More than 30 mainland-listed consumer goods and tourism companies have rolled out offers to shareholders – ranging from substantial discounts to complimentary tickets to attractions they manage – in a bid to stimulate sales amid slowing consumption and mounting economic challenges.
Among those pushing the initiative was packaged food maker Zhengzhou Qianweiyangchu Food, which announced on Monday that investors holding at least 100 shares were entitled to 200 yuan (US$28.31) worth of products. This followed Emei Shan Tourism’s proposal to grant free admission and consumption discounts on Emei Mountain in southwest Sichuan province to individuals who owned at least 500 shares.
The measures reflected the earnings pressure brought on by weak employment demand and the struggling property market, said Francis Kwok Sze-chi, vice-chairman of the Hong Kong Institute of Financial Analysts and Professional Commentators.
“You can’t expect a strong performance amid an economic downturn,” Kwok said, adding that “tangible offers” resonated more with small shareholders.
The market appeared to welcome the offers. On Shenzhen’s stock exchange, Emei Shan Tourism surged as much as 20 per cent and Qianweiyangchu rose 8.75 per cent, before gains narrowed on Wednesday.
Peking duck restaurant chain China Quanjude is among those offering promotions to shareholders. Photo: Xinhua
Retail sales growth in the world’s second-largest economy slowed for the fifth consecutive month in October, rising 2.9 per cent year on year, the weakest since August 2024.
