On December 9th, reports emerged indicating that Xiaomi China has recently carried out personnel reshuffles within its mobile phone, automotive, and major appliance sectors. Simultaneously, following a thorough evaluation of the business landscape, Xiaomi has decided to pivot the development focus of its Xiaomi Stores in 2026 from "scale expansion" to "quality enhancement." As part of this strategic shift, Xiaomi plans to systematically close down certain underperforming and unprofitable stores, with a particular emphasis on managing compliant stores that were already in operation before January 1, 2025. For stores that are highly efficient but still not profitable, as well as those newly opened in 2025 yet struggling to achieve profitability, Xiaomi will maintain an application channel for implementing "one-store, one-policy" measures. Should stores be retained, Xiaomi will begin withdrawing store managers from January 1, 2026. In this adjustment process, Xiaomi will proactively shoulder losses amounting to approximately 27.26 million yuan, thereby aiding partners in reducing their annual losses by over 72.46 million yuan. Furthermore, Xiaomi also suggests optimizing the staffing configuration of its automotive stores.
