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Jollibee's International Expansion Strategy
1. JOLLIBEE FOODS Internation nal
CORPORATION Expansion
Team B
Descudet Lucas
Chastanet
Benjamin
Causse Lacroix
Clémence
Bréhu Lucie
Bozzi william
2. SUMMARY
History
Expansion
Industry background
Organisation building
Strategy
Franchisees
Adaptation
Threats
Recommendations
3. COMPANY HISTORY
1975 : Opened a Magnolia as Ice cream parlor In Cubao
1977 : Diversification of sandwiches
1978 : Five stores in Manilla
From 1975 to 1997: The importance growth of stores and
sales
4. EXPANSION AND ACQUISITIONS
Acquisition of 80 % of Greenwich Pizza
Formation of a joint venture with Deli France
The increase of assets and turnovers from 1992 to 1996
The expansion of the numbers of store
5. INDUSTRY BACKGROUND
Developing a value proposition
Providing a model in the world
The way to manage a store and a chain (traf fic, marketing
operations)
6. ORGANIZATION BUILDING
New structure and more resources
Hiring an experienced man in order to become one of the « top
10 » fast food in te world : Mr Kichner
New connections to work a multinational
Recruitment of professionals staf f
7. THE STRATEGY
The two main objectives :
- « targeting expacts »
- « planting the flag »
The importance of the advertising and promotion
8. FRANCHISEES SYSTEM
Franchisee service manager required store to fax every day
theirs figures ( sales,customer trafic,average ticket)
good way to find a solution very quickly if there is any
problems
Its more to help franchisee an provide consulting assistance
than a control
9. ADAPTATION FOR THE INTERNATIONNAL
The Jollibee’s Philippine business model needed to be
modified overseas.
Redesign of the logo,while retaining the bee mascot.
Change their advertising politics
Adjust menus to local preferences
That mean some tensions with the Philippine side of Jollibee
10. THREATS
The fast food industry is highly competitive
Price wars and marketing innovation are seen frequently on
this sector
Internal conflict between divisions, they need to increase the
internal communication in order to resorb the tensions
it is not possible for the companies in the industry to apply a
standard set of menu throughout the world .
11. RECOMMENDATIONS
Continue to expand to areas with high Philippine
concentration
Impart a vision of customer service to its employees, that
includes clear and understandable long term goals
Encourage employees to exercice the flexibility and judgment
that customers expect
able to answer a customer’s question
make routine decision
provide the ressources the staf fs require to succeed
including coaching and training