Summary:

The success of Gu Ming, a Chinese tea beverage company, focuses on its strategic expansion into lower-tier cities and its high-profit franchise model. Gu Ming's rapid growth and profitability are contrasted with the struggles of other major players like Mixue Bingcheng, highlighting the challenges of maintaining growth and profitability in a highly competitive and saturated market. The analysis examines Gu Ming's supply chain efficiency, franchisee profitability, and the risks associated with continued rapid expansion. The piece ultimately questions whether prioritizing speed of expansion or focusing on quality and profitability is the more sustainable strategy for the future.

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