumer brand landscape. However, the recent financial difficulties, including accumulated debt and restrictions from high consumption, have led its founder to resort to selling sweet potatoes online, signaling a dramatic shift in fortunes. This has prompted a reassessment of the sustainability of business models among new consumer brands, emphasizing the importance of product quality, cost control, and user value.
The incident has also laid bare the vulnerabilities in the fast-moving consumer goods industry, particularly in supply chain management and innovation models. The challenge for businesses now lies in maintaining product competitiveness while effectively managing costs and risks, suggesting a future where flexible supply chains, differentiated competition, and lean management could become more prevalent.
Publicly, the revelation that Lin Sheng mentioned owing salaries to employees has intensified scrutiny on corporate social responsibility. The balance between profit pursuit and safeguarding employee rights and interests has become a critical component of corporate image and brand reputation, likely leading to stricter oversight on labor relations and compensation benefits.
Moreover, the "selling sweet potatoes to repay debts" saga has reignited debates on the entrepreneurial environment and the essence of entrepreneurship. Lin Sheng's actions, while displaying a sense of responsibility and courage amidst adversity, also reflect the complexity and uncertainty of the current business environment. This could spur more discussions on supporting the real economy and optimizing the business environment.
Consumer sentiment has notably shifted, with an increasing sensitivity to the value for money and a cautious approach towards brand premiums. This change underscores a demand for products that offer genuine value, pushing companies to focus on the intrinsic quality of their offerings.
The live-streaming sales tactic has also brought the emerging business model of live-stream e-commerce under the microscope. While it offers a lifeline for businesses to clear inventory and expand sales channels, its commercial ethics, pricing chaos, and sustainability are now under intense scrutiny. The future of live-stream e-commerce may hinge on its standardization, professionalism, and content richness.
Politically, Zhongxuegao's predicament and Lin Sheng's debt repayment efforts could draw governmental attention to enhancing the business environment and refining enterprise bankruptcy and debt restructuring systems. Balancing encouragement of innovative development with effective risk prevention and market order maintenance will be crucial in future industry policy formulation.
Additionally, the issue of Zhongxuegao owing employee salaries has highlighted the importance of employment stability and people's livelihoods, potentially prompting relevant departments to strengthen supervision over corporate labor compliance and establish more comprehensive risk early-warning mechanisms.
In essence, the story of Zhongxuegao and its founder is a multifaceted reflection of the current economic, social, and political landscape, offering valuable lessons and insights for businesses, consumers, and policymakers alike.
