Title: Jollibee Going Big In Canada
Introduction.
Jollibee began in 1975 as ice cream stands in Manila, Philippines. The Jollibee Food Corp, as it is known, evolved to a multinational corporation with 1,200 joints worldwide. It is still dominant despite McDonald’s entry in 1981, and the group has continued to outpace the American fast-food behemoth’s growth. The corporation acquired most of the Philippines’ fast food brands and has the Philippine franchise rights for Burger King. In 2016 Jollibee bought majority shares in the American burger chain and its restaurants in the U.S. and Canada. The group is opening the second restaurant in Toronto, which will be forth-in Canada. Jollibee aims at opening more than 100 new restaurants in Canada. With family or not, it is a place to gather, celebrate, and feel the joy inside.
Pressure for cost reduction
As Jollibee is going globally, it has intense pressures for cost reductions. The firm has to focus on increasing profitability and profit growth by reaping the cost reduction that comes from economies of scale. Jollibee has specific products for Filipinos in Canada, and this will address the customer’s tastes and preferences. Offering these products is no challenge to the restaurants as the market is comfortable and familiar with the traditional and cultural delicacies.
Local response on Jollibee in Canada.
The level to which Jollibee customizes its products to meet the demands of the target group has led to a high market for the product as the locals consent the forthcoming. The company has an advantage over competitors gained by offering consumers the more excellent value of the traditional food. It is ‘a slice of home’ as Filipinos visiting Jollibee brings back memories of days long gone.
Knowledge development and diffusion for Jollibee
Jollibee Food Corp is known for the philosophy of being closer to Filipino families than the competitors are. There is a deep awareness that the firm is a local that has captured the unique Filipino tastes. It has tailored the marketing strategies to suit the culture and traditional lifestyle of the Filipinos. The chain appealed to the population that feels comfortable and very much at ease in an environment where the restaurant attendants talk to them in their native language. The restaurant will take its culture of Fast, Good, Clean, Cheap food, Catering to locals’ need (Spicy patty) Consistency and reliability all over its outlets in Canada.
Recommended strategy and structure for Jollibee in Canada
Jollibee can set out a plan on how to use the resources and fit the pieces together to identify the strengths and opportunities in Canada. Jollibee is a stronghold of Filipinos and an experienced business unit, considering that they have been in the business since 1975. It has efficient manufacturing and logistics facilities, and they have skilled workforce Opportunities. Basing on the strengths, Jollibee can employ the globalization strategy to get economies of scale and offer new services and products from time to time to new areas of Canada like Calgary with a high population of Filipino. Their product positioning, the Jollibee’s signature Chicken Joy is a technique intended to present products in the best possible way the target population. It is its best-seller sold with either rice or spaghetti. Concentrating on the set market yields higher profits.
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