Latecomer Burger King opens first China shop
Burger King, the world's second-largest hamburger chain, arrives in China today, 18 years after Kentucky Fried Chicken, thanks to years of corporate infighting that cost it one of the world's most promising markets.
The shop, with 170 seats on the second floor of a building in a busy shopping street close to the Jing An temple in Shanghai, will be the first of 10 in the city.
The menu is a mix of traditional fried American convenience food and Chinese dishes developed specially for this market.
Burger King operates 12,000 restaurants in more than 60 countries and territories around the world with annual revenue of US$12 billion, making it the world's second-biggest hamburger chain and third-biggest restaurant chain after McDonald's and Yum Brands, the parent of KFC.
KFC opened its first China outlet in Beijing in 1987 and now has more than 1,200 restaurants. The Golden Arches first appeared in Shenzhen in 1990 and there are now more than 600 McDonald's shops.
Asked why it took Burger King so long to set up in China, chief executive Greg Brenneman blamed the short-sightedness of previous management. 'Our former owners, Diageo, had no interest in developing the fast-food business,' said Mr Brenneman, who took over as chief executive in August last year and became chairman in February.
'This company was under-managed for many years. You will have to ask the former owners why they did not come here. It was the obvious market.'