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Jollibee Foods Corporation SWOT & PESTLE Analysis

ID : 521094853| Jan 2022| 19 pages

COMPANY PROFILE -Jollibee Foods Corporation

Business Sector :Fast Food Industry

Operating Geography :Philippines, Asia, Global

About Jollibee Foods Corporation :

Jollibee Foods Corporation (JFC) is a multi-brand restaurant conglomerate headquartered in the Philippines. Jollibee, Greenwich, Chowking, Red Ribbon, MangInasal, Burger King, Hong Zhuang Yuan, The Coffee and Tea Leaf and Dunkin's Donuts are among the brands handled by the company. Burgers, spaghetti, chicken, sandwiches, beverages, soup, pork, noodles, salads, pastas, steaks, hotdogs and desserts are available at the company's restaurants.It also operates and manages restaurants under Highlands Coffee, Pho 24, SuperFoods, Hard Rock Café, Jinja and 12 Hotpot. In addition to dining, the establishments offer take-away and delivery services. JFC also offers online ordering through its websites and mobile ordering features. The company operates 5,800 stores worldwide,with locations in the Philippines, Singapore, Indonesia, Hong Kong, the U.S, Europe and U.K, Middle East, Vietnam, Canada, and China
Jollibee Group is a major shareholder in Titan Dining L.P., a private equity fund that is the ultimate holding entity of the Tim Ho Wan (THW) Brand and also has a joint venture with the THW group in order to open THW restaurants in Mainland China. It also has a partnership with award winning chef Rick Bayless for Tortazo, a Mexican fast casual restaurant in the United States. In addition, the group will form a 50/50 joint venture to manage, operate, and expand Yoshinoyaone of the largest and most well-known Japanese restaurant chains globally in the Philippines.
Jollibee's global network expanded further with the opening of 338 stores across all brands and regions. This global fast food giant is all set to kick off 2022 with the launch of 3 new international stores in Scotland, Kuala Lumpur and Vietnam. It invested more in new stores outside of the Philippines than in the Philippines, which provided advantage of geographical diversification amid the pandemic. In keeping with its mission of serving great tasting food and spreading the joy of eating to everyone, the Jollibee Group has grown brands that provide delightful dining experiences to its customers around the world.

Jollibee Foods Corporation Revenue :


PHP129,313 million - FY ending December 31st, 2020 (decrease of 28% from 2019)
PHP179,580 million - FY ending December 31st, 2019

Competitive Analysis of Jollibee Foods Corporation

SWOT
PESTLE
The SWOT analysis for Jollibee Foods Corporation is presented below in a matrix followed by the detailed analysis report:
StrengthsWeaknesses
1. Strong market presenceallows Jollibee to serve a larger number of customers while increasing overall profitability
2. Built-in manufacturing and logistics capabilities allows Jollibee to efficiently meet the needs of its customer base.
3. Elevated and innovative customer service using latest technology
4. Strict adherence of highest standards of food quality, service and cleanliness
5. Product variety, new product launch and unique taste
6. 24 hours customer service leading to greater reach and customer satisfaction
1. Lack of automation used in Jollibee's kitchen procedures
2. Lack of ecommerce usage for delivery
OpportunitiesThreats
1. Strategic Collaborations and initiatives
2. Due to work from home, there is growth in the consumption of ready meals, meal kits, home delivery and time saving packaged meals
3. Consistent focus on store network expansion and strategic acquisition
4. Increase in the consumers craving for comfort food during the pandemic.
1. Consumer trends such as mindful eating, plant-based eating and increase spend on health and wellness can affect the company's business
2. Intense competition from various quick service restaurants and other restaurant chains
3. Stricter regulations and food safety laws
4. Labor shortage and higher pay demand
SWOT & PESTLE (combined)
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Detailed SWOT Analysis of Jollibee Foods Corporation

