Jollibee plans 100 new stores in China

MANILA, Philippines - Fastfood giant Jollibee Foods Corp. (JFC) is ramping up its presence in China with plans to build 100 stores in the world’s second largest economy according to a top company official.

In a forum sponsored by ING yesterday, JFC chief financial officer Ysmael Baysa said the company remains upbeat on its prospects in China, noting that its business there has been growing 30 percent annually.

Baysa said the group’s operations in China, which include three homegrown brands (Yonghe King, Hong Zhuang Yuan and San Pin Wang), now account for 11 percent of worldwide sales.

The group had a total of 368 stores in China as of end-June this year, Baysa said.

JFC acquired Yonghe Dawang in 2005, Hong Zhuang Yan in 2008 and Guangxi San Ping Wang Food and Beverage Management Co. Ltd., operators of the San Pin Wang beef noodle business, in 2010.

It also owns a research and development facility in Beijing and a food processing center in Anhui province.

Baysa said Yonghe King, the group’s flagship brand in China, was rated the number one most recognized non-Western restaurant in China for two consecutive years.

Aside from the 100 new stores slated for opening in China, the group expects to beef up its domestic store network by 125 this year.

JFC has earmarked around P5.8 billion for its ongoing expansion program.

Baysa noted that US brands remain the biggest fastfood chains in the world except the Philippines.

He said the company would continue to focus on the middle and mass markets despite growing affluence of Filipinos.

JFC ended the first half with a total of 2,022 stores in the Philippines, consisting of flagship brand Jollibee (756), Chowking (385), Greenwich (201), Red Ribbon (207), Mang Ianasal (448) and Burger King (25).

The group has a total of 2,546 stores overseas.