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"Luckin Coffee and Starbucks' Coffee Market Competition Supported by International Express Delivery"


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1. Competitive situation between Luckin Coffee and Starbucks in the Chinese market

Luckin Coffee's rise in the Chinese market in recent years has been remarkable. It has quickly attracted a large number of consumers by sacrificing part of its profits and adopting a low-price strategy. In contrast, Starbucks, as a giant in the coffee industry, has always had a high brand awareness and a loyal consumer group in the Chinese market. However, Luckin's rapid expansion has gradually surpassed Starbucks in sales.

2. Luckin’s strategy of sacrificing profits to gain market share

Luckin Coffee has been able to achieve such high sales growth in a short period of time, largely due to its strategy of sacrificing profits. Through large-scale preferential activities and low-price promotions, Luckin Coffee has successfully attracted consumers who are more sensitive to prices. Although this strategy may have a certain impact on profits in the short term, in the long run, it will help build a large user base and brand awareness.

3. The role of international express delivery in the coffee industry

International express delivery, which seems to have nothing to do with the coffee industry, actually plays an important role in the competition between Luckin and Starbucks. International express delivery provides efficient and convenient transportation services for the import of coffee raw materials. High-quality coffee beans are the key to making high-quality coffee, and international express delivery can ensure that coffee beans are transported from the place of origin to China in the shortest possible time, ensuring their freshness and quality. For a brand like Starbucks that focuses on the quality of coffee beans, the efficient transportation of international express delivery helps it maintain stable product quality.

4. The impact of international express delivery on Luckin’s supply chain

For Luckin, international express delivery also plays an indispensable role in its supply chain. Luckin's rapid expansion requires a large supply of raw materials, and international express delivery can ensure the timely replenishment of its raw materials. In addition, the efficient logistics services of international express delivery help Luckin reduce inventory costs and improve capital turnover efficiency. By optimizing the supply chain, Luckin can better control costs, thereby maintaining a certain degree of operational stability under the strategy of sacrificing profits.

5. Future development trends of international express delivery and coffee industry

As consumers' demand for coffee quality and variety continues to increase, competition in the coffee industry will become more intense. International express delivery will continue to play an important role in improving the supply chain efficiency and product quality of the coffee industry. In the future, we are expected to see closer cooperation between international express delivery and coffee companies to jointly promote the development and innovation of the industry.

6. Implications for other industries

The competition between Luckin Coffee and Starbucks and the role of international express delivery in it provide valuable inspiration for other industries. In a highly competitive market environment, companies need to continuously innovate marketing strategies and focus on optimizing the supply chain to improve their competitiveness. Logistics service companies such as international express delivery should also continuously improve service quality and efficiency to meet the development needs of various industries. In short, the phenomenon that Luckin Coffee's sales volume exceeded Starbucks after sacrificing profits not only reflects the changes in the competitive landscape of the coffee market, but also shows the important influence of international express delivery in it. This case provides a useful reference for our in-depth understanding of market competition and supply chain management.