Who won the battle of food delivery subsidies? Consumers also need to face the risk of "wool coming from sheep" in the future.
Meituan stated in its financial report that operating profit dropped significantly in the second quarter, due to "irrational competition in the food delivery industry." How intense has the competition in the food delivery market been in the past few months? Ma Liang, a professor at the School of Government and Management at Peking University, said that the vicious competition in the food delivery market may seem to benefit consumers, but it is actually detrimental to market order, social development, and ecological protection. Platform companies involved in the subsidy war have invested heavily, causing damage to the profits of related businesses, uncertainties for employees and riders busy taking orders, and risks for consumers that the "discounts" will eventually be borne by them. At the same time, the introduction of large amounts of low-price or even free food delivery has created a massive amount of disposable garbage, posing a threat to environmental protection. The vicious competition in the food delivery market brings multiple negative consequences, which is why government departments need to intervene. Relevant departments have held multiple meetings with platform companies to guide the healthy and standardized development of the food delivery market. It is suggested that government departments pay attention to the vicious competition in the food delivery market, resolutely crack down on internal competition, and regulate market competition in an orderly manner as soon as possible.
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