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China tech crackdown: Yu Minhong, founder of the nation’s largest private education services firm, makes debut as live-streaming host

  • The founder of New Oriental Education & Technology Group hosted his first live-streaming e-commerce session on ByteDance-owned short video platform Douyin
  • During that session, Michael Yu Minhong reiterated his company’s plan to launch a live-streaming e-commerce platform for farm products

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Michael Yu Minhong, founder of New Oriental Education & Technology Group, plans to diversify his company’s business into live-streaming e-commerce for farm products. Photo: Reuters
Tracy Qu
Michael Yu Minhong, the founder, chairman and chief executive of New Oriental Education & Technology Group, has added live-streaming e-commerce host to his illustrious career, following Beijing’s crackdown on the country’s once high-flying off-campus education services sector.
The 59-year-old education entrepreneur, often described as China’s most famous teacher, hosted his first live-streaming e-commerce session on Tuesday, pitching farm products such as cherries, on Chinese short video platform Douyin, operated by TikTok owner ByteDance.

Yu sold products worth about 4.6 million yuan (US$721,827) during his live-streaming debut, according to data from live streaming tracking platform Huitun. Some online users, however, complained that Yu pitched products that were too expensive. For example, a bunch of cherries weighing 2.5 kilograms cost 299 yuan, more than the price of 15 apples that sell for 128 yuan, according to Huitun data.

During that same session, Yu reiterated New Oriental’s plan to launch a live-streaming e-commerce platform as part of efforts to diversify its operations. Yu last month announced plans to set up a large-scale agricultural online platform, through which he will sell farm products with the help of hundreds of employees who have been reassigned from their teaching jobs.

03:22

Crackdown on private tutoring leaves industry, students and parents drawing a blank

Crackdown on private tutoring leaves industry, students and parents drawing a blank
Yu’s decision to go into live-streaming e-commerce was made “after reading countless reports and material” about this market segment and considering the points of those opposed to this move, according to an article published on New Oriental’s official WeChat account on Tuesday. The post said Yu believes the company is “doing the right thing”, well aware that starting a live-streaming e-commerce operation would be “very hard” amid Beijing’s increased scrutiny of the sector.
In the same post, New Oriental indicated that it has not given up on the education sector. It said the power of live streaming can be used to “help more farmers, with the goal of achieving common prosperity”, alluding to President Xi Jinping’s push to give all citizens the opportunity to be wealthy.
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