For Mike Wong, the owner of a restaurant called Hong Kong Grassroots Canteen with two branches in Beijing, takeout service has long been something of a headache.
In China, the delivery app Meituan Dianping and its rival Ele.me dominate meal delivery services. (Ele.me is owned by Alibaba Group, the parent company of Inkstone).
Users log on to the apps and order from the restaurants listed. Wong says Meituan charges a minimum of 20% commission on each order – a significant amount for a small business.
“My profit margin is only 10% to 15%. So for a takeaway order, all my profits have to be given to Meituan.”
Wong says many people order takeout for items as simple as a cup of noodles or a glas
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Jun 12, 2020