Strength

1. Strong market presence allows Jollibee to serve a larger number of customers while increasing overall profitability:Jollibee is Philippines' largest fast-food chain, offering beverages and desserts, breakfast foods, chicken, kid's meals, and snacks such as burgers, noodles, sandwiches, and sides. It also provides food delivery, event celebration, and 24-hour food store services. Jollibee, Chowking, Greenwich, Red Ribbon, Yonghe King, Hard Rock Cafe, The Coffee Bean & Tea Leaf, MangInasal, Hong Zhuang Yuan, Burger King, Highlands Coffee, Smashburger, SuperFoods, Dunkin' Donuts, and Pho24 are some of its brands. Until December 31, 2020, the company managed 1,184 stores in the Philippines under the Jollibee brand, including 711 franchised and 473 company-owned stores. Its international operations include 294 stores in the United States, Canada, Guam, Italy, the United Kingdom, Vietnam, Brunei, Hong Kong, Singapore, Macau, Malaysia, and the Middle East, with 86 franchised and 208 company-owned locations. It operated 571 Chowking stores, 273 Greenwich stores, 495 Reb Ribbon stores, 594 MangInasal stores, 354 Yonghe King stores, 31 Hong Zhuang Yuan stores, 237 Smashburger stores, and 1,071 The Coffee Bean & Tea Leaf stores.

2. Built-in manufacturing and logistics capabilities allows Jollibee to efficiently meet the needs of its customer base:JFC has commissaries or manufacturing plants all over the world to support the continued expansion of its retail chain. The company's key manufacturing facilities are located in Mandaue City, Cebu, and its central site is located in Canlubang, Laguna. Vismin Foods Corporation (VFC) is based in Mandaue City, Cebu, and serves the Visayas and Mindanao regions. VFC makes its own bread, sauce, pie, and frozen patty products. Zenith Foods Corporation (ZFC), JFC's wholly-owned subsidiary, operates the Laguna commissary, which is the largest and most advanced in the Philippines. The plant produces marinated Chicken Joy, breads, sauces, dry blended goods, frozen patties and pies, hotdogs, and other meat products. Furthermore, the company's subsidiaries run their own commissaries to produce their respective specialty products. Greenwich operates its own commissary to produce pizza and pasta, while Chinese dishes are produced at Chowking's commissary, cakes and pastries at Red Ribbon's commissary, grilled chicken and Filipino food items at MangInasal commissary, and products for Burger King and Chinese food items for Yonghe King, Hong Zhuang Yuan in China. JWS Logistics handles the company's logistics operations (JWSL). JWSL provides services such as supply planning, warehousing, distribution, customer support, and order management in addition to delivering goods to JFC stores. JWSL has distribution centers in a number of strategic locations. The largest distribution centre, located in Paranaque City's Barangay Marcelo Green, serves as a major hub for Metro Manila and South Luzon. The company's in-house manufacturing and logistics capabilities allow it to efficiently meet the needs of its customer base.

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

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

Threat

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

Major Competitors :

Major Brands :

  • Jollibee
  • Chowking
  • Greenwich
  • Red Ribbon
  • Yong He King
  • Hong Zhuang Yuan
  • MangInasal
  • Burger King
  • SuperFoods
  • Highlands Coffee
  • Smashburger
  • 12 Hotpot
  • Pho24
  • Dunkin' Donuts
  • The Coffee & Tea Leaf
SWOT & PESTLE (combined)
Complete Report
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References used in Jollibee Foods Corporation SWOT & PESTLE Analysis Report

1. Annaul Report 2020 - https://bucketeer-db71ed0b-178e-4a82-bfd6-d68a68e0de55.s3.amazonaws.com/public/uploads/2020%20Annual%20Report.pdf
2. List: Brands operated by Jollibee Foods Corp. - https://www.philstar.com/business/2019/07/24/1937490/list-brands-operated-jollibee-foods-corp
3. The Commisary - https://www.jollibee.com.ph/about-us/the-commisary/
4. Jollibee continues to level up customer experience with roll-out of self-order kiosks nationwide - https://businessmirror.com.ph/2019/11/18/jollibee-continues-to-level-up-customer-experience-with-roll-out-of-self-order-kiosks-nationwide/
5. Jollibee Foods Corporation North America Supports Expansion and Commitment to Quality with Digital HACCP and Temperature Monitoring Solutions from SmartSense by Digi® - https://www.businesswire.com/news/home/20210817005037/en/
The detailed complete set of references are available on request in the 'Complete report' on purchase.

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SWOT & PESTLE.com (2022). Jollibee Foods Corporation SWOT & PESTLE Analysis - SWOT & PESTLE.com. [online] Available at: https://www.swotandpestle.com/jollibee-foods/ [Accessed 18 May, 2022].

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Jollibee Foods Corporation SWOT and PESTLE analysis has been conducted by Ipsha Bhattacharya and reviewed by senior analysts from Barakaat Consulting.

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