Jollibee Case Study
I. Summary
Jollibee started in 1975 as an ice cream parlor, Mr. Tony Tan the young Chinese entrepreneur had an idea of putting up a business together with his two brothers and the financial backing of his father. In January 1978, the ice cream parlor evolved into fast food chain, the Jollibee Foods Corporation. At that time McDonald’s was making waves in the United States and Mr. Tan added the famous hamburger and hotdog sandwiches to keep up with the changing taste and lifestyle of customers. Jollibee became the fast-food place to go to with its uniquely- flavored Filipino burgers, chicken and sweetish spaghetti.
Despite the Tan Brothers’ conservative background their drive to innovative led them to hire an equally driven people that would help their business a giant in the Philippine fast food Industry. Two decades later, the fully Filipino owned hamburger chain had overtaken American multinationals in their own fast food game. Despite the influx of new foreign players, Jollibee continued to dominate the hamburger market.
Jollibee Food Corporation is a food empire with interests to American fast food (burgers, fries, fried chicken, etc.) including pizza (Greenwich), grilled chicken (Mary’s Chicken) and Chinese Fast food (Chowking). Jollibee used franchising to rapidly expand its business and achieve market penetration. Jollibee’s first franchise opened in 1980. In the same year its sales boomed to P24million. Its closest competitor, McDonald’s had almost 200 stores. More than 43 percent of Jollibee’s 302 stores were franchise owned. Franchising is the force which provides the strength to the Jollibee food empire. Investing in a Jollibee franchise requires a low of P10-15 million to a high of P20-25 million. JFC is a good business to those entrepreneurs who can afford their franchise fee until the management faced a problem between the two franchisees that are choosing the same location.
II. Problem Statement: How will Genee Lopez evaluate the
Jollibee started in 1975 as an ice cream parlor, Mr. Tony Tan the young Chinese entrepreneur had an idea of putting up a business together with his two brothers and the financial backing of his father. In January 1978, the ice cream parlor evolved into fast food chain, the Jollibee Foods Corporation. At that time McDonald’s was making waves in the United States and Mr. Tan added the famous hamburger and hotdog sandwiches to keep up with the changing taste and lifestyle of customers. Jollibee became the fast-food place to go to with its uniquely- flavored Filipino burgers, chicken and sweetish spaghetti.
Despite the Tan Brothers’ conservative background their drive to innovative led them to hire an equally driven people that would help their business a giant in the Philippine fast food Industry. Two decades later, the fully Filipino owned hamburger chain had overtaken American multinationals in their own fast food game. Despite the influx of new foreign players, Jollibee continued to dominate the hamburger market.
Jollibee Food Corporation is a food empire with interests to American fast food (burgers, fries, fried chicken, etc.) including pizza (Greenwich), grilled chicken (Mary’s Chicken) and Chinese Fast food (Chowking). Jollibee used franchising to rapidly expand its business and achieve market penetration. Jollibee’s first franchise opened in 1980. In the same year its sales boomed to P24million. Its closest competitor, McDonald’s had almost 200 stores. More than 43 percent of Jollibee’s 302 stores were franchise owned. Franchising is the force which provides the strength to the Jollibee food empire. Investing in a Jollibee franchise requires a low of P10-15 million to a high of P20-25 million. JFC is a good business to those entrepreneurs who can afford their franchise fee until the management faced a problem between the two franchisees that are choosing the same location.
II. Problem Statement: How will Genee Lopez evaluate the