Jollibee stings McDonald’s in Philippines

Jollibee vs McDonald’s is a great David and Goliath story, Tan Caktiong couldn’t have dreamed this incredible story. Jollibee is the largest Filipino food company, with sales of $397 million, Jollibee Foods has 1,186 stores in nine countries. After 4 decades Jollibee is growing and still expanding into new territories. This was a good read and shows how complex international business can be, even for experience and well-funded firms like McDonald’s.

Jersen L.J.

4 thoughts on “Jollibee stings McDonald’s in Philippines

  1. Thank you Jersen, this is a great article. It shows how small businesses have potential to grow and compete in a global market.

    This article makes a great distinction between Jollibee that understand the importance of local customs, whereas McDonald’s had failed to adapt and integrate.

    I was reminded of our Marketing class in T2 where we presented the case of Disney Hong Kong. Just as McDonalds, Disney an American company sought to compete in the global market. Disney open a park in Hong Kong. However Disney Hong Kong ignored local culture and customs which let them to huge financial losses. Disney Hong Kong realized that it was essential to adapt and integrate local heritage in order to be able to succeed in that market

  2. Thanking Jersen on behalf of all of us for the story and the excellent interpretation.
    I invite your thoughts and comments on what explains Jubilee’s remarkably ability to out compete McDonald’s in the Philippines. what general lessons can we draw from this story about the strengths and weaknesses of firms in a global world?

  3. I feel like it’s the old saying of “picking your battles” for McDonald’s. As of late you have many brands that try to perform across many different platforms (in this case across many different cultures/countries). Unless the firm is ready AND willing to learn there’s not enough ammunition to truly conquer that particular territory. If you know your strengths – it’s great, however to be successful you must also know your weaknesses and “know what you don’t know” (or what your competitors know.

  4. Great article Jersen. McDonalds was too confident in their ability to take over the fast food market in the Philippines. Being born in the Philippines, I know we are heavily influenced by the western culture however as much as we praise the western culture, we remain loyal to our Filipino food. If McDonalds tried to assimilate more into our culture, they might have a better chance in competing with Jollibee.

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