1. By mid-2009, Burger King was not in any of the following five countries: France, India, Nigeria, Pakistan, and South Africa. Compare these countries as possible future locations for Burger King.
These countries all have large populations but are not in close proximity to the BK headquarters in Miami. How well do these five countries identify with the Burger King brand? It is hard entering foreign markets where consumers are loyal to previously established brands. Is there even enough beef to go around? Burger King will have their work set out for them to be successful in these markets and many not have franchising opportunities to rely on.
France: the concern with France is how much of the population actually consumes beef.
India: Burger King may have recently ruined their chances for sending their business to India. There are no beef in the McDonalds located in India. Hindu does not eat beef and that is approximately 80% of the population. Burger King thought it was a good idea to place an ad of Lakshmi, the Indian goddess of wealth, about to eat one of the beef burgers, which are forbidden under Hindu religion.
Why? Other than that bad business move Burger King is faced with re-inventing their menu.
Nigeria- Restaurants like Tantilizers has had plenty of success in Nigeria and service similar food products to Burger King. Well, at least they sell hamburgers. Yet, it all depends on how well Burger King can re-invent meat pies and other popular Nigerian foods. I think Nigeria will be a much better location than that of France and India and it has less competition.
Pakistan- McDonalds seems to found success in Pakistan and serves many beef products, chicken, and fish. Burger King can have similar success from a product/menu standpoint. However, will it be enough to compete with an already established fast food base who serves similar products and have a loyal consumer base. However, the market is big enough for an additional player because of the population.
South Africa- South Africa will
If I was on the Burger King Management team then I would definitely try to enter into Nigeria, Pakistan, and South Africa. I do not think that France is the type of market that Burger King will do exceptional well but maybe average. India, I would not even look any further into trying to bring the BK brand.
2. When entering another country, discuss the advantages and disadvantages that an international restaurant company, specifically Burger King, would have in comparison with a local company in that market.
The advantages of Burger King entering into new markets are: The disadvantages of Burger King entering new markets are:
3. About two-thirds of Burger King’s restaurants and revenues are in its Americas region (United States and Canada) and one-third elsewhere. Should this relationship change? If so, why and how?
The relationship should not change. America is only 5 percent of the world population but consumes 25% of beef. However, Burger King could switch up their menu but I do not think that will bring success. The fish and chicken products do not produce enough variety in international markets in my opinion.
4. The case mentions that Burger King prefers to enter countries with large numbers of youth and shopping centers. Why do you think these conditions would be advantageous?
5. How has Burger King’s headquarters location influenced its international expansion? Has this location strengthened or weekend its global competitive position?
The location has weakened Burger King international expansion. Almost three fourths of all Burger restaurants are either in the United States or Latin America. Latin America because of its convenience makes up 25 percent of global operations. However, because of the small populated countries only 1/8 of the revenue comes from the same 25 percent of the international restaurants. The wealthy European countries are not
6. Evaluate Burger King’s strategy of using the Brazilian experience to guide its entries into Russia.
Cite this Possible Future Locations for Burger King
Possible Future Locations for Burger King. (2016, Jul 20). Retrieved from https://graduateway.com/possible-future-locations-for-burger-king/