I’ve been thinking about Luckin Coffee, which was a big story a few years ago in China. It was a digital upstart taking on giant Starbucks. It was Jack Ma’s “new retail” applied to retail coffee. It was a digital innovator. Blah, blah, blah. It was mostly a lot of hype. And the company crashed […]
Tag Archives: Luckin
Companies Can Have Digital Superpowers: Lazada vs. Grab. Luckin vs. Hellobike. (Tech Strategy – Podcast 37)
In this class, Jeffrey Towson discusses how companies can develop digital superpowers to gain a competitive advantage. He compares and contrasts four companies in Asia that have successfully used digital technology to transform their businesses: Lazada, Grab, Luckin Coffee, and Hellobike. Towson argues that digital superpowers can be used to dramatically improve the user experience, enable a platform business model, create network effects, or provide other competitive advantages.
Huawei, Luckin and the SMILE Marathon (Tech Strategy – Podcast 34)
In this podcast, Jeffrey Towson discusses how Huawei and Luckin Coffee are using digital technology to create a sustainable competitive advantage. He argues that these companies are winning the “SMILE Marathon” by competing on scale, scope, efficiency, and effectiveness. Towson provides examples of how Huawei and Luckin Coffee are using digital technology to improve their operations, and he discusses the implications for businesses of all sizes.
Should Starbucks Buy Luckin Coffee? Should Alibaba? HeyTea? (Tech Strategy – Podcast 30)
In this podcast, Jeffrey Towson discusses who should buy Luckin Coffee, following the company’s recent accounting scandal. He considers potential buyers such as Starbucks, Alibaba, and HeyTea. For example, Starbucks could benefit from Luckin’s strong presence in China, while Alibaba could use Luckin’s technology to expand its own coffee business.
My Interview With Huawei About Their 2019 Financials. Plus Fraud at Luckin Coffee. (Tech Strategy – Podcast 24)
In this podcast, Jeffrey Towson discusses Huawei’s financial performance in 2019, as well as the recent fraud scandal at Luckin Coffee. He argues that Huawei’s strong financial performance is a sign of its resilience, and that the Luckin Coffee scandal is a reminder of the risks of investing in Chinese tech stocks. For example, he notes that Huawei’s revenue grew by 19% in 2019, despite the US government’s restrictions on its business.
Luckin Coffee Is a Fraud? Why Nobody Is Surprised. (Daily Update – Jeff’s Asia Tech Class)
The big news yesterday was that Luckin Coffee has disclosed an internal investigation into fabricated sales for 2019. From CNBC: Luckin Coffee disclosed Thursday that an internal investigation has found that its chief operating officer fabricated 2019 sales by about 2.2 billion yuan ($310 million).Shares cratered more than 80% in premarket trading after the release […]
HeyTea Becomes a Tech Co? Demand for Luckin vs. Mobike (Daily Update – Jeff’s Asia Tech Class)
A couple of topics for today. About how all business begins and ends with the customer. HeyTea and Why You Have to Thrill Your Customers. There was an interesting article last week about retail tea company HeyTea – and their rumored funding round at a price of 16B RMB ($280M). HeyTea is a popular and […]
Will Luckin, Mobike, Didi or WeWork Ever Be Profitable? (Tech Strategy – Podcast 6)
Jeffrey Towson argues that Chinese startups like Luckin Coffee, Mobike, Didi Chuxing, and WeWork are facing increasing challenges. He says that these companies are facing more competition, regulatory scrutiny, and rising costs. As a result, it is unclear if these companies will be able to achieve profitability in the long run.
What Should Starbucks China Have Done About Luckin Coffee? (Tech Strategy – Podcast 3)
Jeffrey Towson discusses what Starbucks China could have done to respond to the rise of Luckin Coffee. He argues that Starbucks should have focused on its strengths, such as its brand and its loyalty program, and that it should have been more aggressive in expanding its store network. He also notes that Starbucks could have learned from Luckin’s innovative marketing and pricing strategies.
While Luckin Fights Starbucks, HeyTea Has Lines Out the Door in China (pt 2 of 2)
In Part 1, I argued that Starbucks China most interesting competitor is not Luckin Coffee. It is HeyTea, an upscale Starbucks-type business focused on tea (something Chinese consumers really, really like). And to their credit, HeyTea appears to be mostly focusing not on digital (or financial engineering) but on product development and continually thrilling their […]