Involution and Localization Challenges in Overseas Chinese Restaurants: Evidence from Major Cities in North America and Australia
DOI:
https://doi.org/10.54097/x19m0h68Keywords:
Overseas Chinese Restaurants, Involutionary Competition, Localization Strategy, Cultural Authenticity, Supply Chain Constraints, Cultural Distance, Ethnic EconomyAbstract
Against the backdrop of globalization and the accelerated “going global” trend of Chinese cuisine, the overseas Chinese restaurant industry has experienced rapid quantitative growth yet faces profound structural dilemmas. Focusing on six major metropolitan areas in North America and Australia, this study adopts an operator’s perspective and collects 305 valid questionnaire responses. Using regression analysis and moderation effect testing, it systematically investigates the driving mechanisms of industry involution, the double-edged sword effect of localization strategies, and the boundary role of cultural distance. The findings reveal three key insights. First, significant involutionary competition exists among overseas Chinese restaurants, structurally driven by heavy reliance on Chinese clientele, fragile supply chain stability, and high operational cost pressures—with cost pressure being the strongest driver. Second, localization strategies exhibit a clear double-edged sword effect: while they effectively enhance non-Chinese customer acceptance, they simultaneously undermine Chinese customer satisfaction and cultural identity. Third, cultural distance significantly moderates these relationships: the greater the cultural distance, the weaker the positive effect of localization on non-Chinese acceptance, and the stronger its negative impact on Chinese customer satisfaction. A counterintuitive finding is that, after controlling for localization level, cultural distance itself is positively associated with non-Chinese acceptance, suggesting that high “otherness” may itself attract exploratory consumers. This study operationalizes the concept of “involution” within the context of ethnic food economies, providing empirical evidence and strategic implications for transitioning Chinese cuisine from “product export” to “cultural integration” in the global marketplace.
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