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  • Burger King decided to enter the Australian market 1971The company faced legal problems with the trademark rights to the name Burger KingBK decided to choose a name that was from one of their preexisting BKC and Pillsbury Brands—Hungry Jacks was chosen
  • Jack Cowin was the primary franchisee for BK in AustraliaHe owned over 130 Hungry Jacks outlets
  • They did not acquire the rights to the name when they entered the marketBKC did not take an active role in the management of HJPL’s development until the 90’s—20 years after the brand had entered the marketBKC did not enforce its rights under the 1990 settlement agreementJack Cowin was unsupervised from 1990-1992, which made him feel like BKC did not care about the Australian marketBKC did not utilize having a great businessman like Jack Cowin on their team
  • Franchise ManagementBurger KingAllows franchisees to acquire a minimum of 5 restaurantsHands-off management stylePrefer franchisees with previous experienceTraining: ranges from 73 days to 7 weeksFocus more on market penetration rather than relationship building with franchisees
  • 441 Presentation

    1. 1. Kentucky Fried Chicken<br />An Example of Proper Franchise Management<br />Greg Bodenlos, Daly Guillermo, Annaliese Lafayette, Eileen Ng<br />
    2. 2. A Two Company Comparison<br />
    3. 3. Burger King in Australia<br />Decided to enter Australian market in 1971<br />Faced legal problems with trademark rights<br />Selected new name, “Hungry Jacks” from preexisting BKC and Pillsbury brands<br />
    4. 4. Burger King or Hungry Jacks?<br />
    5. 5. Hungry Jacks Emerges<br />Jack Cowin becomes primary franchisee for Burger King in Australia<br />Grows the franchise to own over 130 Hungry Jacks outlets<br />Currently owns 50 KFC outlets in Western Australia and the Northern Territory in addition to 300 Hungry Jack&apos;s outlets throughout Australia<br />
    6. 6. What Went Wrong<br />Burger King failed to:<br />Acquire the name rights when entered the market<br />Take proactive role in management of HJPL’sdevelopment<br />Enforce its rights under 1990 settlement agreement<br />Utilize having a great businessman like Jack Cowin on their team<br />
    7. 7. Kentucky Fried Chicken<br />
    8. 8. Burger King Franchising<br />Allows franchisees to acquire a minimum of 5 restaurants<br />Hands-off management style<br />Prefer franchisees with previous experience<br />Training: ranges from 73 days to 7 weeks<br />Focus more on market penetration rather than relationship building with franchisees<br />
    9. 9. KFC Franchising<br />Does not allow franchisees to purchase more than one store at a time<br />Hands-on management style<br />Look for franchisees with entrepreneurial spirit<br />Training: Minimum 6 months<br />Focus on building strong long term relationships with franchisees<br />
    10. 10. Keys to Franchise Success<br />