Luckin Coffee’s business model was built on outselling its rivals by expanding its outlets at breakneck speed and offering deep discounts. Photo: ReutersLuckin Coffee’s business model was built on outselling its rivals by expanding its outlets at breakneck speed and offering deep discounts. Photo: Reuters
Luckin Coffee’s business model was built on outselling its rivals by expanding its outlets at breakneck speed and offering deep discounts. Photo: Reuters

Beijing watchdogs to punish Luckin Coffee, related firms after confirming US$300 million accounting fraud

  • Ministry of Finance says it will take punitive action against Luckin, after its investigation confirmed the coffee chain’s accounting fraud
  • Announcement from two regulators places the beleaguered coffee chain in the spotlight again after the scandal led to its delisting from Nasdaq
Topic |   Financial regulation
Luckin Coffee’s business model was built on outselling its rivals by expanding its outlets at breakneck speed and offering deep discounts. Photo: ReutersLuckin Coffee’s business model was built on outselling its rivals by expanding its outlets at breakneck speed and offering deep discounts. Photo: Reuters
Luckin Coffee’s business model was built on outselling its rivals by expanding its outlets at breakneck speed and offering deep discounts. Photo: Reuters
READ FULL ARTICLE