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Burger King SWOT and PESTLE Analysis

ID : 521428453| Feb 2023| 23 pages

COMPANY PROFILE -Burger King

Business Sector :Quick Service Restaurant (QSR)

Operating Geography :United States, North America, Global

About Burger King :

Burger King (BK) is a global network of fast-food restaurants serving hamburgers headquartered in Jacksonville, Florida. The corporation was established in 1953 as Insta-Burger King. Since then, the firm has undergone numerous changes in ownership and corporate administration. With outlets in all 50 states and 56 countries, the corporation franchises more than 10,400 restaurants and owns nearly 1,000 of them, for a chain-wide total reaching 11,455. It provides customers with access to burgers, chicken, fries, onion rings, soft drinks, and desserts. Burger King offers a variety of meals, including breakfast items, salads, combo meals, and kids' meals, in addition to its standard menu. These meals can be ordered and consumed inside the restaurant or through a drive-through. However, The Whopper, its most well-known burger, is responsible for a significant share of its business. Burger King is dedicated to giving its customers, good, inexpensive meals promptly and presents a corporate responsibility plan on its website. The "Reclaim the Flame" plan, which aims to boost Franchisee profitability and sales growth, was disclosed in full by the corporation towards the end of 2022. The strategy calls for Burger King to make investments in digital and advertising to "Fuel the Flame" and "Royal Reset," which involve restaurant technology, kitchen equipment, building upgrades, and high-quality remodelling and relocation.

Burger King Corporation's USP or unique selling proposition is that it is the second-largest fast-food chain in the US, serving 15.7 million people daily, and selling more than 2.4 billion Burger King hamburgers annually around the world. The mission statement of Burger King reads, “offer reasonably priced quality food, served quickly, in attractive, clean surroundings.

Burger King Revenue :


$1.81 billion - FY ending 31st March 2022 (y-o-y growth 13%)
$1.6 billion - FY ending 31st March 2021

Competitive Analysis of Burger King

SWOT
PESTLE
The SWOT analysis for Burger King is presented below in a matrix format followed by a detailed analysis:
StrengthsWeaknesses
1. World’s second largest fast food hamburger restaurant in terms of the number of restaurants
2. Strong global presence in across more than 100 countries
3. Successful franchise-based business model is contributing to the growth
4. Innovative marketing campaign and digital presence is boosting millennial connect
5. Wide range of product offerings with vegetarian and non-vegetarian products
1. Franchise based business model gives less control to the company over individual franchisees
2. Company is yet to be profitable in major regions like Asia.
3. Negative marketing campaigns can hamper the reputation of the company
OpportunitiesThreats
1. Boost presence in the international markets through expansion
2. Diversify menu offerings through new partnerships or products
3. Build omni channel experiences for customers and enhance digital sales
1. Rising covid cases in some part of the world can affect the operation of restaurants
2. Economic downturn can adversely impact the business of the company
3. Increasing competition from local and international brands can affect the company
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Detailed SWOT Analysis of Burger King

Strength

1. World’s second largest fast food hamburger restaurant in terms of the number of restaurants: Every day, more than 11 million individuals from all around the globe visit Burger King restaurants to dine. They do this because Burger King restaurants are known for serving good food at affordable prices. In terms of the number of outlets, Burger King, which was founded in 1954, is the second-largest fast-food hamburger brand globally. The brand has stood out for more than 50 thriving years due to its commitment to high-quality products, original recipes, and enjoyable dining experiences for the whole family. Burger King operated around 19,247 restaurants worldwide as of early 2022.

The remaining section under "Strength" is available only in the 'Complete Report' on purchase.

Weakness

This section is available only in the 'Complete Report' on purchase.

Opportunity

1. Boost presence in the international markets through expansion: Burger King operated a sizable network of 315 restaurants, including 9 sub-franchisee restaurants, as of March 31 2022. Burger King opened its first outlet, called Tapovan, in Rishikesh in 2022. In addition to its regular menu of burgers, French fries, beverages, and milkshakes, Burger King now offers a larger range of goods. Additionally, McWin affiliates have acquired exclusive master franchise and development rights to expand the Burger King and Popeyes brands in a number of Eastern European countries, with new outlets scheduled to open in 2023, according to an announcement by Restaurant Brands International and McWin, one of the most prestigious operators in Europe. With plans to open 600 restaurants across these nations over the next ten years, McWin plans to introduce the renowned fried chicken restaurant brand Popeyes to the Czech Republic and Poland through its recently established Rex Concepts CEE platform and to expand the flame-grilled Burger King brand in the Czech Republic, Poland, and Romania.

The remaining section under "Opportunity" is available only in the 'Complete Report' on purchase.

Threat

This section is available only in the 'Complete Report' on purchase.

Major Competitors :

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References used in Burger King SWOT & PESTLE Analysis Report

1. Annual Report - https://s26.q4cdn.com/317237604/files/doc_financials/2021/ar/QSR_2020.12.31_10K.pdf
2. Burger King crowns the consumer king with new ‘You Rule’ tagline - https://www.marketingdive.com/news/burger-king-whopper-you-rule/633449/
3. Burger King faces backlash after linking ad campaign to mental health, showing the risks of cause-based marketing - https://www.cnbc.com/2019/05/03/burger-king-faces-backlash-after-linking-ad-campaign-to-mental-health.html
4. Burger King’s ‘Women belong in the kitchen’ ad is a cautionary tale, experts say - https://www.washingtonpost.com/food/2021/03/08/burger-king-women-ad/
The detailed complete set of references are available on request in the 'Complete report' on purchase.

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Burger King SWOT and PESTLE Analysis - SWOT & PESTLE.COM

SWOT & PESTLE.com (2024). Burger King SWOT and PESTLE Analysis - SWOT & PESTLE.com. [online] Available at: https://www.swotandpestle.com/burger-king/ [Accessed 25 Apr, 2024].

In-text: (SWOT & PESTLE.com, 2024)

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