Jollibee Case Study

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Introduction
Jollibee, a fast food company that was initially founded in 1975 as an ice cream parlor by Chinese-Filipino Tan family where it was diversified into sandwiches after the 1977 oil crisis that would double the price of ice cream that was realized by President Tony Tan Caktiong (also known as TTC). Jollibee has since trying to expand their business internationally since 1985 where they ventured into Singapore, Taiwan, Brunei and Indonesia but they were only able to maintain their franchise in Brunei whereas the other 3 countries has failed due to various reasons. Their motivation on moving their business offshore was because they foresaw opportunities in other Asian countries after their success over McDonald’s in Philippines in 1984 and also, they were curious how Jollibee would fare in other countries as there are some foreign businesspeople and some of their friends start to approach TTC for franchise rights in their countries. But the issues they were facing now are that they have three immediate growth opportunities what would shape the future of the company and does not know which one to choose.
Jollibee is currently targeting Papau New Guinea, Hong Kong and California as they foresee immediate growth opportunities over these 3 locations and believe it would shape their company’s future. The investment options they are facing are Papau New Guinea which arises when Gil Salvosa, a local New Guinea entrepreneur and Quality Assurance Manager, approached Tony Kitchner with the intention to gain franchise right as he believe Jollibee would be able to take much of the market shares from the Australian chicken restaurant franchise that was already there and also increase food and service quality at the same time. Second in...

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...uld not need to advertise too much because it is believed that the Filipinos over there will come due to their longing for home and the taste of comfort food as stated by Leon (2003). Third reason was by retaining the local taste of Jollibee menu which was proven as a success as supported by Conde (2005), Jollibee could still retain the values that built by them for a long time which is to promote respect for elders, patriotism and loyalty to the Filipino family in California, they were able to evoke the sentiment and patriotism in them which was also in line with TTC’s long-held belief that win them enormous prestige and publicity in the company’s birthplace. This way, practices that have been built for the last 16 years were able to retain and Jollibee will still able to expand without discarding it which was opposed by many Philippine staff back in Philippine.

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