The owner of China’s largest coffee chain, Luckin, acquired upscale US café operator Blue Bottle, as the Chinese company continues its aggressive westward expansion.
Luckin recently opened its 30,000th store in China, eclipsing local competitors by offering a wide variety of cut-rate beverages. But its CEO recently stressed the need for the company to broaden its price range, Caixin wrote, signalling a close to years of bruising price wars; Luckin opened its first high-end store in Shenzhen last month.
Price, though, appears to remain key to Luckin’s US efforts. Last summer, a New York location offered cold brew for just $2, or about one-fourth of what a Manhattanite would pay at Blue Bottle.