Since Chinese authorities introduced the “Double Reduction Policy” earlier this year, domestic educational and training services firm New Oriental Education & Technology Group Inc. has accelerated plans to undergo a transformation. As part of these plans, the company is preparing to launch a live commerce platform called “Dongfang Zhenxuan” at 8:00 on Tuesday night.
Yu Minhong (Michael Yu), the founder and president of New Oriental, announced he would join the livestreaming from time to time. Despite these developments, the firm says it will continue to exert its strength in the field of education.
In the article the company released on Tuesday, New Oriental said that after reading countless reports and materials, Yu Minhong made up his mind to establish a large-scale live-commerce agriculture platform, through which hosts could help farmers sell goods, even though he was well aware the difficulties of live commerce. His decision was reportedly made for two reasons. First, Yu’s parents are farmers; second, to do the right thing.
The article also said that New Oriental shows determination to regard education as its initial purpose, continuing to provide educational services for CET-4 and CET-6, postgraduate entrance examinations, language training for overseas study (English and minority languages), overseas study consultation, international study tour, domestic experiential education and camp education.
On the evening of November 7, Yu debuted the live commerce platform on a short video site, announcing that New Oriental would set up a large-scale agricultural platform. He and hundreds of teachers would sell agricultural products through live commerce and thereby support rural revitalization.
Affected by the onset of “Double Reduction” policies, New Oriental announced on November 15 that it would stop K-9 discipline counseling services in all learning centers across China before the end of 2021. Instead, the company would shift focus and resources to educational products and services unrelated to K-9 discipline training, such as exam preparation courses, adult language training courses and teaching materials. Also, it will continue to explore new business opportunities and growth measures.