Industry increases rapidly as people enjoy dining out
More consumers are dining in restaurants as part of the Chinese middle class experience. Because of increased affluence, accelerated urbanization and changing household consumption habits, dining out has become a more frequent indulgence and social occasion.
China's catering industry is expanding rapidly because of this phenomenon, but it faces a number of challenges, including: food safety issues, a labor shortage, inadequate customer service and rising operation costs.
As suggested by the popularity of the TV program "A Bite of China," the appreciation of food has cultural significance in China. Even during the global financial crisis, catering industry growth remained stable. This resistance to economic cycles attracted more and more investors to the category.
Two catering brands rank in the BrandZ™ China 100: Quanjude, a chain of roast duck restaurants established in 1864; and Yonghe King, with a fast food menu specializing in soups and noodles.