Jollibee Foods Corporation: Case Background
I have always believed that I can make my business a big business. -- Tony Tancaktiong
In May 1975, Tony Tan and his girlfriend/future wife Grace decided to be the bosses of themselves and went into a franchise agreement with then popular Magnolia Ice Cream. The idea came when the bachelors from University of Santo Tomas found themselves unwilling to work for anybody after graduation.
Though both were Chemical Engineering graduates, the two had a bulk of their lives being thought by their parents, also entrepreneurs, the basics of being a business person. Ice Cream is a fad in the Philippines during the time. However, to be a $650 million business as Jollibee is right now, ice cream is just not the thing that can carry you into the ladder of success.
As time develops and competitors keep on coming, Tony Tan had to think like the 'big guns', his empire's development was a series of new Product development, Advertising, Acquisition and Expansion campaigns.
Today, the Jollibee Foods Corporation is a brand tagged to the Philippines, much like Roman Catholic is to Pope Benedict XVI. And it does not stop there. Tony admitted that having dominated the local market, it is time for the little bee to step out of its hive. His long-term dream of being world renown is about to be reality...not quite. Tony admits that they are far from his dream, and it would take his third generation for this to happen. Still with his optimism, that has brought his to where he is today, Tony and Jollibee are not slowing down.
An excerpt from the company website show just how dedicated the company is in further strengthening its hold of the food industry and the fulfillment of Tony and his family's dreams.
Jollibee remains firm in its resolve to maintain its dominance in the fastfood industry. It will continue to push forward with its strategic programs and aggressively pursue further network expansion to ensure superior market coverage nationwide. Most importantly, it will continually apply itself to the paramount task of consistently delivering superior tasting products at the most affordable prices and services of the highest standards in a bright and clean store environment (www.jollibee.com.ph).
Tony was born to a Chinese immigrant to the Philippines. His father was his mentor in everything food. His father was a cook in a Buddhist temple and also a chef in outside restaurants. Maybe that was the reason why I (Tony) have such a firm grasp of my taste buds. He finished Bachelor of Science in Chemical Engineering in a reputable school, as he always had a dream of going outside the country as a professional.
Based from the Discovery channel feature on the rise of Jollibee, it is evident that the success cannot solely be attributed to Tony. Even then, his characteristics have pioneered the empire that he has today. Besides, it is a family business centered on uncle Tony.
Since the start of his own business career, he has been optimistic...until today. Tony has always admitted that his father thought him the best way to succeed in the food business is to have good food, good service, and a reasonable price. Though he keeps this in mind, he also developed additions to his father's teachings. Tony has learned to take risks, be creative and listen to his customers. This was evident when the ice cream business started to fail. Then Jollibee was born.
This was followed by numerous awards for Tony as he steered a business to the top of local fast-food chain industry.
Exhibit: Management and Corporate Awards from years 2001-2003 2003 awards
The Most Admired Corporation in the Philippines by the Far Eastern Economic Review for 6 consecutive years (1998-2003) The Asia Money Magazine adjudged JFC as the country's "Best Small Company" based on market capitalization for 2 consecutive years (2002-2003) 2002 awards
The Asia Money Magazine adjudged JFC as "Best in...
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