Doutor Coffee heading to China
In this article (5)
Japanese low-price cafe chain Doutor Coffee is heading to China following its parent company’s failed foray with pasta restaurants.
Doutor Nichires Holdings is partnering with restaurant group Xiao Nan Guo, whose business includes high-end Chinese dining. It flourished on lavish official meals funded by taxpayer money until President Xi Jinping cracked down on official extravagance.
As Chinese consumers become increasingly price-conscious, the partners see potential for the low-price Doutor Coffee chain.
Doutor Nichires, which also runs chains such as Excelsior Caffe and Hoshino Coffee in Japan, had three pasta restaurants in Shanghai until about three years ago. It now has 18 overseas locations, including cafes in Singapore.
Questions & Answers
Q.Which company is Doutor Coffee partnering with to enter the Chinese market?
Which company is Doutor Coffee partnering with to enter the Chinese market?
Doutor Nichires Holdings is partnering with the restaurant group Xiao Nan Guo. This group also operates high-end Chinese dining establishments and had previously flourished on lavish official meals.
Q.What previous business venture did Doutor Coffee's parent company attempt in China?
What previous business venture did Doutor Coffee's parent company attempt in China?
Doutor Nichires Holdings previously had three pasta restaurants in Shanghai. This venture ended about three years ago, before the current plan to introduce the Doutor Coffee chain.
Q.Why do the partners see potential for Doutor Coffee in China?
Why do the partners see potential for Doutor Coffee in China?
The partners see potential for the low-price Doutor Coffee chain because Chinese consumers are becoming increasingly price-conscious. This shift in consumer behaviour aligns with Doutor's low-price model.
Q.How many overseas locations does Doutor Nichires Holdings currently have?
How many overseas locations does Doutor Nichires Holdings currently have?
Doutor Nichires Holdings currently operates 18 overseas locations. These include various cafes, such as Doutor Coffee outlets and others like Excelsior Caffe and Hoshino Coffee, with some located in Singapore.
Reader pulse
Is Doutor's low-price strategy right for China?
23,023 votes so far