Consumer catering has come along way in the past few decades, especially since the opening-up of the economy since the late 1980s, and the introduction of foreign fast-food marketing methods.
Yet China’s consumer catering market remains strongly attached to its local traditions. These entrenched traditions have forced the foreign invaders to adapt both their menus and the way they do business in order to suit local tastes, all at the same time that they have been forced to change their operating methods in their established markets in North America and Europe.
The massive changes that China has been seen over the past few years have also forced changes on the whole industry.
When a society and economy, such as China’s, undergoes such massive change over a short period of time, people begin to get used to a constant renewal of ideas and circumstances, and aspirations tend to fixate on the newest and most outstanding. Thus, the catering and fast-food sector has had to continually recreate and reinvent is offering in order to maintain consumer interest and loyalty.
For large-scale operators, creating brand loyalty across a chain of outlets over such a large and diverse country as China has been a huge and difficult undertaking. Small- and medium-sized operators have had to face continually changing competition, forcing them to continually invest in upping their own competitive edge, in order both to compete, but ultimately simply to survive.
Issues such as branding, hygiene, staff training and retention, location in cities that are continually being rebuilt, décor, service, home delivery, etc., are all issues that caterers must address in order to maintain their competitive edge, and keep in business. With the market having become so complex and competitive, it is no wonder that outlets come and go with alarming frequency, as do fads and fashions in dining.
Yet, despite the continually shifting ground rules, created by continually shifting consumer aspirations and demands, the industry has flourished. Within the industry, there have been some major success stories - all the more successful for having survived and flourished in such a demanding market.
Among the most interesting successes have been the emerging Chinese chains, which are becoming viable competitors for the massive foreign fast-foot and restaurant chains. These domestic leaders in the catering market are creating a new definition of the Chinese dining experience, and even redefining and rebranding old concepts, such as the teahouse.
The result of such massive change, over the past couple of decades, is a very diverse market, covering many cuisine sectors, and a diverse demographic. As the consumer market in China continues to grow apace, so this diversity can only be expected to increase. This will also strengthen the market and the leading players, who are beginning to expand their geographical spread and influence, much further afield from their home markets, including overseas expansion.
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