Jolibee

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How Does The Jollibee Compete To Mc Donald
In fast Food Industry In Phillipine

A. Background
McDonald’s and Jollibee are two fast food chains that compete to selling hamburgers in the Philippines. McDonald’s is an American owned company while Jollibee was founded in Philippine. Jollibee has more than 500 stores in the Philippines and 25 in other countries, selling more than half a million burgers every day and McDonald's has about 250 outlets in the Philippines. Jollibee has success to be the largest food company in Philippine, with sales of 21.7 billion pesos, or $397 million, in 2004, up 13.7 percent from a year earlier. Jollibee respecst to the local tastes, unlike McDonald’s which was constrained by its obligation to remain faithful to its core products, Jollibee was flexible. This case tell how the competition between McDonald’s and Jollibee use their strategy to dominated both local and international market. Jollibee ,which was a Filipino chain of restaurants, was forced to change their strategy with the entry of McDonalds in Philippines, which later transformed the company into a global company. The company faced serious challenges with their international exposure.

B. Case Issues
McDonald’s becomes famous in Indonesia because operational efficiency, excellence service, and also creative marketing strategy. McDonald’s provide 24 hours services, delivery services, and give some toys for kids when buy their product. This situation contrast in Phillipines. In 1975, Tony Tan Caktiong and his brothers opened an ice cream store which grew to burgers and other fast food. Although imitated United States kinds of menu, he developed their own brand named jollibee. Jollibee has many achievement. In 1981, Jollibee entered the list of the top 1,000 corporations. In 1984, it was the top 500 list and dominated local fast food market. The strength of Jollibee is know what their customers want. They offer rice, spaghetti and sauce which is suitable...
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