Case

I JOLLIBEE FOOD CORPORATION
II Executive summary of the case
The case gives an idea about how the competition influenced Jollibee's strategy, both domestic and international. Jollibee ,which was a Filipino chain of restaurants, was forced to change their strategy with the entry of McDonalds in Philippines, which later transformed the company into a global company .The company faced serious challenges with their international exposure. The challenges included the conflicts with franchisees/Joint venture and conflicts between divisions. Another issue that the company faced was the entry into Papa New Guinea, United States of America and expansion plans in Hong Kong. The company has to consider the financial instability it faces while considering their plans. In the analysis we have tried to cover the effectiveness of strategies adopted by Mr Tony Kitchner (Former International Division head).
III Background of the case
This paper aims to perform an analysis of the Jollibee Foods Corporation. Before such presentation, this chapter intended to present some information about the company, and how Jollibee became the leading company in the Philippine fast food industry.
Jollibee was founded by Tony Tan and his family with its humble beginnings as an Ice Cream Parlor which later grew into an emerging global brand. At the heart of its success is a family-oriented approach to personnel management, making Jollibee one of the most admired employers in the region with an Employer of the Year Award from the Personnel Management Association of the Philippines, Best Employer in the Philippines Award from Hewitt Associated and a Top 20 Employer in Asia citation from the Asian Wall Street Journal.
In 1975 Tony Tan and his family opened a Magnolia Ice Cream parlor in Cubao. Sometime in 1978, Tony Tan and his brothers and sisters engaged the services of a management consultant, Manuel C. Lumba. Lumba shifted the business focus from ice cream to hotdogs, after his studies showed that a much larger market was waiting to be served. Lumba became Tan's last business and management mentor.
The Jollibee mascot was inspired by local and foreign children's books. Lumba created the product names "Jollibee" and "Chickenjoy". He had the company incorporated and leased a house on Main St. in Cubao, Quezon City as the first headquarters. Lumba formulated a long-term marketing strategy: listing up a number of consumer promotions and traffic building schemes. Tan stressed that developing internal strengths was critical. The stores were re-designed, the service transformed into a full self-service, fast-food operation with drive-throughs. Not long after, Tan and Lumba went on an observation tour in the United States, attending food service and equipment conventions. Tan placed Lumba in charge of franchise development.

Jollibee Mascots Name | Year introduced | Represents | Field | Appearance | Jollibee | 1980 | Main franchise mascot, Jollitown | Leader of Jollibee | Special Appearance, (Some) Concerts, Jollitown episodes, Jollibee Kids Party, (Some) Mascot Parades | Chickee | 1987, 1993 | Chickenjoy | (discontinued) | (discontinued) | Lady Moo | 1993 | Milkshakes | (discontinued) | (discontinued) | Mico | 1985 | Milkshakes | (discontinued) | (discontinued) | Champ | 1984 | Champ Premium hamburger | (discontinued) | (discontinued) | Yum/Mr. Yum | 1989 (Mr. Yum), 2009 (Yum) | Burgers | Hi-Technology | (Some) Concerts, Jollitown episodes, Jollibee Kids Party | Twirlie | 1988, 2009 | Desserts | Singing & Dancing | (Some) Concerts, Jollitown episodes, Jollibee Kids Party | Popo | 1985, 2009 | Side Dishes | Games, Sports, and Jokes | (Some) Concerts, Jollitown episodes, Jollibee Kids Party | Hetty | 1984, 2009 | Pastas | Cheerleader | (Some) Concerts, Jollitown episodes, Jollibee Kids Party |

