Editor’s note: This piece was submitted by an SFL Local Coordinator and independent writer from Thailand who, for safety, goes by the pseudonym Taya Kritta.
When we think about Thailand, iconic dishes like the globally renowned Pad Thai and the bold, spicy flavors of Tom Yum Goong first come to mind. However, few realize that Thailand has also embraced a Japanese-inspired dish, transforming it into a uniquely Thai phenomenon: Suki Yaki.
This dish has gained popularity, especially among the younger generation, due to its affordability. Surprisingly, you can even enjoy it buffet-style for as little as $6.35 (219 THB).
This evolution aligns with Joseph Schumpeter’s theory of Creative Destruction, which posits that new innovations often disrupt long-standing traditions, ultimately benefiting consumers on a larger scale. The rise of Suki Yaki in Thailand is a quintessential example of this economic principle.
Take a quick refresher on another quintessential economic principle:
What is Suki Yaki?
Suki Yaki traces its roots back to medieval Japan, where historical anecdotes tell of warriors hunting wild game (yaki) and bringing the meat to villagers to prepare. It is said that these villagers used spades (suki) to cook the meat, giving birth to the dish we now know as Suki Yaki. From that moment on, this meal became known and enjoyed among the Japanese people of the medieval era.
By 1890, when Japan began to open its doors to the world, Suki Yaki started gaining broader recognition. During this period, the traditional spade used for cooking evolved into a pot that was more practical and better suited to the lifestyle of the era.
Two styles of Suki Yaki
1. The Kanto Style (from Tokyo and the central region of Japan), where the soup is pre-seasoned with a rich, balanced flavor, allowing meat and vegetables to be cooked directly in the broth.
2. The Kansai Style (from Osaka and the northern region), where the meat and vegetables are first cooked separately. Once done, they are seasoned with soy sauce and other condiments before being served.
In Thailand, Suki Yaki was first introduced in 1957 by a small restaurant named Suki Coca, which was the pioneer in serving hot-pot meals in the country. Initially located in the Siam Square area, the unique flavors and novelty of the dish quickly gained popularity. This small eatery soon expanded into multiple branches, becoming a staple of Thailand’s dining scene and continuing its service to this day.
The Suki Yaki Giants: MK Restaurant (เอ็มเค เรสเตอรองค์) and Suki Teenoi (สุกี้ ตี๋น้อย)
In Thailand, two major players dominate the Suki Yaki market. The first is MK Restaurant, a household name that started as a small family business. Originally established by Makong King Yee, a Hong Kong entrepreneur, the brand was later acquired and expanded by Mrs. Thongkham Mekto. Beginning as a small eatery in the Siam Square area, MK gradually grew into a sprawling franchise until 1989, when MK formally registered as a company.
With its signature Suki dishes, it became a dominant force in the market for decades.
The second player, Suki Teenoi, entered the scene in 2019, disrupting the status quo with its innovative approach. Founded by Nattamon ‘Fern’ Pisankijwanich, Suki Teenoi targeted an underserved market segment: affordable buffet-style Suki Yaki.
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Observing a gap in the market, the founder questioned why consumers couldn’t enjoy restaurant-quality dining in a buffet format. By blending the affordability of street food with the ambiance of a high-end restaurant, Suki Teenoi revolutionized the dining experience. This unique positioning quickly attracted younger consumers, leading to explosive growth.
A Clash of Market Dynamics
The rise of Suki Teenoi exemplifies the unimpeded workings of free-market mechanisms, where individual entrepreneurship creates significant benefits for both businesses and consumers. With its affordable pricing and strong value proposition, Suki Teenoi captured the attention of cost-conscious, quality-driven consumers, particularly teenagers and young adults.
In contrast, MK Restaurant struggled to adapt. Its higher prices, while justifiable for decades, became a barrier for younger demographics. By the third quarter of 2024, MK’s net profit dropped to $9.8 million (341 million THB) — a 12.7% decrease. Meanwhile, Suki Teenoi continued to flourish. From a net profit of $4.03 million (140 million THB) in 2019, it skyrocketed to $26.3 million (916 million THB) by 2024, reflecting its ability to capture market share.
Reflecting Creative Destruction in Action
Joseph Schumpeter’s Creative Destruction theory was coined in 1942 in his book Capitalism, socialism, and Democracy, which describes how innovation disrupts established industries, paving the way for new, efficient alternatives. The Suki Yaki market in Thailand perfectly mirrors this concept.
In the past, Thai consumers faced limited and expensive options for Suki Yaki. Economic liberalization and market freedom enabled entrepreneurs like Nattamon to see opportunities and create novel solutions. The emergence of Suki Teenoi democratized access to high-quality dining, offering affordability and variety that were previously unattainable.
This shift underscores the power of laissez-faire capitalism, where minimal state intervention allows market forces to rapidly foster competition and innovation. Suki Teenoi’s success is a testament to how entrepreneurship thrives in an open economic environment, delivering better outcomes for consumers.
The Future of Thailand’s Suki Yaki Market
As consumer preferences evolve, the market landscape continues to shift. MK Restaurant faces the challenge of reinventing itself to compete with agile newcomers like Suki Teenoi. Without adaptation, MK risks gradual decline, while Suki Teenoi appears poised to dominate the Suki Yaki market.
This transformation is a vivid example of how free-market principles, innovation, and consumer empowerment combine to shape industries. As Thailand’s Suki Yaki sector demonstrates, creative destruction is not merely a theoretical concept but a dynamic force driving progress and prosperity.
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