Case study: Jollibee Foods Corporation
Email: huongvuvu.hut@gmail.com NonstopWorld academy
Contents
Email: huongvuvu.hut@gmail.com
Motivations
MentalitiesMeans
Case study: Jollibee Foods Corporation
Jollibee Foods Corporation
Motivations
MentalitiesMeans
International expansion
- Founded in 1978 (ice cream parol)
- Started the hamburger business because of 1977 oil crisis
- Head quarter: Pasig, Philippines
- Five “Fs” philosophy: Friendliness, Flavorful food, Fun
atmosphere, Flexibility in catering to customers needs, and
Focus on family
- Revenue: 100.8 billion PHP (2015)
- Net income: 3.25 billion PHP (2011)
- Number of employees: 14,635 (FY 2011)
- A multinational enterprise
- Subsidiaries: Chowking, Mang Inasal, Red Ribbon, Greenwich
Pizza
https://en.wikipedia.org/wiki/Jollibee
Jollibee Foods Corporation
Motivations
MentalitiesMeans
International expansion
Market and Resource Seeking
l Secure raw materials
l Exploit factor cost differences
l Protect exports
l Provide growth
Competitive Positioning
l Match competitors
l Capture global scale
l Preempt markets
l Play “Global Chess”
Global Scanning/ Learning
l Global intelligence scan
l Access scarce knowledge
l Recruit skills, expertise
70s/80s
Pre-1970
90s/00s
Mass-based positioning
(reposition):
Indonesia market isn’t willing
to pay for fast-food as in
Philippine
Change business model/logo
-Ways to expand is to use franchise
Model
Competitive positioning
Market seeking
Increasing brand awareness
Jollibee Foods Corporation
Motivations
MentalitiesMeans
International expansion
 Creating and sustaining global competitive advantage
Partner Countries
Supplier Countries Global
Business
Customer
Countries
R&D
Manufacturing
Logistics
Procurement
Coordinate/
Orchestrate
Marketin
g
Sales
Service
Customers
Internal
Partners
Suppliers
Home Country
Means
 Export
 Indirect
 Direct (e.g. agent)
 Controlled (e.g. sales branch)
 Contractual
 License
 Franchise
 Management/Service Contracts
 Marketing & finance
 Cooperation Agreements
 Investment
 Greenfield
 Acquisition
 Joint Venture
 Deli France
 Capital Participation
Motivations
MentalitiesMeans
International expansion
Failed and Successful global locations
Successful
The Philippines:
Enjoyed domestic
market
dominance
Taiwan: partly
successful
Brunei: local
investor was a
silent
Failed
Singapore: bad
relationship with
partners
Taiwan: high
rental costs
Motivation
• Competitive positioning
• Market seeking
• Increasing brand awereness
Mean
• Planting the flag: being the first mover
• Establishing affiliates
• Economics of scale
Mentality: core values (5 five Fs)
• Friendliness
• Flavorful food: tailored to customer needs and
preferences
• Fun atmosphere
• Flexibility in catering to customers needs
• Focus on family
3 choices to make
• Australia
• Hong kong
– Unable to hire local people
– Language barrier
– Quality control questions
– Reidifity-refused
• California
– Target Filipino expatriates
– Largest fast food consumer market
– High competition

International expansion - Jollibe case

  • 1.
    Case study: JollibeeFoods Corporation Email: huongvuvu.hut@gmail.com NonstopWorld academy
  • 2.
  • 3.
    Jollibee Foods Corporation Motivations MentalitiesMeans Internationalexpansion - Founded in 1978 (ice cream parol) - Started the hamburger business because of 1977 oil crisis - Head quarter: Pasig, Philippines - Five “Fs” philosophy: Friendliness, Flavorful food, Fun atmosphere, Flexibility in catering to customers needs, and Focus on family - Revenue: 100.8 billion PHP (2015) - Net income: 3.25 billion PHP (2011) - Number of employees: 14,635 (FY 2011) - A multinational enterprise - Subsidiaries: Chowking, Mang Inasal, Red Ribbon, Greenwich Pizza https://en.wikipedia.org/wiki/Jollibee
  • 4.
    Jollibee Foods Corporation Motivations MentalitiesMeans Internationalexpansion Market and Resource Seeking l Secure raw materials l Exploit factor cost differences l Protect exports l Provide growth Competitive Positioning l Match competitors l Capture global scale l Preempt markets l Play “Global Chess” Global Scanning/ Learning l Global intelligence scan l Access scarce knowledge l Recruit skills, expertise 70s/80s Pre-1970 90s/00s Mass-based positioning (reposition): Indonesia market isn’t willing to pay for fast-food as in Philippine Change business model/logo -Ways to expand is to use franchise Model Competitive positioning Market seeking Increasing brand awareness
  • 5.
    Jollibee Foods Corporation Motivations MentalitiesMeans Internationalexpansion  Creating and sustaining global competitive advantage Partner Countries Supplier Countries Global Business Customer Countries R&D Manufacturing Logistics Procurement Coordinate/ Orchestrate Marketin g Sales Service Customers Internal Partners Suppliers Home Country
  • 6.
    Means  Export  Indirect Direct (e.g. agent)  Controlled (e.g. sales branch)  Contractual  License  Franchise  Management/Service Contracts  Marketing & finance  Cooperation Agreements  Investment  Greenfield  Acquisition  Joint Venture  Deli France  Capital Participation Motivations MentalitiesMeans International expansion
  • 7.
    Failed and Successfulglobal locations Successful The Philippines: Enjoyed domestic market dominance Taiwan: partly successful Brunei: local investor was a silent Failed Singapore: bad relationship with partners Taiwan: high rental costs
  • 8.
    Motivation • Competitive positioning •Market seeking • Increasing brand awereness
  • 9.
    Mean • Planting theflag: being the first mover • Establishing affiliates • Economics of scale
  • 10.
    Mentality: core values(5 five Fs) • Friendliness • Flavorful food: tailored to customer needs and preferences • Fun atmosphere • Flexibility in catering to customers needs • Focus on family
  • 11.
    3 choices tomake • Australia • Hong kong – Unable to hire local people – Language barrier – Quality control questions – Reidifity-refused • California – Target Filipino expatriates – Largest fast food consumer market – High competition