At just 12, she invested Rs 5.9 lakh, opened a shop and hired her mother. Her ‘smart’ business strategy is shocking the internet

A 12-year-old girl from central China has captured attention online after investing her savings into a business and hiring her mother to run it, according to a report by the South China Morning Post.

Li Yue, from Jiangxi province, used over 44,000 yuan (approximately Rs 5.91 lakh) received as lai see during the Spring Festival to purchase a stationery shop.

Business Decision Driven by Low Bank Returns

As per the South China Morning Post, Li decided against keeping her money in the bank, citing low interest rates that could not keep pace with inflation.
On spotting a stationery shop up for sale, she chose to invest despite concerns raised by her mother about potential losses.

12-Year-Old Runs Shop, Pays Mother Monthly Salary

The young entrepreneur spent her holidays managing the shop, ensuring stock availability and smooth operations. Once school resumed, she appointed her mother to handle daily operations, offering a monthly salary of 3,000 yuan.

While her mother managed the shop, Li took charge of supplier negotiations, pricing strategies and overall business planning, according to the South China Morning Post.

Balancing School and Business

Li reportedly began her day by opening the shop and checking inventory before attending school. After classes, she returned to assist at the store and studied there until the evening.She also taught herself artificial intelligence tools to manage bookkeeping, creating a digital ledger to track finances efficiently.

Smart Pricing Strategy Boosts Sales

When sales declined, Li took swift action by reducing prices. She introduced low-cost items to attract students and discounted higher-quality products by up to 50 per cent to appeal to parents.

“If we worry too much about sunk costs, the products will not sell and we could face a cash flow problem,” she told her mother, as quoted by the South China Morning Post.

Business Expansion and Shift to Food Sales

After realising the shop required significant time, Li decided to pivot the business model. She began selling food items such as sausages, orange juice and cold drinks, investing in new equipment while clearing out 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,” she said.

Online Reactions Mixed as Story Goes Viral

The story has sparked widespread discussion across social media platforms in China. While many praised Li’s entrepreneurial skills and maturity, others expressed concern about children engaging in business activities at such a young age.

Her mother, however, believes the experience provides practical financial education, describing it as “like opening a business school” for her daughter.