Culture and consumer expectation is a big part of product/market fit. It's really only the current crop of SV companies that have sometimes managed to transcend this culture gap and operate identically in every market while making a profit. (To see an SV example of this bombing, Uber did not fare well in China or SE Asia.) But traditionally, companies like Walmart, KFC, etc. have had many failures branching out of their home markets because of a lack of product market fit.

China runs a risk of any sufficiently isolated economy; its consumer preferences start diverging from the rest of the world's. The intentional isolation of the Chinese economy through measures like protectionism and the Great Firewall only increase this risk. It's not limited to China though, Japan has similar issues. As an example, until the advent of smartphones Japanese phonemakers were producing increasing amounts of esoteric features that only Japanese consumers wanted.