The cost is less because: (1) the restaurant has limited sit down space and chef time during peak periods; (2) eating times in China are highly regimented (of

The cost is less because: (1) the restaurant has limited sit down space and chef time during peak periods; (2) eating times in China are highly regimented (office lunch hour dominates); (3) delivery customers by default can tolerate higher volatility in meal completion schedule; (4) the actual cost to the restaurant for a 50RMB meal outside of the the limited sit down space represented by high rental costs and the chef's salary (already paid by peak hour sit-down customers) is negligible, often under 10RMB including ingredients, cooking energy and packaging; (5) delivery platforms are battling for market share. In short, the primary issue running a conventional restaurant is limited temporal and spatial bandwidth to serve customers. Delivery takes advantage of resources already spent toward the primary issues, so can be substantially discounted without loss.