JOLLITOWN TV SHOWS
On April 13, 2008, a children's television program called Jollitown was launched by Jollibee and friends. The timing was chosen to highlight Jollibee’s 30th anniversary. Jollibee and his friends Yum the scientist, Twirlie the star performer, Hetty The chearleader and Popo the gym coach are the stars of the show, which airs Sundays, 9:30 a.m. or 8:00 on Network. On July 17, 2011,Jollitown moved to ABS-CBN for its 4th season every Sunday at 9 am (every Sunday). The season's concept is based on time traveling.
IV Review of related Literature
Jollibee is the largest fast food chain in the Philippines, operating a nationwide network of over 750 stores. A dominant market leader in the Philippines, Jollibee enjoys the lion’s share of the local market that is more than all the other multinational brands combined. The company has also embarked on an aggressive international expansion plan in the USA, Vietnam, Hong Kong, Saudi Arabia, Qatar and Brunei, firmly establishing itself as a growing international QSR player
Statement of the problem 1. How Jollibee became the leading company in the Philippine fast food industry? 2. What effective investments should JFC make to penetrate and expand its foreign market share? 3. Who are the current customers of Jollibee?
As the country's leading fast food chain, Jollibee has grown exponentially on all aspects on operation. From a handful of stores 32 years ago, Jollibee now boasts of more than 600 stores and over 50 international stores. To achieve its long-term goal to be the country’s food service leader, Jollibee acquired Greenwich Pizza in 1994. A year later, the company obtained the franchise of Delifrance, an international food company. These moves expanded Jollibee’s penetration in the pizza-pasta and French café-bakery segments. In 2000, the strategic acquisition of Chowking solidified the company’s position as the dominant leader. The move gave it leadership in the Oriental quick-service restaurant segment.
Jollibee’s phenomenal growth owes much to its strict and committed adherence thigh standards as symbolized by "F.S.C.": Food (F) served to the public must meet the company’s excellence standards or it will not be served at all; the Service (S) must be fast and courteous; and Cleanliness (C), from kitchen to utensils, must always be maintained. Jollibee is proud of its employees who carry out their jobs.
Aside from promoting a family oriented work environment, the brand’s values also reflect on their advertising and marketing. Jollibee knows their target audience very well: the traditional family and all communication materials focus on the importance of family values, making Jollibee the number one family fast food chain in the Philippines and a growing international QSR player.Jollibee dedicated its continuous success to the Filipinos who have been therefore the very start. Jollibee is so well-loved every time a new store opens, especially overseas; Filipinos always form long lines to the store. It is more than home for them. It is stronghold of heritage and monument of Filipino victory.
V statement of the objective
To achieve its long-term goal to be the country’s food service leader, Jollibee acquired Greenwich Pizza in 1994. A year later, the company obtained the franchise of Delifrance, an international food company. These moves expanded Jollibee’s penetration in the pizza-pasta and French café-bakery segments. In 2000, the strategic acquisition of Chowking solidified the company’s position as the dominant leader. The move gave it leadership in the Oriental quick-service restaurant segment.
Jollibee is the largest fast food chain in the Philippines, operating a nationwide network of over 750 stores. A dominant market leader in the Philippines, Jollibee enjoys the lion’s share of the local market that is more than all the other multinational brands combined. The company has also embarked on an aggressive international expansion plan in the USA, Vietnam, Hong Kong, Saudi Arabia, Qatar and Brunei, firmly establishing itself as a growing international QSR player

VII Alternative courses of action
STRENGTHS AND WEAKNESSES
a. Jollibee was a regional industry leader that had experienced professionals as chief executives of the organization.
b. Proven past performance made dealings with prospective partners easier.
c. Wide variety of products offered in diverse markets.
a. Lacked more effective marketing skills as growth revenues decreased.
b. Lack on in-depth planning and research in the expansion to foreign markets.
c. Poor co-ordination between the national and international units.
OPPORTUNITIES THREATS
a. The promising nature of international markets and also the available potential due to the migration of Filipinos in certain countries.
b. Being an agricultural country, full integration in sourcing raw materials could be done.
c. For international markets, locating commissaries in the same country through joint ventures could be a potential source of success for the company. Jollibee could facilitate the technology provision while the partner could formulate the appropriate modus operandi to sell in the foreign market.
d. For the local market, an increase in the number of commissaries could easily reduce the transportation costs and the duration of shipments. This would allow the company to concentrate on the quality of products.
a. Competition from both international companies and other local eateries.
b. Political instability in the country threatened JFC as it could hamper the opportunities to convince international investors and country leaders to allow a JFC entry in their country.
c. Driving Forces
VIII Recommendation
You can achieve success in a huge number of markets by making sure you have the attributes such as: International operations should be completely separated from domestic ones, In case of expanding the menu, economies of scale and operational efficiency should be kept in mind, some items which increase inefficiency should be removed from the menu. Company founders’ held values and the employees who are hired, as well, have an enormous significance. Still, something that many companies lack to take them to the next level is the organizational structure that allows the right people to be in the right place.