Why China’s luxury hotels are selling street food to survive

Catering at luxury hotels typically involves high-end banquets and formal entertainment, with exquisite decor and masterfully crafted dishes often seen as worth the high price tag.

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But for many consumers in China, that is changing.

In July, the five-star Zhongwu Hotel in Changzhou, Jiangsu province – ranked second among 10 luxury hotels in the city on Trip.com – surprised observers when it launched a street vendor service offering budget meal boxes prepared by its catering team.

“You must first solve the problem of survival. If you can’t even solve your own problems, what else can you talk about?” said Chen Yonghua, Zhongwu Hotel’s manager.

The decision reflects a sluggish business environment for China’s high-end hospitality sector, as cautious consumers tighten their belts amid concerns about a slowing economy.

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Priced between 20 yuan and 100 yuan (US$3 and US$14), the boxed meals are a far cry from the several thousand typically charged for a banquet table. Offerings include popular night market favourites like braised dishes, spicy crayfish, a selection of dim sum and other delicacies.

  

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