www射-国产免费一级-欧美福利-亚洲成人福利-成人一区在线观看-亚州成人

US EUROPE AFRICA ASIA 中文
Business / Companies

Big Mac may go cold as Yum snags Alibaba deal

(China Daily) Updated: 2016-09-07 07:35

Big Mac may go cold as Yum snags Alibaba deal

A woman takes photo at an exhibition showcasing the toys given out by McDonald's in the past 25 years in Beijing, March 31, 2016. [Photo/Agencies]

Both US companies realize local partners and franchising are the way forward

KFC's partnership with an Alibaba affiliate puts the pressure on the Golden Arches in China more than ever.

By allying with a backer of the country's top food delivery website, KFC owner Yum! Brands Inc has taken a step toward solving the dilemma of slowing growth in its biggest market outside the United States. It's a deal that McDonald's Corp, the Big Mac maker that is also in the throes of selling its China business, will do well to match.

Yum and McDonald's are among a clutch of Western brands that have realized they need a Chinese partner to stay on top of shifting consumer tastes in the nation. The price of not getting that strategy right has meant retreat in recent years for brands from Tesco and B&Q to Best Buy.

For McDonald's and Yum, both of whom have been hurt by food-safety scandals in China, the challenge is not only to improve their reputation but also to stay on top of a move toward healthier foods, capitalize on consumption growth in smaller cities where they have little presence, and most importantly, join the Chinese rush to perform ever more daily tasks online.

Yum's fast-food operations in China, which also include Pizza Hut, span 7,200 outlets. Yet its share of the market has dropped from close to 40 percent in 2012 to 23.9 percent last year, while McDonald's has slid from a high of 16.5 percent in 2013 to 13.8 percent, according to data from Euromonitor International. McDonald's has about 2,200 outlets in the country.

Selling a piece of the China business to private-equity firm Primavera Capital and Alibaba's Ant Financial will move Yum up the path of online relevance faster than its US competitor. Ant is the owner of China's top payments platform and holds a stake in food-delivery website Eleme, key pieces of the jigsaw needed to help Yum appeal to customers who want to order and pay for food through their mobile phones.

In Primavera, Yum also gets one of the country's top dealmakers: Founder Fred Hu is the former Goldman Sachs chairman in charge of the firm China and will serve as chairman of Yum China, which will be spun off from the parent into a separate company next month.

Admittedly, Primavera and Ant will buy only a small minority stake in Yum China-less than 6 percent initially. Still, that emphasizes the difficulty for McDonald's, which is seeking a buyer for the whole business.

Unlike Yum, McDonald's has no plans for a listing of its China operations. In common with its rival, though, the company has realized that local partners and franchising are the way forward. Most McDonald's restaurants in the Chinese mainland, Hong Kong and South Korea are directly owned by the company. The chain aims eventually to have 95 percent of restaurants in Asia under local ownership, it said in March.

The conundrum for McDonald's is that handing over the reins to local partners may risk its brand, already dented by a 2014 food-safety scare. The company has imposed stringent deal conditions such as a three-year ban on senior management changes, it was reported in May-though this has had the effect of deterring bidders.

McDonald's has attracted only a few Chinese suitors and none has the online heft that Ant brings. The interested parties (their private equity partners aside) aren't known for either online consumer expertise or retail exposure. The roster so far includes bad-loan manager China Cinda Asset Management and dairy producer Beijing Sanyuan Foods. Sanyuan's largest shareholder is State-owned Beijing Capital Agribusiness Group, which runs some McDonald's restaurants in Beijing. Chinese State conglomerate Citic Group, which has only a modest retail presence, is also in the running.

There's little danger McDonald's would ever have to retreat from China. The chain has been chalking up gains in same-store sales this year, after several quarters of declines. It remains China's second-most-popular fast-food brand, according to Euromonitor.

Bloomberg

Hot Topics

Editor's Picks
...
主站蜘蛛池模板: 日本国产一区二区三区 | 国产一级做a爰片... | 欧美18www | 国产综合精品久久亚洲 | 成网站在线观看人免费 | 九九视频免费精品视频免费 | 国产亚洲一区二区精品 | 亚洲一成人毛片 | 夜色成人性y | 18在线 | 一级特级aaaa毛片免费观看 | 国产三级一区二区 | 国产精品久久久久久搜索 | 亚洲乱人伦在线 | 欧美成人a级在线视频 | 免费视频一区二区三区四区 | 国产深夜福利视频网站在线观看 | 91精品自在拍精选久久 | 国产v综合v亚洲欧美大另类 | 国产成人a一在线观看 | 性色xxx| 欧美日韩中文国产一区二区三区 | 国产日韩一区二区三区在线播放 | 又www又黄又爽啪啪网站 | 免费三级网址 | 996re免费热在线视频手机 | 欧美特黄三级成人 | 91久久国产成人免费观看资源 | 精品国产无限资源免费观看 | a毛片在线还看免费网站 | 欧美 日韩 国产在线 | 亚洲精品国产精品一区二区 | 一区二区三区高清视频在线观看 | 成人美女网 | 高清在线精品一区二区 | 99久久精彩视频 | 国产一级黄色 | 亚洲欧美小视频 | 亚洲视频在线一区 | 国产啪精品视频网免费 | 日本一级特黄特色大片免费视频 |