Xinghualou (Group) Co., Ltd. was formerly the Second Catering Company of Huangpu District and holds a considerable portion of time-honored catering brands in Huangpu District, Shanghai. Xinghualou Group has experienced two reforms and reorganizations in its development history. In the late 1990s, the company carried out its first reform and was reorganized from an administrative company into an enterprise, and began a business practice of market-oriented development.

After the enterpriseization, although Xinghualou Group took the first step, the degree of marketization was far from enough. The situation of domination of state-owned shares has not changed, which triggered the Xinghualou Group ’s second restructuring. In 2000, in accordance with the reform requirements of the modern enterprise system, Xinghualou Group formed a diversified investment limited liability company by introducing social capital, natural person shareholding, corporate operator group shareholding, etc., of which 32% are state-owned shares. Since then, The company has entered the market competition role positioning.

The biggest manifestation of market positioning is initiative and cost awareness. The catering industry is at the forefront of the market and has always been a place of fierce competition. The business decision-makers of Xinghualou Group have been involved in it for many years, and their strong market awareness has given them strong initiative.

At the end of 2002, SARS swept across the country. All walks of life were severely hit, and the catering industry was the first to bear the brunt. With restaurants closed and employees going home, losses are unavoidable. Companies are helpless in this kind of natural disaster, they just have to adapt. However, the Xinghualou Group did not stop there, and took advantage of the downturn during SARS to renovate and renovate the group's main specialty restaurants. After SARS, the catering market rebounded rapidly. At this time, Xinghualou Group's specialty restaurants had a new look and ushered in a business climax. Invisibly, Xinghualou Group's enterprises have saved time for a major renovation. This kind of market intelligence would not exist if cost awareness was not deeply rooted in the hearts of the people.

Through positive and far-sighted adjustments, many time-honored catering companies affiliated to Xinghualou Group have flourished with vigorous business vitality. In 2005, Xinghualou Group's total operating income reached 810 million yuan, and its operating profit reached more than 60 million yuan, ranking among the top 100 operators in the country's catering industry. Xinghualou, a famous time-honored brand with a history of more than 150 years, won the title of "The Most "Influential old Shanghai trademark".