A 12-year-old girl from central China showed her business acumen by using her savings to buy a stationery shop and hiring her mother for 3,000 yuan (US$440) a month.
Li Yue, who lived in Jiangxi province and received over 44,000 yuan (US$6,400) in lai see during the Spring Festival, decided to invest the money in a business.
She believed that depositing the money in the bank would offer an interest rate too low to keep up with inflation.
While on her way to the bank, Li spotted a stationery shop for sale and decided to seize the opportunity.
Despite her mother’s caution about potential risks of loss, Li remained determined and used her lai see money to buy the store.
During the holiday, she took responsibility for stocking up on products and managing the business.
When school resumed in March, Li hired her mother with a monthly salary of 3,000 yuan.
Li handled supplier negotiations, set prices and adjusted the business strategy, while her mother managed daily operations.
Each morning, Li opened the store, checked the inventory and then headed to class. After school, she did her homework at the shop before helping her mother until 8.30pm.
She also taught herself artificial intelligence (AI) tools to manage bookkeeping and created a visual ledger.
When the shop’s revenue plummeted last week, Li took decisive action.
She slashed prices and explained to her mother: “If we worry too much about sunk costs, the products will not sell and we could face a cash flow problem.”
Li sold small items for just one yuan to attract young students and reduced the price of quality items by 50 per cent to appeal to more cost-conscious parents.
Her bold strategy quickly paid off, bringing in a steady stream of customers.
Though her exact income remains undisclosed, Li has reported recouping her investment.
Her mother, a family education consultant, said that she would halt the business if it interfered with her daughter’s studies.
Recognising that running the stationery shop took too much time from her schoolwork, Li shifted the store’s focus to selling food.
She recently invested in equipment and began selling sausages, orange juice and cold drinks while clearing out the stationery stock.
“I want to be a boss with a conscience. I try every product to ensure it is healthy and tasty before selling it,” said Li.
Her mother believes this entrepreneurial experience provides valuable financial education, arguing it is a better use of money than enrolling Li in training classes that she is not interested in.
“It is like opening a business school for her,” she told Jimu News.
Li’s story has ignited a discussion on mainland social media.
One netizen said: “The girl’s courage, execution and business sense are beyond her years. She is bound for success.”
While another raised concerns: “Children should not start businesses too young. At 12, Li should focus on education and other childhood experiences.” -- SOUTH CHINA MORNING POST
