Despite geopolitical tensions, China’s consumers still line up for American fast food chains, says Shanghai-based business analyst Shaun Rein in AP. “Despite political tensions between the U.S. and China, Chinese actually still go crazy for American brands,” said Shaun Rein.
AP:
American fast-food companies are expanding their presence in China
Last month, Chinese customers lined up in the rain for the opening of the first Church’s Texas Chicken in Shanghai. Church’s plans at least 600 more across China. Wendy’s says it anticipates opening 1,000 restaurants there over the next decade.
Established players are deepening their reach as well. McDonald’s plans 1,000 new Chinese restaurants this year and 10,000 total by 2028. Burger King, which arrived in China in 2005, says it expects to triple its store count to 4,000 by 2035.
“Despite political tensions between the U.S. and China, Chinese actually still go crazy for American brands,” said Shaun Rein, founder and managing director of the Shanghai-based China Market Research Group.
KFC became the first major American fast-food chain to enter mainland China when it opened a Beijing restaurant in 1987. At the time, it was viewed as a premium destination worth taking a date to, Rein said. McDonald’s and Pizza Hut arrived in 1990.
“McDonald’s and KFC were a beacon of health and hygiene compared to what you had in the rest of the market,” Rein said.
China is now KFC’s largest market by far. The Kentucky-born fried chicken chain counts about 13,000 restaurants in China, compared with around 3,750 in the U.S. American brands see room for further growth.e>
Shaun Rein is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers’ request form.
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