US-based fast food giant McDonald’s has a huge market in China, but the country is gearing up to offer its own fast food chains, which will offer rice burgers and lotus roots. China-based fast food companies are now looking to challenge McDonald’s Corp and Yum Brands Inc with their healthier and more affordable offer.
Attempts will be made to attract diners in the country with homegrown fare and healthy food, which will also be affordable to more people. This will be done as the US-based fast food giants are dominating the country’s economy. Last week, the fast food giant McDonald’s said that it was considering slowing down its expansion in the Asian country, as customers are now more attracted towards the local rivals’ offering.
In recent times, the US fast food majors have made heavy investments in the country, but despite that, the market share by value remained stagnant at 2.3 percent since 2007. Moreover, food safety scare in recent months also affected the sales significantly, in addition to economic weakness.
In the meantime, local firms like chicken chain Dicos, Country Style Cooking, and Kung Fu Catering have been experiencing the increase in sales and have taken over the market share from the US competitors.
Photo Credits: People