In this case I'd guess they are selling at a loss. As new player, it looks like they have a very aggressive growth strategy to get people to at least try them

In this case I'd guess they are selling at a loss. As new player, it looks like they have a very aggressive growth strategy to get people to at least try them out. They are part of the same group as Pinduoduo (revenues of 19 billion dollars in 2022 according to Wikipedia), a major e-commerce site in China, so they have deep pockets to fund this.