American giants like Starbucks and McDonald’s are facing stiff competition from a rapidly growing Chinese brand Mixue Bingcheng. This food and beverage company offers products at significantly lower prices which can outpace Starbucks and McDonald’s in terms of total stores. What Is Mixue Bingcheng? Mixue Bingcheng which translates to ‘Honey Snow Ice City’ has emerged as a global leader in the food and beverage (F&B) sector. Specializing in affordable products like ice cream coffee and bubble tea the brand has gained immense popularity among sweet lovers. Its rapid expansion has made it the largest F&B chain in the world surpassing Starbucks and McDonald’s in outlet numbers. Mixue Bingcheng Rapid Growth Mixue Bingcheng’s beverages like tea are priced at one-third of competitors. Its ice cream is significantly cheaper than McDonald’s. As of September 2024 Mixue Bingcheng had over 45000 outlets worldwide with nearly 40000 located in China. By December 2024 the company had established more than 6100 outlets in Southeast Asia including over 2600 in Indonesia. Mixue Bingcheng operates on a franchise model providing franchisees with materials to prepare popular drinks such as Creamy Mango Boba Mango Oats Jasmine Tea and Coconut Jelly Milk Tea. Chinese Innovation In F&B While China is traditionally known for affordable electronics it is now making waves in the F&B industry. Chinese companies including Mixue Bingcheng are leveraging technology automation and online marketing expertise to optimize their operations. Industry experts warn that if Chinese companies like Mixue Bingcheng continue their current growth phase they could pose a significant challenge to American brands. This might even force Starbucks and McDonald’s to close some of their outlets in certain regions. IPO Success Mixue Bingcheng made its stock market debut on March 3 2024 on the Hong Kong Stock Exchange. When the IPO was priced at HKD 202.5 (approx. Rs 2262). It’s listing price was HKD 262. By March 14 the stock closed at HKD 406 doubling investors’ returns within 12 days of listing.