Business / news
Hong Kong heritage brands diversify and franchise to survive tough market
Second- and third-generation owners of Yung Kee, Kader Holdings and Asia Allied Infrastructure are pivoting with new concepts, franchising and diversification to navigate rising costs and shifting consumer habits.
Yung Kee, the 80-year-old charcoal-roasted goose restaurant, has launched a modern offshoot called Yung’s Bistro. The group's flagship remains in Central, while two bistro outlets now operate in K11 Musea in Tsim Sha Tsui and Taikoo Place in Taikoo Shing.
Yvonne Kam, third-generation owner and CFO of Yung Kee, said the group has faced several difficult years as tourist spending fell and residents crossed into Shenzhen for dining and shopping. “We lost money, to be very honest, but then we quickly pivoted to a way that we are now breaking even,” Kam explained.
Toy manufacturer Kader Holdings and construction group Asia Allied Infrastructure are also among heritage brands adopting new stewardship strategies. The three family-run businesses shared their approaches during an interview organised by Entrepreneurs’ Organisation Hong Kong, which is marking its 30th anniversary this year.
Each firm is pursuing different adaptations: Yung Kee through a modern dining concept, Kader through product and market diversification, and Asia Allied Infrastructure through project and service expansion. The common thread is a need to respond to soaring operational costs and changing consumption patterns in Hong Kong.
The resilience of these long-running businesses highlights the importance of innovation even for well-established brands. Their experiences offer a lens into how Hong Kong's traditional enterprises are repositioning themselves for long-term survival.