The Philippines is a huge embarrassment to McDonald's.
Scope The report will discuss in detail the profile and the external environment factors pertinent to a geographic market in the operation of an overseas fast food chain.
Jollibee Foods Corporation will be the subject of this marketing study - International Marketing: Entry and Marketing Mix Strategies Essay introduction. This would include a tabular comparison of relevant market facts and an analysis of the 4 Ps of the subject company which will serve as basis for the formulation and recommendation of strategies.
Limitations The report will focus only on the three markets required which include Japan, Germany and China.
Priority is given on demographics, general outlook and culture and will only briefly mention the procurement, distribution data as well as cost figures. Background and Situational Analysis The global fast food market is growing at an accelerated pace as developing countries now earnestly face globalization by opening its borders to foreign Delifrance market strategies, welcoming foreign investments and expanding their markets in overseas locations.
While global interconnection encourages free trade, increased investments, and reciprocal employment opportunities, it also puts pressure on the local human resource as job requirements become more intricate and time consuming.
As the standard of living in urbanized cities soar, people would need to generate increased income levels to support personal expenditures.
This promotes the crossover from traditional cultural patterns in terms of households and consumptions. As the trend for single-person households and working mothers escalates, the tradition of house-cooked meals and leisure eating becomes more and more difficult due to time constraints.
These developments put to the fore the need for fast and convenient food items only a fast food outlet can provide. For the chosen product and service, it would be difficult to program generic strategies for the purpose of penetrating a geographic market.
For one, the study is dealing with entry into overseas markets and only an established global brand can pursue expansions outside his turf. Therefore, for this study, the proponent has opted to use as subject an emerging global brand, Jollibee.
Through a review of its products, markets and analysis of its marketing problems, the proponent will be able to device relevant entry and marketing strategies.
Using a cost-leadership strategy on the premise of good taste, the Jollibee brand managed to outsell multinationals such as McDonalds, Pizza Hut and KFC.
Products The product lines of Jollibee such as the Champ Burger and Crispy fries were adapted from the menu of fast food giant McDonalds. The Global Challenge The Jollibee brand was however not able to duplicate in many of its overseas locations the remarkable sales turnover obtained from its home market due to problems in the marketing of its brand and products in such countries.
In fact it had to close a few outlets in the Middle East, China and Taiwan. Moreover, the success of its outlets in the United States is yet to be seen.
The selection of new markets overseas for the fast food chain Jollibee becomes an interesting subject for this report. Being an economic superpower, the country boasts of advanced in-country infrastructures, highly literate manpower support, a stable business environment conducive to trade, level expansion opportunities for foreign direct investments and an efficient distribution system.
As a market for products and services, it is home to a population of This accounts for of the new restaurants opened between and Winkler-Helmdach, D. While growth prospects are sluggish with the fast food sector, other sub-sectors offer opportunities that can be tapped by potential foreign investors.
Moreover, the consumption patterns of German consumers are still inclined towards fast and convenient meals as they continue to lead hectic lives.
The increase in single-person households and working women, supported by higher disposable incomes and some increase in the population ensure a stable demand for this sector.
However, food outlets should look towards providing healthier food items as an aging population puts more value on fitness and health, particularly in the food that they consume. Expanding a fast food chain in Germany Germany instated laws that are generally friendly to foreign traders and investors.
An overseas fast food company can benefit from the mature franchise market of Germany.
However, any investor should take into consideration competition, name recognition challengers, pervasive labor regulations and high salary costs plus the differences in market structure and conditions Winkler-Helmdach, D.
Furthermore, the German market puts high regard on brand quality in their purchases and overseas investors should ensure that their products or services meet set standards World Wide Tax, b. The Japanese Market There is intensified competition in the Japanese market for products and services.
Despite the mature fast food market, plenty of prospects are still available to a newcomer.But in its niche, the Philippines, where it controlled four brands—Jollibee, Delifrance, Greenwich Pizza, and Chowking—it dominated the market.
During the s, JFC extended its sights overseas, opening a small number of restaurants in several Asian and Middle Eastern locations. Product market strategies are interested to either building superior products/services or achieving lowest delivered cost,and either operating in narrow niches or broad mass kaja-net.comzational culture is related with shared values, beliefs.
This paper presents a case study on a review of the Cafe Industry Life Cycle model, assessing its value and as a guide to developing strategy, and analyse the industry.
One of the best known and most enduring marketing concepts is the product life cycle. While staff are trained to manage a range of service kaja-net.comt Pricing Strategies Delifrance’s current pricing strategy is to position the business as a medium priced café.
The coffee club offer referred to in promotional strategies section is a loyalty program of sorts. I was reading The Wall Street Journal one morning about food makers using mobile games to market to kaja-net.com struck me that content marketing has a major effect on how some companies, especially publishers and media companies, must regard their competition.
Founder and Managing Director of Delifrance Wholesale in Singapore, Thailand, Hong Kong, Japan and Korea. In-depth expertise in Food & Beverage B2B and Retail markets, with proven track record in Asia Pacific.
24 years in the region, extensive people management experience across borders and kaja-net.com: Managing Director Delifrance .