A report from the China Cuisine Association or CCA shows that in the first half of 2013, the profit decline rate of dining enterprises with revenues over 2 million yuan dropped from 4.9 to 3.7 percent, indicating that the trend has been stalled.
Feng Enyuan is the vice chairman of CCA.
"One of the reasons is that enterprises with more than 2 million yuan in revenue have a clear view of the future development of the dining industry. They are aware that serving ordinary consumers is the way to realize sustainable development. Another reason is the recent adjustments that have been made to the operational structures of many high-end restaurants."
The CCA report shows that during the second quarter of 2013, average individual consumption dropped 15 to 20 percent, forcing prices to drop.
