Burger King was founded in 1954 by James McLamore and David Edgerton in Miami, Florida. In 1967, the founders sold the company to the Pillsbury Company, taking it from a small privately held franchised chain to a subsidiary of a large food conglomerate. In December 2002, Burger King was acquired by private equity funds controlled by TPG Capital, Bain Capital Partners and Goldman Sachs & Co. It completed a successful initial public offering in 2006. On October 19, 2010, it was acquired by 3G Capital Partners, Ltd., as a result, its common stock ceased to be traded on NYSE after close of market on that day.
Burger King is the world's second largest fast food hamburger restaurant chain in terms of the total number of restaurants and system-wide sales. BK restaurants feature flame-broiled hamburgers, chicken and other specialty sandwiches, French fries, soft drinks and other affordably-priced food items.
It generates revenues from three sources: (1) retail sales at Company restaurants; (2) franchise revenues; and (3) property income from restaurants that BK leases or subleases to franchisees. As of December 31, 2010, it owned or franchised a total of 12,251 restaurants in 76 countries and U.S. territories, of which 1,344 (11%) restaurants are Company restaurants and 10,907 (89%) are owned by its franchisees.
Burger King mainly operates in three geographic segments: (i) the United States and Canada; (ii) Europe, the Middle East, Africa and Asia Pacific; and (iii) Latin America. Of these restaurants, 4,701, or 38%, are located outside the United States and Canada and account for over 33% of its revenue.
Burger King appeals to a broad spectrum of consumers because it offers customers quick service of fast food at affordable prices. Burger King’s slogan is “Have it your way”, which means allowing consumers to make better tasting hamburgers according to their...