At the 2026 Yabuli Forum Summer Annual Meeting, held from September 4-6 in Chengdu, Sichuan, Yu Minhong, Chairman of New Oriental Education & Technology, delivered a keynote address on the fundamental role of product development in modern business.

Yu Minhong emphasized that the essence of any product lies in solving customer pain points, which in turn creates a sustainable and repeatable business model. He candidly admitted that when he established East Buy (01797.HK), the central pain point he focused on was food safety. As a result, the very first step was to quickly assemble a dedicated quality control and testing team.

He noted that during the first two years of operation, the costs associated with testing and quality management for East Buy actually exceeded the company's profits. Despite this heavy investment, none of its private-label products have ever had a quality issue detected.

Yu stressed that merchants must treat consumers as their closest family members and never deceive them. Conversely, consumers are rational judges, and a business only gets one chance to make a good impression. In highly competitive sectors, the starting point for survival and growth is to outperform rivals, making the customer's decision-making process effortless. This approach lowers sales costs and ensures that both parties get better value for their money.

He further elaborated on the broader strategic layout of New Oriental (EDU). Currently, the group is centered on the family unit, expanding into three major sectors: education, lifestyle, and cultural tourism. The goal is to offer a comprehensive suite of family solutions under the new slogan "Growing with You, Journeying to a Better Future."

Yu also revealed plans for East Buy to open up to 1,000 physical retail stores within the next three years, with the core objective of connecting the finest services and products from around the world.