Recently, news broke on the Internet that Haidilao sued Xiaofangniu and claimed millions in compensation, which instantly attracted the attention of many netizens. Haidilao is a hotpot brand established in 1994. It mainly sells Sichuan-style hotpot and integrates hotpot characteristics from all over the world. It is very popular among contemporary young people. So why did Haidilao sue Xiaofangniu? 1. The reason why Haidilao sued Xiaofangniu

Some time ago, when Xiaofangniu promoted his store, he used slogans with the word Haidilao on them, including them in his store decoration and on his WeChat public account and other online platforms. Haidilao’s logo is used on all of them. Both the color and layout overlapped with Haidilao, so Haidilao sued Xiaofangniu for infringing their trademark rights. Haidilao feels that Xiaofangniu is using their popularity to promote and attract consumers. This tied the reputations of both parties together, but through online evaluation, it was found that Xiao Shengniu's services were not in line with its propaganda, which seriously disrupted the market order. 2. The harm of false advertising

False advertising can harm consumers' rights and personal interests, mislead consumers into purchasing goods, cause consumers property losses, and in serious cases may even affect consumers' lives and safety. False advertising destroys the authenticity of advertising, affects the positive effects of advertising, and is detrimental to social development. False advertising may also disrupt the economic order. False advertising also hinders economic development and is not conducive to the healthy development of society. False advertising will also reduce consumers' purchasing power and affect the country's fiscal revenue. False advertising will also cause a waste of social public resources. 3. The positive effects of advertising

Advertising can establish a brand's image and increase consumers' trust in the brand. At the same time, advertising can also correctly guide consumers, promote consumer consumption, and bring revenue to the national finance. Advertising can also satisfy consumers' purchasing desires, improve consumers' aesthetics, and guide consumers' consumption concepts. Advertising can also play a role in promoting products. Products can be directly understood by consumers through advertising, making the products sell well.