Yum!, McDonald's seek buyers for China assets as tastes shift

Shanghai

WHEN it comes to China's multi-billion-dollar fast-food industry, Yum! Brands Inc and McDonald's Corp are living large, enjoying a combined 38 per cent share of the market in 2015. Yum's KFC restaurant chain and the Golden Arches have long enjoyed a run of super-sized growth as consumers craved a taste of Americana.

Now, as both these giants eye spinoffs of their mainland operations, analysts are wondering whether the glory days might be over. There are signs that both companies' absolute dominance of a fast-food industry they helped create is starting to slip away as consumers shift to healthier options and Chinese-style food chains - from huoguo (hot pot) to tangbao (steamed dumplings) - proliferate.