# franchising
Latest news and articles about franchising
Total: 3 articles found
How China’s Duck‑Neck Giants Went from Franchise Goldmines to Losing Bets
China’s major braised‑meat chains — Juewei, Zhouheiya and Huangshanghuang — have seen rapid store closures, revenue declines and collapsing margins after an era of aggressive expansion. High retail prices, overbuilt supply chains, competition from low‑cost street vendors and slowing urbanisation have combined to make the franchised duck‑neck business model unprofitable for many operators and franchisees.
How a Taiwanese Milk‑Tea Brand Became a $2 Billion Exit: The Gong Cha Story and What It Means for Beverage Capital
TA Associates is marketing Gong Cha with a possible valuation near $2 billion, which would net the firm about $1.7 billion after a 2019 purchase of roughly $288 million. The brand’s global franchising success contrasts with sharp setbacks in mainland China, illustrating both the upside of high‑frequency beverage models for private equity and the brand risks that come from loose licensing and weak trademark protection.
China’s Dining Boom Draws Top Capital — But Winners Will Be Small Stores with Tough Supply Chains
Top-tier capital is increasingly targeting China’s restaurant industry, shifting the investment focus from rapid outlet expansion to small, high-quality stores, resilient supply chains and digital brand-building. The move is professionalising operations and will likely prompt clearer regulation and greater transparency, but success will hinge on balancing freshness, cost and platform economics.